Pearl Properties' 45-story multifamily tower development in Philadelphia has secured $173 million in financing. Of that amount, $60 million comes courtesy of CounterpointeSRE, providing a record $60 million through Commercial Property Assessed Clean Energy (C-PACE) financing, while a roughly $113 million mortgage is being provided by Barings.
According to a statement from the two lenders, they both contributed to lowering the cost of capital and speeding up the underwriting to push the development process forward.
Known as the Pearl Properties of Harper Square, the project is set to build 267 luxury apartments. Of that amount, 75 percent will feature private balconies. According to Barings, the development forecasts (at 500 feet) to be the tallest apartment rental building ever constructed in Philadelphia. The development site is situated in the Rittenhouse Square neighborhood.
“Philadelphia and Center City’s submarket fundamentals are strong, exemplified by Pearl’s highly successful development, The Harper, across the street.
"Harper Square stands well-positioned to benefit from the positive trends taking place in the city, and Barings is proud to be a partner in this development,” Ryan Naumes, managing director at Barings, said in a statement.
In the year ending with the second quarter of 2025, Philadelphia was one of the cities to post record demand in the apartment market, according to RealPage. Additionally, demand in the city reached 150 percent of the supply. These numbers suggest that the trend of high supply compromising rent growth and elevating vacancy appears to be coming to an end.
Pearl Properties of Harper is estimated for completion by the spring of 2028.
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