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COMEBACK CITY the Reinvented Steel Town Has Jobs, a Healthy Real Estate Market, Lots of Public and Private Innovation—And Billions of Dollars of Natural Gas

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COMEBACK CITY the Reinvented Steel Town Has Jobs, a Healthy Real Estate Market, Lots of Public and Private Innovation—And Billions of Dollars of Natural Gas PROFILE: Pittsburgh COMEBACK CITY The reinvented steel town has jobs, a healthy real estate market, lots of public and private innovation—and billions of dollars of natural gas. deltaskymag.com June 2012 101 pg 100-116.indd 1 5/7/12 9:25:03 AM PROFILE: PITTSBURGH Clockwise from far left: The finale of the PNC Legacy Trail Ride from Washington, D.C., to Pittsburgh; Google Pittsburgh offices; Pittsburgh Symphony Orches- tra; Andy Warhol; Skyline of the “City of Bridges.” PITTSBURGH’SSECOND ACT UNITY DEVELOPMENT (BIKERS); STRADA/DAVID ASCHKENAS (GOOGLE); THE ANDY WARHOL MUSEUM (WARHOL); How Steel City transformed from a one-industry town to a thriving, multifaceted knowledge economy. By Christine O’Toole PAGE 102 CLOCKWISE FROM TOP LEFT: ALLEGHENY CONFERENCE ON COMM ON CONFERENCE ALLEGHENY LEFT: TOP FROM CLOCKWISE 102 PAGE t’s hard to believe any American city, much Geographic Traveler’s list of must-see places to visit I less one in America’s Rust Belt, added 14,700 in 2012. jobs from March 2011 to March 2012 and now Pittsburgh is drawing on new talent and old boasts more jobs than it had at the beginning of resources to spur its resurgence. During the re- the recession in 2008. But that’s exactly what’s cession, southwestern Pennsylvania steadily add- happened in the Pittsburgh metro area. ed jobs in health care, finance, natural resources The city has welcomed $5 billion in new capi- and education. In five other sectors, it completely tal investment in its central business district in recouped recession job losses by 2011. the last six years. Regionwide, it has the nation’s “We are the only region in the country in highest percentage of young professionals with which downtown has regained all of its occupan- graduate degrees, was named by Moody’s Inves- cy and jobs since the beginning of the recession,” tors Service as the top commercial real estate says Allegheny County’s executive Rich Fitzger- market in the nation and was one of only two ald. “Thirty years ago, when heavy manufactur- PHOTOS, PAGE 101: ALLEGHENY CONFERENCE ON COMMUNITY DEVELOPMENT; DEVELOPMENT; COMMUNITY ON CONFERENCE ALLEGHENY 101: PAGE PHOTOS, American destinations to be included in National ing and steel collapsed, we lost 100,000 jobs in VISITPITTSBURGH (ORCHESTRA) ALLEGHENY CONFERENCE ON COMMUNITY DEVELOPMENT (SKYLINE) THIS PAGE JOSHUA FRANZOS (PITTSBURGH PROMISE) 102 June 2012 deltaskymag.com pg 101-116.indd 2 5/8/12 1:54:56 PM a short period of time. In the last few years, the One obvious benefi t of the city’s intellectual reverse has occurred.” might: a highly educated work force. In a shift fr om steel mill brawn to STEM brains, a 2010 Growing the Knowledge Economy study reported that one in fi ve 25- to 34-year-old Advanced manufacturing is still a key sector in Pittsburghers hold graduate or professional de- the Pittsburgh region, but sustained growth in grees, a ranking that ties the city with Washing- education, medicine, energy and fi nance have bal- ton, D.C. By consciously encouraging the growth anced the economy. Pittsburgh has jobs, and that of education, health care and fi nance, Martelle positive news is refl ected in recent U.S. Census argues, Pittsburgh found a postindustrial foot- numbers. The seven-county metro region now hold that Detroit lacked. counts 2.35 million people and its core The regional blueprint adopted in is particularly strong. Allegheny Coun- 1994 by the Allegheny Conference on ty gained 3,718 people between April BRAGGING RIGHTS: Community Development—a private- DID YOU 2010 and July 2011. While that’s a small Travel + Leisure named sector group that championed the city’s increase by megalopolis standards, it’s Pittsburgh International cleanup aft er World War II—has been KNOW? proof that the region has reversed a the fourth-safest airport implemented over the last two decades. Thanks to the “Pittsburgh Promise” half-century of population loss. in the United States, As it built on its historic strengths in citing its state-of- every public high Other Midwestern cities are still the-art snow and ice manufacturing, fi nance and energy, the school student with struggling with fl ight fr om the city removal system. region invested in R & D and spinoff s a good attendance record and a grade and the seemingly intractable problems in new industries, including informa- point average of that result. In his new book, Detroit: A tion and communications technology, at least 2.5 gets a Biography, author Scott Martelle devotes a chapter health care and life sciences. It also leveraged its $40,000 college to a comparison of the Motor City and the Steel own environmental cleanup to encourage