The 400 block of South Broad Street is now known as Teddy Pendergrass Way.
A crowd, which included the late singer's wife and family, gathered to mark the occasion at the intersection of Broad and Pine.
"You helped the music come off the sheets and into the spirits and souls of the people who were listening and Teddy made the words, the poetry become a part of our lives," said Mayor Cherelle Parker.
Some of his hits included "Turn Off the Lights" and "Love TKO." His music has graced the airwaves from Philadelphia and beyond for decades.
"We know and we love Teddy," said Patti Jackson.
The famed singer passed away in 2010, but his music made a mark on the City of Brotherly Love.
"Philadelphia meant everything to Teddy Pendergrass. He was born and raised in Philadelphia and passed on in Philadelphia, so Philadelphia was his heart and soul," said Joan Pendergrass, his widow.
The location of Teddy Pendergrass Way is, of course, important. It's along Avenue of the Arts and near the former home of Philadelphia International Records where the famed singer recorded five platinum albums.
"It's been so many years just thinking about dad and what he meant to the city of Philadelphia," said Teddy Pendergrass Jr..
For Teddy's family, the crowd and the honor served as a reminder that while their dad may be gone, his legacy lives on.
"It feels good. He'd have a big smile on his face right now," said Teddy Jr.
"It's an honor. I'm humbled. There's no words to describe the way I'm feeling," said Joan.