Rimas Properties Press

CityFeet.com - Rimas Leases Rotem/Hyundai 290,000 SF of Industrial

noreply@blogger.com (Rimas Properties) — Thu, 08 May 2008 19:02:00 +0000

CityFeet.com - Monday, October 29, 2007
Rotem Leases 290,000 SF of Industrial

http://www.cityfeet.com/News/NewsArticle.aspx?PartnerPath=&Id=26584&PartnerPath
By Marita Thomas of GlobeSt.com

Monday, October 29, 2007 - PHILADELPHIA-Rotem USA Corp., a maker of rail cars, has signed a 20-year lease for all of the 290,000-sf industrial building at 2400 Weccacoe Ave.

Since setting up shop in a 110,000-sf building in the Philadelphia Naval Business Center in March 2003, the company's business has increased substantially, requiring it to relocate and expand its US headquarters.Rotem USA is the American subsidiary of Seoul-based Rotem Co., a division of Hyundai Motors Group.

After months of evaluating sites elsewhere, it decided to establish a new US headquarters in the vacant Weccacoe building, which locally based Rimas Properties acquired for $8.2 million in third-quarter 2006.

It is located on 11.5 acres and contains 25,000 sf of office and 265,000 sf of manufacturing space.Patrick Green, EVP, and Mike Mullen, associate in the local office of CB Richard Ellis, arranged the transaction between Rotem and Rimas. Sammy Benakmoume, president of Rimas, declined to disclose the value of the lease, but says "the rent is below-market rate. "

As Philadelphia residents ourselves, we felt it was critically important to secure 300 new jobs here in the city," he says. "We didn't want just a warehouse," Benakmoume tells GlobeSt.com, this was "an opportunity to see the property become a US headquarters." He says Rotem plans to invest between $10 million and $13 million in the property.

According to third-quarter data from the local office of Cushman & Wakefield, market rate for manufacturing space in Philadelphia County is $4.10 per sf, and office service industrial space is $7.75 per sf. The industrial vacancy rate here is 8%.Rotem has a contract to make 120 new Silverliner V passenger rail cars for the Septa regional rail system here.

The contract has a "BuyAmerica" provision that requires final assembly of the cars to be completed in the US and also requires that 60% of their content to come from US suppliers.

Since acquiring that contract, the company was also awarded a contract to make 121 rail cars for the Southern California Regional Rail Authority's Metrolink commuter rail service. Citing the inefficiencies of operating on both US coasts, Rotem decided to fulfill both contracts from here. It expects to begin production in 2008 while pursuing additional contracts throughout the country.

CityFeet.com - Rimas Revives Broad & Washington Development

noreply@blogger.com (Rimas Properties) — Thu, 08 May 2008 18:54:00 +0000

CityFeet.com - Monday, October 29, 2007
Rimas $500M MXD S. Broad Gets Go-Ahead

http://www.cityfeet.com/News/NewsArticle.aspx?PartnerPath=&Id=26581
By Marita Thomas of GlobeSt.com

Monday, October 29, 2007 - PHILADELPHIA-After protracted consultation with community groups, C-5 zoning has been approved for Rimas Propertiesâ€™ planned mixed-use development on a 5.5-acre parcel at the intersection of S. Broad St. and Washington Ave.

It will be the most significant development to rise on the lower stretch of Broad known as the Avenue of the Arts. The development is not yet named, nor are the details finalized, but Sammy Benakmoume, president of locally based Rimas, tells GlobeSt.com the estimated construction cost is between $450 million and $500 million.

Cirque du Soleil is currently occupying the parking-lot parcel and has one more series of programs scheduled. Rimas expects to break ground in fourth-quarter 2008. Plans call for twin towers, which will be between about 30 and 37 stories each, Benakmoume says.

"They will primarily contain rental residential units, although there may be some hotel component in one tower with a few residential condos on the top floors and possibly some office space in a tower," Benakmoume says.

"It's too early to know the sizes of the apartments or the rates, but they will be luxury units," he says, adding demand in Center City for luxury rentals. There will be setbacks on the site, and the towers will be connected by a base, no taller than seven stories, with a large, public park on the roof,"he says.

That structure will contain between 450,000 sf and 550,000 sf of retail space and about 350,000 sf of office space. We have a few interested retail tenants, very large boxes," Benakmoume says, "We've also already had interest from office space users."

