SAN DIEGO, May 13, 2014 /PRNewswire/ -- Sovereign Capital Management Group, Inc. announced today its intention to sell 1818 Beneficial Bank Place at 1818 Market Street (1818 Market), a modern, 37-story Class-A office building located in the prestigious West of Broad office sub-market in Philadelphia. Cushman & Wakefield has been engaged by Sovereign Capital to take the property to market.
A gleaming white granite and glass tower, 1818 Market boasts more than 1,000,000 square feet, a 408-space on-site parking garage, and 30,000 square foot floor plates with unobstructed views. Prior to Sovereign's investment in the property in 2012, the building, which is located just two blocks from Philadelphia's Rittenhouse Square, was suffering from low occupancy levels and a lack of capital.
Sovereign implemented a disciplined turnaround strategy for the property, which included: forming a partnership with tenant-in-common (TIC) investors; injecting fresh capital for renovations and upgrades; and launching a leasing campaign focused on large tenant deals and long-term lease renewals.
By the spring of 2013, national retailer Five Below (FIVE), emergency response technologist Medical Guardian, and Beneficial Mutual Bancorp (BNCL) had selected 1818 Market as their corporate headquarters. Beneficial, Philadelphia's oldest bank, now serves as the property's lead tenant occupying 95,000 square feet, with a lease agreement that included naming rights and rooftop signage.
As of May 1, 2014, the renamed 1818 Beneficial Bank Place was 91% occupied by 63 tenants, with an average annual rollover of just ten percent through fiscal 2020.
Within two years, Sovereign executed on an aggressive business plan that drove occupancy ~20% higher and substantially increased the value of this long-time pillar of Philadelphia's central business district.
About Sovereign Capital Management Group
Sovereign Capital is a leading private equity real estate firm, headquartered in San Diego, California. Since 1999, Sovereign Capital has served accredited individual and institutional investors with its pooled investment programs, which include private equity partnerships and real estate investment trusts. As of March 31, 2014, Sovereign Capital, in conjunction with its affiliates, managed approximately 60 commercial real estate properties, 20 million square feet, and $1.2 billion in assets. For more information, please visit: www.sovcapital.com.
Sovereign Capital's Corporate Headquarters: 750 B Street, Suite 2620, San Diego, CA 92101.
Tel: 619-294-8989 x343
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