Wanamaker Building Auction Date Set As TF Cornerstone Retains $120M Advantage
One of Philadelphia’s most iconic commercial buildings will be on the auction block next month as it remains largely vacant.
The foreclosure auction for the Wanamaker Building at 1300 Market St. has been set for June 3, according to a listing on the website Bid4Assets, which hosts sales for the Philadelphia Sheriff’s Office.
TF Cornerstone has a major advantage in the auction since it owns a large amount of debt tied to the building. It is plotting a partial office-to-residential conversion of the 1.4M SF property, which was constructed in 1911.
A Philadelphia Court of Common Pleas ruling earlier this year determined the debt TFC holds is equivalent to a $120M credit in the auction, the Philadelphia Business Journal reported. This means all other bidders will need to offer at least that much to remain competitive.
There is no minimum bid, but potential buyers have until May 27 to submit a $5,035 deposit.
Rubenstein Partners paid $200M in 2017 for a majority stake in what was once the flagship location for the Wanamaker’s department store chain.
The building across from Philadelphia City Hall was 96% occupied at the time, but the figure has since dropped to just 21% occupied, the PBJ reported earlier this month.
Foreclosure proceedings began in 2023.
The Wanamaker took another major hit in January when Macy’s announced plans to close its longtime location on the lower levels.
Days later, the Philadelphia 76ers abandoned their plans to build a new arena nearby on the corner of 10th and Filbert streets. Officials and many in the Philly commercial real estate community had pinned their hopes for a rebirth of Market East on the project.
Mayor Cherelle Parker announced plans for a public-private partnership to lead revitalization efforts along Market.
The group will be helmed by Brandywine Realty Trust CEO Jerry Sweeney, but few other details have been shared with the public. More information about the effort could be released in the coming weeks.
