Time for the North Side

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05 President’s Message 07 Executive Director’s Message 29 Eye On the Economy

Feature 33 Office Market 08 Update Time for the North Side 37 Industrial Market Update 41 Capital Market Update 47 Legal/Legislative Outlook Transportation and Permitting – An Evolved and Refined Process 51 Benchmarks 23 Development Profile Changes on the Horizon 371 North Shore Drive – SAP Pittsburgh Office for LERTA 55 Voices 59 News from the Counties 73 People / Events

77 Buyers Guide 2019

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EDITOR Jeff Burd 412-366-1857 [email protected] As we head into fall, it is a great We all must remember, however, that time to reflect on a very eventful public policy has the ability to facilitate PRODUCTION year for development in general, continued development or to hinder Carson Publishing, Inc. and for NAIOP Pittsburgh as a it. While real estate development has Kevin J. Gordon Chapter. So many important and had an unprecedented good run, [email protected] interesting projects are underway, our overall regional growth numbers recently completed or starting off. still show challenges. Without GRAPHIC DESIGN The explosion of great development an environment that makes new 321Blink projects in the strip, the continued development attractive, we will face tech emergence in Lawrenceville, a shortage in the very near future of CONTRIBUTING PHOTOGRAPHY airport corridor growth, and the first locations for the new and growing NAIOP Pittsburgh completed – and occupied – buildings businesses that are putting Pittsburgh Cory Klein Photography at Hazelwood Green all bode well for on so many “Best of” lists. our region and our industry. AE7 Architects Now is not the time to put the brakes Tall Timber Group As a chapter, NAIOP Pittsburgh on development. To do so would Northside Leadership Conference continues to make great progress jeopardize the progress we’ve made in growing our membership, as a region, and an industry, and CONTRIBUTING EDITORS dramatically increasing our advocacy poses a threat to the many good jobs Jeremy Marshall platform, and continuing to provide in the development and construction Karen Kukish great networking and service to the industries. It would also jeopardize real estate development community the region’s continued economic ADVERTISING SALES in the region. development overall. Karen Kukish One aspect that is particularly Real estate development has played 412-837-6971 important to me, to NAIOP and a central role in boosting our region’s [email protected] to our region is our Developing economy, including key contributions Leaders (DLs) program. The DL to the university driven tech economy MORE INFORMATION: program has grown tremendously, in Lawrenceville and the Strip, and DevelopingPittsburghTM is published by now totaling 111 members in the the improvements in East Liberty, Tall Timber Group for NAIOP Pittsburgh Pittsburgh chapter – nearly one-third Downtown, and the South Side. The 412-928-8303 of our membership. Our DLs are commercial real estate development www.naioppittsburgh.com engaged and active, bringing new industry can continue to be a key energy, new programs and new partner in the emergence of new No part of this magazine may be perspectives to the development industries and neighborhoods, IF reproduced without written permission industry. Importantly, our DLs are a we make sure the environment for by the Publisher. very diverse crowd, showing that real investment continues to be productive estate can attract and support great here. All rights reserved. careers for professionals of all ages, Our great staff at NAIOP Pittsburgh races and genders. Our DLs are clearly This information is carefully gathered and your Board are working hard contributing to the more inclusive to ensure that the interests of the and compiled in such a manner as to economy we all want to see. ensure maximum accuracy. We cannot, industry are well represented and to and do not, guarantee either the cor- The growth in DLs reflects recognition promote a broader appreciation of rectness of all information furnished of both the value of real estate as the fundamental contributions our nor the complete absence of errors and a career and its value to the overall industry makes to the prosperity of economy in our region. Attracting our region. omissions. Hence, responsibility for same talented young professionals to neither can be, nor is, assumed. our ranks demonstrates a number of positive trends and perceptions: Keep up with regional construction development is cool; it brings great and real estate events at: projects into being; it is a key driver www.buildingpittsburgh.com of the region’s economy; and it provides widespread professional opportunities – more so than at any time in recent memory. Younger professionals see an exciting and rewarding career that also allows them to help to grow the region and improve the quality of life for the Don Smith Jr. residents. NAIOP Pittsburgh President

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EXECUTIVE DIRECTOR’S MESSAGE

ast month marked my one year as Executive Director come will be about setting up and delivering legit policy wins of NAIOP Pittsburgh. And for our chapter, this past year for the Pittsburgh CRE community. has been one characterized by growth, innovation, L As we close out the second half of 2019, NAIOP Pittsburgh and incremental change. Building from the many years of will finish strong with great events for premium networking excellence, 2018-19 has been one of NAIOP Pittsburgh’s best and continued advocacy for the CRE community. In October, years. Our membership grew by over 15 percent, our events NAIOP Pittsburgh will celebrate our 20th Annual Night At The consistently sold to capacity, including record attendance at Fights, which is the most unique event of any association in the 26th Annual Awards Banquet, and our Developing Leaders the Pittsburgh region. Additionally, our fall schedule is full of (DL) program skyrocketed this year with strong programming. quality programming. Please visit www.naioppittsburgh.com to Additionally, in keeping in line with our aforementioned DL check out our upcoming programming and to find sponsorship program, our chapter engaged NAIOP Corporate to relaunch information for Night At The Fights. our mentoring program, Mentorship Connect. Working with the board and our great DL leadership, Mentorship Connect Sincerely, booked over 66 mentorship sessions in 2019. While organizational growth has been positive, the policy landscape remains fraught with risks for the CRE community. Worrisome riverfront zoning implications, changes to incentives, inclusionary zoning, permitting gridlock, and possible tax increases, are just some of the policy concerns affecting the Pittsburgh CRE community. When matched with possible effects of the growing U.S. – China trade war, policy decisions by our elected leaders will play a critical role in determining the pace of investment growth. NAIOP Pittsburgh has engaged heavily with our elected leaders over the past year. And in the year to come, there will be no slowdown from us. The last year has been about Brandon J. Mendoza re-establishing our presence at the policy table. The year to Executive Director NAIOP Pittsburgh

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8 DEVELOPING PITTSBURGH | Fall 2019 TIME NORTHFOR THE SIDE

Use courtesy Northside Leadership Conference.

