Center City : Development News

On the 1600 block of Sansom Street, Pearl Properties is currently constructing an 8-story, 104 apartment building dubbed  "The Sansom."  It’s exciting news anytime a new mid- or high-rise construction project comes to town.  But the kicker in this project is the amount of parking the new development provides for future residents: 0. 

Low numbers like these don’t come that often with large scale residential projects in Philly.  And for good reason – it’s the law; the City’s current zoning code mandates 3 parking spaces for every 10 residential units of multi-family development projects like The Sansom (in certain overlay districts this requirement may not apply).
  
One of the problems with mandating so much parking in an urban environment is its cost, something developers incur and then pass off to potential buyers and renters. This drives up housing costs and prices out middle and lower income residents.  In high demand areas such as Center City, this means the richest among us are the only ones who can pay the additional price for parking.  Most of us simply can’t take on that burden.    

This is a problem.  Americans want to live in walkable places, but only a fraction can come up with the cash to do so.  According to a new study, the people fortunate enough to live in neighborhoods like Center City tend to also be the wealthiest among us. 

If the goal of Philly is to continue revitalizing our urban core, it does us no good if these areas become enclaves of the rich, banishing the rest of us to less walkable, less transit accessible parts of town.  Quite simply, we need more affordable housing in our walkable areas like Center City, and fast.      

One way to go about doing this is to develop like ‘The Sansom’ and forget the parking.  Poster child Portland, Oregon provides an example.  In that city, nearly two-thirds of their recent residential projects are being built without any parking spaces.  Thanks to years of investments in a robust public transit system and the City’s push to build without parking, a substantial increase in density and vitality in Portland’s downtown and nearby neighborhoods has been achieved.

It’s also led to cheaper unit costs in residential developments.  As one developer put it in a recent report, in Portland adding a parking spot to a unit is the difference between a $750/month apartment and a $1,250/month apartment.

In Philly, The Sansom is still relatively expensive due to its prime Rittenhouse location, starting at $1,895 for a one-bedroom apartment.  But other projects in less central neighborhoods like Graduate Hospital and Passyunk would likely see the most benefit from relaxing multi-family housing parking requirements.  While we can’t have it all and three spots for 10 units seems progressive enough, for now, making it even easier for developers to build without parking in the future would be a plus.  Or ensuring neighborhood groups and the ZBA don’t make developers jump through hoops to build no parking developments should be a goal.  Whether it be the City as a whole or a renter on his/her own, we can’t afford to do otherwise.

Writer: Greg Meckstroth

Come this September, Center City’s shopping scene is going retro with the opening of Bettie Page Clothing at 1605 Walnut Street.  The traditionally west coast boutique has seen incredible growth since opening its first store in Las Vegas five years ago, opening numerous additional stores in places like San Francisco, San Diego and, coming this fall, Philadelphia.

Based in Vegas, the boutique, backed by publicly traded Tatyana Designs, Inc. specializes in designs inspired by the 50s and the iconic pin-up queen Bettie Page.  Launched in 2007, the company has grown dramatically since, posting $8 million in revenue in 2011, with sales up 55 percent for the first five months in 2012.

Beyond the U.S., the Bettie Page Clothing brand has started to go global, with boutiques in 57 countries around the world selling its products. According to Jan Glaser, co-owner of Bettie Page Clothing, the line is very popular in Australia, Europe and Canada. 

The company has been looking to expand their global reach with an eye on the East Coast as its next venture.  With plenty of world class cities to pick from, the owners ultimately thought Philly was the clear choice for their first East Coast store.  “The residents are fashion conscious and urbane, with Philadelphia boasting a huge number of art museums, music venues, top flight restaurants and a merging of cultures from around the world,” comments Jan Glaser – co-owner of Bettie Page Clothing.

Lead designer Tatyana Khomyakova, shares this sentiment: "I think that my designs fit the 'Big city lifestyle.'  Ladies in Philadelphia like to dress up and be seen as feminine but with a definite sense of confidence. I try to portray that strength of femininity in the Bettie Page boutiques.”

