Brandywine, Nuveen Close Record C-PACE Loan for Philadelphia Tower

January 29, 2026

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The financing is the largest of its kind in Pennsylvania history.

3151 Market Street is part of the $3.5 billion mixed-use Schuylkill Yards project in University City. *Image courtesy of Yardi Matrix*

Brandywine Realty Trust has secured $87.3 million in C-PACE financing for 3151 Market Street, a recently completed 12-story, 495,000-square-foot building with lab, office and retail space, within its 14-acre Schuylkill Yards mixed-use, transit-oriented development in Philadelphia’s University City submarket.

The transaction represents the largest C-PACE financing in Pennsylvania history and the first for a publicly traded REIT.

Nuveen Green Capital originated the financing, which was administered by the Philadelphia Energy Authority through its C-PACE financing program. C-PACE, which stands for Commercial Property Assessed Clean Energy, provides flexible financing solutions for new, ongoing or recently completed commercial real estate projects. The financing can be used to fund energy efficiency, water conservation, renewable energy projects, resiliency projects and new developments. C-PACE has grown in popularity as an attractive financing mechanism in the commercial real estate market. It is now available in 40 states and Washington, D.C.

Lisa Shulock, PEA director of commercial programs, said in a prepared statement the record-setting deal is noteworthy because of its size and for reflecting the growing confidence in C-PACE as a flexible capital solution. She noted the transaction also affirms that Philadelphia’s C-PACE program is resonating with institutional owners as well as private investors.

The 3151 Market C-PACE financing surpasses the state’s previous record, which was reached in November, when Pearl Properties secured a $60 million C-PACE loan from Counterpointe Sustainable Real Estate to build Harper Square, a 45-story, energy-efficient luxury apartment tower in Philadelphia. The developer combined the C-PACE financing with a $113 million construction loan.

Tom Wirth, Brandywine’s chief financial officer, said in a prepared statement C-PACE provided the right financing at the right time for 3151 Market.

While 3151 Market Street was completed in 2024, the building is mostly vacant with about 4 percent of the asset leased. The only tenants are two retail outlets—Starbucks and Fine Wine & Good Spirits, according to the Philadelphia Business Journal.

The C-PACE financing includes $30 million of capital for future tenants. It will also finance upgrades to the building envelope, lighting and HVAC systems, and water conservation measures. By using C-PACE to recapitalize the project post-completion, Brandywine will preserve liquidity while supporting sustainable building development. The financing enables Brandywine, a Philadelphia-based REIT that focuses on Philadelphia and Austin, Texas, to preserve conventional debt capacity at the building.

Building out Schuylkill Yards

Brandywine describes 3151 Market as a next-generation innovation building that is designed with sustainability at its core, featuring lab and office space, a variety of amenities and a prime location at the center of the region’s life science and tech ecosystem. The building is awaiting its LEED Platinum certification.

It is part of the $3.5 billion Schuylkill Yards master-planned development in the University City district being developed in partnership with Drexel University. Brandywine topped out the spec building in October 2023.

Designed by Gensler, the building has 39,000-square-foot floorplates and a flexible 33-foot-by-45-foot structural bay to accommodate a diverse range of life science end users. It was designed to provide substantially higher base building technology and infrastructure than industry and market standards. Features include hazardous waste exhaust, chilled and condenser water loops, dedicated trash dock and increased elevator capacity. Other building amenities include a shared conference and event center and terraces and balconies to provide access to fresh air and outdoor space. There are about 75 parking spaces in a subterranean garage.

Brandywine, in partnership with Gotham Organization, completed 3025 JFK Blvd., the project’s first new ground-up building, in 2023. Located just west of Amtrak’s 30th Street Station, the building is a 28-story tower with 200,000 square feet of life science and office space, 326 luxury apartments in the Avira portion of the building and 9,000 square feet of ground-floor retail. Last February, Brandywine signed FS Investments to a 16-year lease for 117,000 square feet at the tower. The alternative asset manager plans to relocate its global headquarters to the new space early this year.

Plans for 3001 JFK Blvd., a 34-story 800,000-square-foot life science and office tower, have been put on hold as demand for life science space has slowed. At the end of 2025, overall life science vacancy in the region was 7.2 percent, a 110-basis point increase year-over-year, according to a Savills fourth-quarter market report. Direct vacancy was 6.5 percent, unchanged from the previous quarter, and among the highest levels recorded in the Philadelphia market.

At full build-out, Schuylkill Yards will have 6.5 acres of parks, 1.5 million square feet of living space, 3.9 million square feet of life science and office space and 65,000 square feet of retail space. In addition to 3151 Market and 3025 JFK Blvd., Brandywine renovated the historic Bulletin Building at 3025 Market St. into offices and lab space for Spark Therapeutics. The redeveloped two-story building at 3000 Market St. is also leased to Spark Therapeutics.