Center City Tower Extends $162.5M Loan, Boosting Advantage

Center City Tower Extends $162.5M Loan, Boosting Advantage

American Real Estate Partners (AREP) has secured a four-year extension on its $162.5 million loan for 1600 Market St., safeguarding the property’s financial stability amid office market challenges. The loan, now extended to 2028, involved senior lenders Natixis Corporate and Investment Banking, BlackRock, and mezzanine lender JPMorgan Chase.

The 39-story, 825,968-square-foot tower, 70% occupied, was purchased by AREP in 2018 for $160 million from Equity Commonwealth. AREP invested $15 million in upgrades, including improvements to the entrance, lobby, air quality, and fitness center.

As part of the extension, AREP committed to a “significant additional equity investment” to fund tenant improvements and attract new occupants. This extension marks a key achievement, especially as lenders reduce office loan exposure.

*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 and advisory 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.

Wanamaker Building Set for Residential Conversion After Foreclosure

Wanamaker Building Set for Residential Conversion After Foreclosure

New York developer TF Cornerstone is expected to convert the office portion of the historic Wanamaker Building into residential units after completing foreclosure proceedings, according to a source familiar with the plans. Foreclosure on the 1.4 million-square-foot Center City property is set to progress early next year. TF Cornerstone, which acquired the majority of the office portion’s debt earlier this year, has been actively pursuing foreclosure against the building’s owner, Rubenstein Partners, in the Philadelphia Court of Common Pleas. A settlement conference is slated for January 6, aiming to resolve the case. If no resolution is reached, a pre-trial conference is scheduled for February 3, with the trial set to begin on March 3.

*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 and advisory 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.

Vacant Office Space is Costing Philadelphia Millions

Vacant Office Space is Costing Philadelphia Millions

Office vacancy rates have hit a 45-year high, with predictions that one-quarter of U.S. office space could sit empty by early 2026. Currently, 11 major metros face over $1 billion in empty office space. Philadelphia, while just below this threshold, saw 27.6 million square feet of vacant office space mid-year, translating to an estimated $801 million in lost rent, according to Switch On Business and Cushman & Wakefield data.

Philadelphia’s office vacancy rate has hovered around 20% in 2024. As companies finalize post-pandemic hybrid strategies, insiders expect clearer market trends in 2025 as leases expire. While some vacant spaces are being repurposed, significant unused inventory continues to weigh heavily on the market, costing hundreds of millions in lost revenue.

*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 and advisory 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.

$21M Bala Cynwyd Site Sale Clears Path for Apartment Development

$21M sale of Bala Cynwyd site paves way for apartment development
Plans to build over 400 apartments near City Avenue in Bala Cynwyd are advancing on the grounds of a recently cleared former office building. Houston-based developer Hanover Co. acquired the 8.5-acre property at 111 Presidential Blvd. for $21.3 million from Amerimar Realty Co., as confirmed by Montgomery County property records.
The Bala Pointe Office Center, a 172,710-square-foot office structure previously located on the site, was demolished earlier this fall. While Hanover Co. has not provided a statement, the completion of the demolition and the property sale signal significant progress for the project.
*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 and advisory 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.

Brandywine CEO: ‘Greed Will Overtake Fear’ in Office Sales

Brandywine CEO: 'Greed Will Overtake Fear' in Office Sales

Brandywine Realty Trust CEO Jerry Sweeney anticipates a rebound in office sales by 2025 as interest rates stabilize or decline, improving access to capital. Speaking at the Urban Land Institute’s 2025 Real Estate Forecast at the Bellevue Hotel, Sweeney noted that office transaction volumes remain historically low, at just 30% to 40% of typical levels.

The slowdown is driven by high interest rates and uncertainty around long-term remote and hybrid work trends. Sweeney pointed out a divide in the market: high-quality office buildings are nearly fully leased and performing well, while lower-quality properties face declining occupancy, loan challenges, and potential foreclosures.

*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 and advisory 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.

Polsinelli Expands Office Space in Center City

Polsinelli Expands Office Space in Center City

Law firm Polsinelli, which expanded into the Philadelphia market earlier this year by hiring 35 local lawyers from Holland & Knight, has signed a long-term lease for two floors at Three Logan Square. The firm will occupy the 11th and 12th floors, totaling 40,790 square feet, and plans to move in next summer. Currently with 60 local employees, Polsinelli’s new space at 1717 Arch St. will accommodate up to 120. The firm has been using the entire 28th floor, which was previously leased by Reed Smith and returned to landlord Brandywine Realty Trust.

*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 and advisory 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.

Philadelphia Office Sublet Space Declines as Tenants Return Less Space

Philadelphia Office Sublet Space Declines as Tenants Return Less Space

After seven years of rising office sublease availability, Philadelphia’s office market shows signs of recovery. By late 2024, the proportion of sublet space in the total available inventory dropped to 15.1%, down from a peak of 16.8% in mid-2023. This marks a shift after years of increasing sublet availability, indicating that the worst of the demand contraction may be over for Philadelphia’s office market. In the past year, 66 office sublet leases were signed, totaling 470,000 square feet, a figure similar to 2023, when 68 leases were recorded, covering 730,000 square feet.

*Article courtesy of Costar

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 and advisory 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.

Can Wells Fargo’s Former Market Street Office Building Survive and Adapt?

Can Wells Fargo's Former Market Street Office Building Survive and Adapt?

Just over a month ago, 401 Market St. appeared rock-solid on paper: the 484,643-square-foot building was fully leased, generating record revenue and strong cash flow, with a mortgage in good standing and over a year left before maturity. But in October, Wells Fargo’s lease on 349,770 square feet expired, dropping occupancy from 100% to 28% and pushing the property’s $52.4 million loan into special servicing. Now, with eight vacant floors, the building’s future is uncertain.

*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 and advisory 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.

Goodwin Moves in as the First Tenant at 3025 JFK Ahead of Hiring Season

Goodwin Moves in as the First Tenant at 3025 JFK Ahead of Hiring Season

Boston-based megafirm Goodwin Procter has become the first tenant in Brandywine Realty Trust’s new office tower at 3025 JFK Blvd, moving in just over 18 months after entering the Philadelphia market. Last week, the firm took 31,000 square feet on a 12.5-year lease, occupying the 8th floor and part of the 7th, with space for 33 lawyers, 12 partners, and 25 professional staff in 70 individual offices. Co-managing partners Rachael Bushey and Barbara Shander anticipate expansion and have an option to lease the remainder of the 7th floor if needed.

*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 and advisory 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.

University of the Arts Real Estate Listed as ‘Generational Opportunity

University of the Arts Real Estate Listed as 'Generational Opportunity

The University of the Arts’ prime Center City real estate portfolio, totaling 760,000 square feet across nine buildings, has officially hit the market as part of the school’s Chapter 7 bankruptcy liquidation. Many of these historic properties are in high-profile locations around South Broad Street. Appointed by U.S. Bankruptcy Court in Delaware, JLL is marketing the portfolio for sale on behalf of the Chapter 7 Trustee, describing it as a “generational opportunity to reshape” Philadelphia’s central business district, according to JLL Senior Managing Director Jim Galbally.

*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 and advisory 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.