In the last 10 years, Philadelphia has added over 8,000 new mixed-use apartments throughout the city. All these additions have turned the city into one of the leaders in a new national trend of “live-work-play buildings”. Around 40% of the units built in Philadelphia since 2012 have been dubbed as “live-work-play” buildings in which there is a mix of residential, retail, and office space within the same development. According to a report from RentCafe, the COVID-19 pandemic was a major factor in the recent developments of these mixed-use units, with people showing significant preferences to have all of their daily activities as close to them as possible.
Philadelphia Following the Trend
The number of mixed use “live-work-play” buildings around the country has grown substantially from around 10,000 units in 2012 to over 43,000 units in 2021. Philadelphia has become the city with the third largest amount of mixed-use residential buildings, only behind Manhattan, NY with 49% and Boston, MA with 42%. The top five cities round off with both Washington D.C. and Brooklyn, NY at 38% of both cities’ buildings since 2012 being built for mixed-use purpose. Philadelphia is set to add 3,301 more “live-work-play” residential units by the end of 2022, which will keep the city firmly in third place as one of the nation’s biggest cities to continue this trend. South Philadelphia has been the site at the heart of this “live-work-play” building trend, as development on the brand new Bellwether District set to create new neighborhoods with mixed-use units throughout.
Inflation’s Effects
While all of these spaces are being developed however, Philadelphia is suffering from a significant shortage of lower-income and affording housing. Both of these options are part of a downward trend as inflation has increased rent prices throughout the city. According to Redfin Corporation, the average rent price, as of July, was $2,439, which is over an 11% increase from 2021. These mixed-use units hope to help bridge the gap, and evolve cities into a new era with more options for consumers.
Bottom Line
As remote and hybrid work has grown more popular over the last couple years, these mixed-use buildings are likely to provide the convenience and comfort that all types of renters are looking for.
More information found in | “Philadelphia is one of the top cities for live-work-play apartments” | Sami Sparber
