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Prepared and filed by St Ives Financial
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<p align="center"><font size="2" face="serif"><b>UNITED STATES<br>
</b></font><font size="2" face="serif"><b>SECURITIES AND EXCHANGE COMMISSION<br>
</b></font><font size="2" face="serif"><b>Washington, D.C. 20549</b></font></p>
<p align="center"><font size="2" face="serif">_____________</font></p>
<p align="center"><font size="2" face="serif"><b>FORM 8-K</b></font></p>
<p align="center"><font size="2" face="serif"><b>CURRENT REPORT<br>
</b></font><font size="2" face="serif"><b>Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934</b></font></p>
<p align="center"><font size="2" face="serif">Date of report (Date of earliest event reported)<u>  July 10, 2006 &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</u></font></p>
<table width="100%" border="0" cellspacing="0" cellpadding="0">
  <tr>
    <td colspan="3" align="center"><font size="3" face="serif"><b>Pennsylvania
          Real Estate Investment Trust</b></font></td>
  </tr>
  <tr>
    <td colspan="3"><hr noshade size="1">
    </td>
  </tr>
  <tr>
    <td colspan="3" align="center"><font size="2" face="serif">(Exact Name of Registrant as
    Specified in its Charter)</font></td>
  </tr>
  <tr>
    <td>&nbsp;</td>
    <td width="34%">&nbsp;</td>
    <td width="33%">&nbsp;</td>
  </tr>
  <tr>
    <td align="center"><font size="2" face="serif">Pennsylvania</font></td>
    <td align="center"><font size="2" face="serif">1-6300</font></td>
    <td align="center"><font size="2" face="serif">23-6216339</font></td>
  </tr>
  <tr>
    <td colspan="3"><hr noshade size="1">
    </td>
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    <td align="center"><font size="2" face="serif">(State or Other Jurisdiction<br>
    of Incorporation or Organization)    </font></td>
    <td align="center"><font size="2" face="serif">(Commission<br>
    File Number)    </font></td>
    <td align="center"><font size="2" face="serif">(IRS Employer<br>
    Identification No.)    </font></td>
  </tr>
  <tr>
    <td>&nbsp;</td>
    <td>&nbsp;</td>
    <td>&nbsp;</td>
  </tr>
  <tr>
    <td colspan="2"><font size="2" face="serif">The Bellevue, 200 S. Broad Street, Philadelphia,
    Pennsylvania </font></td>
    <td align="center"><font size="2" face="serif">19102</font></td>
  </tr>
  <tr>
    <td colspan="3"><hr noshade size="1">
    </td>
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    <td><font size="2" face="serif">(Address of Principal Executive Offices)</font></td>
    <td>&nbsp;</td>
    <td align="center"><font size="2" face="serif">(Zip Code)</font></td>
  </tr>
  <tr>
    <td>&nbsp;</td>
    <td>&nbsp;</td>
    <td align="center">&nbsp;</td>
  </tr>
  <tr>
    <td colspan="2"><font size="2" face="serif">Registrant&#8217;s telephone
        number, including area code: <u>(215) 875-0700</u></font></td>
    <td align="center">&nbsp;</td>
  </tr>
  <tr>
    <td>&nbsp;</td>
    <td>&nbsp;</td>
    <td align="center">&nbsp;</td>
  </tr>
  <tr>
    <td colspan="3"><hr noshade size="1">
    </td>
  </tr>
  <tr>
    <td colspan="3" align="center"><font size="2" face="serif">(Former Name or Former Address, if Changed
    Since Last Report)</font></td>
  </tr>
</table>

<p align="left"><font size="2" face="serif">Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:</font></p>
<p align="left"><font size="2" face="serif" align="left"><img src="emptybox.gif">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)</font></p>
<p align="left"><font size="2" face="serif" align="left"><img src="emptybox.gif">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)</font></p>
<p align="left"><font size="2" face="serif" align="left"><img src="emptybox.gif">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange
 Act (17 CFR 240.14d-2(b))</font></p>
<p align="left"><font size="2" face="serif" align="left"><img src="emptybox.gif">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Pre-commencement communications pursuant to Rule 13e-4(c) under the
Exchange Act (17 CFR 240.13e-4(c))</font></p>
<p align="center"><font face="serif" size="2"></font></p>
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<p align="left"><font size="2" face="serif"><b>Item 2.03&nbsp;&nbsp;&nbsp;Creation of a Direct Financial Obligation or an Obligation under an Off Balance Sheet Arrangement of a Registrant.</b></font></p>
<p align="left"><font size="2" face="serif">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;On
    July 10, 2006, Mall at Lehigh Valley, L.P. (the &#8220;Borrower&#8221;) entered
    into a $150.0 million mortgage loan with JPMorgan Chase Bank, N.A. which
    is secured by Lehigh Valley Mall in Whitehall, Pennsylvania. Pennsylvania
    Real Estate Investment Trust (the &#8220;Company&#8221;) and affiliates of
    Kravco Simon Company each have an indirect 50% ownership interest in the
    Borrower. Simon Property Group, Inc. is an affiliate of Kravco Simon Company.
