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News release

Philadelphia, PA

Jones Lang LaSalle Closes $143.5M Sale and $123M Financing of 1700 Market in Philadelphia

Trade sets pricing benchmark in market


PHILADELPHIA, Sept. 26, 2011 — Jones Lang LaSalle today announced the firm’s Capital Markets experts have closed the sale of 1700 Market Street, a Class A trophy office building located in Center City Philadelphia for $143.5 million.  The property traded on behalf of Pearlmark Real Estate Partners (formerly Transwestern Investment Company).  The firm, in conjunction with Meridian Capital, also arranged a senior mortgage and mezzanine financing of $123 million through UBS for the new buyer, a partnership formed by David Werner. 

Leading the Jones Lang LaSalle team on this transaction was International Director Tom Beneville, Senior Vice President Jerry Kranzel and Vice President Mike Carpenter.  Senior Vice President Dustin Stolly arranged the financing along with Meridian Capital’s Managing Director Ronnie Levine.

“This property offers an unparalleled combination of location, parking, and tenant amenities,” said Beneville.  “In addition, it is one of the largest office property sales in almost four years and will set pricing expectations in Philadelphia’s CBD for the next investment cycle. Philadelphia is an exceptionally strong market with a stable and growing economy. As a result, many buyers expressed interest in 1700 Market, including REITs, pension funds and international investors.”
Added Stolly, “This true trophy quality asset proved compelling to a wide variety of lenders, including life companies, foreign and domestic banks and CMBS shops.  Competition for this prime lending assignment was exceptionally deep, and speaks to the continued health of the lending markets and desire to do business with a top tier sponsor.”

The property lies in the heart of Philadelphia’s central business district at the corner of 17th Street and Market.  The 841,172-square-foot building also includes an attached five-story, 761-car parking garage. 

Jones Lang LaSalle Capital Markets is a full-service global provider of capital solutions for real estate investors and occupiers. The firm’s in-depth local market and global investor knowledge delivers the best-in-class solutions for clients — whether a sale, financing, repositioning, advisory or recapitalization execution. In 2010 alone, Jones Lang LaSalle Capital Markets completed $43 billion in investment sale and debt and equity transactions globally. The firm’s dealmakers completed $33 billion in global investment sales and buy-side transactions, equating to nearly $140 million of investment trades completed every working day around the globe. In the United States, Jones Lang LaSalle grew its office broker volumes by 257 percent in 2010 and is quickly gaining market share across all property types. The firm’s Capital Markets team comprises approximately 800 specialists, operating in 185 major markets worldwide.

About Jones Lang LaSalle
Jones Lang LaSalle (NYSE:JLL) is a financial and professional services firm specializing in real estate. The firm offers integrated services delivered by expert teams worldwide to clients seeking increased value by owning, occupying or investing in real estate. With 2010 global revenue of more than $2.9 billion, Jones Lang LaSalle serves clients in 70 countries from more than 1,000 locations worldwide, including 200 corporate offices.  The firm is an industry leader in property and corporate facility management services, with a portfolio of approximately 1.8 billion square feet worldwide. LaSalle Investment Management, the company’s investment management business, is one of the world’s largest and most diverse in real estate with more than $45.3 billion of assets under management. For further information, please visit our website, www.joneslanglasalle.com.