PHILADELPHIA | Lowrise/General Developments Thread

[Urbanthusiat]

Originally Posted by summersm343

Excavation Advances At The Skylar At 1601 Frankford Avenue In Fishtown

Glad to see the legacy of Matt Damon living on in the name of the building (Skylar is the name of the character in Good Will Hunting)

[Raja]

Originally Posted by PHLtoNYC

Agreed! it's great to see a trophy-(ish) project at a prominent intersection. It will definitely add a shot of energy and flair to that immediate area.

I would still like to see the comments from the QVNA meeting, if there was general support or the usual end of the world arguments.

I'll listen in to the meeting and report back.

While we're on the topic of South Street between Front and 6th, which Purple pretty accurately described as "crummier than every direction around it," there is a new boutique no-contact hotel coming to the corner of South and American later this year: https://travelnoire.com/yowie-black-owned-hotel-philly

The 200 block of South is particularly shabby, largely because the ground floor of Abbott Square, which runs the entire north side of the block, is an utter blight with no sign of improvement any time soon. So this kind of investment from the neighborhood is really great to see. With the new development at the Downey's site, the rebuilt Bridget Foy's and now this on the east end of South, places like Federal Donuts, Spread, and the restaurants on the 700 block on the west end of the stretch, and now development creeping up Passyunk on the south side of the area, the South Street donut hole is slowly but steadily shrinking.

[PhilliesPhan]

Originally Posted by chimpskibot

While CC seems to be in rut of sorts with vacant storefronts, Fishtown and NoLIBS is booming!! Also just drove past Piazza Terminal and it looks really good in person! Pictures do not do the cladding justice IMO.

Anyways, Van Leeuwen is opening their third store in the city. Seems they are directly gunning for Jeni's, who opened a store right down the street, in both CC and Fishtown.


BizJournals Article
The New Development

Van Leeuwen is delicious, although I doubt they'll ever break my Weckerley's addiction! It seems like Fishtown is becoming the ice cream capital of this city: Weckerley's, 1900 Ice Cream, Jeni's and now Van Leeuwen will be in close proximity of one another.

Though I can't wait until CC returns to something resembling its pre-pandemic state, the growth of neighborhood commercial corridors across the city is interesting to watch. As a Fairmount resident, I had little reason to go into CC at the onset of the pandemic due to all of the options that Fairmount Avenue, Frankford Avenue, and North 2nd Street had to offer. Even Girard Avenue through Brewerytown has a great array of businesses.

Eventually, I hope that Ridge Avenue through Francisville will take a page from Frankford Avenue's impressive comeback. Though Libertee Grounds on 16th and Girard is an excellent space, I'm looking forward to the day where I'll be able to dine on Ridge.

[Redddog]

Originally Posted by Raja

I'll listen in to the meeting and report back.

While we're on the topic of South Street between Front and 6th, which Purple pretty accurately described as "crummier than every direction around it," there is a new boutique no-contact hotel coming to the corner of South and American later this year: https://travelnoire.com/yowie-black-owned-hotel-philly

The 200 block of South is particularly shabby, largely because the ground floor of Abbott Square, which runs the entire north side of the block, is an utter blight with no sign of improvement any time soon. So this kind of investment from the neighborhood is really great to see. With the new development at the Downey's site, the rebuilt Bridget Foy's and now this on the east end of South, places like Federal Donuts, Spread, and the restaurants on the 700 block on the west end of the stretch, and now development creeping up Passyunk on the south side of the area, the South Street donut hole is slowly but steadily shrinking.

Still amazed that Jon's Bar N Grill spot hasn't been taken over. That place has it all.

[3rd&Brown]

Originally Posted by Redddog

That and the Old City Conti closures are so disappointing.

I still cannot believe he has done nothing with the Conti. That was the place that started it all.

The other thing that was shocking was how the Gaslight space in OC was empty for a year (right down the street from his HQ) and they didn't pounce on that. Easily the nicest space in Old City. Ultimately, some BYOB "soul food" place opened in there. It's terrible. They're only open for events and sunday brunch. How they make rent is a miracle.

I remember when that soul food place hung a sign for the first time. I watched someone come out of Starr's HQ and watch it happen while on the phone. I'm sure he was calling Starr.

What a miss.

Starr is going to re-purpose Continental and re-open as a different restaurant. (He might outright own it, tbh).

He rightly has proclaimed it's time has come and gone and the concept is tired.