Philadelphia Business Journal - Rimas Signs Major Manufacturing Lease

noreply@blogger.com (Rimas Properties) — Thu, 08 May 2008 18:52:00 +0000

Philadelphia Business Journal - Tuesday, October 23, 2007
Rail-car maker expects to add 300 jobs in

Phila.http://www.bizjournals.com/philadelphia/stories/2007/10/22/daily12.html
Rotem USA Corp. signed a 20-year lease on a 290,000-square-foot building at 2400 Weccacoe Ave. in Philadelphia, the building's owner said. The company is the American subsidiary of the Korean rail firm Rotem, part of the Hyundai Motors Group.
T
he move is expected to create 300 jobs in the South Philadelphia neighborhood. It will use the building, owned by Rimas Properties of Philadelphia, to manufacture rail cars for SEPTA and other rail lines. CB Richard Ellis arranged the lease.

Rotem is not new to Philadelphia. In April 2006, Pennsylvania officials announced Rotem would relocate its U.S. headquarters to the Philadelphia Naval Yard from Englewood Cliffs, N.J. At the time, Rotem received a $5 million loan through the Citizens Job Bank, a public-private partnership created with Pennsylvania and Citizens Bank to help job growth within the state. It also got another $2.2 million from the state in financial incentives to create roughly 215 jobs over the next three years. It was supposed to begin work on making the rail cars last fall.

Why it didn't remain at the Navy Yard and begin production last year couldn't be immediately determined. Rotem officials now expect to begin making the rail cars next year.

Finanz Nachrichten - october 10 2007

noreply@blogger.com (Rimas Properties) — Tue, 06 May 2008 19:04:00 +0000

Railcar maker to build plant in Philly

PHILADELPHIA (AP) - A Hyundai Motors Group subsidiary next year will begin manufacturing railcars at a new U.S. headquarters in South Philadelphia.

Rotem USA Corp. has finalized a 20-year lease with Rimas Properties that will allow it to develop the new facility in the city's Pennsport neighborhood. The company plans to invest $10 million into upgrading the property.

The plant will produce railcars for the Southeastern Pennsylvania Transportation Authority and other transit agencies, officials said. The company has said it expects to reach full-scale production, about 200 railcars a year, by the end of next year.

Rotem has a $176 million contract to make 87 cars for the Southern California Regional Rail Authority and a $244 million deal to assemble 104 railcars for SEPTA.

Rotem USA is the American subsidiary of Rotem Co., a division of Hyundai.

Rotem had previously planned to build the cars elsewhere in South Philadelphia, but the new site is bigger and will require less refurbishing, officials said.

Manufacturing.net - October 23, 2007

noreply@blogger.com (Rimas Properties) — Tue, 06 May 2008 19:01:00 +0000

Hyundai Subsidiary Building Railcars In Philly

PHILADELPHIA (AP) — A Hyundai Motors Group subsidiary next year will begin manufacturing railcars at a new U.S. headquarters in South Philadelphia.

Rotem has a $176 million contract to make 87 cars for the Southern California Regional Rail Authority and a $244 million deal to assemble 104 railcars for SEPTA.

Rotem USA is the American subsidiary of Rotem Co., a division of Hyundai.

Rotem had previously planned to build the cars elsewhere in South Philadelphia, but the new site is bigger and will require less refurbishing, officials said.

Philadelphia Business Journal - Tuesday, October 23, 2007

noreply@blogger.com (Rimas Properties) — Tue, 06 May 2008 18:57:00 +0000

Rail-car maker expects to add 300 jobs in Phila.
http://www.bizjournals.com/philadelphia/stories/2007/10/22/daily12.html

Rotem USA Corp. signed a 20-year lease on a 290,000-square-foot building at 2400 Weccacoe Ave. in Philadelphia, the building's owner said. The company is the American subsidiary of the Korean rail firm Rotem, part of the Hyundai Motors Group.

The move is expected to create 300 jobs in the South Philadelphia neighborhood. It will use the building, owned by Rimas Properties of Philadelphia, to manufacture rail cars for SEPTA and other rail lines. CB Richard Ellis arranged the lease.

Rotem is not new to Philadelphia. In April 2006, Pennsylvania officials announced Rotem would relocate its U.S. headquarters to the Philadelphia Naval Yard from Englewood Cliffs, N.J. At the time, Rotem received a $5 million loan through the Citizens Job Bank, a public-private partnership created with Pennsylvania and Citizens Bank to help job growth within the state. It also got another $2.2 million from the state in financial incentives to create roughly 215 jobs over the next three years. It was supposed to begin work on making the rail cars last fall.

Why it didn't remain at the Navy Yard and begin production last year couldn't be immediately determined. Rotem officials now expect to begin making the rail cars next year.