www.developingpittsburgh.com 9 FEATURE

t seems like it’s the North Side’s 96-room hotel on East Ohio Street, to Highway capacity expansion created time. After a decade of booming a groundbreaking for apartments at the another set of barriers as Route 65, Irevitalization in neighborhoods like stables building, to the fountain just Route 28 and the Fort Duquesne East Liberty, Lawrenceville, and the Strip completed at the park, to the cancer Bridge became bypasses around the District, the answer to the question center at Allegheny General Hospital, North Side. Three Rivers Stadium of which neighborhood will be the there is something under construction was built and surrounded by acres of next hot spot is probably the North all over. And that doesn’t mention all asphalt. Allegheny Center became a Side. That may seem an odd answer, the small projects being done in all the barrier, isolating the residents of the considering that revitalization of the neighborhoods.” North Side. North Side has been ongoing for about Once an independent city of 75,000 When the industrial base of the region 50 years. It may also seem odd that people, called Allegheny City, the North began to disintegrate in the late 1970s, almost 20 years after the North Shore Side makes up about one-fifth of the the North Side had gone from one saw construction of two professional city. The NLC works for 15 different of America’s wealthiest communities sports stadiums and a casino – plus the smaller neighborhood groups that to one of Pittsburgh’s struggling development that fits in between – that cover the entire city proper along the neighborhoods. it’s the current day that feels more like Allegheny and Ohio rivers, stretching Redevelopment from the Ground Up a boom. north to the Pittsburgh suburban Mark Fatla, executive director of the boundaries. With the benefit of time and Northside Leadership Conference hindsight we can see that most of As Pittsburgh prospered in the 1950s (NLC), agrees with the assessment the government-led redevelopment and 1960s, new infrastructure and that the last couple of years have seen efforts in cities around the U.S. weren’t commercial development came to heightened development. terribly effective. By the time that the the North Side that had unintended City of Pittsburgh began looking at “The theme of this year’s banquet for negative consequences, or results redevelopment on the North Side, the Northside Leadership Conference that were opposite of the intentions. much of the industrial property along was ‘Northside Under Construction.’ Industrial development along the the rivers had become gravel lots. And the reason is there’s a lot of riverfront cut off neighborhoods The “Renaissances” that followed construction,” Fatla jokes. “From a from the rivers and from Downtown.

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10 DEVELOPING PITTSBURGH | Fall 2019 FEATURE

in Pittsburgh missed the North Side “We have been building to this point in Lawrenceville – and the spiking for the most part. What successes for 40 years. What’s happened on the prices – DePasquale saw the North occurred resulted from very localized North Side that is different from East Side as underserved by developers. programs. This pattern of renewal, Liberty is that we did this gradually, He found a willing partner in the one building or one block at a time, organically, and from the grassroots East Allegheny Community Council, continues today. up,” Fatla explains. “There was not a lot which urged October Development to of big foundation money. There wasn’t purchase the homes of two absentee Among the earliest redevelopment a lot of big political will. There wasn’t landlords that were contributing to the successes were the renovation of some catalytic development project blight of the neighborhood. homes in the Mexican War Streets in that triggered development. For the the late 1960s and 1970s. Built in the “Almost on the first day we were able to most part, people gravitated towards 1840s, the Mexican War Streets are an identify 18 homes to buy. We renovated historic district neighborhoods that historic district of single-family homes, those and sold them to private owners,” were gradually polishing themselves which have been restored largely by DePasquale recalls. “I’d say we are one house at a time. There wasn’t a individuals. Originally sold for as little upwards of 50 dwellings that we have giant upheaval that displaced large as $100, the dilapidated homes were rehabilitated or built new just in this numbers of people who couldn’t afford nearly replaced by a proposal to build neighborhood.” to stay here. It’s been a more organic 16 apartment buildings containing and equitable process. And as a result I DePasquale found the kinds of 5,000 units. The plan, developed in think there is increased investment.” opportunities to buy undervalued 1954, would have demolished all the property and add value that he didn’t homes between Allegheny General Allie DePasquale is one of those people find in Lawrenceville or East Liberty. In Hospital and Brighton Avenue that sit who was attracted to the North Side’s his mind, the successes of the East End between North Avenue and the railroad historic neighborhoods and potential. neighborhoods were proof of concept. line bisecting the North Side. Instead, a A small private developer, DePasquale’s grass roots rehabilitation of hundreds of company, October Development, “Those kinds of projects were homes created a vibrant neighborhood began buying and renovating single- succeeding in East Liberty and that thrived in the midst of blight for family homes in Deutschtown in 2007. Lawrenceville, so it wasn’t so much of a decades. Tired of the competition for properties risk about the type of project. The main risk was whether the North Side would

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Development of the North Shore parcels between Heinz Field and PNC Park is nearing completion. Cory Klein Photography

follow suit,” he says.” I think this is a has been very intentional,” Reichert 15 community groups. Fatla dispels better location than Lawrenceville so it says. “Separate from our business, we any assumption that the NSLC is the made more sense. It used to be the top live three blocks from our office in umbrella under which the other groups neighborhood in the city when Andy Manchester. My wife and I moved here operate Carnegie was walking up-and-down a few years ago and started attending “That is backwards. We’re the boat that these streets. The things that made it a church on the North Side. We loved everybody rides and they get to decide a top neighborhood then still exist. what was going on in the North Side. which way it goes,” he says. “We have Once we put renovated homes on the We love the activity, the improvement this grassroots, vertically-integrated market it was easy to get people to of the fabric of people’s lives and organization and the individual move here. It’s so convenient to be on livelihoods, in terms of the housing that community groups decide what the North side. they live and the businesses that they direction their neighborhood wishes operate. We planted ourselves here “I live on Lockhart Street and, when I to go. In turn the conference owns the because we wanted to live and work in get in my car every morning, within 30 primary source of capital, the Northside the neighborhood.” seconds I can be on a major highway Community Development Fund, which going in any direction.” In addition to its offices, Go Realty has has $13 million in assets for lending to Andrew Reichert, principal of Go Realty, rehabilitated five large single-family small business and real estate projects.” properties. Go Realty has stepped is another real estate professional This model of distributed community up the investment in the North Side who viewed the North Side through control in consensus, combined by undertaking the Allegheny City the prism of personal experience. with a funding source and the Stable Lofts, a renovation and new He and his wife Shannon, who is principal communications tool for construction hybrid that will bring 36 also a principal at Go Realty, moved the community, is unique among units of new living to historic stables to the North Side and have offices Pittsburgh community development located on West North Avenue. in Allegheny West. Go Realty’s main groups. Fatla understands why. business model is the purchase and October Development and Go Realty “It’s because it’s hard. Have you met management of stabilized assets in the benefitted from the partnership with any North Siders? Try getting 15 of near suburbs surrounding Pittsburgh. the NSLC. The non-profit looks for them in a room to agree on anything,” Their development model is focused owners and developers that are seeking he laughs. “We have all of the diversity closer to home. opportunities that fit the North Side’s and most of the assets that any city grass roots approach. NSLC acts as a “The concentration on the North Side has. Our residents are black and white, resource and convening entity for the

www.developingpittsburgh.com 13 FEATURE

rich and poor, gay and straight. They initially proposed a 12-story apartment the market was steadily maturing over live down by the river and up on a hill. that was met with opposition. Later, here. They saw an upward wave and Every variation you can imagine exists a revised design that reached eight believed they could reposition that within this one-fifth of the city, and they stories was also opposed by neighbors. property to do very well. But they wouldn’t have done it if they hadn’t all have to come together and figure In July, Trek and Q presented a smaller seen an upward wave.” out what works.” project to the Urban Redevelopment The grass roots approach can create Authority. The five-story mixed-use frustration for developers. Residents building will have fewer apartments – Redevelopment on a Grander Scale placed demands on the casino design, around 50 units – and less commercial in particular the parking garage, that space than the grand proposals that The upward wave of North Side weren’t demanded by the City of had been floated by earlier developers, redevelopment has been aided Pittsburgh and created delays in getting and Trek and Q Development. There dramatically by the success of the the project approved. Concerns about is no firm schedule for construction of large-scale developments over the rowdy fans on eight Sunday mornings the project. past three decades. Without the aid

Millcraft’s ambitious development of the Ohio riverfront west of Chateau Street is the next major commercial project in the pipeline for the North Side. Rendering by AE7 Architects, use courtesy Millcraft Investments.

