PHILADELPHIA, PA & WILMINGTON, DE — A landmark apartment building in the heart of Center City has changed hands in a high-stakes real estate deal that signals growing confidence in Philadelphia’s downtown housing market.
Wilmington-based Capano Residential has acquired Rittenhouse Row Apartments at 1601 Sansom Street for $23,725,000, marking the company’s first commercial property purchase in the city of Philadelphia. The 13-story, 80-unit building sits at the prominent northwest corner of 16th and Sansom streets, one of the most heavily trafficked retail and residential corridors in Center City.
Built in 1910 and converted to residential use in the early 1990s, the property is currently 94% occupied and includes two ground-floor commercial tenants — fast-casual restaurant chain honeygrow and self-pour beer bar Tapster — giving it both residential and retail appeal in a dense urban market.
Capano plans to invest more than $2 million to reposition the property, with major renovations focused on the building’s second floor. That level currently houses a gym and leasing office, but will be completely demolished and rebuilt to add four new apartment units, a renovated leasing office, an upgraded fitness center and a new tenant amenity area designed for co-working and social use. The company expects construction to be completed by the end of 2026.
“Rittenhouse Row Apartments is located at a bustling established retail corner, and it reflects the type of targeted acquisitions we’re pursuing as we expand our regional footprint,” said Louis Capano III, CEO of Capano Residential. “We are focused on unlocking the property’s full potential through thoughtful investment, operational excellence, and a commitment to delivering an elevated residential experience.”
Capano also confirmed that the company is already under agreement to purchase another Center City building a few blocks away, signaling a broader push into the Philadelphia market.
Capano Residential is a privately held, vertically integrated real estate developer that owns more than 8,000 stabilized multifamily units across more than 40 residential properties. The firm’s entry into Center City comes as developers and investors increasingly target downtown Philadelphia, betting that demand for well-located urban apartments will continue to rebound in the years ahead.
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