4820 Chester Avenue was built in 1925 and consists of a three-story structure with a free-standing garage located on the prominent corner at 49th Street and Chester Avenue. Currently, it is zoned RTA-1 and is used for group living with a communal kitchen/dining area with eight rooms. In addition, the property has a two-car garage and on-site parking for two additional vehicles. Only one tenant is left in the building and ownership is in the process of terminating their housing. The property offers an outstanding value-add, redevelopment opportunity. A new owner could redevelop the property as: (a) Single Family Residence: does not require zoning approval; (b) Two-Family Residence: requires a use registration permit; or (c) Multi-Family Residence: requires a variance.
If a new owner receives a zoning variance for a multi-family residence, the footprint of the existing building could accommodate 7 apartment - (4) one-bedroom/one-bath and (3) two-bedroom/one-bath. In addition, the new owner can apply for a 10-year real estate tax-abatement for improvements made during the reposition to greatly increase their return on investment. Further, the property has the potential to be the premier apartment building in the desirable Southwest Philadelphia/Cedar Park/Clark Park section of University City and command the highest rents of this highly-sought after sub-market. The University City area has outstanding occupancy of 98% to 100%.
The Southwest/Cedar Park/Clark Park section is unique in the sub-market because most of its rental housing stock consists of converted single family homes and only a few vintage apartment complexes. Although occupancy is nearly 100% in this area, rental rates are almost 300% less than the new construction just eight blocks away in the campus section of University City. 4820 Chester Avenue is the perfect project for someone who is confident in University City’s initiative to continue to grow and be a world leader in medicine and edu-cation. With the ability to create residential units in a very hot apartment market, this project is ideal for developers of all sizes.
