Philadelphia Office Tower’s Assessment Cut by 55% Amid Market Challenges

The assessed value of an office building in Philadelphia’s central business district has been slashed by 55% after multiple appeals.

A 296,000-square-foot office building at 1635 Market Street in Philadelphia’s central business district has seen its assessed value reduced by more than half following multiple appeals, underscoring the financial pressures facing under-occupied office properties.

Originally assessed at $62.2 million for tax years 2023 and 2024, the building’s value was ultimately lowered to $35.8 million in 2023, $31 million in 2024, and $28.3 million for 2025, according to city property records. The 19-story property, currently 70% occupied per CoStar data, is owned by InterVest Capital Partners, which assumed ownership from Nightingale Properties.

The reductions followed an appeal to the city’s Board of Revision of Taxes, which initially cut the assessment to $41.6 million for 2023 and $39.7 million for 2024. Seeking further relief, the ownership pursued an additional appeal in Philadelphia’s Court of Common Pleas in early 2024.

For more information about Philadelphia office space for sale or lease or about any other properties for sale or lease, please contact WCRE at 215-799-6900.

Wolf Commercial Real Estate, a full-service CORFAC International brokerage, advisory and property management firm, is a premier commercial real estate broker that provides a full range of commercial real estate listings and services, property management services, and marketing commercial offices, medical properties, industrial properties, land properties, retail buildings and other commercial properties for buyers, tenants, investors and sellers.

Please visit our websites for a full listing of Philadelphia commercial properties for lease or sale, www.wolfcre.com.

Stalwart Equities Acquires Northeast Philadelphia Office for $21M

Stalwart Equities Acquires Northeast Philadelphia Office Property for $21M

A Brooklyn-based investment firm has acquired a fully leased Northeast Philadelphia office building for $21 million, according to public records. The 130,000-square-foot property, located at 13000 Townsend Road, is currently occupied by the U.S. Department of the Treasury’s Bureau of the Fiscal Service, which recently extended its lease for an additional five years through late 2029.

Stalwart Equities purchased the 10.5-acre site near Roosevelt Boulevard from Acore Capital, a Dallas-based firm that had owned the property since 1998, when it acquired it for $17 million. The listing was marketed with a 9.5% cap rate and an asking price of $21.8 million.

The building, known as the Philadelphia Financial Center, plays a key role in federal financial operations, including processing IRS refund disbursements and managing regional wire transfers. The Bureau of the Fiscal Service has occupied the facility since 2014.

For more information about Philadelphia office space for sale or lease or about any other properties for sale or lease, please contact WCRE at 215-799-6900.

Wolf Commercial Real Estate, a full-service CORFAC International brokerage, advisory and property management firm, is a premier commercial real estate broker that provides a full range of commercial real estate listings and services, property management services, and marketing commercial offices, medical properties, industrial properties, land properties, retail buildings and other commercial properties for buyers, tenants, investors and sellers.

Please visit our websites for a full listing of Philadelphia commercial properties for lease or sale, www.wolfcre.com.

Developer to Buy Ten Penn Center

Local developer nears deal to buy Ten Penn Center for residential conversion

PMC Property Group is reportedly close to acquiring Ten Penn Center at 1801 Market Street, with plans to partially convert the 27-story office tower into residential units, according to multiple industry sources.

As Philadelphia’s largest apartment owner, PMC has a track record of office-to-residential conversions, including a recent project at Three Parkway in Center City.

Public records show two new entities — Ten Penn Center Upper Unit Associates LLC and Ten Penn Center Lower Unit Associates LLC — were registered on June 11, both listing PMC’s Philadelphia office address.

*Article courtesy of Philadelphia Business Journal
For more information about Philadelphia office space for sale or lease or about any other properties for sale or lease, please contact WCRE at 215-799-6900.

Wolf Commercial Real Estate, a full-service CORFAC International brokerage, advisory and property management firm, is a premier commercial real estate broker that provides a full range of commercial real estate listings and services, property management services, and marketing commercial offices, medical properties, industrial properties, land properties, retail buildings and other commercial properties for buyers, tenants, investors and sellers.

Please visit our websites for a full listing of Philadelphia commercial properties for lease or sale, www.wolfcre.com.

