Like other major Center City tenants with leases about to expire, the giant supplier of food and support services worldwide was ardently courted by office property owners in New Jersey and Delaware. Thus its renewal is among the most significant in Center City this year.
The lease is characterized only as a "multi-million dollar" transaction and the rate is undisclosed. The average asking rental rate for class A office space ranges between $25 and $28 per sf. In light of the severe competition, however, brokers tell GlobeSt.com that the rate for this renewal may well have been south of $25 per sf.
The Girard Trust, an endowment fund that benefits locally based Girard College, a 155-year-old, grades one through 12 prep school for underprivileged children, is the building owner. It acquired Aramark Tower from Chicago-based Heitman Financial in May 2002 for $80.5 million, or about $127 per sf. The tower was completed in 1984 and, according to published reports, is 96% leased.
Beverly Hills, CA-based Kennedy Wilson represented Girard Trust in the renewal. John K. Binswanger, chairman, and Clive G. Mendelow, vice chairman of locally based Binswanger/CBB, represented Aramark.
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