Philadelphia Metropolitan Area Real Estate Law Blog

Commercial real estate redevelopments are generally complex. There are many facets of the project that need to be addressed. One of those aspects is financing. Without this, a project cannot proceed. When a project is large, the amount needed can be great. Depending on the project the funds will be obtained from various entities. Recently, a financing deal in Philadelphia involving the city, was finalized. The project the city is funding is the Gallery mall.

Readers are likely aware that there are many ways in which a lawyer can be of assistance to a business. One thing they can help with is deciding where the business will be located. This is true regardless of the type of business or whether it seeks to lease or purchase property. In this post we will focus on some of the specific tasks an attorney can help with.

There are many things that make a parcel of real estate valuable. Believe it or not, according to a recent market study, throughout the nation, the presence of craft breweries is one of those things. Small breweries are popping up in cities such as Philadelphia, and as compared to large breweries, among other things their presence is having a positive impact on the value of real estate in the area where the brewery is located.  

Real estate transactions are generally complex. Before a deal can be finalized, there are many pieces that must fall into place. One of those pieces is financing. If financing for a purchase is not secured, the transaction will not happen. Because of this it is vital that a purchaser lines up financing, and, if problems concerning that financing arise, they are promptly addressed.

According to a recent analysis of office space in the city of Philadelphia, it is attracting many out-of-town investors. Based on information from commercial real estate services firm Colliers International, more out-of-town entities haven secured office-floor space in the city than since 2007. More specifically, according to CBRE Global Investors, 74 percent of the office square footage located between Schuylkill and the Delaware River that has been sold since the start of 2015, has been purchased by investors not located in Philadelphia.

A new report commissioned by the Philadelphia Growth Coalition estimates that the city will add 18,000 new jobs over the next 10 years — if the city does nothing about commercial real estate taxes. If the city acts, though, the number of new jobs would more than quadruple to about 79,000. The Growth Coalition is hoping the report will add a greater sense of urgency to the business community’s efforts to change the way real estate taxes are levied in Pennsylvania.

In our earlier post, we focused on the terms of a commercial lease. As we mentioned, negotiating a commercial lease is not only an acceptable tactic, but it is almost expected that a business owner will attempt to negotiate a better deal. 

When shopping around for a commercial space, while cost is often top of mind for many, keep in mind that commercial leases are negotiable. In fact, it’s almost expected that a business will attempt to negotiate before signing anything. For a business owner, this concept is welcoming, as the terms of a lease can have a rather large impact on a business, both now and in the future. 

While Mayor Michael Nutter has been visiting mayors in other countries and pressing the case for Philadelphia’s designation as a World Heritage City, the Philadelphia Business Journal believes the designation is practically a done deal. The designation will not only give the city’s tourism and convention industries, but it will make Philly an international city — as a World Heritage City, Philadelphia will have global recognition.

By the end of the year, Philadelphia may be the first World Heritage City in the United States. The designation would put the city on the same list as Assisi, Italy, Mexico City and Chengde, China and more than 200 other cities around the world.