Nine University of the Arts buildings will soon be put up for sale

Soon: nine luxury real estate in the city center – Cost 760,000 square feet.

former University of the Arts the buildings represent “generational opportunities,” said a spokesman for JLL, a real estate services company. JLL was hired by the university’s receiver to handle the sale.

“The sale process is designed to maximize benefits for stakeholders in the university bankruptcy case,” JLL officials said in a statement. “The portfolio can be purchased as a whole, as a combination of properties or individually.”

University the sudden closure in June stunned the city; Officials then said that unexpected financial crisis forced to close. UArts filed for Chapter 7 bankruptcy in September.

The school, which has been in operation for 150 years, has accumulated about $46 million in bond debt and other liabilities.

UArts officials in that statement said there was a total of $67 million in debt and $93 million in assets, mostly real estate. The sale could change the face of the Alley of the Arts.

Five of the nine buildings for sale have “historic” designations.

The overall portfolio includes Arts Bank, Anderson Hall, Hamilton Hall, Furness Hall, Juniper Hall, Gershman Hall, Terra Hall, Arts Alliance and Spruce Hall. They housed offices, classrooms, libraries, dormitories, theaters and other performance spaces, galleries, and more; most are located on South Broad Street between City Hall and South Street.

“Almost all properties have mixed-use zoning, which allows them to be used in different ways in the future. Many of these will likely become apartments, but the campus offers a variety of opportunities,” JLL senior managing director Fran Coyne said in a statement.

Jim Galbally, another JLL senior managing director involved in the deal, emphasized the buildings’ value to Philadelphia.

“The properties in the University of the Arts portfolio offer investors the opportunity to transform the heart of the city’s central business district,” Galbally said in a statement.

One potential buyer of part of the portfolio? Other universities, especially Temple Universitywho tried negotiate the acquisition of UArts this summer to the Hamilton Family Charitable Foundation, a major donor to the UArts Foundation, blocked the transfer of this donation to Temple. Now it’s time is in the Orphan’s court.

This was stated by New Temple President John Fry. the university is potentially interested in acquiring some of the former UArts buildings.

“Should we have a more prominent role and place in the city centre? Still to be determined,” Fry previously told The Inquirer.

Under the Oct. 16 bankruptcy court order authorizing the hiring, JLL will be paid at least 1% of the amount the property is sold for. The maximum income JLL can receive is 3.5% of proceeds if the properties generate a total of more than $100 million.

Staff writers Harold Brubaker and Susan Snyder contributed to this article.