At lunchtime on a Thursday, a week before Thanksgiving, Chestnut Hill was buzzing.
Inside the newly expanded Matines Café, almost every table was full. People sipped warm drinks from large mugs and ate Parisian croissants and quiche. Bottles of prosecco sat on ice by one large table adorned with Happy Birthday balloons.
McNally’s Tavern was bustling, too, with regulars sitting at the bar and at tables inside the cozy, nearly 125-year-old establishment atop the hill. Multiple generations gathered — a son taking a father out to lunch, a mother with a baby in a stroller, and two sisters, Anne and Meg McNally, running the place.
Behind the storefronts along Germantown Avenue’s main drag, some people perused the boutiques, while others typed away on laptops in coffee shops.
In the northwest Philadelphia neighborhood known for its wealth and postcard-picturesque aesthetic, the small-town charm of longstanding establishments — four are more than 100 years old — is now complemented by the shine of some newer shops and restaurants. Several Chestnut Hill business owners said the variety has helped both old and new spots succeed despite broader economic challenges, including inflation and tariffs, and the loss of a few restaurants.
As the owner of Kilian Hardware, which has been in business for 112 years, Russell Goudy Jr. has watched the avenue change. Fifty years ago, he said it was “basically like a shopping mall,” a one-stop shop for everyday needs.
In recent years, however, the neighborhood has focused on attracting and retaining unique food and beverage businesses, “quaint, specialty shops,” and service-oriented businesses, which Goudy said offer experiences Amazon and other e-commerce platforms can’t replicate.
“If you’re not giving people an experience in today’s economy, it’s very tough to compete,” said Nicole Beltz, co-owner of Serendipity Shops, which for a decade has had an expansive store on Germantown Avenue. And providing a memorable experience is never more important than during the lucrative last few months of the year.
“When you come to Chestnut Hill over the holidays, you get what you came for,” Beltz said. “You get that charming feeling of being somewhere special for the holiday.”
‘New vitality’ coming to the Chestnut Hill restaurant scene
During the holidays and all year long, Chestnut Hill business owners said they’re grateful that the neighborhood has held onto its charm despite recent challenges.
During the pandemic, “it definitely felt a little grim and dark,” said Ann Nevel, retail advocate for the Chestnut Hill Business District. “The impressive thing is the old-timers, the iconic businesses, and some of the newer restaurants … pretty much all were agile enough to tough it out.”
And a slew of other businesses have moved into the community since then. In the last four years, 20 retail shops, 20 service businesses, and 10 food and beverage spots opened in Chestnut Hill, Nevel said, while several existing establishments expanded.
Among them was Matines Café, which opened a small spot on Bethlehem Pike in 2022 and expanded this fall to a second, much larger location on Highland Avenue. The café serves 500 people or more on weekdays, according to its owners, and even more on weekends.
Sitting inside their original location, which is now a cozy children’s café, Paris natives Amanda and Arthur de Bruc recalled that they originally thought they’d open a café in Center City, where they lived at time. Then, they visited Chestnut Hill and fell in love, despite “a lot of empty spots” there around 2022, Amanda de Bruc said.
“We liked the idea of living in the suburbs, which technically Chestnut Hill is not the suburbs, because it’s still Philly,” she said. But “we were looking for something that we were more used to, like Paris. There are so many boutiques in such a small area,” and everything is walkable.
The opening of shops and cafés like Matines became a “catalyst for this new vitality, a new, more contemporary energy that has taken hold in Chestnut Hill,” Nevel said. Soon, “we’re going to see that new vitality in the restaurant scene,” including in some long-vacant storefronts.
In 2026, former Four Seasons sommelier Damien Graef is set to open a wine bar, retail store, and fine-dining spot called Lovat Square off Germantown Avenue, Nevel said. On the avenue, a café-diner-pub concept called the Blue Warbler is under construction and also slated to open sometime next year.
In downtown Chestnut Hill, there are still a few empty spots, including those left by Campbell’s Place, a popular restaurant that closed this summer; Diamond Spa, which closed this fall; Iron Hill Brewery, which closed in September (right before the regional chain filed for bankruptcy); and Fiesta Pizza III, which closed last year.
Kismet Bagels, a popular local chain, was set to fill one of the spots this summer, but its deal fell through, co-owner Jacob Cohen said in a statement. He said they could “revisit the Chestnut Hill neighborhood” in the future.
While the future of Iron Hill will be dictated by bankruptcy proceedings — which include an auction of assets set for next month — stakeholders say conversations are ongoing about some of the other vacancies.
Steve Jeffries, who is selling the Campbell’s building for $1.5 million, said he’s gotten a lot of interest from people who want to revive the nearly 3,000-square-foot space as a neighborhood pub, but one that is “more cutting edge.” Perhaps, he said, one that is not focused on craft beer, which has decreased in popularity, especially among younger generations.
“The town is just screaming for other opportunities for nightlife and sports bars,” said Jeffries, executive vice president of Equity CRE. “There has been a connotation in the market that Chestnut Hill was kind of older, stuffy, that it wasn’t a nightlife town.”
But that’s changing, Jeffries said.
Just ask Jared Adkins, owner of Char & Stave, an all-day coffee and cocktail bar at the corner of Germantown and Highland Avenues.
After Nevel visited Ardmore and saw the success of Adkins’ original Char & Stave, she recruited him to open a Chestnut Hill location. It started as a holiday pop-up in 2022, then became a permanent presence the next year. Since he moved into town, Adkins said, business has been booming.
“We’re really just busy all day long,” said Adkins. The café is open until 11 p.m. during the week, midnight on the weekends, and it often brings in musicians and hosts events.
Adkins describes Char & Stave as a place where drinkers and nondrinkers alike can spend time together, and where people can get work done with coffee or a cocktail beside them: “It’s really a gathering place that fills a niche of a nice cocktail place.”
More changes to come for Chestnut Hill
Chestnut Hill business leaders and community members say they’re optimistic about the neighborhood’s continued evolution.
As Brien Tilley, a longtime resident and community volunteer, ate lunch inside Cosimo’s Pizza Cafe, he said the community is doing well. But, he added, “it could always do better. It’s always in transition.”
Nevel noted that restaurants require more capital to open than other businesses, so it can take awhile to fill those larger holes downtown.
“The economy is tough,” said Anne McNally, a fourth-generation owner of McNally’s, as she sat by the tavern’s front window overlooking Germantown Avenue. But in Chestnut Hill, she gets the vibe that the community “wants us to be successful.”
McNally and Goudy, of Kilian’s, both noted that their families bought their buildings decades ago. That has contributed to their longevity, both said, as has evolving with the customer base.
For the McNally family, that meant transitioning from a “bar-bar,” with no clock or phone, to a bar-restaurant that closes at 10 p.m. For Goudy, it meant soliciting online orders and walk-in business from out-of-town and even out-of-state customers whose older homes require unique hardware.
“Everything is changing,” Goudy said. “It’s important to keep changing and not to try to go back to where you were before.”
