Philadelphia city’s economic mess from large pension payments could mean trouble for real estate

Here’s an article that says Philadelphia could end up in trouble like Detroit has gotten itself into because they spend so much money paying pensions there’s not enough left to run the city properly:

This reality prompted one veteran city executive who is familiar with the impending budget crisis to liken Philadelphia to a “Bos-troit”: a rapidly regenerating downtown, like Boston’s, ideal for affluent tourists and new-comers, but surrounded by square mile upon square mile of dying neighborhoods, impoverished residents and relentless urban ruin, just like Detroit. And that situation is probably not sustainable, either – at least, not for long. No matter how good it looks, Center City cannot survive if it’s totally cut off from the rest of a desolate, crime-ridden Philadelphia. That’s no better than living under a state of siege, even if you are enjoying the view from the balcony of a million-dollar condo.

Scared yet? The article mentions other problems such as a lack of affordable housing, and a relatively uneducated population. The author paints a very bleak picture of Philadelphia’s future.

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