Fatla believes the grass roots growth of photographs, it is difficult to grasp (or more, with any luck) influenced is more sustainable and attracts just how much the narrow two-block decisions about how Heinz Field was developers with varying skill sets, strip of land between the Ninth Street built. Perhaps no project has seen even if it increases the potential for Bridge and West End Bridge have been View from West End Overlook more pushback recently than the NIMBY intervention. By attracting transformed. redevelopment of Federal North’s developers with a diversity of thinking Garden Theater. Commercial development on the North JANUARY 2019 and experience, Fatla believes the Side began with the construction of The misfortune of economic timing North Side development environment corporate offices on the gravel lots has undone some of the proposed was more attractive to the large-scale that lined Isabella Street in the 1980s. plans for the central business corner developers that followed. During the 1990s, two major projects of the North Side, but neighbors in the “[Projects like] Nova Place are a product – ALCOA’s headquarters and Lincoln surrounding streets have also slammed of the process, not the cause of it,” he North Shore – provided inertia to the the door on the project. The current says. “The reason Faros was interested theory that the North Side’s proximity developers, Trek and Q Development, in the property was that they saw that to Downtown and highways would

14 DEVELOPING PITTSBURGH | Fall 2019 FEATURE

attract residential and commercial developer,” recalls Ford. “The Steelers office as the predominant use for the tenants. At the end of that decade, the invited us to submit a proposal. Frank North Shore development, those same replacement of Three Rivers Stadium Cass and I drove down on a beautiful parking resources become available for with two new major sports stadiums day when the riverfront improvements their tenants. kicked off a new era of large-scale had just been completed and the “I have to give credit to the city and the development. When PNC Park and stadiums were almost open. It was a teams for their planning. In the 1990s Heinz Field opened in 2001, the beautiful spring day. He and I walked up they got together and put a master plan business generated from 82 baseball and down the park, looked at the site, in place for the development and we games and ten football games (plus and said to each other that it seemed really followed that plan,” Ford says. one or two extra most years) created like a natural for us. The rest is history.” “That master plan required that a big demand for more commercial space. During the past 15 years, through public investment go into parks and When those stadiums were nearing two business cycles, Continental has infrastructure. That fixed what wasn’t completion, the Sports and Exhibition developed four major office buildings there before. Unlike with Three Rivers Authority, the Pirates, and the Steelers totaling 635,000 square feet and Stadium, they took the steps that invited developers to propose the roughly 140,000 square feet of ground attracted development. I have to give

commercial build-out of the vacant floor restaurant/entertainment space. the teams and the city credit for what property between the new stadiums. What was once a sea of parking spaces they did 20 years ago. They planned for Continental Real Estate was just has become an 18-hourView commercial from success.” West End Overlook completing its Waterfront project district. With two major league sports teams and had hired Barry Ford to grow its Ford notes that there weren’t a lot of anchoring the North Shore, other Pittsburgh real estate operations. The developers competing for the North development followed beyondJANUARY what 2019 North Shore opportunity was one of Shore project. One of the concerns Continental developed. The Steelers the first he helped pursue. was that it would be difficult to mix and Promowest built Stage AE, a live “We were doing smaller projects in the commercial development with the music venue. Four different hotels were region but were looking for a project to parking required but he says that developed between Federal Street and really plant our flag to show we were the opposite has been true. Parking North Shore Drive. Infill development a Pittsburgh company. I’m a Pittsburgh resources that support the Steelers of entertainment and dining changed guy and we wanted to show that we and Pirates are used almost entirely in Federal Street. First National Bank built were committed to being a Pittsburgh the evening and on weekends. With a new headquarters there. The Rubinoff

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Company developed a 232,000 square foot business service center for ALCOA just east of Federal Street on Isabella Street. As the North Shore was maturing as a sports and entertainment hub, the area received another boost when Pennsylvania’s Gaming Commission awarded Rivers Casino the license to build on a site between Reedsdale Street and the Ohio River. Financial trouble with the original developer slowed construction but the casino opened in August 2009. At the other end of the North Side’s riverfront, two major apartment complexes were built in the early 2000s. The 232-unit Morgan at North Shore apartments were built by Lincoln Properties. Originally known as Lincoln North Shore, the project was new three-story garden apartments perched on the banks Redevelopment of the West Deutschtown neighborhood is attracting new construction and of the Allegheny River. At the other restoration of businesses along the East Ohio Street corridor and the intersecting streets. end of the architectural spectrum,

16 DEVELOPING PITTSBURGH | Fall 2019 FEATURE

former H. J. Heinz Company buildings built in the 1890s were converted into the Heinz Lofts, a 266-unit complex developed by Ferchilll Group in the mid-2000s. The aforementioned Nova Place is a more recent major project success story. New York-based Faros Properties acquired the former Allegheny Center Mall and adjacent apartments in 2013, with the intention of converting the defunct mall into office space for emerging technology companies. Allegheny Center Mall had been emblematic of the decaying fabric of the North Side decades before. The mall cut off Federal Street just north of Lacock Street, and created a one-way circular traffic pattern that pushed vehicles away from the North Side’s heart. Faros’ plan was to invest more than $125 million in upgrades that would make the mall viable as a technology hub. “We thought it was an opportunity The Allegheny City Stables Lofts will blend new construction (rendered on the left) with the res- to acquire a tremendous amount toration of an historic structure. Rendering courtesy Go Realty. of physical infrastructure that was,

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Allegheny Commons Park sits in the heart of the North Side Flats. Photo by Jeremy Marshall. Use courtesy Northside Leadership Conference.

in our view, in a great location,” says back up and upgrading the rent rolls. 3,000-car parking garage. Jeremy Leventhal, managing partner Turning to the Allegheny Center Mall, As of Spring 2019, a bevy of new at Faros Properties. “It was proximate Faros employed dozens of Pittsburgh leases lifted the occupancy level in the to the city, the North Shore and we contractors, architects, engineers, and mall and adjoining office tower to 92 had the ability to reshape a significant consultants to convert the 1.5 million percent. Faros has attracted a number portion of that neighborhood. We saw square foot space. In the process, they of technology tenants, including the that as a great opportunity.” created a 10,000 square foot fitness Pittsburgh Technology Council. Faros began by rejuvenating the Park center, the Federal Galley restaurant, One of the largest developments View apartments, bringing occupancy one of Pittsburgh’s first co-working spaces, Alloy 26, and renovated the underway on the North Side today is an

