Friday, April 24, 2015

$203M sale of Center City office tower set to close



The mortgage for 1818 Market St. has officially been sold and a transaction to sell the Center City office tower for $203 million is scheduled to be finalized today, according to people close to the matter.

The deal will mark a return to the Philadelphia market for Shorenstein Properties, a San Francisco company buying the building. Shorenstein had once owned Two Liberty Place, a 58-story, 1.2 million-square-foot property. It sold that skyscraper in 2005 and is just re-entering the city with the purchase of 1818 Market.

This sale also means the end of an ordeal that involved some of the tenant-in-common owners of the office tower that made getting to the closing table a complicated feat. See more on that here.

Sovereign Capital Management Group Inc. of San Diego is the seller.

The original balance on the loan was $122 million and was made by Wachovia to Triple Net Properties, according to data provided by Trepp.

The 37-story building totals 940,000 square feet. Beneficial Bank makes its headquarters in the building and its lease runs until 2028. Other tenants include eResearch Technology, Five Below, Zarwin Baum and the American College of Radiology.

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