Rite Aid location near Italian Market to be redeveloped into condominiums and townhouses.
As Rite Aid navigates a severe financial downturn that has led to the closure of numerous locations across the United States, the future of its properties remains a pressing concern. The pharmacy chain, facing terminal bankruptcy, is on a path to shutter several of its stores, sparking questions about the subsequent fate of these commercial spaces.
One notable example is the Rite Aid located at 801 S. Ninth St. in Philadelphia, situated in proximity to the iconic Italian Market. Plans are already underway to demolish the existing site, which will be replaced by residential developments consisting of condominiums and townhouses. Notably, this new construction will not include any retail components.
Ori Feibush, the Philadelphia-based developer overseeing the project, expressed that the current environment does not support viable commercial development. While there is a sentiment within the broader community favoring commercial revitalization, many nearby residents reportedly prefer residential options that foster community ties. Feibush’s proposal includes nine single-family homes on Darien Street, each featuring two parking spaces, along with a 16-unit condominium building on Ninth Street, which will provide one parking space per unit. All parking facilities will be located underground, aimed at preserving the vibrancy of the streetscape.
Currently, the parking lot of the Rite Aid serves patrons of the popular Angelo’s pizzeria located nearby, where customers often gather outdoors to enjoy their meals. While this arrangement will likely change in the long term, Feibush indicated he will not intervene in the existing use of the parking lot in the interim.
The property is zoned for commercial use, meaning the developer will require a variance from the city’s Zoning Board of Adjustment to proceed with his residential plans. Feibush has a history with Rite Aid properties; he previously acquired two others in 2020, one of which has since been successfully redeveloped into residential housing.
In general, chain pharmacies are strategically situated near densely populated areas and at busy intersections, making them attractive targets for both residential redevelopment and alternative commercial ventures, such as dollar stores. However, the current economic climate has introduced uncertainty, leading to predictions that many former Rite Aid locations may remain vacant for extended periods. While grocery and discount store chains still express interest in expanding, analysts caution that impending economic pressures could influence their expansion strategies.
As the market evolves, a critical question arises regarding the potential successors to these Rite Aid properties. Industry experts suggest that the likelihood of replacement by other pharmacy chains is low, as both CVS and Walgreens also face their own challenges and contractions within their business models. The shifting landscape of retail and residential development will continue to be closely monitored as these former Rite Aid locations transition into their next phases.
As the situation unfolds, it remains clear that the fate of these properties will have broader implications for the neighborhoods they inhabit, potentially shaping the community dynamic for years to come.
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