    The mortgage loan has an initial term of 12 months, during which the Borrower
    is required to make payments of interest only. The Borrower has three
    one-year extension options, provided that there is no event of default and
    that the Borrower buys an interest rate cap for the initial term and for
    the term of any applicable extension. The loan bears interest at the one
    month LIBOR rate, reset monthly, plus a spread of 56 basis points. The initial
    interest rate is 5.905%. The Borrower may not prepay the loan until August
    9, 2007. Thereafter, the Borrower may prepay the loan in full on any monthly
    payment date. The loan contains various customary events of default, including,
    among others, nonpayment of principal, interest, fees or other amounts; inaccuracy
    of representations; violation of covenants; and certain bankruptcy events.
    If an event of default occurs, then, subject to the Borrower&#8217;s specified
    cure rights, the lender may exercise all available remedies, including declaring
    the entire outstanding balance of the loan, including all accrued and unpaid
    interest, any prepayment premium and late charges and other amounts, to be
    immediately due and payable. The
    Borrower used a portion of the proceeds of the loan to repay the previous
    first mortgage on the property. The existing mortgage had a balance of approximately
    $44.6 million. The Company used the remaining proceeds of its portion of
     this mortgage loan of approximately $51.9 million to repay a portion of
    the
    outstanding
    balance under its unsecured revolving credit facility and for working capital.
    </font></p>
<p align="left"><font size="2" face="serif"><b>Item 9.01&nbsp;&nbsp;&nbsp;Financial Statements and Exhibits.</b></font></p>
<p align="left"><font size="2" face="serif" align="left">(d)&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Exhibits</font></p>
<p align="left"><font size="2" face="serif">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;10.1&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Promissory Note, dated July 10, 2006, in the principal amount of $150.0 million, issued by Mall at Lehigh Valley, L.P. in favor of JPMorgan Chase Bank, N.A.</font></p>
<p align="left"><font size="2" face="serif">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.</font></p>
<table width="100%" border="0" cellspacing="0" cellpadding="0">
  <tr>
    <td>&nbsp;</td>
    <td colspan="2"><font size="2" face="serif">PENNSYLVANIA REAL ESTATE INVESTMENT TRUST</font></td>
  </tr>
  <tr>
    <td>&nbsp;</td>
    <td>&nbsp;</td>
    <td>&nbsp;</td>
  </tr>
  <tr>
    <td width="50%"><font size="2" face="serif">Date: July 13, 2006</font></td>
    <td width="3%"><font size="2" face="serif">By:</font></td>
    <td><font size="2" face="serif"><u>/s/ Bruce Goldman&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</u></font></td>
  </tr>
  <tr>
    <td>&nbsp;</td>
    <td>&nbsp;</td>
    <td align="left"><font size="2" face="serif">Bruce Goldman<br>
    Executive Vice President and General Counsel</font></td>
  </tr>
</table>

<p align="left">&nbsp;</p>
<p align="center"><font size="2" face="serif">- 2 -</font></p>
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<p align="center"><font size="2" face="serif">EXHIBIT INDEX</font></p>
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    <td width="4%" valign="top"><font size="2" face="serif" align="left">10.1</font></td>
    <td valign="top"><font size="2" face="serif" align="left">Promissory Note, dated July
        10, 2006, in the principal amount of $150.0 million, issued by Mall at
    Lehigh Valley, L.P. in favor of JPMorgan Chase Bank, N.A.</font></td>
  </tr>
</table>
<p align="left"><font size="2" face="serif" align="left">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; </font></p>
<p align="center"><font face="serif" size="2">- 3 -</font></p>
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Prepared and filed by St Ives Financial
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
_____________
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934
Date of report (Date of earliest event reported)
July 10, 2006
Pennsylvania
          Real Estate Investment Trust
(Exact Name of Registrant as
    Specified in its Charter)
Pennsylvania
1-6300
23-6216339
(State or Other Jurisdiction
of Incorporation or Organization)
(Commission
File Number)
(IRS Employer
Identification No.)
