Delaware River waterfront’s economic impact in next decade could hit $10B

There was about $100 million in public funds spent between 2014 and 2024. Another $500 million in public money is expected to be spent by 2034. Unlike some waterfronts, much of the land along the Delaware River is privately held so the nonprofit had to purchase property first and improve the site.

“As a catalyst for private development to come along to get this truly Philadelphia waterfront that is world-class and a new neighborhood for the city,” Forkin said.

In the past decade, there’s been more than 1,200 new residential permits for projects under construction along the 6-mile stretch of the Delaware Riverfront compared to dozens of new commercial building permits.

And that’s been by design.

“We encourage mixed-use development on the riverfront. We want to see vibrant art scenes,” he said. “We want to see restaurants, food and beverage operations for people to gather and experience entertainment. All of that stuff is part of the plan.”

The biggest public investment will be a $329 million pedestrian-friendly highway cap at Penn’s Landing over Interstate 95, known as the Central Access Philadelphia project. The goal is to connect Center City to the Delaware River waterfront and build 12 acres of parkland.

The Penn’s Landing redevelopment is a mixed use project expected to cost $2.2 billion and will be developed by New York developer The Durst Organization. That same developer paused construction of a $300 million, 26-story apartment tower after building the foundation but promised it would pick the project back up in the coming years.

It’s unclear how much of a slowdown there will be in construction along the waterfront, as there’s more saturation in the market for residential properties and higher interest rates.

It costs about 20% more for developers to build along the waterfront due to soil conditions and other considerations, but it’s still considered prime real estate because there’s limited space to build, Forkin said.