The global coworking and flexible office space provider Mindspace recently announced a new management agreement with an affiliate of Rubenstein Partners, L.P. to open the first Mindspace location in Philadelphia at the historic Wanamaker Office Building (“Wanamaker Building”).
The new location will comprise approximately 42,000 sq. ft. of flexible office space, events area, and tenant lounges, and is expected to open in the third quarter of 2020. Under the management agreement, Mindspace will develop and operate premium flexible workspaces for companies of various sizes on behalf of Rubenstein and under the Mindspace brand.
Mindspace will provide additional management services through its “Mindspace for Landlords” offering and will harness its expertise to create the Mindspace experience for all tenants in the building. This includes managing building amenities, such as meeting rooms and event spaces, communal areas, guest and check-in services, community programming, and food & beverage offering as well as other concierge-type services.
The agreement signals an important step forward for the industry as a whole, and for Mindspace as a leading operator of flexible office space and buildings’ amenities on behalf of landlords who wish to elevate the tenants’ experience in their buildings.
“We’re very excited by this opportunity to bring our experience with coworking spaces in similar heritage buildings around the world to Philadelphia’s Wanamaker Building. This new relationship is a direct response to changes in the commercial real estate market. Landlords recognize that the traditional leasing model has been disrupted, and that flex spaces and coworking can help broaden their offerings to tenants. Our goal is to pioneer the next level of the business model in the industry through innovative partnerships with landlords.”Mindspace CEO Dan Zakai
Read Mortimer, Senior Vice President at Rubenstein Partners, said, “We were very selective with our choice of partner and are pleased to move forward with Mindspace. We believe that Mindspace’s approach is consistent with our strategy of delivering a differentiated office experience through providing enhanced amenities and hospitality-style service in the office sector.
The building ownership, consisting of Rubenstein and Amerimar Enterprises Inc. (“Amerimar”), has now completed its multi-phase improvement plan for the Wanamaker Building, including a lobby modernization with central guest check-in, new tenant amenity space on the 8th and 9th floors, and significant updates to common areas and building systems.
Mindspace recently inked four similar management agreements with landlords in Europe and Israel prior to this deal, totaling approximately 180,000 sq. ft. The Wanamaker Building will be the company’s third U.S. location, following San Francisco and Washington D.C. Currently, Mindspace spans over 31 locations in 16 cities across the globe.
More About the Historic Wanamaker Building
Built in 1911, The Wanamaker Building is a National Historic Landmark that originally housed one of America’s first department stores. In addition to offices and retail space, the property includes an approximately 660-space, subterranean parking garage. The 1.4 million sq. ft. office and retail property is located adjacent to City Hall in Center City Philadelphia.
The improvement plan undertaken by Rubenstein and Amerimar, now complete, first focused on tastefully reconfiguring the lobby and guest check-in areas in order to make the experience flow better for tenants and visitors, including fully updating the lighting and finishes. The second phase of improvements saw the creation of a magnet common amenity space on the 8th and 9th floors, which is available for all office tenants to use.
The grand atrium on the 9th floor, previously underutilized, has been recreated as a beautiful and functional space for gatherings or quiet work time, with a new mini-amphitheater, semi-private tables suitable for informal meetings, and a quality coffee and food concession, taking greater advantage of the soaring space and natural light. The atrium also connects directly to a fully upgraded fitness center on the 8th floor via the new internal staircase.