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🏘️ Signs of slowing development | Morning Newsletter

And World Cup excitement ⚽.

Construction continues at 1 Dock Street (right) in Philadelphia on Monday.
Construction continues at 1 Dock Street (right) in Philadelphia on Monday.Read moreMonica Herndon / Staff Photographer

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Expect another rainy day and a high of 60.

Philly’s housing market is cooling, mirroring national trends. There’s less competition, but prices are still high and buyers now have the hurdle of high mortgage rates.

And now, the city is on track to see the lowest number of housing units permitted for construction in nearly a decade. Our lead story details how we got here.

If you see this 🔑 in today’s newsletter, that means we’re highlighting our exclusive journalism. You need to be a subscriber to read these stories.

— Taylor Allen (@TayImanAllen, morningnewsletter@inquirer.com)

The housing permitting slump comes after last year’s surge of more than 25,000 units of new housing approved for construction. That’s equivalent to several decades worth of new construction projects.

What happened: The answer is a mix of local policy changes and a rough economic climate.

  1. Federal reserve interest rate hikes hit home builders, and construction costs rose due to supply chain and workforce troubles.

  2. Developers raced to get permits by the end of 2021 to take advantage of the city’s 10-year tax abatement before a reduction took effect this year.

The result: Monthly permitting averages in Philly are off by about a third when compared to 2019 or 2020. The total unit count is projected to be the lowest since 2013.

Housing experts say it’s hard to disentangle any one factor from the others and note that while permitting is slower than last year, it’s still close to pre-pandemic norms.

Keep reading to learn more about what’s behind the slowdown.

What you should know today

  1. The loved ones of a young woman slain in a domestic shooting say the police didn’t do enough to protect her.🔑

  2. The Pennridge school board voted to scale back high school social studies requirements despite widespread opposition from teachers, students, and community members.

  3. Philly’s Rep. Brendan Boyle will become the top Democrat on the House Budget Committee.

  4. The Frankford High School baseball coach who was diagnosed with breast cancer and underwent a double mastectomy is now cancer-free.

  5. South Jersey figure skater Isabeau Levito is the only American to qualify for the women’s event of the Grand Pix Final.

  6. Local coronavirus numbers: Here’s your daily look at the latest COVID-19 data.

A room full of Morocco fans at a banquet hall in Northeast Philly broke out screaming and jumping up and down as they celebrated Morocco’s victory against Spain on Tuesday.

Arab teams have been performing better than ever at this year’s World Cup, defeating teams that are stronger on paper.

The victories are the source of immense pride and unity for Arabs of different nationalities scattered across the world and Philadelphia.

Notable quote: “When you play the World Cup in an Arab country, you have to show the world that yes, we are here and we’re going to do something special,” said Mustafa Laouine, who came to Philly from Morocco in 2019.

Keep reading for more reactions to Morocco’s victories at the World Cup.

🧠 Philly Trivia Time 🧠

Who will replace Jim Gardner on Action News at 6 pm?

A) Brian Taff

B) Rick Williams

C) Cecily Tynan

D) Tamala Edwards

Find out if you know the answer.

What we’re ...

🎵Considering: What’s next after the Philly Pops’ death. 🔑

🥃 Drinking: Craig LaBan’s picks for the best whiskeys of the holidays.

👀 Watching: The Trump Organization’s conviction of tax fraud.

🧩 Unscramble the Anagram 🧩

Hint: Thrift store

APHID SILLY

Think you know? Send your guess our way at morningnewsletter@inquirer.com. We’ll give a shout-out to a reader at random who answers correctly. Today’s shout-out goes to Lesley Czochor, who correctly guessed Doug Whitmore as Monday’s answer.

Photo of the Day

That’s it from me. I’m starting my day with a hot chocolate ☕. Thanks for starting yours with The Inquirer.