PIDC Selects Philadelphia Navy Yard Development Partner

PHILADELPHIA, July 29, 2020 /PRNewswire/ -- PIDC, Philadelphia's public-private economic development corporation, has selected a team comprised of Ensemble Real Estate Investments and Mosaic Development Partners as its development partner for 109 acres at the Philadelphia Navy Yard. Selection of the Ensemble/Mosaic team is the culmination of a year-long competitive process that attracted interest from more than 35 development teams from across the country. The next phase of development will further establish the Navy Yard as a world-class business, manufacturing, R&D, and life sciences hub, and will include the creation of a vibrant mixed-use district including retail and makerspace. PIDC and the Ensemble/Mosaic team envision up to $2.6 billion of new private investment that will drive many thousands of new construction and permanent jobs. 

Combined, the Ensemble/Mosaic team has successfully developed five million square feet of commercial, industrial, residential, and mixed-use properties in Philadelphia and across the country, and has been recognized for their exceptional projects and positive impacts to neighborhoods and communities. The team demonstrated an understanding of PIDC's mission and shared a strategic vision for the Navy Yard to drive business growth and job creation for Philadelphia. The team also brings a deep commitment to diversity, equity, and inclusion at all levels of the project, including ownership, construction, professional services, operations, and tenancy. These factors, combined with the team's local presence and experience, demonstrated financial capacity, and a track record of success with both new construction and adaptive re-use of historic buildings, positioned the Ensemble/Mosaic team as the clear choice to lead the next stage of growth and development at the Navy Yard. 

"Today's announcement marks a significant milestone for this long-term public-private partnership led by PIDC that has brought the Navy Yard from the uncertainty and job losses of the early 1990's to a dynamic home to more than 175 companies and 15,000 employees," said Philadelphia Mayor Jim Kenney. "The Navy Yard has fulfilled its initial promise of becoming a thriving center for business, innovation, investment, talent, and jobs, establishing itself as one of the city's major engines of economic growth. The exciting new partnership with Ensemble/Mosaic will not only build on this track record, but will also bring new ideas and energy to the Navy Yard while ensuring that equity and inclusion are at the forefront of its next phase of development." 

In alignment with PIDC's commitment to diversity, equity, and inclusion, the Ensemble/Mosaic team is committed to providing opportunities for all Philadelphians to share in the next stage of successful development at the Navy Yard. This holistic inclusion strategy provides for minority- and women-owned business enterprise (M/WBE) participation, including diverse equity ownership with an innovative crowd-funding component, substantial M/WBE participation in construction and operations, inclusion of local and M/WBE small businesses in retail and makerspace opportunities, and allocating a share of net income to a charitable foundation that will create new opportunities for young people in Philadelphia.  

"The long-term commitments and investments made by employers, developers, partners, and the U.S. Navy through the years has reestablished the Navy Yard as a major employment center in Philadelphia and as an exciting place to work," said Kate McNamara, PIDC Senior Vice President, Navy Yard. "We are thrilled to embark on our new partnership with Ensemble and Mosaic to sustain and build on the Navy Yard's momentum. Together, we will deliver on our commitment of an innovative, inclusive, and welcoming place in Philadelphia for workers to access jobs at all skill levels, businesses to grow and thrive, and visitors to appreciate the outdoors, public art, and history."

Ensemble, based locally at the Navy Yard and headquartered in Long Beach, California, is a full-service real estate solutions and investments provider that creates exceptional real estate in the healthcare, hospitality, commercial and urban multifamily/mixed-use sectors. Ensemble entered the Philadelphia market in 2012 when it began the development and construction of the 172-room Courtyard by Marriott hotel at the Navy Yard — and in 2016, its 40-room expansion. Since that time, Ensemble has developed, acquired, or is in development of 14 properties totaling 1.3 million square feet on over 45 acres at the Navy Yard, and is the largest private owner at the Navy Yard. Ensemble has successfully delivered over 4 million square feet across its national portfolio.

"We are excited to join together with PIDC and Mosaic to achieve our collective vision of providing high-quality mixed-use and residential projects, compelling public spaces, and a nationally recognized Life Sciences campus that the city of Philadelphia can be proud of," said Kam Babaoff, Chairman of Ensemble Real Estate Investments. "We recognize the immense responsibility it will be to steward the development of the Navy Yard so it can endure for the good of the community for generations to come. Our partnership with Mosaic, with their intimate local perspective, keen development expertise, and innovative approaches to engaging every demographic in Philadelphia, heightens this perspective and will greatly contribute to a successful development."

Mosaic Development Partners is a Philadelphia based, certified MBE real estate development and management company, founded in 2008 by Gregory Reaves and Leslie Smallwood-Lewis. Mosaic primarily focuses on ground up development and adaptive reuse of commercial properties in underserved urban communities. Since 2012, Mosaic and its partners have secured financing, invested, and initiated more than $200 million in the greater Philadelphia region, bringing quality retail, commercial, recreational, and residential space to communities of color, along with hundreds of construction and full-time jobs.