Hangley Aronchick Cut Center City Office Space

Hangley Aronchick Segal Pudlin & Schiller is relocating

Hangley Aronchick Segal Pudlin & Schiller is relocating from One Logan Square to a smaller footprint at 1735 Market Street, reducing its space by 46%.

The firm has signed a 12-year lease for 22,230 square feet on the 26th floor of the building, also known as BNY Mellon Center, which is co-owned by Silverstein Properties and Arden Group. In addition, Hogan Lovells, a major law firm with roots in Miami, has renewed its commitment to the property with a lease extension exceeding 10 years, maintaining its 34,752 square feet across the 22nd and 23rd floors.

*Article courtesy of Philadelphia Business Journal
For more information about Philadelphia office space for sale or lease or about any other properties for sale or lease, please contact WCRE at 215-799-6900.

Wolf Commercial Real Estate, a full-service CORFAC International brokerage, advisory and property management firm, is a premier commercial real estate broker that provides a full range of commercial real estate listings and services, property management services, and marketing commercial offices, medical properties, industrial properties, land properties, retail buildings and other commercial properties for buyers, tenants, investors and sellers.

Please visit our websites for a full listing of Philadelphia commercial properties for lease or sale, www.wolfcre.com.

Parkview Tower Faces Foreclosure in King of Prussia

KOP's Parkview Tower in Foreclosure

Parkview Tower, a 10-story, 221,000-square-foot office building in King of Prussia, is slated for a sheriff’s sale on July 30, according to a notice from the Montgomery County Sheriff’s Office. The auction will be held via the online platform Bid4Assets.

The property, owned by West Conshohocken-based real estate firm Keystone, is tied to a commercial mortgage-backed securities (CMBS) loan with more than $27 million in outstanding debt, according to a May 10 loan servicer report. The loan matured nearly two years ago, and the building has been in receivership since October 2023.

*Article courtesy of Philadelphia Business Journal
For more information about Philadelphia office space for sale or lease or about any other properties for sale or lease, please contact WCRE at 215-799-6900.

Wolf Commercial Real Estate, a full-service CORFAC International brokerage, advisory and property management firm, is a premier commercial real estate broker that provides a full range of commercial real estate listings and services, property management services, and marketing commercial offices, medical properties, industrial properties, land properties, retail buildings and other commercial properties for buyers, tenants, investors and sellers.

Please visit our websites for a full listing of Philadelphia commercial properties for lease or sale, www.wolfcre.com.

Chubb Puts Old City Property on the Market

Chubb Listing Old City Office For Sale

Chubb has listed its 330,000-square-foot office building at 436 Walnut St. in Old City as it prepares to relocate to its new headquarters next year.

Located at the southeast corner of 5th and Walnut streets, just a block from Independence Hall, the 12-story property is zoned CMX-4, allowing for a mix of residential and commercial uses. The 101-year-old building, last renovated in 2005, is being marketed as a potential redevelopment opportunity for office, residential, or hotel use.

The sale comes as Chubb plans to consolidate operations into its forthcoming 438,000-square-foot tower at 2000 Arch St., a $430 million project being developed by Parkway Corp. in the Market West district.

For more information about Philadelphia office space for sale or lease or about any other properties for sale or lease, please contact WCRE at 215-799-6900.

Wolf Commercial Real Estate, a full-service CORFAC International brokerage, advisory and property management firm, is a premier commercial real estate broker that provides a full range of commercial real estate listings and services, property management services, and marketing commercial offices, medical properties, industrial properties, land properties, retail buildings and other commercial properties for buyers, tenants, investors and sellers.

Please visit our websites for a full listing of Philadelphia commercial properties for lease or sale, www.wolfcre.com.

Kirkland & Ellis Expands in Philly with Major Office Lease

Kirkland&Ellis Lease Expansion

Kirkland & Ellis has leased 29,000 square feet at 2005 Market St., taking the entire 10th floor of One Commerce Square in Center City. The move suggests the world’s highest-grossing law firm is laying the groundwork for significant growth in Philadelphia after entering the market earlier this year.

Despite currently listing only four Philadelphia-based attorneys on its website, the firm’s sizable lease signals a long-term commitment and likely expansion plans in the region.

*Article courtesy of Philadelphia Business Journal
For more information about Philadelphia office space for sale or lease or about any other properties for sale or lease, please contact WCRE at 215-799-6900.

