Philadelphia: Not your grandfather’s office market
February 07, 2019
- Market West office occupancy gains have been both supported by and contributed to significant retail diversification in and around the spine of Philadelphia’s prime office district. In the past five years, more than 31 retail, restaurant, coffee, market, fitness, multifamily, hotel, and grocery establishments have been added in and around its 29+ million square feet of office.
- Retail is no longer “nice” to have at the base of office buildings but has become a “must have” for tenants and a way for ownership to increase the attractiveness of their office asset. We strongly believe that tenant-serving retail, such as fast casual food concepts and fitness, has the opportunity to serve as an amenity to existing office users, gives owners and investors the opportunity to engage in placemaking, and enhances the live-work-play feel of previously single or dual use buildings and areas. As employment gains and densification of office users continue, we anticipate more office-serving retail to come.
Source: JLL Research