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  #3921  
Old Posted Mar 25, 2024, 2:47 PM
New2Fishtown New2Fishtown is offline
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Originally Posted by skyhigh07 View Post
I dunno, I’ll take it. Both Dilworth Plaza and Love Park were pretty bad back in the day. The picture makes it look a lot better than it was.
Not for nothing, but in terms of ongoing user experience, LOVE Park is a city facility whereas Dilworth Park is managed and programmed by Center City District. So it's really apples to oranges in terms of capacity, budget, etc. Dilworth benefits from being overseen by a smaller and more nimble organization that has staff dedicated to corporate partnerships (Rothman Rink, etc) and curating events, as well as very methodically transitioning the plantings and the layout as the seasons change. LOVE is...seemingly about as well managed as any underfunded Parks & Rec facility.
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  #3922  
Old Posted Yesterday, 3:43 PM
cardeza cardeza is offline
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This is article about rent concessions being offered due to all the supply of new lux apts in Philly

https://www.bizjournals.com/philadel...ift-cards.html
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  #3923  
Old Posted Yesterday, 4:44 PM
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mcgrath618 mcgrath618 is online now
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Quote:
Originally Posted by cardeza View Post
This is article about rent concessions being offered due to all the supply of new lux apts in Philly

https://www.bizjournals.com/philadel...ift-cards.html
I know that there are practical reasons preventing this, but why not just... lower rent?
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  #3924  
Old Posted Yesterday, 5:13 PM
Redddog Redddog is online now
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Originally Posted by cardeza View Post
This is article about rent concessions being offered due to all the supply of new lux apts in Philly

https://www.bizjournals.com/philadel...ift-cards.html
Rut Roh.

In fairness, not a lot of people are moving around at the moment. The end of Spring would be a better time to tally this up.
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  #3925  
Old Posted Yesterday, 6:30 PM
PHLtoNYC PHLtoNYC is online now
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Quote:
Originally Posted by cardeza View Post
This is article about rent concessions being offered due to all the supply of new lux apts in Philly

https://www.bizjournals.com/philadel...ift-cards.html
Replying to your post, but not calling you out.

While the rental market may be in a temporary dip, the details don't paint a grim picture.
(I see this headline as keeping with the trend of all doom & gloom in Philadelphia, versus an actual informative measurement of the market)...

1. Per an article quote, during market equilibrium, 5.5% of buildings offer concessions, the current rate is 8.4%, also coming out of the slower winter months.

2. Concessions aren't a new phenomenon, and Philadelphia actually ranks on the low end of markets offering concessions (lower than hotspots like Atlanta, Nashville, Austin, etc.).
https://www.zillow.com/research/rent...essions-33386/

3. There are thousands of units coming online at nearly the same time in a relatively small geographic area, yet the overall rental vacancy rate in Philadelphia is still well under 10%. This is likely a brief period of higher vacancies/concessions while units are absorbed. By early 2025, the amount of units coming online will drop significantly and the market will have time to catchup.

4. Lastly, as the Ryland developer said, this is temporary and not really alarming.
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  #3926  
Old Posted Yesterday, 8:39 PM
3rd&Brown 3rd&Brown is offline
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Quote:
Originally Posted by mcgrath618 View Post
I know that there are practical reasons preventing this, but why not just... lower rent?
It impacts the accounting of revenue and thus the valuation of the building.

It's better to say you rented at a high value but offer a lower effective rent then at a lower value. Plus, a good number of your renters will stay on so when the concession expires, you in effect get a higher actual rent then you would if you locked them in at the lower effective rent then tried to raise to the higher rent in one step which is more likely to prompt them to move out.

It is obviously more effective this way or else they'd be doing it differently.
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  #3927  
Old Posted Today, 1:51 PM
BroadandMarket BroadandMarket is online now
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4045-61 Main Street

Looks like they'll fully demo one building and then incorporate facades of other stone/brick mill buildings. The historical report says it was a dye mill that operated from 1869-2021 and never reopened after Ida. Unfortunately, this is the best case for this end of Main Street. All of these buildings were under 6+ feet of water during Hurricane Ida. That wasn't the first or last time this area floods severely so the only way to move forward is build up with parking on the first floor.

https://www.phila.gov/media/20240326...lJ9nNJzaLCw3mL







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  #3928  
Old Posted Today, 1:59 PM
cardeza cardeza is offline
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Quote:
Originally Posted by PHLtoNYC View Post
Replying to your post, but not calling you out.

While the rental market may be in a temporary dip, the details don't paint a grim picture.
(I see this headline as keeping with the trend of all doom & gloom in Philadelphia, versus an actual informative measurement of the market)...

1. Per an article quote, during market equilibrium, 5.5% of buildings offer concessions, the current rate is 8.4%, also coming out of the slower winter months.

2. Concessions aren't a new phenomenon, and Philadelphia actually ranks on the low end of markets offering concessions (lower than hotspots like Atlanta, Nashville, Austin, etc.).
https://www.zillow.com/research/rent...essions-33386/

3. There are thousands of units coming online at nearly the same time in a relatively small geographic area, yet the overall rental vacancy rate in Philadelphia is still well under 10%. This is likely a brief period of higher vacancies/concessions while units are absorbed. By early 2025, the amount of units coming online will drop significantly and the market will have time to catchup.

4. Lastly, as the Ryland developer said, this is temporary and not really alarming.
I dont know that the article is attempting to sound the alarm- I know many of you push back on any remotely objective article that says anything other than there is unlimited demand for these apartments. I think the article is giving a balanced look at the situation- certain areas are seeing a potential glut of luxury apts and they are all going after the same renters in the same price points. It's not a catastrophe, but its likely going to take a while to sort out considering the close proximity of some of these projects. Overall, there is little to no population growth here so naturally there are only so many new apts that will comfortably be absorbed, especially when so much of the new supply is in one area of the city.
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  #3929  
Old Posted Today, 3:00 PM
PHLtoNYC PHLtoNYC is online now
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Quote:
Originally Posted by cardeza View Post
I dont know that the article is attempting to sound the alarm- I know many of you push back on any remotely objective article that says anything other than there is unlimited demand for these apartments. I think the article is giving a balanced look at the situation- certain areas are seeing a potential glut of luxury apts and they are all going after the same renters in the same price points. It's not a catastrophe, but its likely going to take a while to sort out considering the close proximity of some of these projects. Overall, there is little to no population growth here so naturally there are only so many new apts that will comfortably be absorbed, especially when so much of the new supply is in one area of the city.
Hold on now...

I don't think anyone here thinks like the bold (that I have seen).

Also, I didn't say the article, I said the headline/title. It is obvious that many Philadelphia publications push subjective or negative headlines, but the details of the actual articles are often non-news worthy, neutral, even positive, and often informative. I can share a dozen examples within the past month...

Yes, city population is down, but population in Greater Center City (and the Riverwards toward No Libs & Fishtown) is increasing, which is where most of the new construction is. It is not simple math, as in, population drops, why are we building?

I am not meaning to come off as dismissive, but I read the Inquirer and PBJ daily, and they both jump at any negative fluctuation in business, real estate, crime, etc., and lead with a questionable headline. However, maybe this wasn't the best example, but the Inquier has a similar (but more dramatic headline last week), which is why I called this one out.
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