"The Mosaic team is thrilled to partner with Ensemble and PIDC on the next phase of the Navy Yard," said Gregory Reaves, co-owner of Mosaic Development Partners. "The prior work at the Navy Yard has set an extremely high bar, and we are eager to apply our development model and expertise to bring unique perspective and solutions to the development team and create opportunities for disenfranchised businesses and communities who seek to become a part of this historic location."

In September 2019, PIDC put out a call for prospective partners through a Request for Qualifications (RFQ), seeking real estate developers and/or end-users capable of planning, delivering, and managing extraordinary office, R&D, and mixed-use residential buildings to respond to the RFQ. PIDC received more than 35 responses to the RFQ in December 2019. Based on the RFQ criteria, five highly experienced teams were shortlisted and invited to submit full proposals in response to a comprehensive Request for Proposals (RFP). All five shortlisted teams submitted comprehensive proposals on May 22, 2020. After detailed review and evaluation of the proposals and virtual team interviews with an Advisory Panel, PIDC selected the Ensemble/Mosaic co-development team. The parties expect to finalize a development agreement shortly and pre-development work for the first project is expected to occur in 2021.

About PIDC

PIDC is Philadelphia's public-private economic development corporation. A non-profit founded in 1958 by the City of Philadelphia and the Greater Philadelphia Chamber of Commerce, PIDC's mission is to spur investment, support business growth, and foster developments that create jobs, revitalize neighborhoods, and drive growth to every corner of Philadelphia. PIDC has invested more than $16.6 billion of financing and more than 3,200 acres of land sales—which has leveraged over $29 billion in total investment and assisted in retaining and creating hundreds of thousands of jobs in Philadelphia.

For more information about PIDC, visit www.PIDCphila.com and follow us @PIDCphila on Twitter.

About the Navy Yard:

Today, the Navy Yard is a growing community of nearly 15,000 employees and 170 employers who occupy 7.5 million square feet across a mix of property types, including office, retail, industrial, R&D, and institutional. These employers include the Urban Outfitters headquarters; GSK's North American headquarters; Jefferson Health; life science and technology startups; manufacturers; corporate R&D, including Axalta's Global Innovation Center; critical U.S. Navy engineering centers; and a graduate engineering, business, and research campus for Penn State University.

In addition to its proximity to a large, diverse talent pool; airport and highway access; and the ability to create customizable workplaces, the Navy Yard offers community members a range of amenities including restaurants and cafes, a riverfront greenway, free shuttle access, bikeshare, and over 20 acres of open green space. The Navy Yard is a collaborative community with curated food trucks, health and wellness programs, rotating public art installations by local and international artists, and hosts a variety of food, fitness, and philanthropic events in its parks.

For more information about the Navy Yard, visit www.navyyard.org and follow us on Twitter @NavyYardPhila.

About Ensemble Real Estate Investments:

Over the past 40 years, Ensemble has successfully invested and developed over $2 billion in real estate across the United States, offering state-of-the-art property solutions in the healthcare, hospitality, commercial, and urban multi-family and mixed-use sectors. A widely respected leader in its industry, Ensemble has revolutionized the art of master planning, delivering iconic and strategically engineered facilities and beautifully preserved historic buildings—all designed to transform and inspire the communities they serve.

In January 2020, Ensemble opened its Philadelphia's Navy Yard office, which will be led by previous Liberty Property Trust executives Brian Cohen and Mark Seltzer. The office seeks to support Ensemble's East Coast growth, particularly at the Navy Yard where Ensemble has already invested $360 million. The company's 14 Navy Yard properties boast a collective 1.3 million square feet and 45 acres, and include hotels, mixed-use developments, and life science facilities for leading-edge companies like Iovance Biotherapeutics, Adaptimmune, and WuXi Advanced Therapies.

To learn more about Ensemble, visit https://ensemble.net/.

About Mosaic Development Partners and Mosaic Brokerage Group:

Mosaic Development Partners is a Philadelphia based, minority certified commercial real estate development and project management company founded in 2008. Mosaic primarily focuses on ground up development and adaptive reuse of commercial properties in underserved urban communities. The company has successfully used viable, but complicated finance instruments (largely in the form of local, state, and federal loans and tax credits) to help stabilize and grow neighborhoods and create jobs. By partnering with municipalities, established developers, not-for-profit organizations and government entities, Mosaic has leveraged its investments and revitalized properties in struggling or stagnated communities. Since 2012, Mosaic and its partners have secured and invested more than $100 million in Philadelphia neighborhoods, resulting in hundreds of construction and full-time jobs, eliminating blight, and spurring additional investment in those communities.

Mosaic Brokerage Group (MBG) is a full-service real estate brokerage. Its agents are experienced in residential and commercial leasing and sales, tenant representation and the repositioning of existing assets. The brokerage is well regarded for its ability to assist its clients in evaluating and implementing improvements that will best position the asset to ensure a positive outcome.

To learn more about Mosaic, visit www.mosaicdp.com and www.mosaicbrokerage.com.

FOR ENSEMBLE/MOSAIC BIOS & PROJECTS, CLICK HERE.

Renderings available HERE       

CONTACTS:

Jennifer Tran
215-218-2854
[email protected]

Leah Sinderbrand
215-625-7988
[email protected]

SOURCE PIDC

Related Links

http://www.PIDCphila.com