Glaser and Khomyakova apparently mean what they espouse – Bettie Page has signed a 10-year lease at their new Walnut Street digs, signifying they are committed to making it work in Philly. 

The new Bettie Page store will be open in September, something Glaser in particular is looking forward to.  “This location has a special meaning for me,” he explains.  “I was born in Philadelphia and have always had a great fondness for this city.”             

Source: Jan Glaser, Co-owner of Bettie Page Clothing; Tatyana Khomyakova, Tatyana Designs, Inc.
Writer: Greg Meckstroth

Biking along Walnut Street is about to get a heck of a lot easier thanks to a new left hand, buffered bike lane that will soon appear on Walnut Street from 22nd Street to 63rd Street.  As it stands today, Walnut Street already has a right, curb side bike lane that serves parts of Center City and the biker-oriented communities of UPenn and Drexel.  But thanks to the efforts of the Bicycle Coalition of Greater Philadelphia, The Streets Department and the Mayor’s Office of Transportation and Utilities, the bike lane is getting a serious upgrade, just in time for the beginning of school.

The main crux of the improvement is found in its one-of-a-kind status:  the bike lane is the city's first buffered bike lane next to a parking lane, as opposed to Spruce and Pine and 10th and 13th, which are next to the curb line.  This will greatly affect students and other bikers who already utilize Walnut Street for their biking needs.  According to Nicholas Mirra of the Bicycle Coalition of Greater Philadelphia, users should immediately notice the differences. 

“It will eliminate conflicts with buses and traffic turning right on the Walnut Street Bridge to the Schuylkill Expressway,” he says. “It will also make the left turn from the 22nd Street bike lane easier for bicyclists. It should also slightly reduce conflicts with car doors since the bike lane will be next to the passenger side of cars.”   

While this leaves plenty for bike enthusiasts to be excited about, auto users, too, should be at ease over the planned improvements.  According to Mirra, the lane is being installed without the removal of a travel lane or parking. Space was made by simply narrowing the existing parking and travel lanes. 

Getting this improvement implemented was a relatively routine process and a refreshing example of cooperation at its finest. 

“The Streets Department and the Mayor's Office of Transportation and Utilities have been considering moving the bike lanes from the right side of the street to the left side of the street as part of the routine resurfacing of Walnut Street [which is currently underway],” says Mirra. “The Coalition met with them and proposed that there was enough road space to expand the bike lane.” 

In January, armed with this knowledge, the Streets Department approached PennDOT to incorporate the improvement into the resurfacing project, and they obliged.  Nine months later, this September, the bike lane will be open and ready for public use. 
 
While there are no anticipated existing bike lane improvements slated for 2012, Mirra hopes similar enhancements will be made in the years to come as other road resurfacing contracts are announced.

Source: Nicholas Mirra, Bicycle Coalition of Greater Philadelphia
Writer: Greg Meckstroth

Branding your city, whether through logos, trademarks or historical importance, helps convey a place’s cultural values, but is also essential in competing for desirable tourism and investment dollars.  When communicating this brand, the details matter, right down to the signage systems employed at neighborhood levels.  Philadelphia already has high quality, unified walking and vehicular wayfinding signage systems that were long ago established.  More recently, the Central Philadelphia Transportation Management Association (CPTMA), in partnership with regional transit service providers, set to increase visibility of and access to Philly’s multi-modal, regional transit system as well, and visually link it to the City’s existing wayfinding systems. 

CPTMA’s goal was simple: create a single brand of Philly’s transit systems by highlighting and unifying access to underground transit in Center City.  The ‘highlighting’ part has come in the form of visually intriguing, green back-lit “lollipop” signs that mark entrances to Philly’s 3.5 mile underground concourse system that links together the subway, trolley lines and regional rail.  The ‘unifying’ part has come in the form of the “lollipop” signs, but also information at the surface as to which train lines users can access at each stop; information about the Walk! Philadelphia and Direction Philadelphia sign systems that can be followed by pedestrians and cars; and below the surface, maps of the 3.5 mile underground concourse as well as attractions found above ground around each stop.  By the end of September, after years of implementation efforts, the signage system will officially be complete.