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institutional, rather than commercial, Projects like these have added neighborhood for development. Mark project. Its impact will benefit the significantly to the employment base of Fatla recognized that when, as a lawyer commercial real estate on the North the North Side; however, the existing practicing Downtown, he moved Side in a big way. employers on the North Side are a big to the North Side in the mid-1980s part of why commercial development and walked to his office much of the Allegheny Health Network (AHN) is well has succeeded thus far. Rivers Casino year. As the large-scale development underway with the construction of the employs 1,500 people. Allegheny unfolded over the past two decades, Allegheny General Hospital’s Cancer General Hospital employs 3,000. that proximity improved. Institute. The $51 million, 90,000 PNC’s million-square foot back office square foot new construction project “When the conference hired me as operation employs nearly 1,000. Fatla has been a traffic inconvenience on executive director 13 years ago, I estimates that there are total of about North Avenue for more than a year, but told them Downtown had become a 8,000 jobs on the North Side. is expected to more than compensate half-mile closer. I believe increasingly for the inconvenience with an influx of Beyond the number of jobs, it’s the because of the North Shore build-out patients and families when the center type of employment that is important we will be identified with the Central opens in early 2020. The dispute to North Side residents. Hospitals don’t Business District,” he says. “In cities with between UPMC and Highmark created close and casinos don’t like to either. historic district neighborhoods close the demand for a world-class cancer Employees who live on the North Side to Downtown, those neighborhoods treatment center for Highmark patients. find it easier to make it to work on bad tend to do very well. Think about Once open, the Allegheny General weather days than employees who live Boston, Chicago or Philadelphia. Hospital Cancer Institute should bring in the suburbs. That means many of the Neighborhoods close to the action demand for hotel rooms, restaurants, North Side employees are North Side there do very well.” and additional commercial amenities residents. The Next Wave (Includes a Lagoon) that the families of patients will require. No matter the demographics or As the Continental North Shore AHN is contemplating beginning the employment advantages, it is the second phase of the Cancer Institute, development winds down to its last proximity of the North Side to two parcels for construction, a new which will be double the investment of Pittsburgh’s lifestyle amenities that the first phase. major development has been proposed remains the primary advantage of the by Millcraft Investments to the west

www.developingpittsburgh.com 19 FEATURE

of the Rivers Casino. The mixed-use doing that. They picked us through keep momentum going.” project, called The Esplanade, is still that RFP process and it’s been kind of a Keeping the momentum going has in the early development stage, and labor of love. been the play book for redevelopment aspects of the plan are in flux. In broad “We think it’s important for this corridor, of the North Side for decades. Putting terms, The Esplanade will include a which is right next to our office. a new face on the Federal-North hotel, roughly 500 units of apartments We believe it will be a catalyst for intersection at last, or bringing new and condominiums, a large parking continued development in the area. business to West Deutschtown, will be garage, and multiple office buildings Somebody had to step out and take the visible signs of how far the North Side comprising 300,000 square feet of risk. It’s not economically-driven. It is has come. But it’s the continued drip space. It will also include a Ferris more driven by a passion for activating of small projects in the North Side’s 18 wheel and a massive lagoon. The $700 this part of the neighborhood.” distinct neighborhoods that will ensure million development is proposed for 15 that the current success on the North acres in the Chateau neighborhood of At the opposite end of the North Side, Side is sustainable and extends to its Allegheny West, which has almost no October Development is in the midst residents. residents today. of a mixed-use project along East Ohio Street by I-279, which it hopes Allie DePasqaule predicts that the next Millcraft’s intention is to create a will accelerate the ongoing process of wave of residential revitalization will destination that will draw visitors from rejuvenating West Deutschtown. Rycon move up the hills from the flats of old outside Pittsburgh. With close proximity Construction is putting the exterior on Allegheny City. He notes that while to the Rivers Casino, the concept is a $17.5 million Comfort Inn that is the he could find 18 properties to buy in that The Esplanade will be a 24-hour centerpiece of the redevelopment of one day in 2007, he finds it difficult development. the Workingman’s Square corner. A to identify one potential undervalued The developer is seeking a number of market study concluded years ago that property in the flats today. NLSC has large public subsidies to help with what the highest and best use of the property been pushing its efforts to the north, will be major infrastructure needs for was a hotel, which will serve as an helping find residential properties in a relatively small site. Millcraft must economical lodging choice directly Brightwood and investing almost $2 also get through more than a few across the river from Downtown and million to convert the former Bob’s entitlement hurdles, but hopes to begin the Strip District. Additional phases will Bar in Perry Heights to a residential/ the construction in 2020 with a 2023 include residential and ground floor commercial property. opening. Unlike other large mixed-use commercial on the parcel immediately “I think the greatest risk is the potential developments, Millcraft is also aiming east of the Comfort Inn, and a plan to for people to begin to feel like the to build the project in one fell swoop. convert the former ARC House into an work is done. The truth is plenty of our That would be unique in Pittsburgh. event center and restaurant. neighbors are in communities that do Closer to the heart of the North Side, Workingman’s Square will extend the need the work,” says Fatla. “There are two other developers are bringing restoration work that has been going communities that haven’t caught fire projects to the marketplace that on for the past few years in the main yet, that still need investment, and help are expected to catalyze future business district of East Ohio Street with safety and health. Those people development. and the intersecting streets. October still need support with their young In Allegheny West, Fairchance Development has been a player in people and start up businesses. I worry Construction has started work on Go that effort, renovating a number of that people will lose sight of the tasks Realty’s Allegheny City Stables Lofts. storefronts and building new on that still need to be done because of The project involves 32,000 square feet Middle Street. Partnering with the the successes.” of new construction married to the Urban Redevelopment Authority, the “I think the corollary to that worry restoration of an historic stable on West NSLC developed a program that helps is that people will forget how we North Avenue. The preconstruction property owners renovate storefronts got here, which is that grassroots, work took years of meetings and and rejuvenate their businesses. Gina collective, coordinated but approvals, says Andrew Reichert, but Grone, executive director of the North independent process,” he continues. he expects that the 36 new dwelling Side Chamber of Commerce, says “It would be a mistake to think that we units will breathe more new life into the the impact of the revitalization is got here because of Nova Place, or neighborhood. noticeable. because of the casino, or because of “It is certainly not the sexy development “I feel there is a critical mass of small some politician. If we lose sight of how deal that everybody is chasing down. businesses coming in. There’s enough we got here we will lose the ability to It’s a challenging project that has taken that it is changing the face of East affect the changes that still need to us years to make happen,” Reichert Ohio Street or California Avenue or happen.”DP admits. “The Allegheny West Citizens Troy Hill,” Grone says. “Some of those Council said that it wanted to save the places are pockets where bringing in building in the request for proposals just one small business won’t make a and wanted to pick a developer they difference. I think the grouping of new thought they could partner with in businesses opening up is enough to

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371 North Shore Drive – SAP Pittsburgh Office

