As Aramark makes moves from Market to the Schuylkill River, Jefferson is getting in on the Market East movement.
The hospital recently announced that it has signed a 16-year lease at the 32-story Aramark Tower at 1101 Market for its corporate services. Aramark, meanwhile, will move to its new headquarters at 2400 Market on the Schuylkill as planned.
Jefferson’s move makes a lot of sense: The hospital is just a few blocks south and the 11th Street Station is already named after it. “By occupying one of the more iconic buildings in Center City, we will be even better positioned to demonstrate our region-wide commitment to patients and students,” said Peter DeAngelis, executive vice president and chief financial and administrative officer of Thomas Jefferson University and Jefferson Health.
Meanwhile, this stretch of Market East is in the middle of a tremendous amount of redevelopment: The mixed-use development East Market is across the street and the Gallery Mall a couple of blocks east is being turned into the Fashion District of Philadelphia.
The hospital will be leasing 14 floors—and potentially six more down the road—from the Estate of Stephen Girard, which currently owns the tower. The rental income from the long-term lease will go toward funding Girard College.
“This transaction means that the tower potentially will remain fully occupied, with little or no vacancies, for the next 16 years,” said Joseph P. Bilson, executive director of the Girard Estate, in a statement.
Aside from the very different tenant, it does mean one big change for the top of the tower: Aramark’s sign will be replaced by one that reads “Jefferson.”
Jefferson’s lease begins on January 1, 2019.