Edward Gause, 43, was arrested in the 6300 block of Market Street on Sunday by the U.S. Marshalls and officers from the19th Police District without incident.
Gause was wanted in the November 2010 death of 76-year-old Robert Lancaster.
Police did not immediately disclose the details of the crime, and the officer who answered the phone at Philadelphia Police Public Affairs said she did not know the motive in this crime.
However, the Philadelphia Daily News quoted investigators as saying Gause was a handyman who beat Lancaster to death in a dispute over how much he was owed for work he'd done on the victim's house.
Lancaster lived down the street from Philadelphia Mayor Michael Nutter in the city's Wynnefield neighborhood.
Gause is charged with Murder, Robbery, Burglary and related offenses.