Cory Klein Photography

AP is a global technology surrounding areas. We found, based about the possibility of locating on the company with the same problem upon the need to grow and the desire North Shore. The timing was perfect. Sthat is plaguing virtually all to have signage and branding, that the businesses large and small: acquiring North Shore really offered the best “The parcel was the last of the riverfront and retaining talent. That problem option. It had the feel, the amenities, parcels and we had been waiting for was one of the top priorities SAP had the space, and the access that others somebody special to anchor that piece of the project. We were looking for in mind as it began a search for new didn’t.” a prominent company to take that office space in 2017. The company was At the time of the search, SAP was and allow us to do something special looking to find a new home that would looking to relocate its employees there,” recalls Barry Ford, president of meet its business needs and locate SAP working at the SAP Ariba offices in K development Continental Real Estate in an area that would be appealing to & L Gates Center, which the company Companies Pittsburgh. “Under the its mainly younger work force. had outgrown, and consolidate space category of better lucky than good, with an acquisition that had offices in while we were completing the other “SAP is in a growth mode and we were the Strip District. They were looking side of North Shore Drive SAP was out looking for space where we could for a home for 650 employees that looking for a place to expand and put a grow that was a little more modern could also accommodate expansion flag in the ground for Ariba.” and offered more amenities,” says to as many as 1,000 in years to come. Valerie Blatt, general manager and With Jones Lang LaSalle (JLL) acting as “Ariba’s employees are younger vice president of global services for tenant representative, SAP approached professionals who often entertained SAP. “SAP did an extensive search Continental Real Estate Companies themselves by going to Pirates and throughout Downtown and the

www.developingpittsburgh.com 23 Steelers games, and the bars and space. Continental Building Company client and JLL really pulled things restaurants on the North Shore,” Ford was the construction manager. JLL together.” continues. “The JLL people, who stayed on the project as SAP’s owner’s represented SAP, approached us with representative. SAP’s desire to use the building as part a request from SAP to talk about what of its branding played a significant a building might look like here. We “Of course, the hard part is executing role in the building’s exterior envelope began a long conversation that literally in the time frame required. The clock design. Aside from signage, SAP wanted resulted in our designing the building starts ticking and all the pieces have to the building to be memorable enough

Cory Klein Photography

for them, including laying in the floor come together. Both Strada and Perkins to become associated with its brand, plates. They fell in love with the North Eastman did a phenomenal job of in the way the U.S. Steel’s or ALCOA’s Shore and ended up signing a long designing the space in the schedule we buildings have. Ford’s instructions to term lease.” needed,” says Ford. Strada were to design a building that fit within the district but was different. The lease was for 125,000 square feet, “It wasn’t an easy process, but I would Ed Shriver, principal at Strada, says the with a move-in date of May 2019. The say because SAP wanted to be here assignment provided an opportunity to time spent in planning the building and we wanted them here, everybody use architectural elements that Strada helped prepare the team, but it didn’t was pulling in the same direction. had been interested in using on the make the schedule any easier to I’m more of a troubleshooter for North Shore as the various buildings meet. Strada Architecture LLC, which our company and I would say once were developed. designed the other North Shore office the project started I had the least buildings, was the building’s architect. involvement with this project of any “SAP is just a projection of that design Perkins Eastman Architects was we’ve done. It ran through Mike Hudak trajectory to something more current retained by SAP to design the tenant in our office, and the architects, the and modern,” Shriver says. “With SAP

24 DEVELOPING PITTSBURGH | Fall 2019 Design with People in Mind

The Global Hub is a completely unique

space“ on campus that is simultaneously lively

and eye-catching while also welcoming and comfortable.

Karen Lue Pitt Global Hub Manager, University of Pittsburgh”

Pittsburgh l Philadelphia 412.263.3800 www.stradallc.com

ARCHITECTURE PLANNING INTERIOR DESIGN

www.perkinseastman.com

www.developingpittsburgh.com 25 Cory Klein Photography

we used a lot more glass, including that some differences. We didn’t want the as a whole was to optimize the glass corner on the one side that has variations to stand out.” experience for the employees at their gorgeous views looking back towards desks,” Askew explains. “Our goal for Downtown. We had been trying to Ford says the design accomplished the employees was to give them the convince Continental for years to try its mission. “I think the building stands ability to have private conversations these Nichiha panels on the exterior. out but it fits within the context. SAP is and get work done, while eliminating For the SAP building we got the pleased to have a building that, when distractions. As we were designing approval to do so.” you look at it, is definitely the SAP the floor plan we made careful effort building.” to locate primary and secondary Nichiha manufacturers cement circulation corridors in ways that would fiber panels that are coated with The building’s envelope was intended minimize the amount of distraction in factory-applied automotive paint. The to be part of SAP’s branding but the peripheral vision from the desks. We coating process makes for difficult design of the interior space needed to located major meeting rooms and quality control over the span of a large meet the company’s other major goal, amenities in such a way that does not building. Strada solved that problem by attracting and retaining talent. Jennifer cause distraction.” the way that it is specified. Askew, senior project architect for Perkins Eastman, says that goal drove Amenities were also a major “It is literally the same paint that the design. consideration. These ranged from General Motors uses to paint their eating and gathering spaces to the cars,” Shriver says. “We specified a “Their old offices Downtown had a lot views that the building offered. The color range so that it would not look of enclosed offices and high cubicles, latter was a significant factor, since completely monolithic and to allow for so it was a big culture change. The their existing offices provided little the fact that there were going to be biggest driving factor for the program daylight and uninspiring views.

26 DEVELOPING PITTSBURGH | Fall 2019 Cory Klein Photography

“The other big thing for the project is Construction began on the site work Valerie Blatt says that the results have that there are a number of amenities in October 2017 and the core and shell more than met SAP’s expectations. that support the open workplace,” work was completed in December Askew continues. “There are meeting 2018. The tenant improvement package “The new offices have been great. We rooms of various types, a lot of for SAP took ten months to complete, built in all of the modern amenities furniture with different postures, a lot beginning in July 2018 and wrapping that the younger generation of of breakout areas and collaboration up in time for occupancy in May 2019. workers expects,” she says. “It’s been rooms. There is a large employee cafe Ford notes that Ben Roethlisberger’s a really positive move both for the and training area. We tried to locate new restaurant will be located on part infrastructure and also from the morale and distribute the amenities to give all of the ground floor, with negotiations standpoint. Change is hard. Moving of the employees equal access to the ongoing for a second tenant. He says is a disruption but I think we worked great views and areas of the plan.” that SAP has the opportunity to grow to through that in a very positive way.” 1,000 employees in the building. DP This approach carried through to customer meeting space, which was a “We built a great building and SAP did it new amenity for SAP. Perkins Eastman the right way. With the level of finishes located the customer area on the sixth and attention to the details, SAP is here floor, so that SAP’s clients would have to stay,” Ford says. “Their goal was to a great vantage point to take in the city. build a building that helped them hire It reserved SAP’s top floor, the seventh and keep their employees. I think they floor, for the main employee café so did just that.” that they had the best views.

www.developingpittsburgh.com 27 Allegheny General Hospital Projects

Children’s National Aviary Museum Renovations Renovations and MuseumLab

PNC Park Renovations MANCHESTER

Mascaro’s Headquarters Heinz Field Sports Works at Carnegie Science Center NORTH SIDE

DOWNTOWN

Delivering great experiences on Pittsburgh’sSOUTH SHORE North Side for over 30 years

• design-builder • general contractor www.mascaroconstruction.com • construction manager EYE ON THE ECONOMY