Wolf Commercial Real Estate, a full-service CORFAC International brokerage, advisory and property management firm, is a premier commercial real estate broker that provides a full range of commercial real estate listings and services, property management services, and marketing commercial offices, medical properties, industrial properties, land properties, retail buildings and other commercial properties for buyers, tenants, investors and sellers.

Please visit our websites for a full listing of Philadelphia commercial properties for lease or sale, www.wolfcre.com.

TF Cornerstone Acquires Wanamaker Building

TF Cornerstone acquires Wanamaker Building and plans to redevelop

After years of uncertainty surrounding the future of the iconic Wanamaker building, TF Cornerstone has officially taken full ownership following a foreclosure auction held Tuesday.

The New York-based developer announced plans to convert a significant portion of the building’s office space into residential units as part of a major repositioning effort.

With the acquisition, TF Cornerstone now controls the entire 1.4 million-square-foot property located at 1300 Market Street, directly across from Philadelphia’s City Hall. The firm previously purchased the building’s lower three retail floors — once home to Macy’s — for $40 million in 2019. The department store closed its doors earlier this spring, clearing the way for redevelopment.

*Article courtesy of Philadelphia Business Journal
For more information about Philadelphia office space for sale or lease or about any other properties for sale or lease, please contact WCRE at 215-799-6900.

Wolf Commercial Real Estate, a full-service CORFAC International brokerage, advisory and property management firm, is a premier commercial real estate broker that provides a full range of commercial real estate listings and services, property management services, and marketing commercial offices, medical properties, industrial properties, land properties, retail buildings and other commercial properties for buyers, tenants, investors and sellers.

Please visit our websites for a full listing of Philadelphia commercial properties for lease or sale, www.wolfcre.com.

Power Home Remodeling Signs Major Lease

Power Home Remodeling Signs Large Lease

While many companies are downsizing, Power Home Remodeling is doubling down on in-person culture. The company has signed a 12-year, 250,000-square-foot lease at the Wharf at Rivertown in Chester — marking one of the largest office deals in the Philadelphia region since the pandemic’s shift to remote work.

The lease expands Power’s footprint by 65,000 square feet and includes Turbine Hall, a historic space that will be transformed into a venue for training, conferences, and company events. The redevelopment will take two years and involve a multi-million-dollar investment, with Philadelphia-based Tantillo Architecture leading the design

*Article courtesy of Philadelphia Business Journal
For more information about Philadelphia office space for sale or lease or about any other properties for sale or lease, please contact WCRE at 215-799-6900.

Wolf Commercial Real Estate, a full-service CORFAC International brokerage, advisory and property management firm, is a premier commercial real estate broker that provides a full range of commercial real estate listings and services, property management services, and marketing commercial offices, medical properties, industrial properties, land properties, retail buildings and other commercial properties for buyers, tenants, investors and sellers.

Please visit our websites for a full listing of Philadelphia commercial properties for lease or sale, www.wolfcre.com.

Collegeville Office Buildings Sold at 81% Discount

Collegeville office buildings sell for less

Two largely vacant office buildings in Collegeville have changed hands for $6.2 million — representing a staggering 81% drop in value from their last sale in 2018.

Located at 200 and 400 Campus Drive, the buildings span a combined 183,363 square feet and were just 15% occupied at the time of sale. The significant vacancy rate, along with the nature of the foreclosure transaction, contributed to the dramatic price reduction.

Provident Bank, the previous owner, sold the properties to Audubon-based Globus Medical, a leading musculoskeletal solutions company. The buyer plans to occupy the buildings, giving new life to the campus and signaling a potential shift in the local office landscape.

This sale highlights the ongoing challenges in the office sector, while also illustrating how end-users are finding opportunities amid shifting market dynamics and reduced valuations.

*Article courtesy of Philadelphia Business Journal
For more information about Philadelphia office space for sale or lease or about any other properties for sale or lease, please contact WCRE at 215-799-6900.

Wolf Commercial Real Estate, a full-service CORFAC International brokerage, advisory and property management firm, is a premier commercial real estate broker that provides a full range of commercial real estate listings and services, property management services, and marketing commercial offices, medical properties, industrial properties, land properties, retail buildings and other commercial properties for buyers, tenants, investors and sellers.

Please visit our websites for a full listing of Philadelphia commercial properties for lease or sale, www.wolfcre.com.