The Boston Redevelopment Authority Board of Directors today granted approval to the restoration and expansion of the former Penny Savings Bank building on Washington Street in the South End. The project will restore the existing façade of the former two-story bank and construct a three-story addition to make way for 23 new units of housing.

“This project is just another great example of buildings throughout our city that are underutilized and can make way for the much needed housing we need in our neighborhoods,” said Mark Maloney, Director of the BRA. “Specifically, this project includes the restoration of a beloved building on Washington Street, which will be returned to its former glory and become active with retail and residential uses.”

The Penny Savings Bank Building is a two-story, Classical Revival building constructed between 1911 and 1917. It served as a bank until 1959 at which time the Archdiocese of Boston purchased the building and converted it into a community center. Most recently, the building was occupied by a thrift store, which vacated the building in June 2004.

The project, developed by PSB Investments, LLC, consists of 35,618 square feet of residential space and 10,332 square feet of retail space. Of the 23 housing units, three will be affordable. Some of the residential units will be designed as loft-style units. The units will range in size from 955 feet to 1,835 square feet with a mix of six studio units, eight one-bedroom units and nine two-bedroom units.

Mayor Thomas M. Menino and the BRA have long been committed to the ongoing revitalization of Washington Street. Throughout the past six years, $430 million has been invested, with an additional $60 million underway, along the 1.4 miles in the Washington Gateway Main Street district. This represents more than 600 newly constructed residential units, more than 900 renovated residential units, more than 130,000 square feet of new or renovated commercial space, improvements to open space and public transportation, more than $7 million in improvements to commercial space and more than $1.6 million in retail improvements.

In conjunction with the redevelopment of this project, the developer will relocate the outbound Union Park Silver Line bus stop from its current location in front of the building to the intersection of Washington and West Dedham Streets in the South End. The relocation of the bus stop will help eliminate the current safety issue of pedestrians spilling out onto Washington Street because of the narrow and overcrowded bus stop. Additionally, the relocation allows the developer to recreate the original entrance canopies on the newly designed building. Furthering the community benefits of this project, the developer will also contribute $65,000 to benefit local non-profit community-based organizations in the South End neighborhood.

The project, estimated at $19 million, will create approximately 20 construction jobs and expects to break ground in July 2005 with an estimated completion date of June 2006.

Press Contact: Jessica Shumaker, 617.918.4446.

Release Date: March 24, 2005