ZBA Greenlights 85 PHA Homes; Subsidized Rentals to Follow in 2028

Row of multi-story brick houses with porches and bare trees along a city sidewalk under an overcast sky

Philadelphia’s Zoning Board of Adjustment approved variances in late July and early August for the Philadelphia Housing Authority’s plan to build 85 affordable homes in Strawberry Mansion near 27th and York streets.

The project includes 55 fully subsidized rentals and 30 for-sale houses through the Turn the Key program, with construction on the ownership units expected to start in late fall and the rental phase slated later.

ZBA Clears PHA’s 85-Unit Plan in Strawberry Mansion

The buildout pairs 19 rental townhomes and a 36-unit apartment building with 30 single-family Turn the Key homes, plus a 15-space parking lot and a new PHA-run park.

The rentals and park cluster around the 2400 block of North Dover Street.

The for-sale houses are planned for North Newkirk, North Dover, and North 29th streets.

For context, see earlier reporting on the planned 85 affordable homes in Strawberry Mansion.

Variances Enable Multifamily on Single-Family Parcels

The board permitted multifamily construction on single-family zoned land.

It cleared a 36-unit building with one- and two-bedroom apartments, a community room, and a PHA management office, plus 19 three-bedroom townhomes.

All rentals are fully subsidized, with tenants paying no more than 30% of income.

The project advanced after the Zoning Board variance approvals in late July and early August.

Leasing and Pricing Signals for Nearby Rentals

Once online, fully subsidized units can draw interest from households seeking three-bedroom options.

That demand can influence leasing velocity for comparable stock nearby.

Market-rate pricing practices typically exclude subsidized units from comps, but operators should anticipate renter inquiries shifting toward income-based options when they deliver.

Turn the Key participants often pay around $1,400 a month for a three-bedroom, less than the median rent for a similar apartment, which can move some households from renting to ownership.

What Operators Should Watch Through 2028

The for-sale homes are scheduled to break ground first, with the rental phase expected later, shaping the timing of any leasing impacts.

Community friction over park partnerships and density persists alongside labor and elected support, and regulatory review and community testimony before the Zoning Board highlighted those tensions.

Planned open space, a 15-space lot, and street widenings around Dover and Newkirk may influence parking expectations and resident satisfaction.

Compliance and Financing Mechanics

PHA plans to use Low-Income Housing Tax Credits to offset construction costs, with applications expected in February and the rental phase targeted for the first quarter of 2028.

The on-site management office signals centralized oversight for income verification and resident services tied to the 30% rent cap.

For owners and operators nearby, the phased schedule and compliance profile set a clear horizon for monitoring supply, documentation needs, and neighborhood-level operating conditions.

New Age Realty Group, Inc. is a full-service real estate and property management firm based in Philadelphia.

With decades of experience in residential leasing and investment strategy, we work closely with clients to navigate the city’s evolving market.