PHILADELPHIA−Keystone Property Group andMack-Cali Realty Corp. had jointly acquired theCurtis Center building overlooking IndependenceHall and Washington Square Park here for $125 million. They plan a“dynamic” repositioning that includes luxury rental apartments andnew retail space.

The companies paid all cash for the iconic office and retailbuilding. The Curis Center acquisition is the latest in aseries of deals made jointly by Pennsylvania-based Keystone and NewJersey-based Mack-Cali. Executives said that the deals are in linewith the corporate strategies of each firm:

• Keystone's expansion into projects that create“lifestyle-oriented business environments” and
• Mack-Cali's push into the muti-family rental arena.

About 90 rental apartments will be created within about 90,000square feet of existing office space, according to the companies.They said possibilities for additional housing will arise as officeleases expire and more space becomes available.

Curtis Center comprises 885,000 square feet and occupies anentire block in Center City. Current tenants include the GeneralServices Administration as anchor tenant and ground-floorretailers.