Brandywine Realty Trust recently obtained an $87.3 million in C-PACE financing for the life sciences building at 3151 Market Street in University City, writes Paul Schwedelson for the Philadelphia Business Journal.
This is the largest loan of its kind in the history of Pennsylvania.
The C-PACE loan was founded by Connecticut-based Nuveen Green Capital and is a useful financing tool that allows for lower interest rates in exchange for sustainable components that are in a construction project.
Brandywine Realty completed the 472,000-square-foot, 12-story life sciences building over a year ago in late 2024.
As of late last year, the building was only 4 percent leased, with retail space occupied by Fine Wine & Good Spirits and Starbucks, respectively.
Philadelphia Energy Authority, who is administering the loan, has included $30 million for future tenants.
Brandywine developed the building without tenants, as leasing activity has seen a decline due to a lack of funding for life sciences companies in recent years.
“C-PACE provided the right financing at the right time for 3151 Market,” said Brandywine CFO Tom Wirth in a statement.
The refinancing allows Brandywine to preserve liquidity.
The 3151 Market building is part of the larger Schuylkill Yards plan with Drexel University to develop a $3.5 billion, 14-acre campus in University City.
Read more about the record loan Brandywine received in the Philadelphia Business Journal.
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