PHILADELPHIA, PA—Despite recent reports of Chapter 11 bankruptcy filings by three former fractional owners of 1818 Market Street, Sovereign Capital Management Group says the Center City Philadelphia trophy asset remains on solid financial footing with occupancy rates of more than 90%. The 37-story, class-A office building is in escrow for sale to San Francisco-based Shorenstein Properties.
Sovereign, apparently concerned about the minority owners' bankruptcy filings, issued a statement reaffirming the property's finances.
Before Sovereign's investment in the property in 2012, 1818 Market Street was suffering from low occupancy levels and a lack of capital. Sovereign says it implemented a disciplined turnaround strategy and partnered with the tenant-in-common or fractional owners of the building to recapitalize the asset. By the spring of 2013, regional bank-holding company Beneficial Mutual Bancorp and national retailer Five Below had both selected the granite and glass tower as their new corporate headquarters.
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Steve Lubetkin
Steve Lubetkin is the New Jersey and Philadelphia editor for GlobeSt.com. He is currently filling in covering Chicago and Midwest markets until a new permanent editor is named. He previously filled in covering Atlanta. Steve’s journalism background includes print and broadcast reporting for NJ news organizations. His audio and video work for GlobeSt.com has been honored by the Garden State Journalists Association, and he has also been recognized for video by the New Jersey Chapter of the Society of Professional Journalists. He has produced audio podcasts on CRE topics for the NAR Commercial Division and the CCIM Institute. Steve has also served (from August 2017 to March 2018) as national broadcast news correspondent for CEOReport.com, a news website focused on practical advice for senior executives in small- and medium-sized companies. Steve also reports on-camera and covers conferences for NJSpotlight.com, a public policy news coverage website focused on New Jersey government and industry; and for clients of StateBroadcastNews.com, a division of The Lubetkin Media Companies LLC. Steve has been the computer columnist for the Jewish Community Voice of Southern New Jersey, since 1996. Steve is co-author, with Toronto-based podcasting pioneer Donna Papacosta, of the book, The Business of Podcasting: How to Take Your Podcasting Passion from the Personal to the Professional. You can email Steve at [email protected].
