It is planned to start construction of a 20-story apartment building costing US$100 million in Central City in the next few months.

The apartment building will be located on 12th Street and Sansom Street and will have nearly 400 units and 11,000 square feet of commercial space.

Construction is expected to end in the summer of 2023, Philadelphia Business Journal ReportIt will replace the existing parking lot, which will be demolished in the next few months.

The project comes from the rental property company Grey Star, It already manages 7,000 apartments in the Philadelphia area, designed by BLT Architects.

Due to the COVID-19 pandemic, the vacancy rate in the city has slightly increased.

According to a report, at the end of the first quarter, the urban and suburban ratios were 9% and 3.3%, respectively. Delta Associates, “The Wall Street Journal” reported. However, Delta Air Lines stated that these conditions are “temporary and driven by a pandemic,” and the situation should improve as the vaccination rate rises and the economy rebounds.

In fact, Philadelphia’s residents who left during the pandemic decreased Compared with other big cities Such as New York and Boston.

Despite the low vacancy rate, the city still has several residential buildings under construction.By the end of 2020, approximately 10,000 apartments under construction And several projects are going through the application and approval process.

Greystar executives said the company is not worried about the vacancy rate in the entire city.

“I think the depth of the market is very strong,” Greystar senior director George Hayward told The Wall Street Journal. “We believe that for many people who are not familiar with the city, Philadelphia has always been hidden in a conspicuous position.”

Hayward said the company hopes to use its retail space to attract more residents, such as coffee users, restaurants or small markets.

Greystar has more than 15 properties in Central City alone, According to its website. The company is working with Chicago company Mesirow Financial to provide funding for the new building.