Selling the brand wasn’t always easy, according to Paul Levy, President and CEO of Center City District (CCD).  When CCD originally approached SEPTA and PATCO about creating a unified signage system to be shared by the two transit authorities, all parties were on board.  But, as Levy describes, neither party wanted to erase their individual identity.  Through a series of negotiations and back and forth conversations, the transit authorities and CCD eventually reached a compromise to retain each transit providers brand, but on unified physical signs.  Thus the green “lollipop” and associated directional signage came to be.  All parties: pleased; a unified brand: defined.    

Today, with nearly 90 percent of signs installed, Levy owes a great deal of thanks to a number of property owners and their “willingness to share the cost of installing the system adjacent to their buildings,” likely because they understood the benefit of the unified system.  And he hopes more potential partners will come on board in the future.  “We’ve shared the system with Temple, Drexel, Penn and the University City District and have encouraged them to extend it.” 

Source: Paul Levy, President and CEO of Center City District
Writer: Greg Meckstroth

The City’s latest One Percent for Fine Arts project was recently unveiled, this time featured on Carl Dranoff’s latest new construction project at Broad and South Streets.  LightPlay, created by artists Mags Harries and Lajos Heder’s, will adorn the Southstar Lofts – an 80-unit residential building with ground floor retail that promises to become a significant gateway to Center City for travelers from the south.      
 
While LightPlay was announced as the winner of the competitive process a while back – earlier this year the fixture was chosen through a selection process conducted by the One Percent for Fine Arts Program of the Philadelphia Redevelopment Authority from well over a hundred applicants nationwide – renderings were recently unveiled and the piece’s function has come into light.     
 
According to the artists, they wanted to complement the theatrical events and art schools in the neighborhood, all while creating a dramatic lighting effect through the use of vertical prism sheets.  “Working with light and shadow insures that the piece will be constantly changing, surprising and remain fresh,” explains Lajos Heder.  “The orientation of the Broad Street Facade facing directly west makes it remain in full shadow until mid-day and then in full sun in the afternoon.”
 
According to Dranoff, his team was looking for an art installation piece that hit home -- exactly what Heder and Harries delivered.  “The Avenue of the Arts is one of Philadelphia’s liveliest, most flourishing neighborhoods, and we were looking for a work of art that would showcase the streets’ vibrancy, and compliment the aesthetics of Southstar Lofts,” explains Dranoff, “and the installation created by Mags Harries and Lajos Heder exceeded our expectations and has captured the energy that radiates from the thriving mix of entertainment, dining and living offered on South Broad Street.”
 
The artists did not forget about one of the installations' main purposes: acting as a gateway to Center City.  To incorporate this function, they utilized the nearby subway stop and featured it in the design.  “The sidewalk in that area is very lively, lots of students passing by, people coming in and out of the SEPTA station. We wanted to make the arrival at the station and walking along the sidewalk more memorable.”  According to the artists, there will be a glazed canopy over the subway entrance using the same light refracting prism sheets that are being used on the building, protecting from the rain and creating a bright light event for passengers emerging from the subway.
 
Once complete, developers of the Southstar Lofts are promising improved urban vitality and more eyes on the street.  The artists behind LightPlay firmly believe their work will have transformative effects as well and “enhance the urban environment and make better places for community activity.”  With lofty ambitions in front of them, Dranoff and company look to break ground in October, with an expected completion date of late 2013, although that has not been officially confirmed. 

Source: Carl Dranoff, Lajos Heder
Writer: Greg Meckstroth

Much has been said about major infrastructural changes recently undertaken around the Schuylkill River, University City, and surrounding environs.  Recent projects such as the new Grays Ferry Crescent Park, the Porch at 30th Street, continued trail connections along the Schuylkill Banks, and the Walnut Street Bridge Enhancement have made dramatic improvements, in very big ways, towards better physically and emotionally connecting Center City to its westerly neighbors.  The Atlantic Cities has taken notice, recently praising the Philly for its efforts at the Porch, taking space previously promised to automobiles and turning it over to pedestrians. 

