Arts Bank sold at auction as more bidders line up to buy the rest of UArts’ campus

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More Center City properties encompassing the shuttered University of the Arts campus continue to be sold to the highest bidder out of bankruptcy court.

There are nine properties that are being sold to repay creditors of the university, which abruptly closed in June 2024. The bankruptcy trustee, Alfred T. Giuliano, estimated the buildings could collectively generate nearly $80 million, during the bankruptcy court hearing Wednesday.

The old campus includes: Anderson Hall, Hamilton Hall, Terra Hall, Gershman Hall, Juniper Hall, Spruce Hall, Furness Hall, Arts Bank and the Philadelphia Art Alliance building near Rittenhouse Square.

The Arts Bank was sold to Quadro Bay LLC for $2.7 million outbidding Lantern Theater Company, which bid $1.76 million. The sale was approved by a judge Thursday.

Lantern Theater is “deeply disappointed” with the judge’s ruling, according to a statement from the nonprofit.

“The loss of the Arts Bank will be a blow to the performing arts in Philadelphia and for the Avenue of the Arts,” the nonprofit said.

The Pennsylvania attorney general’s office objected to the sale since it oversees the dissolution of nonprofits, including the University of the Arts.

The attorney general argued that because the acquisition and development of the Arts Bank was funded by grants from the William Penn Foundation totaling $6.3 million in the 1990s and that the venue was supported for charitable purposes then it should not be sold to a for-profit developer. But the bankruptcy court judge overruled the state.

In recent weeks, Curtis Institute of Music purchased the Philadelphia Art Alliance building for $7.6 million, while Temple University bought Terra Hall for $18 million.

Now real estate developer Dwight City Group LLC, under two different aliases, is bidding $8.5 million to acquire Anderson Hall and $12 million to purchase Hamilton and Furness Halls. The company declined comment for this news story.

Dwight City Group acquires and manages mixed-use properties within commuting distance of central business districts such as the renovations of a warehouse from the 1920s into luxury apartments in Upper Darby, known as 901 Quarry.

Anderson Hall’s assessed value is $47 million while Hamilton and Furness Halls is valued at $34 million, city records show.

Philly developer Lindsey Scannapieco, CEO of Scout, also wants to purchase Hamilton and Furness Halls and bid $12 million as well.

Scannapieco envisions retrofitting Hamilton Hall into a creative makerspace, similar to the Bok Building she developed in South Philly, while renting out Furness Hall as affordable living spaces for artists.

“That’s something we don’t have a lot of in our city,” she said.

Scannapieco said that she wants to preserve the purpose of the building, especially since it’s already purpose built for art making.

As the oldest building on Broad Street, Hamilton Hall holds a special place in Philadelphia’s history. Scannapieco plans to work with local institutions like the Wilma Theater, Kimmel Center, Mural Arts and others.

“We really hope that there we can create something that’s generous and reflective of this legacy of the arts that’s been on this avenue for such a long time,” she said.

The former UArts properties that are left to sell without any bids yet include Gershman Hall and Juniper Hall.