The Bourse Parking Facility

The Bourse Parking Facility

Phildelphia PA| Off-Market Acquisition | Q2 2025

Overview

In Q2 2025, we acquired a multi-level structured parking garage in the heart of historic downtown Philadelphia—just blocks from Independence Hall, the Liberty Bell, and the National Constitution Center. This off-market acquisition is a prime example of the Fund 4 thesis in action: immediate income, built-in equity, and durable demand in a no-new-supply market.

The property generates over $3.2 million in annualized revenue and offers a 12.7% Day One Return on Equity—all without the need for heavy renovations or repositioning. With tourism, business travel, and civic events consistently drawing traffic to this corridor, this facility offers exceptional income resilience and pricing power.

About the Project

The garage is strategically located within one of the most visited square miles in America. Its demand drivers are exceptionally diversified: weekday office commuters, weekend tourists, national events, hotel valet contracts, and hourly transients from nearby attractions.

At the time of acquisition, the asset was fully stabilized with a strong in-place operator, clean financials, and no deferred maintenance. With structured parking development in this part of the city now functionally impossible due to zoning overlays and preservation restrictions, the facility’s location gives it an irreplaceable edge in the long-term value equation.

The garage was acquired off-market at a 5.3% discount to appraisal, securing $1.35M in built-in equity on Day One.

The Challenge

The deal was part of a complex multi-asset disposition involving an institutional lender offloading multiple asset types—hotels, office space, and this garage. Most buyers passed due to the complexity. But we saw a rare opportunity to isolate the only high-performing piece: the garage.

By navigating this transaction strategically, we were able to extract the income-producing asset without exposure to the struggling components. This gave us favorable pricing and total control—without the competition of a broad marketing process.

The Plan

Our execution strategy is simple, proven, and already underway:

  • Day-One Cash Flow
    Already income-producing at acquisition, this deal strengthens Fund 4’s immediate distribution profile.
  • Discounted Purchase Price
    Acquired off-market with a $1.35M discount to appraisal, locking in real equity on close.
  • No-New-Supply Advantage
    Located in a protected zone where new garages are virtually impossible to build—preserving long-term pricing power.
  • Operational Upside
    Incremental improvements in rate management, online reservations, and automation offer low-cost, high-leverage gains.
  • Diverse Revenue Mix
    Income sources include hourly parkers, monthly tenants, hotel valet contracts, and digital platforms—creating income durability.
  • Event-Driven Boosts
    With America 250, FIFA, and the MLB All-Star Game on the horizon, transient demand is poised to spike in the coming quarters.

The Outlook

This Philadelphia garage is a near-perfect example of what we aim to acquire through Fund 4: irreplaceable real estate, in an A+ location, acquired off-market, with built-in equity, stabilized income, and multiple levers for upside.

As part of a market with growing demand and zero foreseeable supply growth, it strengthens the long-term compounding power of the portfolio—while supporting immediate distributions and real legacy wealth creation.

This is not a bet on what might happen. It’s a bet on what’s already happening—and how long we can own the right supply in the right market.