With major projects funded, the City is now hammering out the details along the river to improve aesthetics and overall quality of life.  A recent example comes to us from the Schuylkill River Development Corporation (SRDC) and Philadelphia Parks and Recreation, who plan to landscape the west side embankment of the Schuylkill River along I-76 between Chestnut and Market Streets.

Improving quality of life is the name of the game for this development.  “The traffic on I-76 produces an audible and visual intrusion on Schuylkill Banks. This is especially true in the area of Market Street. The hope is that this would alleviate some of the noise and partially hide the traffic,” explains Lane Fike, Director of Capital Programs with SRDC.  “The area from Market to Chestnut has a concrete slab that offers an opportunity to install planters and screening.”

The group’s plan goes beyond screenings and plantings though, and includes sustainability and beautification measures such as green roofs and green wall features, planters with native trees, shrubs and meadow grasses and walls for climbing vines.  SRDC hopes these improvements will create a more pleasant vista and experience from the Schuylkill Banks across the river while creating a new habitat for migratory birds and other urban wildlife.     

While not as glamorous as the recent major moves, and likely not worthy of the Atlantic Cities’ attention, this smaller ticket item, and others like it, stand to have a big impact for the people who actually use the river corridor on a daily basis: residents.     

On a broader scale, small moves like this mean a lot, especially when you take a step back and look at how public spaces represent the city they reside in.  Finessing the details not only shows a desire to improve quality of life, but implementing excellence to the last detail shows the value system of a city, something Philadelphians should be proud that our civic leaders are rightfully expressing along the Schuylkill River.

A start date for the project has yet to be determined, but state funding is already lined up and Pennoni Associates is already developing schemes and putting together designs to meet expectations.  Once underway, construction should take about 3 months to complete. 

According to Fike, expect similar, smaller scaled improvements along the river in months and years to come.  “If the project proves to be successful, other areas along I-76 could be considered for treatment. However, because of varied existing conditions, treatments other than planters and screening may have to be investigated.” 

Source: Lane Fike, Schuylkill River Developmet Corporation
Writer: Greg Meckstroth

The Philadelphia hospitality sector is having a big year – a really, really big year.  During the first six months of 2012, Center City hotels reveled in a state of 75% occupancy – the highest clip of any year dating back to 2000 when data became available.  And with new hotels opening up seemingly every few months, additional arrivals in the pipeline and record daily rates being met, outside investors are taking a second look at the City of Brotherly Love, something local boosters welcome with open arms. 

A number of factors are contributing to Philly’s record numbers, all of which seem to have serendipitously come together at once.  “Philadelphia is an overnight sensation,” explains Meryl Levitz, president & CEO, Greater Philadelphia Tourism Marketing Corporation (GPTMC), who believes a lot of public and private investment in the leisure and hospitality market are finally paying off.  “People began believing in hospitality as they saw its effects. Now we have partnerships with universities, law firms and other corporations who see it as an advantage to promote Philadelphia to their audiences.”

Since then, Philadelphia has been reaping the benefits, seeing record visitation (38 million domestic visitors in 2011), increased marketing efforts nationally and internationally, and better restaurants, museums, attractions and activity. 

The cause-and-effect relationship at work here is simple, explains Levitz.  “With more attractions, more marketing and more conventions comes more hotels -- and they bring national advertising and national reservation systems. The same holds true with airlines.  Virgin America and Alaska Airlines are the latest to start bringing business into PHL.” 

To keep with momentum, Center City hotels have, at once, all seemed to improve themselves as well.  Notable examples of this include the landmark Latham Hotel which reopened after a total renovation of all 139 guestrooms and lobby, the rebranding of the Crowne Plaza into the Sonesta Hotel Philadelphia, and the Sheraton Society Hill Hotel’s full overhaul, all completed within the past few months.

What does this all mean in terms of economic development for Center City and the region?  According to Levitz, there are billions of answers to this question.  “In 2011, the Greater Philadelphia tourism industry generated $9.34 billion in economic impact, an increase of 7.5% from 2010,” adds Levitz “this equates to visitors generating an economic impact of $26 million a day.”   Plus, all of this spending supports 86,498 jobs, with a total paycheck of $2.85 billion.  

