Thursday, December 18, 2014

Seven Penn Center sells for $39M, major renovations planned



Seven Penn Center has sold for $39 million, which is a significant drop from a $50 million price tag some real estate observers thought the property might get.

Nightingale Properties of New York bought the 19-story, 286,574-square-foot building at 1635 Market St. from the Arden Group of Philadelphia. Jones Lang LaSalle arranged the transaction.

With the Seven Penn purchase, Nightingale has now accumulated a portfolio of four Center City office buildings including 1500 Spring Garden St., 1835 Market St. and 1700 Market St.


Nightingale plans to rebrand the building as 1635 Market St. and invest $5 million making upgrades to the building's façade, main lobby, elevators and other areas. It was roughly 65 percent occupied at the time of sale. Kevin Maloney, Mark Adzick, George Cauffman and Joe Wolff of CBRE Inc. will oversee leasing in the building.

Arden bought the building in 1995. In 2006, it put the property on the market but it never sold. The building was originally constructed in the 1960s for IBM.

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