Philadelphia Housing Authority to develop long-vacant Fairhill lot, benefitting low-income seniors

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The Philadelphia Housing Authority is working to bring 74 subsidized homes to a large vacant lot in the Fairhill section of North Philadelphia.

The proposed development will utilize city-owned land on the 100 block of East Clearfield Street. It calls for 61 deeply affordable rental units for older adults and 13 houses for low- to moderate-income residents.

The project comes amid an ongoing shortage of affordable housing for seniors. It is PHA’s first major development in the 7th District, an area where concerns about gentrification and displacement run deep.

“There is a need for deeply affordable units in the 7th, and we see the rapid movement of market-rate housing. So we’re building balanced communities, where anyone, regardless of their income, would choose to live,” said PHA President Kelvin Jeremiah.

The project is part of a broader strategy to build mixed-income developments across the city, particularly in neighborhoods where private development pressure is rising or already well established.

At the Fairhill site, the vast majority of the senior units will be one-bedroom apartments. To qualify, applicants must be at least 55 years old and earn between 20% and 60% of the area median income. That translates to between $16,720 and $50,160 annually for an individual.

The homes are expected to each have three bedrooms and start around $280,000. However, the sale price for each house will likely be much lower. PHA will offer applicants up to $50,000 in assistance for the downpayment and closing costs.

Additional subsidies, including those available through PhillySEEDS and the Housing Choice Voucher Program, could bring the final cost to below $200,000, Jeremiah said.

Applicants must earn at or below 80% of the area median income. That translates to $95,520 for a family of four.

“Residents for whom this applies have really excelled, and we’re incredibly proud of our residents who are moving up and out of public housing,” Jeremiah said.

The project does not need a zoning variance — permission to deviate from the law — to move forward. However, it does require consideration by the Civic Design Review committee. The advisory group, also known as CDR, includes architects and planners who provide feedback on proposed developments with more than 50 units.

That review is scheduled to take place on June 2.

On Wednesday, the project will be presented to the Seventh Ward, the area’s registered community organization. The group has expressed support for the development. City Councilmember Quetcy Lozada, whose district includes Fairhill, is backing it too.

In a letter submitted to the CDR, Lozada said the project “presents a meaningful opportunity for neighborhood revitalization.”

“By transforming underutilized parcels into a well-designed residential community, the development will enhance the streetscape, reinforce neighborhood character, and contribute positively to the long-term vitality of the area. Investments of this nature play a vital role in fostering equitable, sustainable growth that is responsive to community needs,” Lozada said.

PHA will seek Low-Income Housing Tax Credits, the country’s main mechanism for creating affordable housing. Typically administered by state housing agencies, the competitive subsidy is used by housing authorities, as well as private and nonprofit developers, to offset the cost of construction.

The agency, which has plans to bring more large-scale projects to the 7th District, expects construction to take 18 months.