Tenants, advocates warn of displacement as neighborhood restoration credits and preservation needs surface in budget hearing

Several tenants, neighborhood advocates and housing organizations testified that low‑income housing tax credits (LIHTC) on neighborhood restoration properties are expiring and could prompt owner sales and displacement if the city does not act.

Carlos Caboo, a spokesperson for 1PA, asked for city assistance to preserve affordable units coming due as early as July 2026. Tenants—including Christy Davis and Frederria Lightford—described long tenures in their homes and warned that sales by owners could displace hundreds to thousands of residents. One speaker said 925 units owned by a single landlord had been announced for sale and noted mass displacement examples from 2017 and 2023.

Separately, the Philly Homeless Union called for any new hotel tax and shelter dollars to be paired with explicit commitments to permanent housing production rather than added shelter capacity. Advocates urged council to use FY27 budgeting to seed preservation funds, stabilize housing, and expand eviction diversion and repair programs.

Council received requests for specific capital and programmatic investments but did not adopt budget changes during the hearing.