A surface parking lot has operated at the northeast corner of 5th & Bainbridge for decades, generally targeting tourists coming to South Street. Over the years, customers of this parking lot surely visited Grendel’s Lair, Zipperhead, Ripley’s, Tower Records, PhilaDeli, JC Dobbs, the TLA, Johnny Rockets, Lickety Split, and the list goes on. Just about all of those businesses are now gone, and the same can now be said of the aforementioned parking lot.

We first covered plans for this property’s redevelopment back in 2018. We told you to expect a six-story building with a Target on the first floor, parking on floors 2 and 3, and 48 apartments on the upper floors. At the time, we were lukewarm on the plan, preferring more density and less parking, but understood the thought process behind trying to maintain a parking feature for South Street. Alas, and probably for the best, this project never moved forward.

A new plan emerged for this property in 2022, with developer LCOR partnering with property owner EZ-Park taking a different approach. They increased their height to seven stories, with about 5,000 sqft of retail on the first floor, plus 35 parking spots. The plans, from Bernardon, indicated residential uses for the rest of the building, with a total of 157 units. So… less parking and more density. If only someone had proposed such a thing back in 2018.

While the new plans were a positive development, a worrying trend came into focus shortly after said plans came out. Interest rates started rising and the feasibility of mixed-use development in Philadelphia decreased. As such, we had some real concerns about whether this project would ever move forward. The parking lot continued to operate, providing a worthwhile service to local businesses but ultimately representing a dramatic underuse of a wonderfully located property.

In the interim, the development team changed for this project, with Alterra stepping in as the developer partner, bringing years of experience building these types of buildings. Earlier this year, the developers pulled a building permit, the parking lot closed, and construction got started in earnest. If you visit the site today, you’ll see elevator and stair towers rising and steel getting set on the first floor superstructure. Check it out!

At this rate, the project should be completed sometime in 2027. Not only will we be interested to see how the new building compares to the rendering, but we’ll also hold our breath as we await news of any interesting commercial tenants. It’s not like South Street is starving for new businesses, but anything that adds to the mix and gives folks one more reason to visit this corridor is a big win for the neighborhood. And let’s face it, even if the new businesses don’t knock our socks off, the elimination of a large and prominent surface lot will nevertheless give us the warm and fuzzies.