PHILADELPHIA-Grasso Holdings has acquired the 50,000-sf top six floors of the eight-story building at 1530 Chestnut St. for $5 million. The New York City-based Midwood Management maintains ownership of the bottom two floors that now house the H&M teen apparel store.
Joshua Nadel of locally based Mallin, Panchelli, Nadel Realty Inc. was sole broker. Grasso, also based here, plans conversion of the current office space on floors three through eight into residential rental units. David Dinenberg, a Grasso SVP, tells GlobeSt.com the cost of conversion is $7 million for an all-in cost of $12 million, and he expects it to be completed within 12 months.
"We're still doing an analysis of the size of units and monthly rental rates," he says. "We think there's demand for rental in this area, which is centrally located to both office and retail properties.
Dinenberg adds that the condos will not be "super high-end luxury." Unit sizes "will be typical of the rental market, probably ranging from 750 sf to about 1,200 sf." As for pricing, he says rates at the nearby Grande, prior to its conversion to for-sale condos, "was about $2.15 per sf per month. Ours will probably be in that range," which would put them at between about $1,600 and $2,500 a month.
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