CityFeet.com - Monday, October 29, 2007

noreply@blogger.com (Rimas Properties) — Tue, 06 May 2008 18:49:00 +0000

Rimas’ $500M MXD S. Broad Gets Go-Ahead
http://www.cityfeet.com/News/NewsArticle.aspx?PartnerPath=&Id=26581

By Marita Thomas of GlobeSt.com

Monday, October 29, 2007 - PHILADELPHIA-After protracted consultation with community groups, C-5 zoning has been approved for Rimas Properties’ planned mixed-use development on a 5.5-acre parcel at the intersection of S. Broad St. and Washington Ave. It will be the most significant development to rise on the lower stretch of Broad known as the Avenue of the Arts.

The development is not yet named, nor are the details finalized, but Sammy Benakmoume, president of locally based Rimas, tells GlobeSt.com the estimated construction cost is between $450 million and $500 million. Cirque du Soleil is currently occupying the parking-lot parcel and has one more series of programs scheduled. Rimas expects to break ground in fourth-quarter 2008.

Plans call for twin towers, which will be between about 30 and 37 stories each, Benakmoume says. “They will primarily contain rental residential units, although there may be some hotel component in one tower with a few residential condos on the top floors and possibly some office space in a tower,” he says. “It’s too early to know the sizes of the apartments or the rates, but they will be luxury units,” he says, adding, “there’s demand in Center City for luxury rentals.

“There will be setbacks on the site, and the towers will be connected by a base, no taller than seven stories, with a large, public park on the roof,” he says. That structure will contain between 450,000 sf and 550,000 sf of retail space and about 350,000 sf of office space. “We have a few interested retail tenants, very large boxes,” he says, “and we’ve also already had interest from office space users.”

CityFeet.com - Monday, October 29, 2007

noreply@blogger.com (Rimas Properties) — Tue, 06 May 2008 18:39:00 +0000

Rotem Leases 290,000 SF of Industrial Space
http://www.cityfeet.com/News/NewsArticle.aspx?PartnerPath=&Id=26584&PartnerPath

By Marita Thomas of GlobeSt.com

Monday, October 29, 2007 - PHILADELPHIA-Rotem USA Corp., a maker of rail cars, has signed a 20-year lease for all of the 290,000-sf industrial building at 2400 Weccacoe Ave. Since setting up shop in a 110,000-sf building in the Philadelphia Naval Business Center in March 2003, the company’s business has increased substantially, requiring it to relocate and expand its US headquarters.

Rotem USA is the American subsidiary of Seoul-based Rotem Co., a division of Hyundai Motors Group. After months of evaluating sites elsewhere, it decided to establish a new US headquarters in the vacant Weccacoe building, which locally based Rimas Properties acquired for $8.2 million in third-quarter 2006. It is located on 11.5 acres and contains 25,000 sf of office and 265,000 sf of manufacturing space.

Patrick Green, EVP, and Mike Mullen, associate in the local office of CB Richard Ellis, arranged the transaction between Rotem and Rimas. Sammy Benakmoume, president of Rimas, declined to disclose the value of the lease, but says the rent is below-market rate. “As Philadelphia residents ourselves, we felt it was critically important to secure 300 new jobs here in the city,” he says.

“We didn’t want just a warehouse,” Benakmoume tells GlobeSt.com, “and this was an opportunity to see the property become a US headquarters.” He says Rotem plans to invest between $10 million and $13 million in the property. According to third-quarter data from the local office of Cushman & Wakefield, market rate for manufacturing space in Philadelphia County is $4.10 per sf, and office service industrial space is $7.75 per sf. The industrial vacancy rate here is 8%.

Rotem has a contract to make 120 new Silverliner V passenger rail cars for the Septa regional rail system here. The contract has a “buy America” provision that requires final assembly of the cars to be completed in the US and also requires that 60% of their content to come from US suppliers.

Since acquiring that contract, the company was also awarded a contract to make 121 rail cars for the Southern California Regional Rail Authority’s Metrolink commuter rail service. Citing the inefficiencies of operating on both US coasts, Rotem decided to fulfill both contracts from here. It expects to begin production in 2008 while pursuing additional contracts throughout the country.

SouthPhillyReview.com - July 19, 2007

noreply@blogger.com (Rimas Properties) — Tue, 06 May 2008 18:31:00 +0000

Towering controversy
http://southphillyreview.com/view_article.php?id=5902

The only signs of life at the two, chain-link fenced lots near Broad Street at Washington Avenue occur when the traveling band of eclectic performers, Cirque du Soleil, come to town. Otherwise, the one soil and other cement parcels on the 1200 and 1300 blocks of Washington remain lifeless.

