RRA Sells 138 Units in University City for $14,700,000
PHILADELPHIA, PA–(June 8, 2016) – Rittenhouse Realty Advisors is pleased to announce the sale of The Netherlands Apartments, located at 4300 Chestnut Street and Chester Plaza Apartments, located at 4605 Chester Avenue, both in the University City neighborhood of Philadelphia. Each property is within walking distance to the popular Clark Park, which hosts regular festivals and farmer’s markets, and the shops, restaurants and bars of the Baltimore Avenue commercial corridor. Chester Plaza is just a half a block away from the trolley to Center City and The Netherlands is four blocks from SEPTA’s Market Frankford Line.
University City has a 98% occupancy rate across the neighborhood, due in large part to its walkability and close proximity to the University of Pennsylvania, Drexel University, Penn Medicine and the Children’s Hospital of Philadelphia. The properties were in the beginning stages of a renovation program. “Both properties offered the buyer excellent upside potential by renovating the assets and re-positioning them from a local tenant base into student housing,” stated Mark Duszak, Director of Rittenhouse Realty Advisors. New and renovated units in University City lease for 200% to 300% higher than in-place rents at The Netherlands and Chester Plaza.
The new owners plan to continue the renovation plans to reposition the properties into the premier apartment residences in University City. “The buyer, Zanderco Mgt., is an established operator who has been aggressively buying properties in this neighborhood over the past two years, given the strong demographics and the growth of “Eds and Meds” in the recent past,” noted Corey Lonberger, Managing Partner of Rittenhouse Realty Advisors.
Ken Wellar, also a Managing Partner, added: “University City is one of the hottest markets in Philadelphia and is attracting investors from all over the country that want be a part of the major growth this area has seen. Within the last year, RRA has closed close to 100 million dollars in multi-family deals in this rapidly redeveloping neighborhood.”
For more information on current rates or to view our available listings visit www.RittenhouseRealty.com.