Schuylkill Yards

[Edward Rogan]

I'm curious to hear any thoughts on the planned development of Schuylkill Yards, with a projected investment of $3.5billion in U-City and West Philly to cover 14acres. Would it be a good idea to invest in properties in and around U City, given the plans for development? Or would the influx of new residential inventory reduce the demand for existing units?

[Sean McKenna]

@Edward Rogan I think a microcosmic example is playing out in Manayunk. Similar to UCity in that it's largely a rental market by occupants but with lower ratio of rent:own because you don't have the high rises. Regardless, Brian O'Neill is opening his Royal Athena (600 units allegedly) in July. That's the project visible from I-76 and across the Schuylkill from Manayunk (Development closer to the city). The other development, The Isle Apartments by Realen, will add 156 units to the Manayunk side of the Schuylkill (Development further from city).
By means of comparison there were 256 SFH sold in the past 365 days in the Main St/Ridge Ave/Parker Ave Triangle (TrendMLS).
Long story short, I too am curious to see what happens to values in the areas that surrounding these projects. We'll know what happens in Manayunk sooner than UCity.
My bet: values go up. For a multitude of reasons largely unrelated to Schuylkill Yards.
As to whether or not Philly can remain an attractive destination for investment projects of this scale... That's another thread.

All the best!

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