WEARING a Paul Green School of Rock T-shirt, his bangs plastered to his forehead in the summer heat, Laris Kreslins pulled in front of a handsome brownstone on Rittenhouse Square, the priciest neighborhood in the city, and hopped out of his car.

"We're going to show you what a real Philly apartment looks like," he said, unlocking the door to reveal a spacious one-bedroom flat sparsely decorated with CD's and copies of music magazines. "As you can see, it has hardwood floors, lots of light and very high ceilings," he said. Then Mr. Kreslins paused and delivered what he knew would be the kicker: "Rent is $800 a month. Heat and electricity included."

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Attracted by a thriving arts and music scene here and a cost of living that is 37 percent lower than New York's, according to city figures, a significant number of youngish artists, musicians, restaurateurs and designers are leaving New York City and heading down the turnpike for the same reasons they once moved to Brooklyn from Manhattan.

"We got priced out of Manhattan, and we moved to Brooklyn," said John Schmersal, 32, of the three-member band Enon; two of them migrated here in January. "Then we got priced out of Brooklyn. Now we're in Philadelphia."

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Ms. Neighbor and Mr. Matz discovered Fishtown, a gentrifying blue-collar neighborhood adjacent to Northern Liberties, where, in the last five years, youthful faces with bed head have made their way among the traditionally Irish Catholic residents. They found a three-bedroom row house for $170,000.

"New York is mythologically all about vibrancy and creativity, but it's hard to work a 40-hour week and come home and be Jackson Pollock," said Mr. Matz, 32, a guitarist. He said that by living in Philadelphia he could support himself teaching public school and devote the rest of his time to his band.

A few blocks away from Ms. Neighbor's house live Laura Watt, a 38-year-old painter, and her husband, Clark Thompson, 38, a financial services technician who left his Manhattan-based bank for one in Philadelphia a year ago. They settled in a three-level condominium in a new housing development called Rag Flats in Fishtown with their two children, Gus and Lydia. At $439,000 it was pricier than any of the block's three-story row houses, but with three bedrooms, each with an outdoor deck; solar heat and electricity; a rooftop with spectacular views; and a dumbwaiter going down to the kitchen, they thought it was worth it.

"Philadelphia reminds me a lot of what Brooklyn used to be like," said Ms. Watt, who had lived in Brooklyn and Westchester County for 15 years

Philadelphia Story: The Next Borough