green scholarship. City. “In Detroit, there is no Ford University or technologies and nurtured its cultural assets to Chrysler College,” Martelle notes. attract international visitors. By contrast, Pittsburgh’s 19th-century tycoons Today, Pittsburghers can make a compelling left legacies that continue to sustain the region— pitch to businesses considering a move to the re- fr om Carnegie Mellon University (and the nearby gion. “There are fi ve things we emphasize,” says Carnegie Museums) to deep-pocketed charitable Dennis Yablonsky, CEO of the Allegheny Confer- UNITY DEVELOPMENT (BIKERS); STRADA/DAVID ASCHKENAS (GOOGLE); THE ANDY WARHOL MUSEUM (WARHOL); MISE). foundations such as the Richard King Mellon ence on Community Development. “We have a Foundation and the Heinz Endowments. Mean- strategic location that’s within 500 miles of the while, the University of Pittsburgh’s distinguished majority of the U.S. population and industrial medical and health sciences schools and related output. We have a STEM-oriented work force and hospitals have grown into the $10 billion health it’s getting stronger. Our overall cost of living care enterprise known as “UPMC.” With more is fi ve or six points below the national average. than 55,000 employees, UPMC is now western Pennsylvania’s largest private employer. A healthy higher education sector has helped SPOTLIGHT: foster Pittsburgh’s knowledge-based economy, a case that Harvard professor Edward Glaeser made in a 2011 interview with the Pittsburgh MAYOR LUKE R. RAVENSTAHL Tribune-Review. “I would argue that Pittsburgh is LOPMENT (SKYLINE); THIS PAGE: JOSHUA FRANZOS (PITTSBURGH PRO (PITTSBURGH FRANZOS JOSHUA PAGE: THIS (SKYLINE); LOPMENT successful [because] it has smart people,” he said. RESIDES:R DES: Summer Hill, the same neighborhood where he PAGE 102 CLOCKWISE FROM TOP LEFT: ALLEGHENY CONFERENCE ON COMM “[A] third of Pittsburgh residents above the age greww up. “My parents and brother live right down the street fromm me. SummerSum Hill is close to everything in the North Side, of 25 have a bachelor’s degree, as opposed to 27.5 yet tuckeducked awayaw and off ers beautiful city views.” percent for the U.S. average. That’s very diff er- FAVORITEFA RITE INDIGENOUS I FOODS: Ham barbecue sandwich ent than Detroit [at 11 percent]. That’s absolutely (a local classic). Max’s Allegheny Tavern on the North Side for crucial to Pittsburgh’s success.” German food. “I have been grilling pizzas. I get local ingredients The universities have also made the region from The Strip District and make my own pizza dough.” more diverse. More than 9,000 foreign students ADVICE: “Most visitors go to Mount Washington to are enrolled in western Pennsylvania institu- check out the amazing view of Pittsburgh. I recommend tions; two-thirds of them attend Carnegie Mellon getting off the beaten path and into lesser known city neighborhoods where the views are also magnifi cent, and Pitt. Though only 3 percent of the region’s such as the West End and Fineview neighborhoods.”ods.” residents are foreign-born, they comprise the PITTSBURGH LOVE: “In Pittsburgh, we have thehe most highly skilled immigrant group in the perfect recipe for an even brighter future—beautifultiful entire country, with a concentration of expertise neighborhoods, a young, talented work force and strongrong in science and engineering. More than 53 percent public-private partnerships.” VISITPITTSBURGH (ORCHESTRA); ALLEGHENY CONFERENCE ON COMMUNITY DEVE COMMUNITY ON CONFERENCE ALLEGHENY (ORCHESTRA); VISITPITTSBURGH PHOTOS, PAGE 101: ALLEGHENY CONFERENCE ON COMMUNITY DEVELOPMENT; COMMUNITY ON CONFERENCE ALLEGHENY 101: PAGE PHOTOS, hold a bachelor’s degree or higher. deltaskymag.com June 2012 103 pg 100-116.indd 3 5/7/12 9:29:51 AM SPOTLIGHT: ALLEGHENY COUNTY the $296 billion fi rm headquartered a few blocks away. “We would not have built a green conven- EXECUTIVE RICH FITZGERALD tion center adjacent to what the Cultural District had been—a dump—and ALCOA, which built its RESIDES:RES S: SquirrelSq Hill neighborhood, with his wife, Cathy, and their eight children. new headquarters on the [nearby] North Shore, PITTSBURGHSBU ROOTS: Fitzgerald grew up in what was at the time the Garfi eld might have gone to a suburb instead.” neigneighborhood.hborhood His Pittsburgh family roots go back 120 years. PNC itself fueled downtown’s growth with CLASSICCLASS PITTSBURGH STORY: “On opening day at PNC Park, I was waiting construction of its LEED-certifi ed 23-story sky- for the subway at the North Side station when I noticed a Port Authority scraper completed in 2010. This year it will break employee I knew. I pointed him out to the folks I was with and asked if they had seen the epic photo of the Bill Mazeroski homerun from the ground on an adjacent $400 million “skyrise” 1960 World Series. In it, there is a man in a suit jacket, shirt and tie that will incorporate one of the tallest solar running down the baseline behind Maz. That man was the father of the chimneys in North America.
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