HUD Helps Transform a North Central Philadelphia Neighborhood

HUD Deputy Regional Administrator Brenda Laroche (left) joins Philadelphia Mayor Michael Nutter, Councilman Darrell Clark and other partners in cutting a ceremonial ribbon to celebrate the completion of the final 33 homes in the Cecil B. Moore Homeownership Zone.

What does it take to revitalize a blighted neighborhood with one of the highest rates of poverty in Philadelphia? With over $80 million in public and private investments, a 16 acre area with 60% vacant buildings in North Central Philadelphia is now a beautiful, vibrant community.

"HUD is proud to be a partner in the revitalization of a severely distressed neighborhood into a stable vibrant community," said HUD Deputy Regional Administrator Brenda Laroche. "This project shows us that it takes time, but it can be done with vision, commitment and a concentration of local, state and federal government resources.

That was the sentiment shared by many at the October 13, 2010 ceremonial ribbon cutting to celebrate the completion of the final 33 homes in the Cecil M. Moore Homeownership Zone, a cornerstone in the revitalization of North Central Philadelphia. Altogether there are nearly 300 affordable new homes in this formerly blighted area.

"Today marks a significant milestone for this neighborhood. Over the past 15 years, it has been transformed into a sustainable, safe and vibrant community. The partnership between the city, state, and federal governments, the private and nonprofit sectors, and community advocates has ushered in a new era in this North Philadelphia neighborhood," said Mayor Michael Nutter.

The Cecil B. Moore Homeownership Zone was created to provide affordable homeownership opportunities and to redevelop North Central Philadelphia. The Twins at Oxford Commons, where the ribbon cutting was held, was the third and final phase of the Homeownership Zone which totaled 151 new homes. The Twins at Oxford Commons was done in three stages: Stage 1 consisted of 64 homes; State 2 consisted of 54 homes; and the just-completed Stage 3 consisted of 33 homes.

The final stage of the Twins development was made possible with $260,000 in city capital funds. HUD funds disseminated through the state and the city totaled $1.5 million. The Pennsylvania Housing Finance Agency invested $1 million and $3.6 million is being financed through proceeds from the sale of the homes. The Cecil B. Moore Homeownership Zone's first two phases received a $23 million dollar award from HUD. The funds were awarded as part of HUD's pilot Homeownership Zone program, which was created in 1997 to help turn blighted inner city areas into thriving neighborhoods.

The new homes are two-story twins with front lawns and large rear yards. Approximately 15 of the homes in the Twins are accessible to people with disabilities. They feature energy-efficient HVAC units, modern kitchens and private driveways and garages. Trees and walkways are located throughout the development for a sense of walkability and a clean, green environment. All the homes are located within a one mile radius of a recreation center, schools, police and fire station, library, grocery store, retail shops and entertainment centers.

The units are priced at $110,000. At least half of the units will be sold to families with incomes at or below 80% of area media income (AMI). For example, a family of four has to have an income of $62,650 per year to be eligible for 51% of the units. The remaining units are for sale to those with incomes up to 115% of AMI. So a family of four would earn $90,045 to be eligible for the rest of the units.

"This is a significant development that has made a huge impact in North Central Philadelphia," said Deborah McColloch, director of the Office of Housing and Community Development. "I am delighted with outcomes - quality affordable housing and a positive economic impact on the community."