Equity Commonwealth has put up for sale a boutique office
building along Locust Street in what may be an eventual unraveling of its local
portfolio.
The 19-story office building at 1525 Locust St. has close
to 100,000 square feet and is about 95 percent leased, according to market
sources. The property was constructed in 1983 and renovated in 1997. Its anchor
tenant is the law firm Kline & Specter, which occupies 10 of the building's
floors.
The building is the only Class A office space in that
corridor, which is better known for its theaters and restaurants. Because of
its location and size, it is expected to get a ton of interest from investors.
While it is performing just fine as an office building, a long-term play could
be to convert it into some other use, such as condominiums or apartments.
JLL is marketing the property and a local representative
couldn’t be reached for comment.
This is one of four office properties Equity Commonwealth
owns in Center City. The Chicago real estate company also owns Centre Square,
Mellon Bank Center and 1600 Market St.
The company has launched a program to sell assets it owns
across the country. Beginning in the spring, it set out to unload $2 billion to
$3 billion in office properties over the next two to three years.
By mid-September, the company has sold $1.7 billion of
assets, comprising 82 properties and 16.4 million square feet, according to a
quarterly report. The company is currently in various stages of marketing nine
office properties totaling 2.6 million square feet.
Source: Philadelphia
Business Journal
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