Development News

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

If the Philadelphia region undertakes efforts to improve energy efficiency in buildings, $618 million in local spending would be spurred and 23,500 jobs would be created.   This according to Christine Knapp of the Energy Efficient Buildings (EEB) Hub in the Navy Yard, who believes the strategies and programs they are currently conducting could have a transformative effect on Greater Philadelphia's economy. 

The EEB Hub was established in Philadelphia by the U.S. Department of Energy (DOE) with a $129 million grant as an Energy-Regional Innovation Cluster in early 2011 with a mission of improving energy efficiency in buildings and promoting regional economic growth.  According to Knapp, the creation of the government-led Hub was necessary because the building systems market simply has not been improving in efficiency standards on its own.  And considering the building sector accounts for 40% of total U.S. prime energy expended and 70% of all U.S. electric energy used, improving building efficiency standards is seen as a must by the DOE.
     
But landing the Hub was not an easy task and took numerous stakeholders and a lot of coordination to put together the winning proposal.  “A consortium of academic institutions, industry partners and economic development groups, led by Penn State, submitted a proposal to house the Hub at the Navy Yard in Philadelphia, which was ultimately the winning proposal,” explains Knapp.  She also believes locating the Hub at the Navy Yard was a key factor to the proposal’s success, since the land is seen as one of the nation’s largest and most dynamic retrofit and redevelopment opportunities.    

The Hub is made up of research teams who are a rather ambitious bunch.  According to Knapp, their main, and seemingly lofty goal is to reduce energy use in the Greater Philadelphia commercial building sector by 20 percent by 2020, an undertaking that will create thousands of jobs for Philly. 

The Hub is already leading by example with two demonstration projects.  Building 101 in the Navy Yard serves as a testing site for energy research, where data is collected and assessments are made of the impact of building energy technologies and systems on energy use.  Then there’s the advanced energy retrofit living laboratory in Building 661 of the Navy Yard. Once renovated, the building will host EEB’s headquarters and serve as an example for future advanced energy retrofit projects in the region.

There is already evidence that EEB’s efforts are already yielding real jobs.  Relationships made between EEB and a local manufacturing business, Rhoads Industries, and their desire to retrofit the company’s Navy Yard buildings caught the attention of US Green Energy (USGE), a Virginia-based startup company that is manufacturing new types of solar roofs. 

Through a series of meetings about Rhoads' roof needs, USGE eventually agreed to open manufacturing space of their own in the Navy Yard, bringing an estimated 20 new jobs to the region.  USGE has since indicated that they have contracted for further technical work on their product and are actively pursuing research funding for more work.

With benchmarked results in tow, EEB plans an all-out assault on the local building industry to promote what they are doing to get the word out about building efficiency.  According to Knapp, this has started with identifying the necessary parties involved to move the conversation forward.  “The EEB Hub is engaging key stakeholders- from building owners, to retrofit suppliers to workforce trainers and policy makers- in the retrofit decision process to serve as an informational, motivational, and practical resource for the various constituencies that will help carry our vision forward.”

Already well underway, expect a variety of workshops, seminars, presentations, and webinars to continue for the next few years.  From these efforts, the EEB Hub can successfully develop market-ready technologies, information, and people needed in the marketplace to drive energy retrofits forward, create demand, and deliver on energy savings.  And if the success behind the Rhoads-USGE collaboration is any indication, expect EEB's efforts to more than deliver on job creation over the next 10-20 years.    

Source: Christine Knapp, EEB Hub
Writer; Greg Meckstroth

On July 10, after 15 years, 11 months, and 1 week, New Jersey's own Flying Fish Brewery officially shut down production at its Cherry Hill digs in preparation for their move into a new high tech brewery in Somerdale, Camden County.  The relocation quadruples the brewery’s size and will allow them to meet demand, something they haven’t been able to do in Cherry Hill.  Driving this demand are a number of specialty brews the company has become known for over the years, none moreso than their popular “Exit Series” brews that are named for New Jersey Turnpike exits.   

After announcing their move late last year, the brewery has been busy building out their new space, with efficiency and sustainability in mind.  First off, according to he building is a great example of adaptive reuse.  "It was built in the late 1960s and was originally a pressing plant for Motown records," explains owner Gene Muller.  Plus, the building is outfitted with a solar panel farm on the roof that will supply a good portion of the structure's electric.  Rain gardens have been installed on the grounds and will capture 15% of the storm water off the roof and funnel it to the garden, allow it to slowly seep into the water table instead of running into the nearby Cooper River.  "Everything with the building has a focus on sustainability," Muller suggests.   

Other site features include a state-of-the-art 50 barrel German-manufactured brewhouse, 150 barrel fermenters, and upgrades in virtually every aspect of the brewery.  Comparatively, the Cherry Hill brewery only contained 25 barrels and 50 barrel fermenters.   