[Raja]

Originally Posted by Redddog

Still amazed that Jon's Bar N Grill spot hasn't been taken over. That place has it all.

No kidding. You'd think multilevel outdoor patio space on a high-traffic corner would go quickly. It could be a testament to just how bad the QOL issues are in the warm weather season (dirtbikes, etc.). Or it could be that they're asking too much. Either seems plausible.

[PHLtoNYC]

Originally Posted by mcgrath618

Wait, Jones closed?? At 7th and Chestnut??
Those grits were amazing

Yea, I used to have lunch there with my dad when worked in the area, and I was at Drexel.

Sounds like the days were numbered and he was over the concept (similar to what 3rd & Brown said and about Old City Continental).

I hope he doesn't become complacent with the Philadelphia market, he is very focused on New York lately, although LMNO just opened in Fishtown.

https://www.inquirer.com/food/restau...-20220110.html

"He said Jones would have closed eventually because the building owner was planning construction — all the better because lunchtime and tourist traffic in the historic district has dropped precipitously. When that work is finished, Starr said, he would not be opposed to revisiting the space but also mused: “It would be huge in Fishtown.”

"Looking back, Starr said Jones did not turn out quite as he had intended. “I was really going for a young, hipster cafeteria,” he said. “It ended up being more families.”

[PHLtoNYC]

Originally Posted by Vince_

This building is begging for a Giant Heirloom Market since the one at 2nd and South is clearly dead. Queen Village is definitely lacking a real grocery store. Essene Market is definitely nice but tough to get everything you need.

Giant still claims Heirloom is coming to 2nd & South, no idea what the holdup is... Their new store in the Fashion District just opened, maybe they will turn attention to this one next? It would certainly do very well and fill a huge commercial and grocery void in that area.

Target was the original planned tenant for Bainbridge building, but retail space is now too small for either.

[Raja]

Originally Posted by PHLtoNYC

Giant still claims Heirloom is coming to 2nd & South, no idea what the holdup is... Their new store in the Fashion District just opened, maybe they will turn attention to this one next? It would certainly do very well and fill a huge commercial and grocery void in that area.

Target was the original planned tenant for Bainbridge building, but retail space is now too small for either.

Those plans have been stalled for at least, like, four years. Last I heard (which was from a neighbor a year ago), the space apparently isn't wired properly for a grocery store and Giant has been in a dispute with Abbott Square about who's responsible for making the necessary upgrades.

[New2Fishtown]

Originally Posted by PHLtoNYC

Giant still claims Heirloom is coming to 2nd & South, no idea what the holdup is... Their new store in the Fashion District just opened, maybe they will turn attention to this one next? It would certainly do very well and fill a huge commercial and grocery void in that area.

Target was the original planned tenant for Bainbridge building, but retail space is now too small for either.

I've been fixated on the 2nd and South holdup as well, as it seemed like the location most in need of a supermarket when they first announced their city plans, and yet it remains stalled. I read somewhere - can't remember where, unfortunately - that the issue lies with the building not having adequate utilities and systems to accommodate an energy-intensive grocery store, and that the ownership has been unwilling to make those improvements and I guess Giant doesn't want to carry that cost either (or were perhaps under the impression that the landlord would be completing those improvements). I'm not sure what the way out of this detente is, short of the building changing hands or Giant deciding it's worth shouldering the costs, which perhaps makes the location pencil out as unprofitable. If memory serves, Eric Blumenfeld owns the building and there have been years of problems and fights with residents related to lack of maintenance.

All this is to say, I was glad to see Giant make a generic statement about their commitment to getting it done, because it is such an underserved location and would fill a crucial hole in the grcoery landscape. In the meantime, very pleased to see Riverwards opening a much larger second location in Old City. Similar to Queen Village, it's kind of mind boggling the neighborhood has developed and matured to its current state without any sizeable grocery option.

[Redddog]

Originally Posted by New2Fishtown

I've been fixated on the 2nd and South holdup as well, as it seemed like the location most in need of a supermarket when they first announced their city plans, and yet it remains stalled. I read somewhere - can't remember where, unfortunately - that the issue lies with the building not having adequate utilities and systems to accommodate an energy-intensive grocery store, and that the ownership has been unwilling to make those improvements and I guess Giant doesn't want to carry that cost either (or were perhaps under the impression that the landlord would be completing those improvements). I'm not sure what the way out of this detente is, short of the building changing hands or Giant deciding it's worth shouldering the costs, which perhaps makes the location pencil out as unprofitable. If memory serves, Eric Blumenfeld owns the building and there have been years of problems and fights with residents related to lack of maintenance.

