PHILADELPHIA, PA—A joint venture of Korman Residential and The Carlyle Group has acquired 3737 Chestnut, a 26-story, 276-unit apartment building, from Radnor Property Group for $118 million, or approximately $544 per rentable square foot. The upscale residential building, located at 38th and Chestnut Streets, is fully leased at the time of the sale.
3737 Chestnut, a $92.5 million from-the-ground-up development which was completed in fall of 2015, proves the strength of Radnor Property Group's primary focus within the city in the growing “Meds and Eds” sector, where growth is projected to continue; attracting graduate students, millennials and young professionals, as well as creating thousands of additional jobs.
In University City alone, the population of 22-24-year-old residents is over 53,000, with nearly 44,000 enrolled in colleges located within the region. As of 2016, the district now provides jobs to almost 77,000 residents with no signs of slowing down. Since 2000, University City has grown by 16 percent, attracting young, working professionals looking for Radnor's upscale, amenity-rich developments.
Radnor's work on 3737 Chestnut earned the Urban Land Institute's Willard G. “Bill” Rouse III Awards for Excellence for its ability to convert church owned property into a lucrative mixed-use project. Radnor Property Group and equity partners invested $37.4 million in the project, with total project costs around $92.5 million.
Described by award judges as a “well-choreographed public/private partnership with creative multi-source financing on a tight site,” this 276-unit mixed-use project stabilized the asset of the historic Episcopal church and provided a new three-story office building, its community center and childcare center with a rooftop playground, as well as much-needed market-rate housing and top-notch amenities for those who work and study nearby.
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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].
