Philly reverses decision to build tiny houses for people experiencing homelessness

The city is abandoning a tiny-house project in Northeast Philadelphia proposed by former Mayor Jim Kenney’s administration to fight homelessness.

Officials at Sanctuary Village, one of two sites chosen by the city for tiny homes, said they were told by Mayor Cherelle L. Parker’s administration that she wouldn’t support the development, as first reported by Axios,.

The plan to create the enclaves was the result of a deal made in 2020 between the city and advocates for people living homeless. In exchange for agreeing to close the sprawling, controversial homeless encampment that had formed on the Benjamin Franklin Parkway, the city committed to establishing two tiny-house villages to accommodate unhoused Philadelphians: one at the Northeast property at 7979 State Rd., which is owned by the city and sits on the campus of Riverview Personal Care Home; the other at 4917 Aspen St.

The city’s decision to scrap the State Road development, which was meant to house women 55 and older who are experiencing homelessness, was met with shock and confusion by the nonprofits involved in the project.

“I couldn’t believe it,” said Cathy Farrell, founder and board president of Sanctuary Village, the Hatfield nonprofit that has been planning the construction on city property on State Road for three years.

“Nobody in the city offered to explain. We were just given this decree on March 1 that the mayor has decided not to pursue this project. Period.”

On Monday, Parker’s spokesperson Joe Grace declined to comment on why the administration has pulled out of the tiny-homes plan, citing “legal reasons.” In previous comments, Parker, who has promised to create 30,000 new units of affordable housing, has expressed disinterest in tiny homes.

The city’s declaration was a surprise to Pastor Schaunel Steinnagel of the Welcome Church, a religious organization without walls that serves people experiencing homelessness in Center City. The church was a founding partner of Sanctuary Village. In 2013, the church, with other organizations, sued the City of Philadelphia for banning them from feeding people experiencing homelessness along the Parkway.

“It was a complete shock,” Steinnagel said. “We thought there was going to be a groundbreaking in spring. It’s very disappointing. There was an agreement.”

In 2021, the city chose Mosaic Development Partners, a Black-owned firm based in Strawberry Mansion, to develop the tiny-house village in West Philadelphia. No homes have been built, and it was not clear what the status of the project is. Organization officials could not be reached on Monday.

At a news conference last week, Parker made a point of noting that her administration will not use its share of funds from litigation with opioid manufacturers to fund “tiny houses” for people experiencing homelessness in Kensington. Parker, who grew up poor, said she’s hoping to create “affordable luxury” for people in need. ”Just because you have less, that doesn’t mean you shouldn’t have access to quality,” Parker said last month in a speech last month to the Chamber of Commerce for Greater Philadelphia.

Sanctuary Village has raised around $1 million for construction of the tiny houses, and has spent $200,000 of it on architecture, engineering, and consultant work, Farrell said. No city money was going to be used in construction of the homes. Under the Kenney administration, the city pledged to contribute around $800,000 for development of the site —”moving trees, making walkways, putting up lighting,” Farrell said.

City documents show the State Road site, estimated to cost around $1 million, was expected to comprise 12 to 24 single-room units that are 120 square feet each. The houses would have heat and electricity, but no running water or bathrooms. The complex would have a central kitchen, as well as a building with bathrooms, showers, and laundry.

Services to help the homeless would also have been available, some of them at Riverview Personal Care Home, which provides shelter and meals for people in need.

Farrell said it seemed like the Parker administration was on board with the Northeast Philadelphia project.

Shortly after Parker took office in January, she said, the Philadelphia Redevelopment Authority issued a request for proposals — which is a solicitation of bids for companies interested in getting city contracts — related to the project.

But Grace said that RFP was planned during the Kenney administration and was posted before Parker’s team realized it was going out. ”That was just a bureaucratic issue,” Grace said. “When the error was realized, the RFP was taken down. It was not the Parker administration’s intention for that RFP to be posted.”

Farrell said Monday that she will be asking the city to reimburse her organization for the money it’s already spent on the project. And she’s wondering whether the tiny-house idea could fit in better elsewhere.

“Hopefully, we can find another community that says they want this,” she said.