I understand that Philly law firms are often apprehensive about hiring Penn grads for reasons regarding NYC. Why is that? Is the pay so much better in NYC? I have been confounded by this question, unless we are talking about bolting from a Philly mid-sized firm to BL.
I'll let the Philly kids answer this one more specifically, but it's not so much New York pays better (with cost of living it ain't much different). Philly firms are just skeptical of someone who could do tons of different things with a Penn degree, but decided to stay in Philly. New York/LA/Chicago/DC simply tend to have more attractive career ladders to reach top goals. Philly is an underrated market for great firm jobs and career options, but I think it still is quite a step behind the other cities insofar as what they offer you for your career.
Therefore, Philly firms are skeptical of a Penn student who has no obvious reason to stay in Philadelphia. The Drexel student can't get a job outside of Philadelphia--they know why the Drexel student is trying to work in Philadelphia. The Penn student CAN leave, and usually does. Even students who want to circle their careers back to their hometowns in Philly often start their legal careers in different markets in order to follow a more expansive career path.
This is, admittedly, just anecdotal evidence (a lot of it is probably straight from r6 and HW themselves). They can probably clarify/correct me, but I think I have the general idea.
With that said, if you have a good story/reason to tell an employer why you want to be in Philly for the next 10+ years, then you need to give it.