CBRE Acquires Two Class A Office Buildings in Philadelphia

PHILADELPHIA, PA —A fund sponsored by CBRE Global Investors has acquired United Plaza and 1650 Arch, two recently renovated class A buildings in Center City Philadelphia.

The 20-story, 617,476 square foot United Plaza, at 30 S. 17th Street, and the 27-story, 553,349 square foot 1650 Arch are both 94 percent leased. The buildings, which are located in the Market Street West office corridor, were constructed to above-market standards as corporate headquarters and have been extensively renovated and maintained. They feature highly efficient floorplates with minimal columns and excellent multi-tenant elevator exposure.

The team's capital plan includes implementation of CBRE Global Investors' proprietary 5-Star Worldwide service and amenity program in both buildings to further enhance their appeal. The 5-Star program will enhance the work environment for tenants by offering high-quality and service-oriented property management, concierge services and a video-linked conference center.

The team intends to pursue LEED certification and completion of base building systems upgrades and cosmetic work. CBRE Global Investors intends to engage best-in-class leasing and management teams.

“Philadelphia is a focus market for us and is projected to be a top 10 rent growth market over the next five years,” says Vance Maddocks of CBRE Global Investors. “These buildings are high-quality properties in a market that is in high demand. With class A vacancy at 9.1 percent and limited new supply coming into the market, we believe these properties will appeal to a wide range of tenants.”