Feature Article

King Kenny

By Matthew Teague

Page 4 of 5

Gamble sold his mansion and moved back into a rowhouse in his childhood neighborhood, on South 15th Street. Back to the pushers, the dealers, the pocketbook-snatchers and thieves.

From there, he began his redevelopment effort in earnest, starting Universal Community Homes, which grew into a nonprofit empire called the Universal Companies, which includes the housing development company, a charter school, an investment fund, and various social services, from credit building to computer classes. Universal’s “target area” lives up to the company’s name: It’s an enormous parcel that comprises the entire south-central part of the city, running from 5th Street out to 22nd, and from South Street down to Tasker.

The umbrella’s president and CEO, Rahim Islam, recently took me on a tour of Universal’s good works. We started at the Universal Institute Charter School, which houses 700 students in three buildings. Then we visited Universal Court, at the corner of 15th and Christian Streets — the site of Kenny Gamble’s childhood home. His first attempt at development, it’s a whole block of rebuilt and rehabbed townhomes, and includes a courtyard with a playground.

Then Islam drove us past block after block of similar developments, hundreds of red brick doorsteps outfitted with nice lamps and a touch of landscaping. So far, Universal has rebuilt or rehabilitated about a thousand houses, he said.

We stopped at 16th and Federal streets, where Islam hopped from his car and stood in the street with arms outstretched, turning in place as though starring in an urban Sound of Music. Behind him, people strolled unafraid from a tidy Universal housing development toward a little grocery.

“This corner had the most notorious open drug trafficking in the city,” he said. “Over a five-year period, we’ve put almost $45 million worth of investment just into this area. And now we’re a catalyst for change.” And he was right: The intersection was dominated by a Universal satellite office, and elsewhere showed every sign of growth and industriousness, including a little hair salon, a dry cleaner, and new construction by private builders. The intersection was full of the sounds and smells of men sawing lumber, and trucks bearing construction equipment passed each other coming and going. Across from Universal’s office, someone had planted a bed of flowers in a small front yard, and a more modern type of flower — a digital television satellite — had sprouted on the roof.

We toured Broad Street starting at Catharine, where Universal owns a huge plot of land on which it plans to build an upscale residential building, called 777 Lofts, with partner Dranoff Properties. Down at Broad and Washington there’s another enormous plot, which Islam said marks the epicenter of Kenny Gamble’s dearest, most ambitious desire. He envisions South Philly as an entertainment corridor with an emphasis on the city’s musical heritage, similar to Beale Street in Memphis. In a major step toward that goal, Gamble persuaded the Rhythm & Blues Foundation to move from New York to Philadelphia, and next he plans to develop a $50 million National Center for Rhythm and Blues on the empty plot at Broad and Washington. He envisions a massive complex including a concert hall, a music academy and a Hall of Fame.

Those are majestic aims. But not everyone in South Philadelphia admires Universal, or its work. Some residents say Universal is too heavy-handed in its tactics, and that it gets cheap properties through political connections; many of those new doorsteps Islam showed me were acquired when Universal lobbied the city to exercise its “eminent domain” policy: to seize blighted properties, or properties whose owners owed long-overdue taxes. One of Gamble’s staunchest critics was Barney Richardson, his childhood friend who also sat at the feet of Mr. Lewis in the Ideal Barber Shop.

Richardson hasn’t left the neighborhood in the entirety of his 70-plus years, and is now the area’s unofficial historian. “I had five properties,” he said recently. He had bought them as cheaply as two-for-$5,000. “They needed paint and all, but in our neighborhood, you couldn’t get a loan from a bank to fix up your properties.”

He received a letter from the city alerting him that his houses would be seized under eminent domain. He blamed Kenny Gamble, publicly. “I fought it,” he said. Ultimately he agreed to spruce up his homes, and was allowed to keep them. But the strong-arm maneuver angered him.

Other residents say that Universal, once it acquires properties, moves too slowly to develop them, and so actually contributes to blight. South Philly activist Lisa Parsley, for instance, gnaws on Universal like a determined dog with a bone. She tracks the company’s business dealings, tax payments and development progress; she says Universal may have done good for South Philly long ago, but now it’s holding back development and even fostering crime. She offers the Royal Theater on South between 15th and 16th  as an example: Universal acquired it in 2000, and she says the company promised to renovate it. But all they’ve done — visibly, at least — is paint a mural on the front.

