PHILADELPHIA —Accesso Partners LLC has acquired 1515 Market St., a 20-story, half-million square-foot office tower in downtown Philadelphia that houses Temple University’s Center City campus, for $85 million.
Renovated in 2007, the class A property is being sold by a joint venture between Winthrop Realty Trust of Boston and Stockton Real Estate Advisors of Philadelphia. The property is 87% leased.
“We’re delighted to be entering the Philadelphia market with the acquisition of one of the city’s premier office buildings,” says Ariel Bentata, co-founder and managing partner, investments for Hallandale Beach, FL-based Accesso Partners, formerly known as Beacon Investment Properties.
“Education, healthcare and professional services are strong industries in Philadelphia and 1515 Market is represented in each sector,” says Bentata. “Temple University, the 128,000 square-foot anchor tenant, recently extended the lease on its Center City campus through 2022.”
Other tenants include Heffler, Radetich & Saitta, CPAs, the law firms of Sweeney & Sheehan, Simon & Simon and Rocco Law, LLC and the Commonwealth of Pennsylvania. The building includes 15,189 square feet of ground floor retail space anchored by Citizens Bank and First Trust Bank.
Douglas Rodio and Jim Galbally, executive vice presidents and co-leaders of the investment sales team in Jones Lang LaSalle’s Philadelphia office, brokered the sale.
Rodio says 1515 Market has a “pre-eminent class A-plus location” directly across from city hall. “The city’s newly completed $70 million investment that re-invigorated Dilworth Park across the street is a game-changer for downtown Philadelphia and the biggest beneficiary of any building would be 1515 Market,” he says. “Plus, the SEPTA subway station is directly below the building and can be accessed through the lobby.”
Rodio says JLL created a full marketing campaign for 1515 Market and more than 100 potential buyers looked at the building before Accesso was chosen. “While Accesso has never had a transaction in Philadelphia, the company has a very good reputation in the brokerage community and within Jones Lang LaSalle,” he says. “They also came highly regarded by other capital markets colleagues in the firm.”
Susan Hill, senior managing director of HFF’s Houston office, arranged the acquisition financing. Accesso Services LLC, a subsidiary, will assume the property management.
By Steve Lubetkin – Philadelphia