That’s big numbers for Philly and GPTMC, who hopes to keep the hospitality market humming.  Levitz believes to do so is imperative for a higher quality of life in Philly.  “The success of the hospitality market touches so many aspects of life that residents care about—culture, transportation, dining.  It boosts the intangibles, like the city’s image, and optimism about the future.”

With the addition of the boutique Hotel Monaco Philadelphia in October and Home2 Suites Philadelphia next year, it seems the future has never looked better.   

Source: Meryl Levitz, GPTMC
Writer: Greg Meckstroth

At 21st and Bainbridge in Graduate Hospital, a sinkhole now sits where a water main break occurred over two weeks ago, revealing an impressive array of underground utility layers, yet representing unfortunate issues with Philly’s aging water pipes.  Adding insult to injury, four more water main breaks have since occurred across Philly, leaving many to wonder just how serious the City’s aging infrastructure problems are. 

When disruptions like this occur, they act as a wakeup call to the importance of sound water utilities in our day-to-day lives.  And on a broader scale, they showcase the need for collective investment in our city’s infrastructure to ensure high quality of life for residents and competitiveness in a modern economy.  In this regard, Philly leads the way on a number of fronts yet falters in others. 
 
It Happens: Water Mains Break
 
Wondering why water main’s break to begin with?  Blame the hot temperatures, says Joanne Dahme, Philadelphia Water Department's (PWD) general manager of public affairs.  “For larger pipes, such as transmission mains, it’s the warmer water temperatures inside the pipe that causes the pipe materials to expand. Couple this with higher water usage in the summer and we see additional stress on the pipe,” she explains.  This summer’s particularly hot weather is the likely culprit for the additional stress on the mains. 
 
But main breaks in Philly can also be explained by the infrastructure’s age: being one of America’s oldest and earliest developed cities, the condition and efficiency of its infrastructure requires constant attention and maintenance.  According to Dahme, the average age of water lines in Philly is 67 years old, with typical life expectancies of 100-120 years.  Some pipes in and around Center City date back to as early as 1824.  The age factor, coupled with the sheer amount of water mains in the City (over 6,000 miles of water, sewer, and stormwater pipes mains exist in Philadelphia proper) and you’re going to see water mains break.  It’s science.
 
Something needs to be done
 
For years now Philly has recognized the need to upgrade its aging utilities for a number of reasons beyond the recent wave of water main breaks.  On a national scale, as populations continues to urbanize, water utilities have been faced with new environmental, demographic, and financial challenges.  As these trends accelerate, at stake are safe and affordable water supplies; proper storm and wastewater treatment; flood protection; and clean rivers and streams.  From a stormwater mitigation perspective, Philadelphia already has done quite a lot.   
  
A Local Example has Become National Model for Improving Infrastructure

In recent history, the Philadelphia region was at a major crossroads: in sight of degraded waterways and under very real budget constraints to do much about it, the City then faced potentially budget-crippling mandates from state and federal governments to upgrade and improve its old sewer systems.  Enter the Green City, Clean Waters initiative, Philadelphia's 25-year plan to protect and enhance watersheds by managing stormwater with green infrastructure.

Instead of building its way out of the problem through the construction of costly underground infrastructure and utilities, through the Green City, Clean Waters initiative, the City used the mandate as an opportunity to plan for and implement innovative ‘green’ techniques on a citywide scale.  The way the City saw it, greening strategies invests public monies in a much smarter way and stands to benefit residents through increased open space, all the while meeting ecological restoration mandates. 
 
Through a fleet of watershed planning initiatives, natural habitat restoration, greening out those pesky grayfields, and the largest Green Stormwater Infrastructure Program this country has seen, Philly has been fighting the good fight for a more sustainable future, saving billions in the process.
 
To date, all of the planning has turned into tangible results: over 200 improvements have been implemented across the City, ranging from stormwater tree trenches, porous paving projects, green roofs, wetlands, rain gardens, and a host of other green improvements.  All of these tools do two things: meets federal mandates through reducing runoff volume and filter pollutants before entering the combined sewers and helps solve the city’s aging infrastructure by reducing strain on the system.    