I asked Rahim Islam about her assertion, and he said, “For somebody to say we wanted to buy [the Royal] to develop it is just a misleading thing. We bought it to preserve it.” But a press release announcing the purchase in 2000, and bearing Islam’s name, seems to confirm Parsley’s claim: It said the Royal had been bought “for conversion into a live performance theater.”

Parsley said the empty Royal — along with other bare lots owned by Universal — invites drug traffic and other crime. Gamble recently lent his name, voice and time to a program called 10,000 Men, an effort to tamp down deadly crime in Philadelphia’s black community. But Parsley’s dim view of Kenny Gamble persists.

“Crack baggie,” she said recently, bending down to pick up a tiny pink plastic bag from the sidewalk on Bainbridge Street near 21st Street. We’d spent the evening walking through South Philadelphia, looking at Universal’s properties — the Royal Theater, among others — and now she held the baggie aloft as evidence. “All the abandoned housing makes it still attract this kind of thing.”

“For which you place some of the blame squarely on — ”

“Universal. Absolutely.”

Activist resident Laura Blanchard, a former board member of the South of South Neighborhood Association, said that Gamble’s work in the neighborhood has been, on balance, a good thing. But she mentioned a touchy aspect of Gamble’s approach to development:

“Sadly, Mr. Gamble’s faith and some of his reported comments about preserving an African-American community have been polarizing,” she said, “particularly in our uneasy post-9/11 world.”

She said some people fear Gamble wants to build a black Muslim enclave. I promised to ask him about that.


 

