New study on historic districts counters claim preservation limits development, housing

For years, preservationists have countered claims that historic designation limits development and housing supply. Some neighborhood groups have gone as far as filing petitions to oppose new historic districts in Philadelphia on these grounds.

Until recently, there was little data to challenge these assumptions. That changed when the Preservation Alliance for Greater Philadelphia commissioned PlaceEconomics to study preservation’s impact in Philadelphia.

Although only about 5% of the city’s land and 4.4% of its buildings are listed on the Philadelphia Register of Historic Places — up from just 2.2% in 2016 — that expansion in designations shows how Philadelphia has begun to catch up with peer cities. This growth reflects both resident advocacy and the city’s expanded preservation capacity, which were spurred by efforts under Mayor Jim Kenney’s administration, including the convening of a Historic Preservation Task Force.

Historic districts are simply desirable places to live.

The new report produced striking findings that flip the old narrative on its head: that preservation constricts housing supply and reduces density.

In fact, the data show preservation supports growth and density. Population density in historic districts is 34% higher than in other neighborhoods, and housing units there grew 26% over the past decade, nearly triple the citywide rate.

The study also found that older neighborhoods are becoming more diverse, with preservation helping sustain racial and economic inclusion. Nonwhite homeownership in these areas is rising faster than in the city as a whole, a clear sign that maintaining older housing can open doors to opportunity, not close them.

It’s evidence that preserving the city’s older housing stock is a key component of Mayor Cherelle L. Parker’s H.O.M.E. Initiative to provide new affordable housing opportunities. Investing in these neighborhoods will support the growth of homeownership for Black and Hispanic populations.

Beyond the data, historic neighborhoods offer beauty, character, and a sense of place that newer developments often struggle to match. Built long before cars shaped our neighborhoods, these areas were designed for people: compact, walkable, and full of architectural variety. Their mix of rowhouses, corner stores, and small apartment buildings naturally creates the kind of density and vibrancy that newer communities struggle to emulate.

Moreover, many older neighborhoods were built at a time when transportation options were more limited, such as walking and transit, causing them to be more densely developed than later, automobile-oriented areas of the city. These neighborhoods were often built with a wide variety of housing types, including multifamily buildings that are inherently denser than neighborhoods of primarily single-family homes.

Historic districts are simply desirable places to live. And that attracts housing developers seeking to put up new housing, whether on vacant lots or on parcels containing “noncontributing” properties, which can be demolished under Philadelphia Historical Commission regulations.

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These and other new buildings constructed within historic districts in recent years have been subject to Historical Commission review to ensure they do not detract from the character of the historic districts in which they were built.

Preservation also fuels local jobs and investment. Philadelphia ranks among the nation’s leaders in historic tax credit projects, which, since 2010, have generated roughly 2,500 jobs and $141 million in annual labor income — a steady return that proves preservation is as much an economic strategy as a cultural one.

Historic districts are living, breathing neighborhoods that welcome both new housing and new residents. The findings from the latest study should put to rest some of the more persistent claims of preservation’s detractors.

Paul Steinke is the executive director of the Preservation Alliance for Greater Philadelphia.