The Bellevue, 200 S. Broad Street, Philadelphia,
    Pennsylvania
19102
(Address of Principal Executive Offices)
(Zip Code)
Registrant's telephone
        number, including area code:
(215) 875-0700
(Former Name or Former Address, if Changed
    Since Last Report)
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:
Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange
 Act (17 CFR 240.14d-2(b))
Pre-commencement communications pursuant to Rule 13e-4(c) under the
Exchange Act (17 CFR 240.13e-4(c))
Item 2.03   Creation of a Direct Financial Obligation or an Obligation under an Off Balance Sheet Arrangement of a Registrant.
On
    July 10, 2006, Mall at Lehigh Valley, L.P. (the "Borrower") entered
    into a $150.0 million mortgage loan with JPMorgan Chase Bank, N.A. which
    is secured by Lehigh Valley Mall in Whitehall, Pennsylvania. Pennsylvania
    Real Estate Investment Trust (the "Company") and affiliates of
    Kravco Simon Company each have an indirect 50% ownership interest in the
    Borrower. Simon Property Group, Inc. is an affiliate of Kravco Simon Company.
    The mortgage loan has an initial term of 12 months, during which the Borrower
    is required to make payments of interest only. The Borrower has three
    one-year extension options, provided that there is no event of default and
    that the Borrower buys an interest rate cap for the initial term and for
    the term of any applicable extension. The loan bears interest at the one
    month LIBOR rate, reset monthly, plus a spread of 56 basis points. The initial
    interest rate is 5.905%. The Borrower may not prepay the loan until August
    9, 2007. Thereafter, the Borrower may prepay the loan in full on any monthly
    payment date. The loan contains various customary events of default, including,
    among others, nonpayment of principal, interest, fees or other amounts; inaccuracy
    of representations; violation of covenants; and certain bankruptcy events.
    If an event of default occurs, then, subject to the Borrower's specified
    cure rights, the lender may exercise all available remedies, including declaring
    the entire outstanding balance of the loan, including all accrued and unpaid
    interest, any prepayment premium and late charges and other amounts, to be
    immediately due and payable. The
    Borrower used a portion of the proceeds of the loan to repay the previous
    first mortgage on the property. The existing mortgage had a balance of approximately
    $44.6 million. The Company used the remaining proceeds of its portion of
     this mortgage loan of approximately $51.9 million to repay a portion of
    the
    outstanding
    balance under its unsecured revolving credit facility and for working capital.
Item 9.01   Financial Statements and Exhibits.
(d)      Exhibits
10.1      Promissory Note, dated July 10, 2006, in the principal amount of $150.0 million, issued by Mall at Lehigh Valley, L.P. in favor of JPMorgan Chase Bank, N.A.
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
PENNSYLVANIA REAL ESTATE INVESTMENT TRUST
Date: July 13, 2006
By:
/s/ Bruce Goldman
Bruce Goldman
Executive Vice President and General Counsel
- 2 -
EXHIBIT INDEX
10.1
Promissory Note, dated July
        10, 2006, in the principal amount of $150.0 million, issued by Mall at
    Lehigh Valley, L.P. in favor of JPMorgan Chase Bank, N.A.
- 3 -