But not for long.

Developer Samir Benakmoume of Rimas Properties plans to build a $500 million, 30-story condo tower, retail mall and parking garage at the Hawthorne site.

Settlement plans were being finalized Monday, a step that would secure the land for the condo project or another, spokesman George Polgar of GT Marketing Communications Inc. said.

Over the years, at least six developers have proposed projects for this site, according to the Philadelphia Business Journal. One was actor Will Smith’s brother, Harry, who wanted to build a hotel.

Rimas’ structure would include about 800 condos with a lower level of restaurants, coffee shops and services like dry cleaners and a market, 1st District Councilman Frank DiCicco, who supports the project, said.

“It’s the gateway [to the Avenue of the Arts] — the southern end of it. We’ve been looking at that vacant lot for a very long time. I think everybody would like to see it developed, it’s just a matter of whether [Rimas’ building] is too high,” he said of the community’s wishes.

Despite its offerings, the mixed-use project has not been well-received by many in the community, including Hawthorne Empowerment Coalition’s former president and acting chairwoman of its zoning committee, Pat Bullard.

“We’re primarily a neighborhood of rowhomes and we feel as though that tower is out of place here,” Bullard said.

But Polgar disagrees.

“South Philly has emerged in the last 10 years as a major residential and commercial area and I think that a project of this scope is a testament to the changing nature,” he said.

Bullard and several residents, including Louise Hannibal — a neighborhood activist who lives in back of the site at 13th and Kimbal streets — expressed their concern at a City Council hearing in early June, where the coalition presented a 250-signature petition opposing the project. At that hearing, DiCicco introduced a bill, which is still under consideration, to change the zoning from G-2, industrial, to C-5, mixed-use commercial, thereby paving the way for Rimas’ plan.

According to Bullard, Hannibal told the councilman at the hearing, “You want a 30-story building? Put it on 11th Street where you live.”

“It got pretty contentious,” Hawthorne’s zoning chairwoman said of the meeting.

Zoning in Hawthorne must meet with approval from the coalition, who then presents the plans to the community. “If anybody comes through to do any zoning, they have to deal with this organization,” Bullard said. The coalition zoning board gives its decision — positive or negative — to the City’s Zoning Board of Adjustment, which has the final say on all zoning, Bullard said.

In keeping with this process, earlier this year, the Old City-based developer presented plans to the coalition — only it wasn’t a 30-story condo tower. “Originally they wanted to build a 53-story tower at the parcel on 13th Street and a parking garage on the 12th Street parcel,” Bullard said, adding the plan was “absolutely unacceptable.”

But Polgar said his client’s proposal was in line with all of the previous six developers’ visions for that space.

“This is one of the major development sites of the central part of Philadelphia and there have been previous proposals for this site which have always been substantial in size and scope. Our proposal is in line with other possible uses for the site,” the spokesman said.

In the spring, the coalition zoning committee imposed a height limit of 395 feet on the condo tower at 13th and a limit of about 31 stories on a parking garage at 12th — the latter not to exceed the present U-Haul company at 11th and Washington. In the end, Benakmoume agreed to slash 23 floors off his original design. “A thousand units is a hell of an impact to come into any community so we were trying to be reasonable — we were trying to bring it down,” Bullard said of the previous plan.

After Hawthorne’s zoning board meets with a developer, it holds a community forum for residents’ input. “The zoning committee follows the wishes of the community,” Bullard said. According to her, residents who attended the May meeting “raised hell with the 30 [stories].”

John McCue, zoning chairman for South of South Street Neighborhood Association, in whose area the project falls, did not return calls by press time.

In addition to the parking garage on 12th, underground parking will be available at the condo/retail site — something many claim will increase congestion in the area. “We don’t need a tower of garages here. That garage is going to exit on 13th Street,” Bullard said, adding the city refused to comply with Hawthorne’s request for vehicle departures onto Broad.

When Council returns in September, a final vote will be held on DiCicco’s zoning bill. “I don’t intend to let that land sit vacant. I believe if we do things the right way it will create vitality on that block and be a wonderful addition to Broad Street,” the councilman said.

