Joint venture sells Philly-area office campus

Thomas Properties Group Inc. has sold Valley Square Office Park, a 293,936-square-foot office campus in Bell, Pa., a suburb of Philadelphia.

The value of the transaction was $42.5 million.

Rockville, Md.-based developer Bresler & Reiner Inc. purchased the five-building property, which was 87 percent leased at the time of sale. Thomas Properties Group, through TPG/CalSTRS, its joint venture with California State Teachers' Retirement System, acquired the property in March 2005 and subsequently invested over $1.4 million in a host of renovations.

"We have a significant presence in Philadelphia and are an active owner and developer of commercial real estate in both Center City and key suburban sub-markets. With the sale of Valley Square we have realized our first promoted interest in our joint venture," said Randall L. Scott, executive vice president, Thomas Properties Group. "On invested equity of $2.3 million, the transaction resulted in a gain of approximately $3.7 million to Thomas Properties Group, including an approximate $600,000 promoted interest."

Los Angeles-based Thomas Properties Group currently owns or manages a portfolio of more than 10 million square feet of commercial real estate. The company maintains more than three million square feet of office, retail and multifamily properties in the Philadelphia area, including the 1.8 million-square-foot Commerce Square office complex.

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