The future of Philadelphia's Market East community in Center City is now crystal clear as City Council has voted to approve a $1.3 billion plan to bring a brand new arena for the Philadelphia Sixers to the neighborhood.
During its scheduled meeting on Thursday, Dec. 19, 2024, City Council voted, with a majority of members in support on the legislative package that would make way for a plan that could have a transformative effect on the area. The approval occurred after months of negotiations with developers and meetings with members of the community in every corner of the city as well as protests and outbursts from those on both sides of the debate.
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A raucous start
At the start of Thursday's hearing, there was no shortage of protest as a group of individuals opposed to the arena plan stood arm-in-arm, chanting and blowing whistles while on the floor of City Council's chambers in City Hall.
Wearing shirts that read "City Council sold out Philly" and "shut it down," protestors sat in a group on the floor of city council as the meeting was intended to start at 10 a.m.
Around 10:15 a.m., several protestors were taken out of the room by law enforcement officials.
By About 10:25 a.m., the protestors on the floor of chambers had been removed, yet the crowd in attendance throughout the room continued to chant.
One of the members of an Asian civil rights group said that 40 of its members were arrested. They were held on a police bus while the meeting went on.
"They don't understand the full scale of impact...Chinatown getting pennies out of the deal and what happened was a couple dozen people arrested for exercising their constitutional right to protest," said Melissa McCleery, with the Save Chinatown Coalition.
For some time, as City Council President Kenyatta Johnson attempted to start the meeting, chants of "shame" filled the chambers.
The meeting was eventually brought to order by about 10:35 a.m., though some commotion persisted.
In opening the meeting, Johnson addressed the crowd, calling for those in attendance to respect the process as council has had eight hearings solely dedicated to the arena plan.
"All we are asking is just respect our process and let us continue our business," said Johnson at the top of the morning's meeting.
Public comment -- which included an "extremely long list" of speakers, according to Johnson -- opened with input from those on both sides of the issue.
Several individuals spoke positively on the economic impact and influx of jobs the arena could provide, saying the project would benefit the city.
“We want to make sure that this arena is built,” Daisy Cruz of the service workers union 32BJ SEIU said. ‘Thank you for the opportunity. Thank you for building the arena.”
Paul Brown, who said he was a school psychologist in the city's Roxborough community, said that council should have fought for more money for the school district in the agreement with arena developers.
"You are in a prime opportunity right now to demand something better, that doesn't displace people, that doesn't harm people, but you just want to rush through a deal that gives them less," he said.
How did the voting go?
Each of the 11 pieces of legislation needed its own vote.
And the majority of these bills passed with a vote of 12 to 5.
The councilmembers that opposed nearly every bill in this package were: Jamie Gauthier (D-3rd dist.), Rue Landau (D-At-Large), Jeffery Young (D-5th dist.), Kendra Brooks (Working Families Party, At-Large) and Nicolas V. O'Rourke (Working Families Party - At Large).
Yet, a few of the bills were supported by more members of council.
For example, one bill that would create an overlay for the Chinatown neighborhood passed 14-3.
Other bills up for a vote passed unanimously.
Following the vote, David Adelman, CEO of 76 Place, posted online to thank city officials for their support of the plan.
— David Adelman (@david_adelman) December 19, 2024
What's next?
The proposal would bring an arena to the intersection of Market and Filbert streets at 10th and 11th streets.
Ahead of the day's vote, City Councilmember Mark Squilla (D-1st dist.) said that, even after the day's voting, City Council will continue to meet with stakeholders and members of the community to ensure neighbors are part of the development process.
“This is not the end of the process,” Squilla said. “We need to find out from the development does this legislation move the arena forward, are they looking to negotiate with other entities, go somewhere else? And I think with council we did our job up to this point and now the ball is in their court."
City Council has been holding meetings since September focused solely on the arena plan. And there have been some sticking points.
The biggest just might be how much money the developers plan to include in a Community Benefits Agreement with the neighborhoods nearest the project site.
Initially, developers proposed $50 million in that agreement, but some suggested that figure be doubled.
In fact, some members of groups that opposed the development plan had sought to have that figure upped to $300 million.
But, in legislation that was read before City Council for its first reading last week, the proposal was amended to request $60 million in that CBA.
In breaking down how this $60 million in CBA funding could be used in the community, amendments note that $33 million would be set aside for initiatives in and around the city's Chinatown neighborhood -- like developing a master plan for the community and providing $2 million in grants for small businesses.
The remaining $27 million would then be spread to other initiatives citywide, including $7 million for extended day/extended year schooling and $3 million for public transit at the arena.
With City Council's support on Thursday, construction is expected to begin sometime in 2028.
Developers hope to open the arena in 2031.
Mayor Parker reacts to City Council's decision
In addressing the approval at City Hall, Philadelphia Mayor Cherelle Parker – who long supported the arena plan -- applauded City Council’s decision and the work it took to get to Thursday’s vote.
“All of Philadelphia will benefit from this project,” she said.
She told councilmembers she watched as they negotiated and she valued their work.
“Today is not the day for high-fives and or just big parties and or celebrations,” she said. “But, it is a time to acknowledge this vitally important economic development project for the City of Philadelphia.”
Along with a $60 million for the community benefits agreement, Parker said that the city will get $700 million in tax revenue “for our city and school district.”
“It’s the largest pilot payment ever provided to the City of Philadelphia and the School District of Philadelphia,” Parker said. “And that’s something that we should be proud of.”
Also, Parker noted, it wasn't lost on her that the Sixers could have moved to New Jersey if the arena plan did not come to fruition.
“Am I excited that our Sixers are staying home?” she asked with a grin. “Yes, I’m excited that our Sixers are staying home.”
And, in addressing residents of Chinatown, Parker said that city officials would “ensure that Chinatown will not only survive, it will thrive.”
“We will ensure that you are not harmed by this arena,” promised Parker.
City Council president Johnson too celebrated to move, touting the fact that the project, as proposed, would be built without any taxpayer money.
"If we would have turned down this particular deal, we would have been fools," he said.
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