Rents in the city continue to grow, and University City is one of Philadelphia’s most expensive areas to rent in, according to recent reports. In its last month’s report based on the data from real estate company Zumper, Philly.com writes that the average one-bedroom rental is $1,800 per month in the area, making it the second most expensive neighborhood in the city (Logan Circle is first). This is a 14 percent increase from February 2016.

However, it’s important to clarify that the report defines University City as the area between 40th Street west to the Schuylkill River east, which includes the University of Pennsylvania and Drexel University campuses where some of the city’s most expensive high-rise apartment buildings were built over the last few years. 

University City District boundaries, currently between 52nd Street and the Schuylkill River, are determined by the University City District nonprofit organization in conjunction with the City of Philadelphia. Here’s the rent average across some other West Philly/University City neighborhoods, according to Zumper’s data: Spruce Hill – $1,020; Cedar Park – $1,080; Southwest Cedar Park (south of Baltimore Avenue) – $930; Walnut Hill – $950; Mantua – $900. Rents in West Powelton have increased to $1,030 per month and are now higher than in Powelton Village ($990). This may be due to new apartment building construction projects in the neighborhood that are geared toward students, which allows property developers to hike the prices.

The report doesn’t show rent data in smaller neighborhoods, such as Garden Court, where property developers acquired some apartment buildings and increased rents last year.

Three years ago, West Philly Local contributor Annamarya Scaccia reported rent hikes in Cedar Park, shortly after the city began its Actual Value Initiative (AVI) to reassess property values. AVI went into effect in January 2014, and by the end of March, West Philadelphia property taxes had increased significantly – doubling and tripling in some areas.

Real estate development has also continued to increase. According to the 2016 State of University City report, the number of anticipated and new multi-family housing have nearly doubled since 2014.

The recent housing data raises an important question: Can the several new apartment buildings in the area, such as the 4125-4136 Chestnut Street project, lower rent prices at all?

According to Trulia, the Spruce Hill neighborhood, which includes west from 40th Street to 46th Street and north from Woodland Avenue to Market Street, experienced some dramatic rent increase (up to $4,000) from August to December 2016. The median rent for the neighborhood in March 2017 was $1,625, according to Trulia. Additionally, Redfin called Spruce Hill the city’s hottest neighborhood this year because of the increased homebuyer demand. Homes, which have a median price of $415,200, stay on the market for an average of 29 days.

– Danielle Corcione