SouthPhillyReview.com - November 29, 2007

noreply@blogger.com (Rimas Properties) — Tue, 06 May 2008 18:04:00 +0000

Putting the wheels in motion
http://southwestphilly.net/view_article.php?id=6347

Behind the 311-square-foot yellow-and-blue structure that is Swedish mega-retailer Ikea stands an almost equally massive 290-square-foot vacant industrial building at 2400 S. Weccacoe Ave. Unique Industries, the name of the former occupant, is still decipherable on the faded plastic sign outside the entrance and guardhouse on the 11.5-acre site. But soon that sign will be replaced by another reading Rotem USA Corp.

Taking over the former headquarters of Unique Industries, whose name is still visible on the faded sign at the entrance, Rotem USA Corp. will move into the South Philly site bringing with it 300 jobs.

The facility that housed Unique until December 2006 is being transformed into a state-of-the-art railcar manufacturing facility/corporate headquarters for Rotem. The company was awarded a $274 million SEPTA contract last year to build 120 new Silverliner V passenger railcars for its Regional Rail lines.

That contract has a “Buy America” provision where the final assembly must be conducted in the United States as well as 60 percent of the vehicles’ overall value — everything inside and out from seats to nuts and bolts — must come from U.S. suppliers, Jack Martinson, Rotem’s vice president for business development, said.

Located behind UPS on Oregon Avenue, the Rotem facility also will build cars for another new client, Southern California Regional Rail Authority’s Metrolink commuter rail service. “We’ve been attempting to enter the U.S. [mass] transit market for quite some time and these are the first two contracts,” Martinson said.

Founded in Seoul, South Korea, in 1999, Rotem is a subsidiary of Hyundai Motor Co. and its business on this continent has included building freight cars for an Alaskan rail system as well as other U.S. lines. In addition, Rotem designs and manufactures various trains, such as electrical multiple units, high-speed, light rail and locomotives and passenger coaches.

The Weccacoe location will handle all American business and is expected to create about 300 new jobs. The new site will include the company’s U.S. corporate offices, currently in the Navy Yard, which it has outgrown. “The creating of jobs is a very important thing for this area, the region,” Martinson said.

Rotem signed a 20-year lease with owner/developer Rimas Properties, whose president, Sammy Benakmoume, was committed to working with the company so it may stay in the city, something Martinson said was preferable for customers and suppliers.

“The amount of jobs that this company will be able to create will be a great positive for the city and a great thing for South Philly. We’re just very happy to bring new jobs to South Philly. I don’t think there’s been such a large creation in jobs in South Philly in many years,” Benakmoume told the Review.

The last big influx was when Ikea opened its doors in the Columbus Commons shopping plaza in August 2004 and hired 350 people — 20 percent of its workforce coming from South Philly.

Already a strong presence locally, in October Rimas was granted commercial C-5 zoning for a 5.5-acre parcel at Broad Street and Washington Avenue, giving the green light to a mixed-use twin-tower complex. Benakmoume said it’s too early to say when ground-breaking will begin on that site, but he’s excited about the project that will include office space, apartments, condominiums, an expansive upscale retail center and parking. Another Rimas structure is 1352 Lofts, a six-story condo/retail tower at 1326-52 South St.

Rimas bought the Weccacoe parcel in July and saw out the last months of Unique’s time there. One of the largest party supply manufacturers/distributors in the country, Unique’s office headquarters are now in the Navy Yard and its shipping is based out of Virginia. One day Benakmoume visited Unique when it was on Weccacoe and asked the receptionist why there were so few cars in the lot. The woman told him that’s because many Unique employees walked to work. “I was really surprised at the answer,” Benakmoume said, referring to the fact most people do not live within walking distance of work. Rimas’ president added he believes the 300 new Rotem positions will likely attract many from the immediate area. Martinson, however, said he couldn’t say if South Philly would account for much of the workforce, but the bulk of jobs will likely be manufacturing since three-quarters of the building consists of 265,000 square feet of designated space for that purpose, the office portion occupying 25,000 square feet. It’s too early to know specifics about the workforce, but Rotem expects to utilize labor service providers to fill the positions.

“We will be using people familiar with the local labor market to help us find the right people based on our requirements. Some of these jobs will be permanent, some will be temporary. It depends on how much business we will have,” the Rotem official said.

It was the size of the site that first won over Rotem officials, then its proximity to the port and rail lines cemented the deal. “It is a large enough space to handle multiple contracts. We would rather do it at one site than have it spread all over. It’s easier to manage,” Martinson said.

The facility will handle the final assembly of rail vehicles for the United States market, with car body shells shipped from Korea and other parts coming from domestic and foreign suppliers. “A railcar is a very complicated thing,” he said of the building process.

