Unexpected partnership brings new housing to Chinatown

Chinatown has little room to grow.

The Center City neighborhood is boxed in by the Gallery to the south and the Convention Center to the west.

Most construction is happening to the north of Vine Street, and most of that is for high-end housing.

But in a narrow elbow of vacant land, near the delivery entrance to the Gallery on Arch Street near Eighth Street, two nonprofit developers are moving ahead with plans for a nine-story, 94-unit apartment house.

It's a unique collaboration between the Philadelphia Chinatown Development Corp. (PCDC) and Project HOME, well-known builders of affordable housing that serve vastly different populations.

PCDC focuses on the economic livelihood and housing needs of Chinatown's residents. Project HOME helps homeless individuals with housing and other services.

A year ago, John Chin, PCDC's executive director, got an unexpected call from Sister Mary Scullion, cofounder of Project HOME, asking if he would want to collaborate.

"It was intriguing to me, just the idea of two CDCs [community development corporations], each with their own personalities, coming together," Chin said.

The partnership has moved quickly, receiving city planning and zoning approval as well as a commitment from the Philadelphia Redevelopment Authority to transfer the lot for a nominal sum.

"We're thrilled to be working with terrific partners on a project that will both serve vulnerable people and benefit Chinatown as a whole," said Brian Abernathy, interim executive director of the PRA.

In April, the project got major financial help when the Pennsylvania Housing Finance Agency awarded it low-income housing tax credits that will allow the group to raise about $18 million.

Foundations and donors, including local philanthropists Leigh and John Middleton, have contributed a combined $3.5 million.

That leaves about $1.5 million that the partnership still wants to raise, Scullion said.

"We're ready to go," Scullion said, adding that the partners expect to start construction by the end of the year.

Half the efficiency units will be reserved for elderly Chinatown residents, with the rest going to clients of Project HOME.

"The wait-list for affordable housing in Chinatown is dominated by seniors," Chin said. PCDC reports that 16 percent of the residents of the neighborhood - stretching from 13th to Eighth Streets and Filbert to Spring Garden Streets - are older than 65. Many live in substandard conditions, Chin said.

Project HOME, meanwhile, works to move people off the streets or out of shelters and temporary residences and into permanent housing with supportive services.

According to a citywide census taken in May, 494 adults were living on the streets; 2,114 more were in emergency shelters and 1,021 were in transitional housing.

Chin said it would be a "challenge" to manage such different populations at one location. But he was sold on the idea of collaborating with Project HOME after touring Connolly House, another Center City apartment house operated by the agency and located behind the Loews Hotel on Market Street.

"That just blew us away, how well-managed it was," Chin said.

The project at 810 Arch will be the second major effort for PCDC. The nonprofit also is developing a $70 million community center and apartment house that will set aside about one-fifth of its 143 units as affordable housing. Chin said PCDC was still finalizing financing for the Eastern Tower.

For Project HOME, the Chinatown project marks another step in the group's evolution. Twenty years ago, news of a residence for formerly homeless people was typically met with neighborhood resistance. Today, the group is welcomed as a partner.

Scullion said a Center City location was important for such vulnerable populations as the elderly and the formerly homeless. "It provides close locations for people for jobs, transportation, and health care," she said.