Skip Ribbon Commands
Skip to main content

News release

Philadelphia

Value-Add Office in High Demand in Philadelphia’s Central Business District

JLL closes $100 million sale and $90 million in acquisition financing of 1835 Market Street


PHILADELPHIA, Dec. 10, 2014 – Investors are showing their love for the City of Brotherly Love as evidenced by the market's latest transaction. On behalf of Clarion Partners, JLL's Capital Markets experts today announced the sale and financing of 1835 Market Street, a value-add Class A office property located at the corner of 19th and Market Streets in Philadelphia's thriving central business district (CBD). Nightingale Properties purchased the asset for $100 million and Starwood Capital provided the $90 million five-year, floating-rate loan.

 

Executive Vice Presidents Doug Rodio and Jim Galbally, Vice President John Plower and Managing Director Joe Garibaldi led the sales efforts. Managing Director Dustin Stolly and Vice President Aaron Niedermayer led the financing efforts.

 

"1835 Market Street is an institutional quality asset perfectly positioned in the path of growth," said Rodio. The property was pursued by a host of different buyers based locally, regionally and nationally.  We even had some international groups chasing this deal which continues to prove that Philadelphia is finally on the radar screen for the most aggressive capital sources in the market today."

 

Added Stolly, "The property's value-add profile generated significant interest among lenders. Today's historically low interest rates and the loan's flexible structure will create significant value in the asset."

 

The property totals 686,503 square feet and is currently 75 percent leased. The sale marks Nightingale's third acquisition in Philadelphia since 2011.

 

This is the second of several Philadelphia CBD office sales transactions that JLL expects to close in December.  The firm's Philadelphia Capital Markets experts anticipate exceeding $1 billion in sales by the end of 2014. 

 

JLL 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 2013 alone, JLL Capital Markets completed $99 billion in investment sale and debt and equity transactions globally. The firm's Capital Markets team comprises more than 1,300 specialists, operating all over the globe.

 

For more news, please visit The Investor, an online and mobile app news source providing real-time commercial real estate news to asset buyers and sellers around the world.

For more news, videos and research resources on JLL, please visit the firm's U.S. media center Web page: http://bit.ly/18P2tkv.

-Ends-

 

About Clarion Partners, LLC

Clarion Partners has been a leading U.S. real estate investment manager for 32 years. Headquartered in New York, the firm has offices in major markets throughout the U.S., in São Paulo, Brazil and London, England, as well as a presence in Mexico. With more than $30 billion in total assets under management, Clarion Partners offers a broad range of real estate strategies across the risk/return spectrum to its more than 200 domestic and international institutional investors.​

More information about the firm is available at www.clarionpartners.com.

About JLL

JLL (NYSE: JLL) is a professional services and investment management firm offering specialized real estate services to clients seeking increased value by owning, occupying and investing in real estate. With annual fee revenue of $4.0 billion and gross revenue of $4.5 billion, JLL has more than 200 corporate offices, operates in 75 countries and has a global workforce of approximately 53,000.  On behalf of its clients, the firm provides management and real estate outsourcing services for a property portfolio of 3.0 billion square feet, or 280.0 million square meters, and completed $99.0 billion in sales, acquisitions and finance transactions in 2013. Its investment management business, LaSalle Investment Management, has $53.0 billion of real estate assets under management. JLL is the brand name, and a registered trademark, of Jones Lang LaSalle Incorporated. For further information, visit www.jll.com.