Philadelphia Luxury Apartments Trade for $22M

The Class A multifamily property delivered in 2015, replacing several 19th-century industrial buildings in the Old City.
Shirt Corner Apartments

Alterra Property Group has sold the 62-unit Shirt Corner Apartments in Philadelphia’s Old City neighborhood for $22 million. The buyer was Counter Capital Management. Rittenhouse Realty Advisors (RRA) represented the seller.

The luxury property was formerly the site of several 19th-century warehouses. Alterra acquired the buildings in 2013, planning to renovate them into a community, according to The Philadelphia Inquirer. However, following the collapse of some of the structures during site work, the firm chose to move forward with a ground-up, five-story development, which delivered in 2015.

The Class A community’s unit mix comprises studio, one- and two-bedroom apartments. In October, the property was 94.9 percent occupied, according to Yardi Matrix. Amenities include a fitness center and bicycle storage. Counter Capital plans to invest in upgrades to amenities and increasing operational efficiency.

The building has two ground-floor retail units, home to Snap Kitchen and CVS. The pharmacy’s space was not included in the deal, as Alterra traded the condominium for $10 million to Centrum Partners in 2015, per Philadelphia Business Journal.

Located at 259 Market St., the transit-oriented property is a block from the Second Street subway station, with interstates 95 and 676 a short distance away. Many of Philadelphia’s cultural and historical landmarks, including the Benjamin Franklin Museum and the Liberty Bell, are within a mile of the community.

The RRA team representing the seller included Managing Partners Ken Wellar and Corey Lonberger and Director Mark Duszak. In July, the firm arranged the $21.3 million portfolio sale of 44 student housing properties near Lehigh University.