Firm to buy two Center City buildings in a $200M deal

1650 Arch St. is anchored by the EPA.

A buyer has stepped up to buy United Plaza and 1650 Arch St., two office buildings in Center City.

CBRE Global Investors has reportedly locked up an agreement for the two properties, which are being sold as a portfolio, for around $200 million, according to people familiar with the transaction.

The deal would be a return to Philadelphia for the real estate investment firm. It had at one point owned 2000 Market St., another Center City office building, but sold it in 2013. It bought that property in 2009 for $50 million and unloaded it for reportedly $110 million.

TIER REIT, which is formerly known as Behringer Harvard REIT I Inc. of Dallas is the seller. JLL is marketing the buildings for sale.

United Plaza at 30 S. 17th St. is 20 stories and totals 617,476 square feet. It is 93.7 percent leased. Duane Morris, a law firm, occupies 257,000 square feet of the building for its headquarters. The other building, 1650 Arch, stands 27 stories and totals 553,349 square feet. It is now 95 percent occupied. The EPA is its main anchor and leases 304,255 square feet. As a package, the two properties total 1.17 millions square feet of office space and are more than 94 percent occupied.

TIER REIT continues to own Three Parkway and the Wanamaker building in Philadelphia.

Source: Philadelphia Business Journal