The 15-story Center City building at 1760 Market Street recently sold at a deeply discounted price of $11.5 million to an undisclosed private investor, writes Paul Schwedelson for the Philadelphia Business Journal.

The sale price of the 133,353-square-foot office building located in the heart of the central business district is a 63 percent decrease from when it last changed owners in 2018 for $31.5 million.

The building is 70 percent occupied.

The new owner plans to continue operating the site as an office property, according to CBRE’s Bruer Kershner, who represented the previous owner Victor F. Keen in the sale.

According to JLL Senior Analyst Emily Friedman, the steep drop in value regarding office real estate is “definitely going to be the trend.”

While there have not been many office building sales in the area since the emergence of remote and hybrid work sent property values tumbling, the few deals that did take place indicate that the market is resetting.

The 1760 Market Street building was put up for sale in January.

“As buildings start trading, we’ll start getting a better sense of where values are,” said Kershner. “This is one of the first data points to come out along this stretch of Market.”

Read more about the Center City building sale in the Philadelphia Business Journal.

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