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User comments

Universal Companies creates more blight than it fixes -- they won't finish what they started in areas that are booming
Posted by Anonymous | Dec. 14, 2007 at 12:21 AM
COMMENT:
Chinatown owners don't get a discount on their property taxes, or have a clause in their RDA redevelopment agreements removed that states a drop dead date by which property given by the city must be finished. The Royal Theater is just one of dozens of vacant, blighted properties that kill property values, and therefore take revenue from the city that could be used for schools and programs. Kind of an odd method of someone claiming to want to better the city, don't you think?
No way to objectively judge Universal's performance
Posted by Anonymous | Dec. 14, 2007 at 12:29 AM
COMMENT:
I was hoping this article would attempt to objectively judge Universal's performance per amount of money given to it over the years. Far from being an out of pocket venture, Universal received millions upon millions in HOPE I through to the present incarnation of federal block grants and other loan or housing money to renovate. Compared with what they promised, and with what they still hold that is unrenovated, unused, or just vacant, Universal is not up to par with other housing nonprofits such as Habitat for Humanity, RHD, and others. Even the market place itself is a better performer of offering affordable housing to rent or buy than Universal is. I'm surprised that Universal veered into market rate, for profit housing. Was government funding used for that? What is the cost per unit of housing? What other concrete benchmarks have been reached, and what is the timeline? That Universal's public finances are limited only to what it must file with the federal government. Universa
Universal is an expensive ornament in the world of low income housing
Posted by Anonymous | Dec. 14, 2007 at 12:57 AM
COMMENT:
As nonprofits go, Universal seems OK with not taking care of what it owns, letting drugs be sold in front of its vacant lots and empty housing, and not paying its fair share in property taxes so critical for good schools. If a property is vacant for years, it holds equity to a fraction of what the surrounding houses and businesses could bring in for city and school revenue. Nutter has to grow the tax base, unlike Street, who would happily devastate the tax base if it could result in campaign contributions. Pay to play for RDA property and considerations is still pay to play. Getting public trust assets and funds with no requirement for an annual report, no requirement for not kicking back campaign contributions, and no deadline to use or lose the property, as the RDA does with other recipients, is wrong. Also wrong is the way the RDA won't allow these properties to be competitively bidded upon, either as parcels (which is its mandate) or singly. You end up with one recipie
Why the new agey re-segregation of the neighborhoods?
Posted by Anonymous | Dec. 14, 2007 at 1:05 AM
COMMENT:
Why is Universal so far behind in what it promised to do? There is no reason that the market builds a house in 14 months, but Universal takes 4 years, 8 years, 11 years, or simply refuses to budge. Is their budgeting so awful? Are their employees stealing from them? What is it that prevents Universal from keeping pace with other nonprofits and builders, and when complaints mount from the community, they trot out this old dinosaur from the seventies. Soul Train is not going to nail a 2 x 4, Mr. Gamble. Is it possible that a religio-socio-cultural movement is not what is needed in construction? Diversity works, if you let it.
Content of Character?
Posted by Anonymous | Dec. 14, 2007 at 1:10 AM
COMMENT:
I wish people would look up on www.hallwatch.org what Gamble and Universal owns, then see how much of it is still classed as vacant. Then look at what they pay in property taxes relative to the others on the same block. Why is the city hurting itself to help Universal and Kenny Gamble? If he is a businessman, why does he need special treatment on his costs and his performance? With equal rights come equal responsibilities. The most helpful way to get this property built and help the long term residents who've held properties for years but have suffered from Universal not getting it together is to treat Universal in a colorblind fashion. Content of character, and all that. It doesn't help any low income AA resident to give this property to a wealthy friend of Street who can't get the job done. Street wanted to give this concession to a minority -- too bad it's always the same ten people over and over again.
Put down the ganja, Mr. G.
Posted by Anonymous | Dec. 14, 2007 at 1:16 AM
COMMENT:
Wow. Now I've really heard it all. If "preservation" was the goal for the Royal, they've botched that one as well. The Royal is falling apart. It's more wrecked than it's ever been, and if the city give these crackpots the lots at Broad and Washington, which I understand the House of Blues would like to use, than I will never vote Democrat for any reason ever again. I have no problem with the Nation of Islam, I just think they are robbing banks legally now. Will the city have the cojones to press charges against these people for theft by deception on the federal felony level? Because the amount of property they got, and money, and the scant work done with it, all window dressing, and all the defunding of Universal by all the most reputable funding sources had got to tell us something. The local Democrats have to put down that ganja too.
Universalville not the answer to the needs of the community
Posted by Anonymous | Dec. 14, 2007 at 1:23 AM
COMMENT:
The most successful, self-sustaining, neighborhoods are the ones that are income diverse, race diverse, and comprised of the new and the old. Why does Universal, and Gamble, fight that? Why does the city allow this? Universalville is never going to work, because the whole concept violates the tenets of good urban planning.
Of course other people sell goods and services to different people
Posted by Anonymous | Dec. 14, 2007 at 1:23 AM
COMMENT:
Of course the Irish, Russians, and Puerto Ricans sell to people "outside their community." You can't have a business if you choose to only work with one kind of people. I suspect that is the source of most of Universal's troubles. Gamble's economic view is unworkable. If you ignore the market, and focus on nonmarket variables, you reward the things that are not going to get the job done, and ignore the things that do. This reverse racism is just as much a failure of merit based, American economic values as any racism. What would Cosby say? Juan Williams? John McWhorter? Fortunately, the drive to create a separate but equal Philly that romanticizes the segregated ghetto before it has finally lost its grip on the collective imagination.
Worst properties in SWCC -- mostly belong to Gamble or Universal -- why don't they get fined?
Posted by Anonymous | Dec. 14, 2007 at 1:42 AM
COMMENT:
All of South Street looks good except for the empty lots and vacant buildings owned by Universal. Is this because Universal can't get property to fix up if there is no more blight in the area? Why the city is not fining these guys, or, in come cases, even levying the property tax for the year those properties were conveyed in, is a mystery to me. If Gamble loves the city, why is he cheating it, and its citizens, schools, safety, and growth? Every business has to pay property taxes. If Gamble wants good schools, why is the Universal Charter School consistently underperforming? Vallas had taken away control of the other schools held by Universal's education management company for failure to meet standards. What happened to the businesses that were supposed to be created by Universal? Shuttered and sold. It would be super if Gamble's vision had some basis in reality, but the reality is that it is a poor performing alternate version of the same city services only costing the c

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