PHILADELPHIA, PA (SBN) – High-end real estate developers The Post Brothers have flipped Presidential City, a 1,015-unit, luxury, high-rise community in Philadelphia, Pennsylvania for $357 million.
The firm redeveloped the property in 2015 for a reported $210 million, and refinanced the asset in 2016 with a $183 million loan.
JLL represented the seller, Post Brothers, and helped broker the transaction with the buyers, KKR and Mack Real Estate Group, LLC (MREG). KKR made its investment through KKR Real Estate Select Trust Inc., a continuously offered, registered closed-end fund that thematically invests in high-quality, stabilized, income-oriented commercial real estate equity and debt.
“We look forward to the new owner continuing the careful stewardship of this trophy asset,” said Matt Pestronk, President of Post Brothers.
Built in 1950, Presidential City was acquired by Post Brothers in 2012 and subsequently gut-renovated into the Class A+, luxury property it is today. Presidential City is comprised of four apartment buildings, as well as a 41,000-square-foot amenity center (Sora Pool Club and Spa) and a well-leased office building (Monroe). Mack Property Management, L.P., a wholly-owned subsidiary of MREG, will handle property operations. The residential buildings each contain their own unique finish package and consist of studio to three- bedroom floor plans up to 2,920 square feet.
The JLL Multi-Housing Capital Markets Investment Sales and Advisory team that represented the seller was led by Senior Managing Directors Mark Thomson and Carl Fiebig, Senior Director Fran Coyne, Senior Managing Director Jose Cruz and Director Tyler Margraf.
“Presidential City is a significant transaction for our market, and we are excited to bring in prominent groups like KKR and MREG as buyers,” said Thomson.
“Throughout its 16-year history, Post Brothers has redefined expectations for Class A multi-housing and is a leader in creating highly attractive destinations nationwide,” said Fiebig.
Coyne added, “Post Brothers continues to be at the forefront of game-changing multi-housing projects in Philadelphia with notable projects, including Piazza Alta in Northern Liberties and their project at Broad and Washington, where they will be delivering a combined 2,500 units. We look forward to seeing their continued success as they bring their world class product into other markets throughout the U.S.” Thomson added, “In today’s turbulent market, KKR and MREG performed exactly as promised and were reliable counterparties from start to finish. In a time when selecting the right buyer the first time is critical to reaching the closing table, Post Brothers was extremely pleased with the buyers’ execution.”
Steve Lubetkin is the news director for StateBroadcastNews.com. Steve’s journalism background includes print and broadcast reporting for NJ news organizations. He refocused on multimedia journalism and podcast production after a long career in corporate branded journalism and public relations.
He has won numerous awards for his audio and video news reporting from the Garden State Journalists Association, and he has also been recognized for video by the New Jersey Chapter of the Society of Professional Journalists. He has produced a wide range of audio and video podcasts in his other role as managing partner of State Broadcast News’s parent, The Lubetkin Media Companies.
Steve is co-author, with Toronto-based podcasting pioneer Donna Papacosta, of the book, The Business of Podcasting: How to Take Your Podcasting Passion from the Personal to the Professional.
In March 2021, he was elected to the board of directors of the New Jersey Chapter of the Society of Professional Journalists, and in July 2021 he was named secretary of the chapter. In August 2021, he was honored by SPJ with one of the organization’s 2021 Howard S. Dubin Outstanding Pro Member Awards, given to regular members of an SPJ chapter who go above and beyond in serving their chapter.
Steve has been the computer columnist for the Jewish Community Voice of Southern New Jersey, since 1996.
Steve also has reported on-camera and produces virtual conferences for NJSpotlightNews.org, a public policy news coverage website focused on New Jersey government and industry; and for clients of StateBroadcastNews.com, a division of The Lubetkin Media Companies LLC.
From May-November 2019, he produced and reported a weekly podcast, The CRE News Hour, a news and features program focusing on the commercial real estate industry.
From 2014 to 2019 he was New Jersey and Philadelphia editor for GlobeSt.com and filled in covering Chicago/Midwest and Atlanta.
Steve has also served (from August 2017 to March 2018) as national broadcast news correspondent for CEOReport.com, a news website focused on practical advice for senior executives in small- and medium-sized companies.
Earlier in his career, Steve reported on rock music at the Jersey Shore for the Asbury Park Press, and was a broadcast news anchor and production engineer for WJLK-AM & FM, then owned by the Press. He also worked as a general assignment reporter for the Red Bank Register, Shrewsbury, NJ.
You can email Steve at steve@statebroadcastnews.com.