Rotem expects to invest about $10 million in the space, including upgrading existing exterior rail lines that run adjacent to the building and creating new interior rail lines since at least half of the required parts come via railroad and truck with the railcars from Korea arriving by container ships at the nearby Port of Philadelphia.

“Obviously the closeness to the port is important and the access to rail,” Martinson said.

Presently, things are in the design/architectural design phase at Rotem’s new home.

“We hope to be doing some construction work for the renovation process probably by at least March or April,” Martinson said, adding Rotem expects to begin production of the railcars next year.

The New York Times -October 17, 2007

noreply@blogger.com (Rimas Properties) — Tue, 06 May 2008 17:58:00 +0000

A Third Act for Philadelphia’s Avenue of the Arts
http://www.nytimes.com/2007/10/17/realestate/commercial/17philly.html

PHILADELPHIA — Like a three-movement symphony, the Avenue of the Arts along South Broad Street here has been created in three distinct phases, though it has been playing out over many years.

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Laura Pedrick for The New York Times

Symphony House condominiums.

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Laura Pedrick for The New York Times

The Kimmel Center, home of the Philadelphia Orchestra on Avenue of the Arts.

The first phase cultivated live performing arts; the second phase focused on attracting supporting commercial and retail tenants; and now the third movement: new residential development, much of it directly linked to the arts.

The Avenue of the Arts designation originally applied to the section of South Broad Street stretching from City Hall to Washington Avenue, but it was later expanded to include part of North Broad Street.

Symphony House, still under construction but partly occupied and 80 percent sold, is a 31-story condominium building on the Avenue of the Arts at Broad and Pine Streets. The tower will have ground-level retailing, including a high-end grocery store. In addition, it houses the 350-seat Suzanne Roberts Theater, built for the Philadelphia Theater Company.

While this is the first ground-up condo project to open on the Avenue of the Arts, it will not be a solo performance for long.

A contemporary midrise building at South and Broad, 1352 Lofts, is now partly occupied. There is also a three-phase project being constructed called the Artisan, which will have 30 new contemporary town houses. And the City Council recently approved a major mixed-use project at the southern gateway of the Avenue of the Arts at Broad and Washington; it is to have 860 rentals and condominiums, 30 to 50 stores, and 1,500 parking spaces on about 5.5 acres.

In the not-too-distant future, the developer of Symphony House, Carl E. Dranoff, and a Philadelphia soul music pioneer, Ken Gamble, will announce details of the National Center for Rhythm and Blues, a $250 million 60,000-square-foot museum of Philadelphia’s musical heritage; the project includes studios, offices and retail spaces made financially feasible by two high-rise residential towers.

“Four years ago, when Symphony House was approved by the city, despite all the amenities along the Avenue of the Arts, it was not seen as a residential area,” said Mr. Dranoff, president of Dranoff Properties. “It has become a 24-hour district.”

Leveraging the arts to redevelop what was once Philadelphia’s financial district has taken a long time. According to Paul R. Levy, president of the Center City District, a nonprofit business improvement organization, the concept was discussed as far back as the 1970s to remedy the problem of obsolete commercial buildings on Broad Street south of City Hall. The classical buildings, many of them banks, lost their usefulness as commercial functions shifted north and west into modern office buildings.

But it wasn’t until 1993 when the mayor at the time, Ed Rendell, founded the Avenue of the Arts Inc., an independent nonprofit organization to coordinate and oversee the district’s growth, that the idea took hold.

“On a Saturday night in 1991, you could walk the mile from City Hall to Washington Avenue and you wouldn’t have seen 100 people,” said Mr. Rendell, who is now Pennsylvania’s governor.

“Now you walk around on a Thursday night, you see thousands of people on the street. It’s not yet complete, but it’s come a long way. If you had told me people would buy $1 million condos on the avenue, I wouldn’t have believed it.”

Governor Rendell would not have been the only skeptic. At the time, South Broad Street was home to one theater, the Merriam; an arts school, which occupied a single building; and many half-vacant commercial spaces.

Since then, both the Wilma and Prince Music Theater have opened, and the University of the Arts, an arts college, has expanded its mission as well as its space, renovating six buildings along the avenue. A high school for the performing arts was founded on the avenue as well. There are also the Clef Club, featuring jazz, and the Firehouse Art Center, along with smaller galleries and stages.

But the crown jewel is the Kimmel Center, designed by Rafael Viñoly, which is home to the Philadelphia Orchestra, the Opera Company of Philadelphia and the Academy of Music.