Allegheny General hat seemed certain about the support both arguments, but it appears Reserve Bank to assert independence, Hospital Projects economy at the beginning of that the Fed has been influenced by the rather than follow its dual mandates W2019 has become less certain data to act to avoid recession, rather of controlling inflation and assuring as the first half of the year has unfolded than to respond to it. employment, it is likely that the Fed Children’s and that’s a good thing, especially for the Funds rate will end the year 50 basis National Aviary Museum U.S. economy. The decade-long business Trade tensions have dampened points lower. Renovations Renovations and cycle in the U.S. has surpassed the business sentiment in the U.S. and have MuseumLab longest expansion period in history. That created headwinds in global markets, In its most recent bimonthly survey of high water mark is also a reminder that notably China and the European business owners, commonly referred expansions aren’t infinite. Union. That makes it tougher for to as The Beige Book, the Federal U.S. manufacturers to export. Both Reserve reported that economic activity PNC Park For a number of reasons, the U.S. and short-term and long-term bond buyers continued to expand at a modest pace Renovations global economy should be trending are signaling – if not screaming – that overall from mid-May through early MANCHESTER towards a slowdown over the next 18 interest rates above two percent don’t July, with little change from the prior months. Such a downturn, whether it make sense. In part, that’s because reporting period. The outlook generally comes in the form of lower demand inflation remains at or slightly below the was positive for the coming months, or an actual recession, is likely to Fed’s two percent target. And, although with expectations of continued modest come from an inelastic labor market, labor markets remain tight, wages are growth, despite widespread concerns Mascaro’s heightened trade disputes, and growing modestly above the rate of about the possible negative impact of Headquarters significant headwinds in China and core inflation. Gross domestic product trade-related uncertainty. Heinz the European Union. While the U.S. (GDP) in the U.S. has outperformed Field economy remains remarkably resilient expectations thus far in 2019, but it Employment grew at a modest pace, Sports Works at in the face of these pressures, the appears that the FOMC wishes to be slightly slower than the previous Carnegie Science Federal Reserve Bank’s Open Markets proactive in preserving the strong reporting period. Labor markets remained tight, with Beige Book Center NORTH SIDE Committee (FOMC) cut its Fed Funds economy, rather than waiting to react rate by 25 basis points in July. The to a downturn. respondents across the country FOMC also left open the possibility – if experiencing difficulties filling open not likelihood – of another cut later this The Fed is expected not to be positions. The reports noted continued year. influenced by politics, but it is not worker shortages across most sectors, immune to the policy direction and especially in construction, information This action represents a 180 degree tone of the governing administration. technology, and health care. However, turn from the Fed’s position in summer While the Trump Administration has some manufacturing and information DOWNTOWN of 2018, when the minutes from the not articulated an economic policy technology firms in the Northeast meeting were being read to infer at that Jerome Powell and the other Fed reduced their number of workers. least two more rate increases in 2019. governors can reference, the desire It’s easy to make the case for both of the administration to stimulate the Firms also reported that price inflation cutting and hiking rates at this point economy is unmistakable. Unless there had slowed from the May reporting period, with most of the increases Delivering great experiences in the business cycle. There is data to is an overriding desire by the Federal on Pittsburgh’sSOUTH SHORE North Side for over 30 years

• design-builder • general contractor www.mascaroconstruction.com • construction manager www.developingpittsburgh.com 29 forward. Many of the key drivers of the economy have become exhausted. The housing market and nonresidential construction are flattening, albeit at high levels of activity. Consumers, likewise, are reaching the upper limits of their spending power, although U.S. households remain net savers. Sales of existing homes have been lower, year-over-year, for 16 consecutive months, although it is uncertain whether this is caused by declining inventory for sale or affordability problems. Corporate debt could become a problem if businesses were to slow significantly, but that seems unlikely over the next 12 months. It’s likely that trade tensions represent the most significant and immediate threat to the economy.

Negotiations continue between the U.S. and China in the world’s The growth rate of hiring in information technology continues to accelerate as employment biggest trade dispute. The Trump declines in the traditional drivers of jobs in Pittsburgh. Chart by Chris Briem, University of Administration again delayed Pittsburgh. implementing another round of tariffs in the hopes of getting promising talks across the coming from input prices that were compared to recent history, one which finish line. Should talks falter by fall, inflated by tariffs and slightly higher exceeded expectations coming into however, the likelihood of another wages. Pressure from brisk competition 2019. Because a significant share $300 million in tariffs is higher. The was cited as keeping many firms from of the growth came from inventory targets of the tariffs in this round are passing along all of the higher prices to accumulation – most likely a hedge primarily consumer products, meaning customers. against potential tariffs – the initial 2.1 that U.S. households would feel the percent reading on second quarter pinch of higher prices directly. Thus Economic metrics for the U.S. growth was not a surprise. Estimates for far, the majority of U.S. tariffs have hit economy were largely unchanged the full year of 2019 remain between industrial products. Were the levying from the trends of the past two years. 2.5 and 2.7 percent. Despite two slow months of hiring in of tariffs to spread to the threatened 2019, U.S. employers are continuing Aside from the inventory build, first auto manufacturers in Germany and to add 165,000 new workers monthly. quarter GDP gains were driven by Japan, the impact on U.S. consumers July’s 164,000 new jobs reinforced consumer spending. Consumer would become significant. In that the current trend. June’s 193,000 sentiment had been higher than gloomy scenario, Wells Fargo Securities new hires was a surprise to the upside spending growth during the fourth Economics Group forecasts that the that showed periodic activity above quarter of 2018, and holiday season shock to the economy would push the trend line will continue. Private spending was somewhat disappointing; GDP into negative territory. sector payrolls, as measured by ADP, however, U.S. households have picked Most observers of the economy are trending lower than the overall up their spending in 2019. What caution expect that a business-minded U.S. economy, but the average monthly can be drawn from a mostly positive administration is unlikely to jeopardize change in private payrolls for 2019 is GDP report comes from corporate the strength of the economy heading 173,000. That’s down slightly from the profits that decline by $59 billion, tepid into a presidential election year. In a 201,000 monthly gain in 2018. business investment and the declining slowing global economy, the chances consumer spending on durable goods. of a recession could turn on whether The broadest measure of the Slowdowns in demand for automobiles the desire to gain leverage over China economy, GDP growth, was solid in and appliances are expected is greater or less than the desire to the first quarter. The final reading of throughout 2019. GDP for January through March was keep the U.S. economy rolling as $20.4 trillion, a 3.1 percent increase. Much of the data shows an economy campaigning for the 2020 election That’s a very strong first quarter that is growing but at a lower rate going heats up.

30 DEVELOPING PITTSBURGH | Fall 2019 “For a number of reasons, the U.S. and global economy should be trending towards a slowdown over the next 18 months. Such a downturn, whether it comes in the form of lower demand or an actual recession, is likely to come from an inelastic labor market, heightened trade disputes, and significant headwinds in China and the European Union.”

