New owner to convert Wanamaker Building into loft apartments, transforming the iconic department store.

The Wanamaker Building in Philadelphia is poised for a significant transformation, as new ownership under TF Cornerstone, in collaboration with local partner Alterra Property Group, embarks on an ambitious redevelopment project. This move draws parallels between contemporary Philadelphia and New York City during the 1990s, albeit with advancements in building codes that can facilitate a more sustainable urban environment.

The redevelopment plan aims to introduce approximately 600 loft-style apartments to the historic structure, which has remained largely unoccupied following a shift in its original retail function. The proposed residential units will vary in size from studios to three-bedroom apartments, catering to a diverse range of potential residents. This initiative reflects a growing trend in urban planning that seeks to convert large, underused spaces into vibrant mixed-use environments.

At over 2 million square feet, including a 660-car parking garage, the Wanamaker Building presents unique architectural challenges. Traditionally, integrating residential units into structures of such magnitude leads to complex spatial considerations. However, TF Cornerstone and Alterra Property Group are optimistic about creatively overcoming these obstacles. By constructing units deep within the building’s layout, developers intend to maintain spacious living areas despite limited access to natural light in some sections.

Drawing from their extensive history of residential adaptations in New York City, the developers express confidence in their approach. Alterra’s experience in converting older office spaces into modern residential buildings complements TF Cornerstone’s reputation, fostering a partnership aimed at ensuring the redevelopment’s success.

Amid these plans, the developers emphasize their appreciation for Philadelphia’s distinct urban landscape, which features elements rarely found in other American cities. The Wanamaker Building’s revitalization is seen as a crucial step in reinvigorating the East Market Street corridor, a neighborhood that has struggled in the aftermath of the COVID-19 pandemic. The project also aligns with Mayor Cherelle Parker’s administration, which is committed to fostering development and economic revival in the area.

TF Cornerstone’s successful acquisition of the Wanamaker Building positions them to yield significant benefits from the existing flexible zoning laws and property tax incentives tailored for renovation projects. While challenges remain, such as addressing retail vacancies in the East Market area, the developers have expressed optimism about the potential for growth and transformation in Philadelphia.

Overall, TF Cornerstone’s redevelopment plans for the Wanamaker Building signify a deeper commitment to urban revitalization, blending historical preservation with modern living solutions. As they navigate the complexities of this landmark project, the developers remain focused on creating a unique residential community that honors the building’s rich heritage while addressing the needs of contemporary urban dwellers. The Wanamaker redevelopment is expected to serve as a cornerstone for East Market Street’s revival, transforming an iconic structure into a livable space that promotes both community engagement and economic growth.