Shortly before the Kimmel Center opened in 2001, the Ritz-Carlton hotel chain made a highly visible move to the Avenue of the Arts, starting the second phase of development with commercial and retail projects, including the Capital Grille and Palm restaurants. Then, the Park Hyatt Hotel opened with the Shops at Bellevue, which attracted more retailing.

After that, the new residential building began; that is now under way in earnest. “We’re in a virtuous cycle of good begetting good,” Mr. Levy said. “Symphony House is putting icing on the cake, building off the arts brand and geographically stretching the district, and now there’s more development.”

The variety of housing options also seems to be keeping the avenue’s residential market buoyant. While Symphony House is a new high-rise, the apartments have a traditional feel and layout, designed to appeal to people moving to the city from the suburbs who don’t want to live in a cavernous concrete space.

At 1352 Lofts, developed and designed by Rimas Properties to attract buyers from a more adventurous demographic group, the 72 units (30 are already occupied) have high ceilings, open staircases and floor plans and lots of glass.

According to the developer of the Artisan, Joseph Williams, the homes, which start at $900,000 and run up to $2.2 million, are selling about as fast as he can build them. As town houses, these units present a housing style that is more familiar in this city than high-rise apartments.

“What’s really making the region work is that it’s considerably cheaper than New York and Washington,” Joel Kotkin, author of “The City: A Global History,” said. “Arts districts are nice, but the key question is, Will cities begin to focus on families and keeping the middle class?”

Correction: October 20, 2007

An article in the Square Feet pages of Business Day on Wednesday about a surge of development in an arts district in Philadelphia omitted a prominent site from a list of arts venues that existed before South Broad Street was designated as the Avenue of the Arts. It is the Academy of Music, at Broad and Locust Streets, where the Opera Company of Philadelphia performs. The article at one point also misstated the name of the street that crosses Broad. It is Washington Avenue, not Washington Street.

Philadelphia Business Journal -Friday, August 12, 2005

noreply@blogger.com (Rimas Properties) — Tue, 06 May 2008 17:49:00 +0000

There's a buzz about the sale of two buildings in Warrington

ttp://www.bizjournals.com/philadelphia/stories/2005/08/15/newscolumn5.html?from_rss=1

Two buildings in the Stone Manor Corporate Center, a mixed-use development in Warrington, are on the market and generating lots of interest from investors.

The Bucks County property was developed by Main Street Development Group, which is run by Wally Smerconish, and consists of a master planned park that includes two, 61,000-square-foot office buildings, a hotel, restaurant and bank.

The 31.9-acre project has room for a 9,000-square-foot day-care center and medical office building, as well as a third 61,000-square-foot office building.

On the market are the two existing office buildings at 2600 and 2700 Kelly Drive and possibly the land to build the third. 2600 Kelly Drive was built last year and fully leased to two tenants. Construction of 2700 Kelly Drive was completed in March and is 75 percent occupied. If all three are sold, it's estimated they will go for $27 million.

Mike Hines, executive vice president with CB Richard Ellis, marketing the properties, thinks they will sell quickly.

"It's one of the highest quality suburban office developments completed in Philadelphia in the last five years," he said. Each office building sits on a hill and each corner office has floor-to-ceiling glass windows, offering tenants a view of Doylestown and surrounding area. Hines also cited other details such as marble, hardwood, ironwork and other finishes attractive to investors.

The fine print

A column item from the July 29 - Aug. 4 edition mistakenly listed the address of the condominium project Old City 205. The correct address is 2nd and Race streets in Center City ... A 25,000-square-foot lot at 1326-52 South St. in Philadelphia sold for $2.5 million. Rimas Properties bought the land from LTD-D Partnership and plans to construct a 156,000-square-foot mixed-use project that has 72 condominiums and 10,780 square feet of retail space. Equis Commercial Real Estate arranged the sale.

Philadelphia Business Journal - Friday, September 9, 2005

noreply@blogger.com (Rimas Properties) — Tue, 06 May 2008 17:41:00 +0000

South Street the latest site for condominium development http://www.bizjournals.com/philadelphia/stories/2005/09/12/newscolumn4.html

One of the latest condominium projects to emerge from Philadelphia developers' seemingly insatiable appetite to build new housing in the city is on South Street.

Rimas Properties, a local developer, plans to break ground next month on a $30 million, six-story building that will house 72 condos and 11,000 square feet of retail space at 1326-52 South St. The condos will range from 800 square feet to 2,500 square feet and will be priced between $259,000 and $1.2 million for the larger units.

The half-acre site currently serves as a surface lot for Central Parking, which will be vacating this month, said Samir Benakmoume of Rimas. Not deterred by the abundance of other condo developments under way, or in the pipeline, in the city, he believes his project offers a great location.