All this is to say, I was glad to see Giant make a generic statement about their commitment to getting it done, because it is such an underserved location and would fill a crucial hole in the grcoery landscape. In the meantime, very pleased to see Riverwards opening a much larger second location in Old City. Similar to Queen Village, it's kind of mind boggling the neighborhood has developed and matured to its current state without any sizeable grocery option.

That place is gonna be awesome. I wonder how they'll make it work financially though. I'd had my eye on that building for years and they were asking an insane amount of money for it.

There are quite a few smaller bodega type shops around OC that have handled the neighborhood pretty well. I'm always amazed how much they have in Old City Market, even with their insane prices.

[Jayfar]

Originally Posted by Redddog

That place is gonna be awesome. I wonder how they'll make it work financially though. I'd had my eye on that building for years and they were asking an insane amount of money for it.

There are quite a few smaller bodega type shops around OC that have handled the neighborhood pretty well. I'm always amazed how much they have in Old City Market, even with their insane prices.

I assume you're referring to 146 Bread St. The location of the O.C. Riverwards Produce hasn't been officially announced, but people figured it out quickly from photo clues on their Instagram. A cool building, but it strikes me as being off the beaten path.

[PHLtoNYC]

Originally Posted by Raja

Those plans have been stalled for at least, like, four years. Last I heard (which was from a neighbor a year ago), the space apparently isn't wired properly for a grocery store and Giant has been in a dispute with Abbott Square about who's responsible for making the necessary upgrades.

Originally Posted by New2Fishtown

I've been fixated on the 2nd and South holdup as well, as it seemed like the location most in need of a supermarket when they first announced their city plans, and yet it remains stalled. I read somewhere - can't remember where, unfortunately - that the issue lies with the building not having adequate utilities and systems to accommodate an energy-intensive grocery store, and that the ownership has been unwilling to make those improvements and I guess Giant doesn't want to carry that cost either (or were perhaps under the impression that the landlord would be completing those improvements). I'm not sure what the way out of this detente is, short of the building changing hands or Giant deciding it's worth shouldering the costs, which perhaps makes the location pencil out as unprofitable. If memory serves, Eric Blumenfeld owns the building and there have been years of problems and fights with residents related to lack of maintenance.

All this is to say, I was glad to see Giant make a generic statement about their commitment to getting it done, because it is such an underserved location and would fill a crucial hole in the grcoery landscape. In the meantime, very pleased to see Riverwards opening a much larger second location in Old City. Similar to Queen Village, it's kind of mind boggling the neighborhood has developed and matured to its current state without any sizeable grocery option.

I never understood the mentality of a landlord keeping a space vacant rather than making an upfront investment, filling it with a great long-term tenant that will pay fair rent, and one that will benefit thousands of nearby residents... We all know this space will never be filled by anything other than a grocer, there is nothing to hold out for.

Greed certainly is an ugly trait.

And from what you both said, building / utility upgrades (within reason, which for a Grocer appears within reason) is generally the responsibility of the building owner.

But great to hear about Riverwards Produce opening in Old City, I was not aware of that. Much needed for the area.

[3rd&Brown]

Originally Posted by PHLtoNYC

I never understood the mentality of a landlord keeping a space vacant rather than making an upfront investment, filling it with a great long-term tenant that will pay fair rent, and one that will benefit thousands of nearby residents... We all know this space will never be filled by anything other than a grocer, there is nothing to hold out for.

Greed certainly is an ugly trait.

And from what you both said, building / utility upgrades (within reason, which for a Grocer appears within reason) is generally the responsibility of the building owner.

But great to hear about Riverwards Produce opening in Old City, I was not aware of that. Much needed for the area.

I'm not an expert, but have a bunch of friends in Commercial Real Estate. I've heard them talk about this enough times that I think I kinda understand the mechanism that reinforces this behavior among landlords.

I think the main one is that the value of the property (and thus the financing) is based partly on the commercial rents. If in the end you rent the space out for far less than was modeled in your financing, it in effect (on paper) reduces the value of your property.

Depending on how severe the difference, it could actually trigger a write down on the financing and cause you to have to come to the table with (money, more equity, etc). And depending on how levered you are (maybe you used equity in this property to secure another property, for example), it could cause an entire chain reaction that causes you to write down multiple buildings in your portfolio.