At the regional level, the labor market is manufacturing employment was a adding slightly more than 4,000. As similarly strong, in spite of challenging reversal of a year-long trend that saw of the end of 2018, R & D had grown demographics. The Department of hiring improvement. to more than 8,000 per quarter, while Labor reported that Pittsburgh area iron and steel had fallen to less than employers had hired 9,100 more Argo AI’s July announcement of a 6,000. Computer-related businesses people in May 2019 than in May 2018, $2.6 billion investment by Volkswagon were above 14,000 workers quarterly. and June’s job growth jumped to highlighted just how important The trend lines on these three point to 9,800 year-over-year. That brought the IT sector had become to the a future where heavy manufacturing the unemployment level down to 3.8 Pittsburgh economy and its economic remains a smaller part of the economy percent. Hiring in technology and future. A comparison of three major than the byproduct of intellectual mining, logging, and construction job-creating industries – computer property and research. categories led the growth, with each systems, research and development, sector up 4.1 percent. The largest and iron and steel mills – shows how These aren’t new trends but the declines were in retail employment the influence of each has evolved growing magnitude of the trends bodes and in manufacturing, each of which during the 21st Century. In 2001, IT well for Western PA. Economies based slipped 2.5 percent. The drop in and steel were each employing more upon intellectual assets have proven to than 10,000 per quarter, with R & D be more adaptable over time. DP

Photo courtesy of Ed Massery Photography

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For 67 years, A. Martini & Co. has been providing construction management and general contracting expertise to meet your project needs. www.amartinigc.com | 412.828.5500 Aptiv Denmarsh Studios OFFICE MARKET UPDATE

Urban Markets Fuel Construction during the second quarter, including In the bustling Strip District segment of Kennametal Inc. signing on at the the Fringe submarket, adjacent to the he overall Pittsburgh office market renovated 525 William Penn Place for newly constructed 100,000-square-foot experienced relatively stable 25,000 square feet; the Urban League District 15, RDC Inc. and Orangestar Tconditions between the first of Greater Pittsburgh signed a lease for Properties expect to begin construction and second quarter of 2019. Vacancy 20,000 square feet at Warner Centre, on the 220,000-square-foot District increased slightly by 20 basis points, and adding to the growing number of 15 Beta along Smallman Street this resting at 16.5 percent, while asking rents co-working tenants, Spaces committed summer, pending city approvals. increased by $0.06 to $23.96 per square to 35,000 square feet at One Oxford foot, and positive gains in net absorption Centre. At the same time, RDC Inc. is also were predominately attributed to the exploring the purchase of a site located Fringe and Oakland/East End submarkets. In development news, groundbreaking at 3250 Liberty Avenue for a future The urban markets were buzzing with for the I-579 Cap Urban Connector, a project that will span approximately news of current and soon-to-begin park linking the former Civic Arena site three acres. construction and redevelopment with the CBD, took place during the projects. Demand from the information quarter. The Connector is a significant After nearly a 10-year approval technology, artificial intelligence, milestone in the redevelopment of process, McCaffery Interests broke robotics and healthcare industry what has been named Centre District. ground during the quarter for the sectors has contributed to the lowest Current plans include 1,200 to 1,500 redevelopment of the iconic five-block unemployment levels in decades and housing units, with the construction of Produce Terminal. When complete, serves as the primary catalyst behind the a residential building expected to start this retail/food-centric project will be construction boom in the office sector in in October; the project will also include a significant focal point in the Strip several of the urban neighborhoods. 100,000 square feet of entertainment District. Further, McCaffery is in the space, a 220-room hotel, 190,000 process of transforming a former Central Business District (CBD) square feet of retail space and 800,000 warehouse across the street at 1600 to 1 million square feet of office space. Smallman Street into approximately In the CBD, vacancy increased by 20 140,000 square feet of primarily office basis points to 16.5 percent, quarter Urban Markets Outside the CBD space with some ground-floor retail. over quarter. The vacation of SAP from K&L Gates Center into a newly The Fringe submarket was responsible At 21st and Smallman streets, Rugby constructed building in the North for the greatest decline in vacancy Realty, in conjunction with Al. Neyer, is Shore of the Fringe submarket was the quarter over quarter, with a 130-basis- seeking city approval for a development leading contributor to the increase. point drop and leads all submarkets in dubbed Brickworks. The project is year-to-date net absorption posting at expected to include two buildings There were, however, several larger 312,813 square feet half way through totaling approximately 400,000 square new leases that occurred in the CBD 2019. feet of office space, 30,000 square feet of retail and 780 parking spaces, including space for parking bikes. The four-acre site will be built in two phases.

In transaction news, Smith & Nephew Inc. inked a deal for 46,000 Quality. Excellence. Integrity. square feet in the currently under construction Stacks at 3 Crossings for the company’s R&D headquarters for For 67 years, A. Martini & Co. has been the robotics industry. The 3 Crossings mixed-use project is spearheaded providing construction management and by Oxford Development, which signed a lease during the quarter for general contracting expertise to meet your 22,000 square feet in the Riverfront West building, while Honeywell project needs. International committed to 25,000 square feet at 2555 Smallman Street, which is also part of 3 Crossings. www.amartinigc.com | 412.828.5500 Aptiv In the Southside area of the Fringe, Denmarsh Studios Maxim Healthcare signed a lease for 30,000 square feet at The Highline, a 868,000-square-foot property that is being converted into a mixed-use

www.developingpittsburgh.com 33 complex. The $110 million project will include office and retail space as well as an elevated landscaped walkway to the Monongahela River. Across the Allegheny River on the North Shore, local owner- developer Burns Scalo Real Estate Services (BSRES) is pursuing the purchase of the 180,000-square-foot 225 North Shore Drive. BSRES is already active in several submarkets, including the South, Oakland and Parkway West, but this would be the company’s segue into the North Shore should the acquisition close.

In the dense Oakland Proper neighborhood, home to post-secondary institutions such as the University of Pittsburgh (Pitt), Carnegie Mellon University (CMU) and Carlow University as well as local healthcare giant University of Pittsburgh Medical Center (UPMC), demand for space remains at a premium. The nearly complete 95,000-square-foot Murdoch Building at Forbes Avenue and Coltart Street obtained a lease commitment last year from Pitt for the entire building.

Further, the recent redevelopment of 41,000 square feet at Craft Place by Walnut Capital was leased in its entirety during the second quarter of this year by UPMC Magee- Womens Hospital.

At the same time, Walnut Capital received approval from the Pittsburgh Zoning Board for variances for a new 280,000-square-foot, 10-story building at the corner of Halket Street and Fifth Avenue. Should the project obtain city planning approvals, the developer anticipates starting construction in early 2020.

In the East Liberty section of the Oakland/ East-End submarket, language learning company Duolingo will expand by 19,000 square feet at 5900 Penn Avenue, bringing its total presence in the property to 45,000 square feet.