Once Flying Fish is up and running, owners have indicated plans to reinstate their popular brewery tours.  Muller isn't sure when the tours will start up again, but says "not before October" due to impending legislation regarding strict state laws limiting how companys like Flying Fish can sell alcohol.  For example, laws, some of which have been on the books since Prohibition, state that New Jersey microbrewers are not allowed to offer product samples outside their brewery, something Flying Fish and other believe has to be amended.

Recently, the company has been active in getting these laws repealed, and supported a bill that just passed in the New Jersey state legislature.  It now sits on Governor Christie’s desk, awaiting his approval.  The way Flying Fish sees it, passing this bill will help small brewers improve tourism opportunities and cut needless red tape that hinders their ability to expand in the future.  And perhaps more importantly, Muller indicates if the legislation passes, more jobs will be created too.   "If it passes, we would hire staff so that we could be open to the public for tours several days a week."  

Writer: Greg Meckstroth
Source: Gene Muller, Owner, Flying Fish Brewery

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

Thanks to community activists and the New Kensington CDC, the Kensington Soup Society, at 1036 Crease Street, is now listed on the Philadelphia Register of Historic Places. The designation is the latest example of a successful bottom-up approach to preservation where community members have driven the process forward, completed the labor-intensive work and research, and submitted appropriate documentation to the Philadelphia Historical Commission. 

According to Ben Leech, Director of Advocacy with the Preservation Alliance for Greater Philadelphia, those involved with the nomination process asked for the Preservation Alliance's help to drive the process forward. "We ran a 'How to Nominate' workshop in Fishtown last year, and this was one of the buildings identified by the community as being a priority for designation," said Leech. "We then helped the New Kensington Community Development Corporation complete the nomination, which was reviewed and approved by the Historical Commission in March of this year."

The history of Soup Societies is particularly pronounced in Philadelphia where, in 1805, a man by the name of James Ronaldson opened the Southwark Soup Society. It was the first charity of its kind that fed the "deserving poor" and became the model for modern soup kitchens. In time, soup societies became important community anchors in working-class neighborhoods across Philadelphia. The Kensington Soup Society, erected in 1870, was the city's longest-running soup house until it closed in 2008. It is one of the last surviving soup kitchen buildings left in the city, and was the only one not already listed on the Philadelphia Register.

According to Leech, the Kensington Soup Society building is now better equipped to celebrate its storied tradition and continue its role as a community anchor for years to come. "The building's inclusion on the Register will ensure that redevelopment will be sensitive to the historic character of the building's exterior features, and will not regulate use or interior alterations."

While Leech is currently unaware of any immediate redevelopment plans for the site, if future plans involve apartments or other income-generating uses, listing on the Register could help finance historically sensitive rehabilitations. But for now, residents can rest assured their architecturally and culturally significant Soup Society will not face the wrecking ball anytime soon.  

Source: Ben Leech, Preservation Alliance for Greater Philadelphia
Writer: Greg Meckstroth

A new report released by the Brookings Institution shows that Philly's access to jobs via public transit is relatively strong, but could be better. 

Brookings' study of 371 transit providers in the 100 largest U.S. metropolitan areas showed that nearly 75 percent of jobs in the country are accessible via public transportation.  Philly outperforms the nation in this category, with 80 percent of jobs in areas with public transit service.  This ranks Philly as the 22nd best performer overall, behind regional counterpart New York City yet ahead of Baltimore.    

But the region does considerably worse when looking at the labor access rate, with just over 22 percent of the population being able to reach their job within 90 minutes using public transportation.  This ranks the region as 54th best and is below the national average of 27 percent.  This shortcoming points to greater issues regarding transit provision, job concentration, and poor land use patterns. 

Philly's numbers were right on line with the average transit coverage in the Northeast, but fell behind Western cities such as Seattle and Los Angeles, where average coverage rates hovered around 86 percent.  The southeast metros scored the worst, with average coverage rates of 67 percent. 

While results by region varied significantly, when you break down the numbers and pit city vs. suburb, a clear national trend appeared:  urban cores have significantly higher transit coverage and jobs via transit than suburban areas.  And Philly isn't prone to this issue; whereas the city has 100 percent transit coverage, the suburbs stand at just above 74 percent.  While nearly 44 percent of city residents can get to work via transit in less than 90 minutes, only 14 percent in suburban locales can. This difference is the 10th highest among the nation's metros.     

And as more and more jobs suburbanize, this poses real problems for regional economic development as well as equitable access to decent jobs.  "The suburbanization of jobs obstructs transit's ability to connect workers to opportunity and jobs to local labor pools," the study noted. "As metro leaders continue to grapple with limited financial resources, it is critical for transit investment decisions to simultaneously address suburban coverage gaps as well as disconnected neighborhoods."   

More could be done to improve transit coverage in suburban areas, something that would prove financially burdensome given their sprawly land use patterns.  Instead,a regional focus needs to be brought to the importance of transit-oriented development, encouraging mixed-use development, and centralizing job pools to better promote the enormous transit assets Philly already has.