Please enjoy this week’s edition of Capstone Law’s Philadelphia Real Estate Trends:
- In another sign of Philadelphia’s growing preference for mass transit, SEPTA extended its experimental 24/7 weekend service indefinitely. This announcement comes after SEPTA set yet another record for regional rail ridership. The region’s growing reliance on mass transit should result in additional transit-oriented developments. This trend bodes well for Dranoff Properties’ One Ardmore Place and Keystone Property Group’s One Conshohocken, two current projects located near SEPTA regional rail stations.
- The trendy Midtown Village neighborhood of Center City attracts more than just restaurants and eclectic boutiques. The neighborhood has become a magnet for tech and creative firms seeking older buildings with high ceilings and open floor plans. For example, software-maker CloudMine, branding agency At Media, and advertising agency Ark Ideas recently signed leases at the newly refurbished Biddle Building at 1217 Sansom Street. Rents in both the Biddle Building and other neighborhood office buildings compare, or sometimes even exceed, rents obtained in many of the trophy buildings located in Center City’s more traditional office submarkets.
- National investors continue to flock to Center City. Last week, Philadelphia’s Pearl Properties sold the Sansom Apartments at 1605 Sansom Street to New York-based Pantzer Properties for a reported $42 million. The acquisition comes on the heels of Pantzer’s $28 million acquisition of the Oakwood Philadelphia, an extended stay property at 1601 Sansom Street. Pearl Properties successfully exited from this property after completing construction only about a year ago.
Until next time, have a great week!