PHILADELPHIA (KYW Newsradio) — Philadelphia officials broke ground Monday on a development of 25 new affordable homes for purchase, the first being built under City Council’s Neighborhood Preservation Initiative.
It is a response to rising property values in parts of the city that were once reliably affordable, a haven for first-time homebuyers and long-time residents in moderate-income jobs or on fixed incomes.
Council President Darrell Clarke sponsored the bill in 2020, allowing a $400 million bond issue to finance various ways to keep affordable homes in the mix as housing prices rise.
Solutions have been varied. In the program’s first year, Council has spent $77 million subsidizing home repairs, alley tree removal, and clearing up more than 10,000 tangled titles, allowing people to remain in their homes.
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Now, Councilmember Kenyatta Johnson said in Council last week that they’re moving their strategy to create new homes.
“I’m really excited about this program, and we’re moving at a much quicker pace than I anticipated,” said Johnson.
“We recognize that in the midst of development, we do see taking place that we have affordable units for individuals that live in the city of Philadelphia regardless of their checkbook or their pocketbook.”
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The first 25 are in Johnson’s district, near 30th and Wharton streets in Grays Ferry. Each three-bedroom home will cost about $260,000.
“You’ll start to see a significant number of affordable homes coming online,” said Clarke, who added that Council hopes to build 1,000 homes by the end of next year.
Officials say the entire Neighborhood Preservation Initiative program is expected to produce a total economic impact of $2.5 billion.