PernaFrederick Commercial Real Estate Represents Retailer Five Below in Lease of 180,000 SF of Corporate Space at 701 Market
PHILADELPHIA, PA — PernaFrederick Commercial Real Estate Services has represented Five Below, Inc., in the announced relocation of its corporate headquarters to 701 Market Street where it will occupy approximately 200,000 square feet of Class A office space plus approximately 15,000 square feet of multi-level retail space.
Stephen Perna, a principal of PernaFrederick, negotiated the 15-year agreement with Independenc Realty, LP, a division of Brickstone the building owner, that also owns The Wanamaker Building and other assets in the area.
According to Perna, Five Below plans to remodel the space that was once the home of Lit Brothers department store by infusing its own unique brand culture into the building’s rich history. He disclosed no aggregate rental for the long-term agreement.
“We are so excited to continue our great legacy in Philadelphia,” said Joel Anderson, CEO of Five Below. “It’s been our top priority to keep our home base in the city where it all started. This new space will allow our associates to unleash their passions further in a collaborative environment.”
The Philadelphia-based company is one of the fastest growing retailers in the country with more than 500 stores in 30 states. Due to tremendous growth, the company has outgrown its current offices that occupy two floors and approximately 60,000 square-feet of space at 1818 Market Street under an agreement that was also negotiated by Perna in 2013. Prior to that, Perna represented Five Below when it relocated from 1616 Walnut Street to 1818 Market in 2011.
Perna noted the collaborative efforts of state and city officials over the last three years to keep the retailer in Philadelphia and observed that 701 Market Street offers sufficient space to accommodate current operations as well as the retailer’s anticipated growth in the years ahead.
“Since day one, we knew Five Below needed to stay in Philadelphia,” said Tom Vellios, executive chairman and co-founder of Five Below. “Our first store opened in Wayne, PA, and our headquarters have always remained in center city Philadelphia. Keeping our headquarters in the city is a no-brainer for us. Five Below is a Philadelphia brand. Always has been, always will be.”
Catering to pre-teens, teens and beyond, Five Below carries an ever-evolving and an exciting assortment of cell phone cases and chargers, remote control cars, licensed collectibles, yoga pants, graphic tees, nail polishes, baseballs and basketballs, candy and all the seasonal “gotta haves.” Everything, every day, is just $5 and below. Its stores are a vibrant, colorful and high-energy destination. Five Below plans to open 85 new stores in 2016, on top of 70 new stores in 2015.
