Vintage Center City Apartment Building Sells For $25M: The Philadelphia Deal Sheet
A Wilmington, Delaware-based landlord has purchased a second Center City apartment building as it ramps up its presence in the neighborhood.
Capano Residential spent $25M to buy the Arch at 1701 Arch St. from Alterra Property Group. The 16-story building across from Comcast Center has 111 units and 11,200 SF of ground-floor retail.
It was built in 1914 and was being used as a hotel before it was converted to apartments in 2012.
The transaction came after Capano bought the Rittenhouse Row apartments at 1601 Sansom St. in December.
“This acquisition represents another important step in expanding our footprint in the city,” CEO Louis Capano III said in a statement.
“We believe in Philadelphia’s long-term strength and are committed to being a lasting owner and partner in the market,” he added.
A JLL team including Fran Coyne, Samantha Kupersmith, Tyler Margraf and Riley Raposa helped coordinate the transaction.
SALES
B&D Holdings has purchased a 140K SF industrial property at 3505 Gov. Printz Blvd. in Wilmington from Bottling Group LLC, a subsidiary of PepsiCo. The new owner plans to invest $3.5M to make strategic improvements, according to a social media post.
LEASES
Velocity Venture Partners signed a series of leases at 755 S. West End Blvd. in Quakertown, bringing the property’s occupancy above 90%.
Revival Linens took 25,800 SF, while Power Home Remodeling signed a lease for 15,900 SF. Rome Bath, an existing tenant, has expanded to 10,400 SF.
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Airline Hydraulics Corp. has inked a 184,600 SF lease to fully occupy a building at 3001 Frost Road in Bristol, the Philadelphia Business Journal reported. The property, owned by EQT Real Estate, was built in 1990.
CONSTRUCTION AND DEVELOPMENT
Temple University has joined Shift Capital and Essence Development’s long-term plans for a mixed-use development near Amtrak’s North Philadelphia station, Philly Voice reported. The proposed district would sit on 6 acres occupied by vacant industrial buildings and parking lots.
THIS AND THAT
Philadelphia’s city government has priced the first $400M of its Housing Opportunities Made Easy bonds, which will fund Mayor Cherelle Parker’s initiative to build or preserve 30,000 units before the end of her term in 2028.
For the taxable series, investor demand was 1.75 times higher than the amount of bonds available, according to a press release. That metric jumped to 4.75 for the tax-exempt series. This reportedly allowed the city to reduce its total debt service by about $7.5M.
