MLS® ID: PAPH723506
125 SOUTH STREET
PHILADELPHIA, Pennsylvania, 19147 $1,200,000
A mixed-use redevelopment site located near Historic Head House Square in Society Hill. The asset currently has the first floor retail rented to The Wedding Factor with the remaining first floor space and upper floors poised for residential development. The current CMX-1 zoning allows for five residential units by-right without any parking requirement.Redevelopment projects have been highly sought after in Philadelphia and Society Hill is no exception to this trend, especially with large buildings and lot sizes that have become staples of this neighborhood. The property is currently zoned CMX-1 which allows for two additional stories (maximum height of 38~) to be added to the structure as well as a ~by-right~ density allowance for five residential units. Society Hill is known for having some of the most expensive residential real estate in all of the City, so it is likely that condominiums or apartments would receive a hefty premium for the location and proximity to Head House Square. This neighborhood has historically been one of Philadelphia~s most popular neighborhoods with overall occupancy rates above 98%. With extreme barriers to entry, there is a strong demand for new inventory in this neighborhood which has seen re-cent successful condominium and apartment building projects attract young professionals and empty nesters who prefer living in the city.The Wedding Factor is a boutique wedding dress store that has occupied this space for the past three years and recently extended their lease at a higher rental rate for an additional three years. This shop specializes in luxury wedding gowns priced up to $25,000 and offers in-house alteration services. The Lease carries an option for another three-year extension and there is a possibility the tenant would like to expand their square footage in the building. Having an in-place tenant is beneficial for a redevelopment project as it eliminates some lease-up risk upon project completion, helps obtain construction financing by showing existing cash flow, and helps reduce carrying cost during the construction of the project.125 South Street offers investors and developers a unique opportunity to acquire a by-right redevelopment project with existing income in the heart of one of Philadelphia~s most sought-after neighborhoods, Society Hill.