Nationally, Green City, Clean Waters has been lauded for its vision and action-oriented progress.  The fight has become a national model for how cities can use these policies to combat budget and environmental constraints.  Locally, it is a reminder that investing in infrastructure is a must but that it doesn’t have to break the bank and can be completed in smart, innovative ways.

Similar Thinking Needed on Water Mains

PWD has recently started using a new technology for leak detection on its larger system pipes, and plans on expanding this program in the future.  This joins extensive leak detection and quality protection measures already in place to ensure a high level of service while minimizing the amount of main breaks. 

And despite the recent outbreak, Dahme suggests that PWD’s efforts are working.  “In the past year (July 1, 2011 to June 30, 2012), Philadelphia experienced its third lowest number of main breaks,” she notes.  On top of this, Dahme says the city is well below the national average for main breaks.  “There are roughly 240 breaks per 1,000 miles of water main pipe in the city.  The national average from the American Water Works Association is 270 water main breaks per 1,000 miles of pipe.” 

But as the sinkhole at 21st and Bainbridge continues to fester, it acts as a reminder that we must collectively invest in our public utilities now, or risk pushing more expensive fixes onto future generations of Philadelphians.  Considering that current demographic trends point towards the City adding population over the coming years, causing increased strain on water mains- the time to invest is now.  Dahme believes that to do otherwise could be catastrophic to the budget, ratepayers, and the City’s ability to properly function in a modern economy. “The more infrastructure dollars we have - through rates or federal grants - the more we can positively impact our future.” 

Source: Joanne Dahme, Philadelphia Water Department
Writer: Greg Meckstroth

Market West is best known for its skyline defining office buildings such as the Comcast Center, the Mellon Center, and Three Logan Square.  Bustling by day with the 9-5 crowd, the area is also known to empty out by night as restaurants close up and office workers leave for home.  But flush new construction, high-end condos and apartments and even a relatively new Trader Joes, the area is quickly redefining itself as a 24-hour urban neighborhood. 

As of late, adaptive re-use projects have hit their stride, converting old office or hotel uses into residential apartments.  Developed by 806 Capital and Federal Capital Partners, The Arch, located at 1701 Arch Street, is the latest, and perhaps most impressive, renovation story Market West is telling.  Formerly known as the Robert Morris Building, the historic, beautifully ornate, gothic building is a true showstopper. 

Built in 1914 by the hotelier Rutherford Jennings, the building was later used for housing and academic purposes by the Philadelphia College of Bible.  Eventually, the structure was used to hold offices until 2007, when 806 Capital bought it, emptied it out, and planned to convert it into a hotel.  But when the recession went south, so too did 806 Capital's plans for a hotel.  Once Federal Capital Partners stepped in, a new vision was born, bearing the fruit of an apartment re-use story being told today.    

The 111 new apartments that now encompass the structure will enjoy all the grandeur of an historic building: refurbished domed ceilings, marble staircases, and terrazzo floors.  The units themselves range from$1,349 to a loftier $2,900, likely for one of the two-bedroom penthouses that have unparalleled views of Center City. 

If pre-leasing is any indication, it appears the market continues to be strong in Market West: according to Christy Metz, Director of Sales & Marketing for Scully Company, which is leasing the apartments. The Arch, she says, is now 70 percent leased and construction is ongoing.

"It’s exciting that this hot new property is leasing up as faster than we have apartments for people to move into, so we’re confident that the building will be sold out before the construction is complete," Metz says.

This success could be a result of targeting a wide audience and offering a fairly large price range in the apartments.

“Residents are from every walk of life and age range," Metz says. A grad student may be a neighbor of empty nesters, a leading corporate executive or even a small family. Tenants are not only attracted to the charm of the original details and modern amenities at The Arch but also the convenience and location.”

The first residents have already moved in, and more will be moving in soon, signifying the end to The Arch's renovation story.  But on a larger scale, The Arch is just one of many integral parts of Market West's transformation and rejuvenation story, much of which has yet to be told.   

Source: Christy Metz, Scully Company; Lorraine Gimblett, The Arch PR representative
Writer: Greg Meckstroth