"You're really in the middle of town without all of the noise and traffic of downtown," said Benakmoume, who noted that "a lot" of the units have already been pre-sold. Rimas bought the site last year for $2.5 million.

The fine print

A 29,000-square-foot office building at 551 W. Lancaster Ave. in Haverford sold for $7.3 million. The last time the building traded in 2001 it sold for $4.2 million. The seller in the latest transaction was ZSC Associates. The buyer's name wasn't disclosed. The building once served as the regional headquarters for Merit Oil before it was sold four years ago. It's currently occupied by Staffing Plus, among other tenants. Fidelity Commercial arranged the transaction ... A 3,000-square-foot office building at 2232 DeKalb Pike, East Norriton, sold to Old Guard Mortgage, a Lancaster firm, which will expand its presence locally. Acquisition and improvement costs stand at $500,000. Aptcor Commercial handled the sale ... Go Athletics leased 10,400 square feet at One Bala Plaza in Bala Cynwyd. The health maintenance and fitness company relocated from 2,000 square feet in Ardmore. A portion of the space it leased at One Bala has previously been occupied by Body Builders, a physical fitness entity that was recently acquired by Go Athletics. Beacon Commercial arranged the lease.

Philadelphia Business Journal - Friday, October 7, 2005

noreply@blogger.com (Rimas Properties) — Tue, 06 May 2008 17:25:00 +0000

Rimas Properties to build Condos at Broad and South in Phila.
http://www.bizjournals.com/philadelphia/stories/2005/10/03/daily60.html

Rimas International Enterprises, a Philadelphia real estate opportunity investor, has received $33 million in construction and permanent financing to build a 72-unit, $45 million residential condominium development on a site that is now a surface parking lot at Broad and South streets. Rimas received the loan from the Philadelphia office of L.J. Melody Capital Markets, a CB Richard Ellis company, which announced the financing Thursday.

The project will be known as the 1352 Lofts at South Street. The six-story building will include 10,780 square feet of retail space at the street level, 72 condos and a 95-vehicle underground parking garage. The residential units will consist of studios and one-bedroom flats of up to 1,452 square feet; one- and two-bedroom bilevel residences ranging from 1,546 to 2,224 square feet; and one-, two- and three-bedroom penthouse units ranging from 1,014 to 2,903 square feet.

Flats and bilevel units will be priced at $350 per square foot, with penthouses costing $400 per square foot.

Construction of the building is expected to require 16 months, with the first units ready for occupancy in early 2007.

Rimas Properties Press

CityFeet.com - Rimas Leases Rotem/Hyundai 290,000 SF of Industrial

CityFeet.com - Rimas Revives Broad & Washington Development

Philadelphia Business Journal - Rimas Signs Major Manufacturing Lease

Finanz Nachrichten - october 10 2007

Railcar maker to build plant in Philly

Manufacturing.net - October 23, 2007

Philadelphia Business Journal - Tuesday, October 23, 2007

Rail-car maker expects to add 300 jobs in Phila.http://www.bizjournals.com/philadelphia/stories/2007/10/22/daily12.html

CityFeet.com - Monday, October 29, 2007

CityFeet.com - Monday, October 29, 2007

SouthPhillyReview.com - July 19, 2007

Towering controversyhttp://southphillyreview.com/view_article.php?id=5902

SouthPhillyReview.com - November 29, 2007

Putting the wheels in motionhttp://southwestphilly.net/view_article.php?id=6347

The New York Times -October 17, 2007

A Third Act for Philadelphia’s Avenue of the Artshttp://www.nytimes.com/2007/10/17/realestate/commercial/17philly.html

Philadelphia Business Journal -Friday, August 12, 2005

There's a buzz about the sale of two buildings in Warrington

The fine print

Philadelphia Business Journal - Friday, September 9, 2005

South Street the latest site for condominium development http://www.bizjournals.com/philadelphia/stories/2005/09/12/newscolumn4.html

The fine print

Philadelphia Business Journal - Friday, October 7, 2005

Rail-car maker expects to add 300 jobs in Phila.
http://www.bizjournals.com/philadelphia/stories/2007/10/22/daily12.html

Towering controversy
http://southphillyreview.com/view_article.php?id=5902

Putting the wheels in motion
http://southwestphilly.net/view_article.php?id=6347

A Third Act for Philadelphia’s Avenue of the Arts
http://www.nytimes.com/2007/10/17/realestate/commercial/17philly.html