Efforts to increase public transit frequency in and around Philadelphia are still aspirational, but SEPTA’s leader said the system’s presence is already aiding the region’s economic development.
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Public transit has brought new companies to greater Philly and fueled multifamily development in the city, SEPTA CEO Scott Sauer said during a virtual Design Advocacy Group event Tuesday.
His presentation covered the agency’s Accelerate program, which proposes reducing headways on the Market-Frankford and Broad Street lines to as low as three minutes and cutting them to 15 minutes on the main trunk of the regional rail network.
“We’ve seen where SEPTA is this carrot to bring employers in, to bring up housing development,” he said.
The most recent big example was discount clothing chain Burlington’s decision to move from South Jersey to University City, which is slated to bring 2,000 full-time jobs to Philly. The retailer spent $240M to purchase a newly constructed, empty office building at 3151 Market St. from Brandywine Realty Trust.
Proximity to Amtrak and public transit options at 30th Street Station was a key factor for the company, in addition to incentives provided by city and state officials — including some related to SEPTA.
“They included SEPTA as a key part of luring Burlington into the city through offering them the Key Advantage Program,” Sauer said.
The program allows companies to purchase all-access SEPTA passes for employees at a discount of more than 80% compared to the standard monthly price of $255.
The public transit agency has experienced major financial woes in recent years as state lawmakers in Harrisburg have duked it out over public transit funding.
A $213M operating deficit in August 2025 led to a 20% service cut systemwide that was only rolled back when the agency received $394M worth of temporary capital assistance from the state the following month.
“We've also heard from employers who, during the service cuts — the discussions in 2025 — were contemplating actually picking up and moving their business in response to the service cuts, are now reenergized,” Sauer said.
He said the Accelerate plan could lead to a $12B increase in property values across the region and potentially create 50,000 new jobs.
“We're seeing developers lining up to want to develop on SEPTA's property,” Sauer said.
The agency has tapped multifamily developers to build new communities overlooking regional rail stations in Ambler and Conshohocken and is looking to carry out similar deals in Germantown and Langhorne.
But there is a ceiling for that type of development, and Sauer said the private sector needs to continue stepping up in transit-oriented sections of Philly.
“SEPTA doesn't have a ton of property to develop on, so we need the property owners around us to see that value,” Sauer said.
“You see it in University City. You've seen it along the Market-Frankford Line Corridor, where housing and businesses spring up all around us. So we know we've seen historically that it works.”
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