Thus, especially if the cash flow from the tenants on the other spaces or upstairs uses (apartments, office) covers the payment for the entire building, obviously you just continue as is carrying the space (empty).

[PHLtoNYC]

Originally Posted by 3rd&Brown

I'm not an expert, but have a bunch of friends in Commercial Real Estate. I've heard them talk about this enough times that I think I kinda understand the mechanism that reinforces this behavior among landlords.

I think the main one is that the value of the property (and thus the financing) is based partly on the commercial rents. If in the end you rent the space out for far less than was modeled in your financing, it in effect (on paper) reduces the value of your property.

Depending on how severe the difference, it could actually trigger a write down on the financing and cause you to have to come to the table with (money, more equity, etc). And depending on how levered you are (maybe you used equity in this property to secure another property, for example), it could cause an entire chain reaction that causes you to write down multiple buildings in your portfolio.

Thus, especially if the cash flow from the tenants on the other spaces or upstairs uses (apartments, office) covers the payment for the entire building, obviously you just continue as is carrying the space (empty).

But, what if a tenant (Giant) is willing to pay the advertised rent for a long-term lease but requested the owner pay for the utility upgrades in order to make the relationship work? Does a one-time investment outweigh the entire lease?

Just seems like the owner is playing hardball since I doubt Giant is playing games. Just from what I've researched on this situation.

[summersm343]

Renovation Work Makes Progress On Paper Factory Lofts In Norris Square

Renovation work is making considerable progress on Paper Factory Lofts at 173 West Berks Street in Norris Square, North Philadelphia. The building rises five stories tall, with certain sections rising to a height of six stories. The industrial building was formerly home a paper manufacturer, thus the project’s name, however this business has moved out of the facility. Now, developer Urban Conversions is renovating the building to hold 30 apartments. Interiors will span 28,000 square feet.

Read/view more here:
https://phillyyimby.com/2022/01/reno...ladelphia.html

[summersm343]

Construction Work Makes Headway On The Cecil At 1641-45 North 2nd Street In Olde Kensington

Rendering:

Construction work is making significant headway on The Cecil, a mixed-use development under construction at 1641-45 North 2nd Street in Olde Kensington, North Philadelphia. Designed by CANNOdesign and developed by R+M Development Partners and BKP Development Group, the building will rise five stories tall, with commercial space on the ground floor and 20 residential units above. Parking for building residents will also be included.

Read/view more here:
https://phillyyimby.com/2022/01/cons...ladelphia.html

[Mark in Mount Airy]

So here is an instance of someone I consider a relatively anti-development district Council person (Cindy Bass) actually advocating for a developer, and it is not a good look... Sigh. I think the only possible way this ridiculous councilmanic prerogative goes away is it the US Attorney's office steps in and announces it is going to thoroughly investigate councilmembers on development issues 24-7 until the practice goes away.

https://whyy.org/articles/germantown...ment-contract/

[summersm343]

Originally Posted by PHLtoNYC

Check it Out: Rendering of the Project Coming to 5th & Bainbridge

https://www.ocfrealty.com/naked-phil...5th-bainbridge

Big improvement.

Love it.

Current site:


Old rendering:


New rendering:


Read more here:
https://www.ocfrealty.com/naked-phil...5th-bainbridge

[summersm343]

Affordable Apartment Building Could Fill Lancaster Ave. Vacancy

4112 Lancaster Ave. in the past:


Current view of 4112 Lancaster Ave:


Project rendering:

Developers consolidated the properties back in 2018, and have been slowly moving toward a redevelopment plan that will add new retail, some density in the form of 37 units, and affordability to the block. The project has two names, Lancaster 41 and Estelle B. Richman Place, named both for the block where it’s located and a former Senior Advisor for the US HUD Secretary. It’s a fitting tribute to a person who has championed affordable housing for decades and also had a tremendous impact at PHA.

To be clear though, this is a private affordable housing development, not a PHA project. Developer Constellar Corporation will utilize Low Income Housing Tax Credits to fund affordable rentals, with rents ranging from $265 to $870/month. Four units will be for tenants making 20% of AMI, nineteen units will be for tenants who making 50% of AMI, and fourteen units will be for tenants making 60% of AMI. Haley Donovan, a firm that has done architecture work for several affordable projects in the past, is doing the design work here.

Read/view more here:
https://www.ocfrealty.com/naked-phil...er-ave-vacancy