Sale Marks Largest Office Transaction Based on Square-Footage in City’s History
CBRE Capital Markets announced that it has arranged the sale of Centre Square, a two-building,1.8-million-square-foot, Class A, multi-tenant office complex in Philadelphia, to an affiliate of Nightingale Properties, LLC, for an undisclosed amount. This sale marks the largest office transaction based on square-footage in the city’s history.
Robert Fahey, Jerry Kranzel, Erin Hannan and Jack Corcoran of CBRE Capital Markets’ Institutional Properties team represented the seller, Chicago-based Equity Commonwealth (NYSE:EQC), in the marketing and sale negotiations. Additionally, Nightingale Properties has retained CBRE as the exclusive leasing agent for Centre Square, which will be led by Christian Dyer and Nick Gersbach, who have successfully leased the asset for fifteen years.
“Centre Square is a major part of Philadelphia’s fabric and attracted investor interest and capital commitments from around the globe,” said Mr. Fahey, executive vice president, CBRE. “The asset sits across from Dilworth Park and City Hall and above the mass transit network. It is the best-located set of office towers in the Philadelphia CBD. We are honored to have been chosen to represent Equity Commonwealth in the sale of this landmark asset.”
Located at 1500 Market Street, in the heart of Philadelphia’s dynamic Central Business District, the 1.8-million-sq.-ft. office complex is an iconic part of the Philadelphia skyline. Built in 1974, the complex is equally as well known for a 45-foot tall Clothespin art sculpture that sits in its front plaza. The complex consists of a 36-story East Tower and a 43-story West Tower, which houses market leading tenants including the University of Pennsylvania Health System, Towers Watson, PHMC, Saul Ewing, Dilworth Paxson and the mortgage insurer, Radian.
In addition to a parking garage that can accommodate 450 vehicles, Centre Square also includes a 41,000-sq.-ft. retail component with several shops, stores and restaurants. In 2015, the complex was awarded an Energy Star Label and the BOMA 360 Designation.
Nightingale Properties—which owns multiple properties throughout Philadelphia and the U.S., including 1635 Market Street, 1500 Spring Garden Street and 1835 Market Street—has plans to do an extensive renovation at Centre Square.
About CBRE Group, Inc.
CBRE Group, Inc. (NYSE:CBG), a Fortune 500 and S&P 500 company headquartered in Los Angeles, is the world’s largest commercial real estate services and investment firm (based on 2016 revenue). The company has more than 75,000 employees (excluding affiliates), and serves real estate investors and occupiers through approximately 450 offices (excluding affiliates) worldwide. CBRE offers a broad range of integrated services, including facilities, transaction and project management; property management; investment management; appraisal and valuation; property leasing; strategic consulting; property sales; mortgage services and development services. Please visit our website at www.cbre.com.
