SOURCE: Brandywine Realty Trust

March 06, 2007 11:00 ET

Philadelphia Keystone Opportunity Improvement Zone Building Provides Positive Economic Impact, Study Shows

PHILADELPHIA, PA -- (MARKET WIRE) -- March 6, 2007 --Cira Centre is generating significant net gains in spending, earnings and employment in the city and the state, according to an economic impact study just released by Econsult Corporation. A Keystone Opportunity Improvement Zone designated building, Cira Centre is estimated to annually generate $90 million in new expenditures, 1,600 new jobs and over $80 million in earnings for Philadelphia, increasing city tax revenues by a total of $100 million through 2026.

The study was designed to measure how effectively the project used public and private resources to create sustained value for the city and the Commonwealth. The building's developer, Brandywine Realty Trust, based in Radnor, Pa., commissioned the study.

Among the study's findings:

--  The Cira Centre will annually yield over $110 million in new
    expenditures, 1,900 new jobs and almost $90 million in earnings for
    Pennsylvania.
--  The overall economic activity derived from the building's construction
    resulted in approximately 4,900 jobs and $181 million in associated
    earnings across Pennsylvania, of which approximately 1,400 jobs and $56
    million in associated earnings occurred in Philadelphia.
--  Analysis of rate trends in office rentals, vacancies and net
    absorption suggests Cira Centre has had a positive overall impact on the
    city's commercial office market.
    

The 29-floor, Cesar Pelli-designed Cira Centre was completed in November 2005. It is 100 percent leased. Major tenants include Dechert, Woodcock Washburn, SCA Americas, Reger & Rizzo and Brandywine Global Investments.

These results are consistent with findings of other Econsult studies examining the stimulative effects of tax incentive policies on investment and economic growth in the city and state. Econsult Corporation was founded in Philadelphia in 1979 for the purpose of providing high quality economic research and statistical and econometric analysis in support of litigation. Today, our practice has expanded beyond litigation to include economic consulting services to assist business and public policy decision-makers. Econsult's academically distinguished consultants and affiliates combine quantitative expertise and experience with customized approaches designed to meet client's needs.

Full-text of the report can be found on the news page of Econsult's website: http://www.econsult.com/e_news.htm.

Contact Information

  • Contact:
    Stephen Mullin
    Senior Vice President

    Lee Huang
    Director
    215-382-1894