The program is looking at encouraging and working with folks to enable more people to live and work near SEPTA's services. It isn't just about redevelopment of our properties. It's also looking at encouraging adjacent properties and communities to think generally about how land use, zoning, and design standards can enable more people to take advantage of SEPTA's services.”

Jennifer Dougherty, manager of long-range planning at SEPTA

SEPTA has chosen a large and empty lot next to Germantown Station on Chelten Avenue for a transit-oriented development project that could soon transform the 1.5 acre site into a vibrant mixed-use development, bringing new housing and commercial spaces while bringing much-needed revenue to the cash-strapped transit agency.

The project represents one of the flagship efforts in SEPTA's Transit Oriented Communities (TOC) program, launched in November 2023, and would be the first such project within Philadelphia city limits. A similar project is already underway at SEPTA’s Ambler Station, which is currently open for developer proposals.

"The program is looking at encouraging and working with folks to enable more people to live and work near SEPTA's services," explained Jennifer Dougherty, manager of long-range planning at SEPTA and the project's manager. "It isn't just about redevelopment of our properties. It's also looking at encouraging adjacent properties and communities to think generally about how land use, zoning, and design standards can enable more people to take advantage of SEPTA's services."

SEPTA specifically chose this site for Philadelphia's first TOC project because of its excellent transit connectivity – it offers access to both Regional Rail through the Chestnut Hill East line and multiple bus routes (26, 41, and K) that run along Chelten Avenue, providing alternative transit options amid community concerns about the potential closure of the Chestnut Hill East line.

"What really enables transit-oriented development here is the frequency of services that goes beyond just the Regional Rail Station," Dougherty explained. "Having more people able to live and work near our services will help grow ridership and stabilize our funding situation."

The property at 120-128 East Chelten Avenue, previously used by Sabrina Beer Distributor Inc., has remained vacant for approximately 20 years. It is currently zoned CA-1 for Auto-Oriented Commercial, with the adjacent block primarily consisting of commercial properties and more residential areas behind the station.

Before accepting any developer's proposal, SEPTA has outlined two critical preliminary steps. First, the agency will host a public meeting on March 11, from 4:30-6:30 p.m. at Joseph E. Coleman Northwest Regional Library to gather community feedback about neighborhood needs and priorities. Second, SEPTA must work with the City Council to change the current zoning of the property.

"That's very unique for SEPTA to have property that is vacant," Dougherty noted. "Most of our properties have a use for commuter parking or maintenance and operations needs, but this is a long-vacant property that we're going out to the public and trying to understand how they'd like to see redeveloped."

While specific details await developer input, SEPTA envisions ground-floor commercial space with residential units above – a concept supported by three different community and city planning studies that recommend transit-oriented development around Germantown Station.

The Planning Commission has been "really supportive" of remapping the property to mixed-use zoning (CMX-2.5 or CMX-3), according to Dougherty.

"We got advice from fellow agencies not to go through the variance process but to try to get the zoning right for the land use that you want to see for the site up front," she said. "That shows there's a shared vision between the community and the transit agency, creating a better foundation for a successful project. If you spend that time up front, you save time and money – and the money you're saving is taxpayer dollars."

SEPTA's experience with its Ambler Station project has already informed this initiative. At public meetings for the Ambler project, housing affordability emerged as a key community concern, which SEPTA subsequently incorporated into its plans.

"We're getting ready to put out a (request for proposal) for our property in Ambler, and it's going to include a housing affordability goal," Dougherty said. "That's something the public in Germantown will have an input in, and I'm excited to hear what they're going to say."

"Affording housing has been mentioned and that is a huge need in this community. Along with senior housing. Out of school time activities is a big need. A community space for our youth would be nice to see as well," State Rep. Andre Carroll told the Local.  "We must create opportunities for folks to be able to stay in the community they love and currently live.

Rather than selling the property outright, SEPTA plans to lease it to a developer, which it hopes will create a "steady, stable source of income that's long term, rather than just a one-time cash infusion." The agency has invested minimally in the project so far – approximately $30,000 in consulting fees, identical to their expenditure on the Ambler Station project.

Housing affordability has emerged as a key community concern. Julie Stapleton-Carroll, president of Germantown United CDC, emphasized this priority after SEPTA presented the project to the organization's board.

"The east side of Chelten Avenue really deserves some new buildings and attention. It's been a vacant lot and an eyesore for as long as I've lived here, which is 20 years," Stapleton-Carroll said. "We're particularly interested in an affordable option for folks. All the buildings, as of late, in Germantown have been market-rate and unaffordable for most residents here."

She stressed that addressing Germantown's affordable housing needs would require a "substantial" number of affordable units – not just a token amount to secure a height bonus.

While construction timelines remain undetermined, SEPTA aims to complete concept development early this year, with developer selection extending into 2026 and project refinement continuing into 2027.

Leo Dillinger, executive director of Germantown United CDC, expressed optimism about the project's potential impact: "Converting a long-time vacant lot into a commercial mixed-use space that offers both affordable housing and public green space right in the heart of Germantown will be a game changer for the neighborhood."

For those interested in providing input, the community meeting will take place on March 11, from 4:30 to 6:30 p.m. at Joseph E. Coleman Northwest Regional Library, 68 West Chelten Ave., Philadelphia, PA 19144.

"I would like to see what the public and community members would like to see happen with this site. These decisions shouldn’t happen in a vacuum, community input is extremely important to me," Carroll said. "I plan on attending the meeting along with my staff."

"I encourage all community members to attend SEPTA's public meeting so that our collective vision for this space can become a reality," Dillinger added.