Umbrella Factory

The 178,000 sqft abandoned Umbrella Factory located on the corner of 5th St. and Master St. in Olde Kensington will soon be converted into 142 residential loft style condominiums and 2 commercial spaces.  The units will also be suitable for conversion to assisted-living, student housing, or subsidized/artist housing.

The eight-story skeleton of brick and empty windows has sat vacant for more than 20 years.  However, with $25 million in private investment, the building will soon be transformed into luxury condos, off-street parking and boutique shops.

Many worry that gated communities like the coming Umbrella Factory condominiums will push residents out of the neighborhood, which is why 18 neighborhood groups have united to form the Eastern North Philadelphia Coalition.  Their goal is the get Medini, one of the buildings new owners, to sign a community benefits agreement.  This is to make sure any big development in their neighborhood is equitable development.

Medini, his lawyer and the 125 members of the community began talking about the kind of assurances that would curb the gentrification of this old factory community.  Many cities have developed policies that allow residents to defer property tax payment until they sell their homes.  They've also considered zoning that would require new housing developments to set aside a specific number of affordable units. Or caps are placed on property taxes for the elderly and low-income residents.

Developers like Medini get a 10-year tax abatement while property taxes for some residents in this community have increases excessively in the last five years.  Some suggested Medini setting aside a percentage of construction jobs for local residents, creating a science lab, computer center or music program at Ludlow School, sponsor local athletic teams, or allot a portion of the condos for affordable housing.  Although Medini disagrees on the Affordable Housing, the future will reveal his final compromise.