City of Philadelphia - File #: 260339

• File #: 260339
• Version: 0
• Type: Bill
• Status: IN COMMITTEE
• File created: 4/16/2026
• In control: Committee on Public Property and Public Works
• Title: Amending Bill No. 241031 (approved January 15, 2025), entitled "Authorizing the Commissioner of Public Property, on behalf of the City of Philadelphia, to enter into a sublease agreement with the Philadelphia Municipal Authority, for use by the City of a portion of the premises located at 1 S. Broad Street, Philadelphia, Pennsylvania, under certain terms and conditions," to authorize the lease of additional space within the premises, under certain terms and conditions.
• Sponsors: Councilmember Squilla
• Indexes: LEASE AGREEMENT, PHILADELPHIA MUNICIPAL AUTHORITY

Date	Ver.	Action By	Action	Result	Tally
4/16/2026	0	CITY COUNCIL

Title

Amending Bill No. 241031 (approved January 15, 2025), entitled “Authorizing the Commissioner of Public Property, on behalf of the City of Philadelphia, to enter into a sublease agreement with the Philadelphia Municipal Authority, for use by the City of a portion of the premises located at 1 S. Broad Street, Philadelphia, Pennsylvania, under certain terms and conditions,” to authorize the lease of additional space within the premises, under certain terms and conditions.

Body

THE COUNCIL OF THE CITY OF PHILADELPHIA HEREBY ORDAINS:

Section 1. Exhibit “A” to Bill No. 241031 (approved January 15, 2025), entitled “Terms of Proposed Sublease For 1 S. Broad Street, Philadelphia, Pennsylvania, 19107” is hereby amended as set forth in the attached version of Exhibit A (additions to the Bill in Bold; deletions in Strikethrough):

EXHIBIT “A”

Terms of Proposed Sublease

For 1 S. Broad Street, Philadelphia, Pennsylvania, 19107

1.                     Landlord: Broad One L.P.  CBRE, Inc.

2.                     Tenant/Sublandlord: Philadelphia Municipal Authority

3.                     Subtenant: City of Philadelphia

4.                     Premises Address: 1 S. Broad Street, Philadelphia, Pennsylvania, 19107

5.                     Use of the Premises: Approximately 18,439 30,894 rentable square feet for office use. use, consisting of 18,439 square feet on the 3^rd floor and an additional 12,455 square feet on the 7^th floor.

6.                     Term of Lease: Fifteen (15) years

7.                     Renewal Term: The City shall have one (1) five (5) year renewal option.

8.                     Rent: Base rent for Lease Year 1 will be $15.75 per square foot and shall escalate at a rate of approximately 6% after Lease Year 3, Lease Year 6, Lease Year 9, and Lease Year 12. Should the City exercise its renewal term option, the base rent will be escalated at a rate of approximately 10% after Lease Year 15 and remain at the same base rent rate for the remaining years of the renewal term. The total base rent for Lease Year 1 will be $290,414.25. shall escalate in accordance with the Master Lease.

9.                     Utilities: The City is not responsible for utilities shall pay Landlord $1.50 per square foot of the Premises for all utilities. This utility rate shall escalate in accordance with the Master Lease. 

10.                     Operating Expenses: The City shall be responsible for its proportionate share of operating expenses.

11.                     Tenant Improvements: Landlord shall fit out the Premises based on a mutually accepted space plan and provide a tenant improvement allowance of $737,560.00. $1,235,760.

End