Also, along the Penn Avenue corridor, new developments are progressing. LG Realty Advisors secured a commitment from grocer Whole Foods to occupy 50,000 square feet in the developer’s Liberty East project. This milestone will result in the start of construction on the first phase that will include 300,000 square feet of office and retail space with an anticipated completion date in 2021. At the corner of Penn and Centre Avenues, the 60,000-square-foot East Liberty Centre is underway. The building will include office and ground-level retail, with a targeted completion date of first quarter 2020. At Bakery Square, the development

34 DEVELOPING PITTSBURGH | Fall 2019 CUTTING-EDGE COMMERCIAL REAL ESTATE STRATEGIES

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www.developingpittsburgh.com 35 of the 328,000-square-foot Bakery quarters, the Parkway West submarket companies trying to attract talent to Square III is proceeding. Philips Sleep experienced modest activity this the Pittsburgh region, where 7,660 new and Respiratory Care announced last quarter. In fact, the largest new lease jobs were created last year according year that the company will establish signed during the second quarter to the Pittsburgh Regional Alliance a 200,000-square-foot regional occurred in this submarket. Connective (PRA). The organization also noted that headquarters in the building, which is RX committed to the currently under information technology and robotics expected to be finished in 2020. construction 106,000-square-foot were the most active sectors in the Boardwalk building in its entirety. region, which has clearly been a driving In other submarket news, Fort The technology-enabled services force in Pittsburgh’s economic growth. Willow Developers completed the company, which works with the DP 73,500-square-foot Tech Mill 41 in biopharmaceutical industry, nearly the Lawrenceville neighborhood of tripled its space requirement and the Oakland/East-End submarket and will relocate from 400 Holiday Drive secured a lease for 17,000 square in the Foster Plaza complex, also feet from The Children’s Hospital of in the Parkway West submarket. Pittsburgh Foundation. Further, Misericordia University inked a deal for 18,000 square feet at the Suburban Submarkets Dakota (formerly the GlaxoSmithKline headquarters building), and Williams The suburban submarkets experienced Field Services Group renewed its lease a 70-basis-point drop in vacancy over for 112,481 square feet at Park Place Newmark Knight Frank midyear 2018, resting at 17.5 percent Corporate Center. as of the close of the second quarter K & L Gates Center of 2019, and asking rents essentially Looking Ahead 210 Sixth Avenue #610 remained flat with a minor $0.08-per- Pittsburgh PA 15222 square-foot increase year over year. Livability ranked Pittsburgh No. 1 412-281-0100 in affordable home prices and No. Gerard McLaughlin, Executive While the suburban markets have been 8 among best 100 places to live in Managing Director relatively quiet during the past few the United States -- good news for [email protected]

36 DEVELOPING PITTSBURGH | Fall 2019 INDUSTRIAL MARKET UPDATE

econd quarter 2019 vacancy for construction workers. At the height committed an additional $30 million industrial real estate across the of construction, there will be for site preparation work after spending Scountry has dropped to a near approximately 6,000 construction $17 million in 2016 to clean up this historic low. Data shows vacancy at workers on site. Production at this same site. It has also been reported that 4.97 percent nationally, a little higher facility is scheduled to begin sometime PTT is buying residences bordering the than it was earlier this year, but still less in 2021. site. The same number of workers and than half of what vacancy was a decade support facilities (parking lots, laydown ago. Developers building new spec Now that the Braskem site was returned areas, warehouses, etc.) will be required warehouses and distribution centers now to the market near Parkersburg, WV, it near this site as are currently at the account for half of the buildings slated to is doubtful that any additional ethane Shell facility. There is a serious lack of open in the last half of 2019. This added crackers will be built outside of the these type of sites in the immediate space should find users but could slow Gulf Coast. According to a report in the area of the PTT Global Chemical site. future rental growth. Houston Chronicle, North American This will certainly generate a significant capacity to manufacture ethylene, a amount of new construction / land Pittsburgh’s 5.7 percent industrial vacancy building block of most plastics will development. Since many of the is trending right along with the national have skyrocketed 73 percent by 2022 companies involved in the construction average for industrial/warehouse space. as compared to 2016. It is forecast of the Shell Facility will most likely be Other national trends, such as the that the plastics industry is poised for a commissioned to work on the Belmont impact of the booming CBD industry, serious downturn because of tariffs, the County facility, it is believed that they the spreading Amazon effect, the tight automobile industry downturn, and the will most likely work from the base they workforce, and the energy industry’s general backlash to plastic pollution. have already established near Monaca. shifts, are also affecting Pittsburgh’s local economy. Confidence continues to increase Since the passage of the Farm Bill in that PTT Global Chemical will move 2018, the CBD (Cannabidiol) industry The manufacturing sector continues forward with building an ethane has taken off. While CBD is an essential to show strength with the continuation cracker plant in Belmont County, component of medical marijuana, it is of construction at the Shell Petro Ohio – about 1 ½ hours away from derived directly from the hemp plant, Chemical Facility that currently the ethane cracker that Royal Dutch which is a cousin of the marijuana employs between 4,000 to 5,000 is constructing. JobsOhio recently plant. With more and more products

www.developingpittsburgh.com 37 being manufactured with CBD, a when recreational marijuana becomes proximity to Pittsburgh International growing trend of manufacturers and legal in Pennsylvania, it will dramatically Airport. They are expected to hire distributors is bound to follow. If and change the industrial real estate market over 800 full time workers. This new in the region as facility will have no impact on the landlords will current distribution facility that Amazon be building and operates in Pittsburgh’s Fairywood retrofitting existing neighborhood. facilities to meet this need which In an already tight skilled labor will ultimately market, there are many significant drive rental construction projects on the horizon rates higher and that will continue to put stress on preclude other the workforce. Construction projects manufacturing and around the area include the PTT site warehouse uses. in Ohio, the planned improvements at Pittsburgh International Airport, Pittsburgh may McClaren Business Park, and the not be the next site preparation at Airport Southfield location for H2Q, properties. but we still got a win from Amazon. The Airport Southfield Properties are In July, the proposed to contain over 1.55 million announcement square foot of logistics/distribution and was made that warehouse/manufacturing as well as Amazon would flex/tech/light manufacturing space. build a one The Allegheny County Airport Authority million square is targeting high tech businesses that foot distribution are spin-offs from Pittsburgh area facility in Findlay colleges and universities (i.e. CMU and Township. The Pitt) or new to the Pittsburgh market $30 million facility that do not want or need to be in will be located the high rent submarkets of the Strip 20 miles west District, Lawrenceville and Oakland. of Pittsburgh’s CBD and in close Positive movement around the area

38 DEVELOPING PITTSBURGH | Fall 2019 is abundant. Forms and Surfaces the smaller multi-tenant industrial/ purchased the 180,000 square foot flex properties such as Thomson California Scents Building in Glenshaw, Industrial Park, are experiencing PA for $6.9 million. I-79 Industrial vacancies below 2 percent. Park transferred for $38 million to ASB/Endurance Real Estate Group. Even with all of the additional The industrial park contains 408,000 construction that is underway and in square foot of industrial space along the planning stages, we will continue with 40 acres of vacant land. AI Neyer to see low vacancies in the flex/ began construction on a 200,000 industrial market through 2021. DP square foot spec warehouse facility Hanna Langholz Wilson Ellis in Imperial, PA. CMU just moved into One PPG Place, Suite 1640 70,000 square feet of office/tech/lab/ Pittsburgh, PA 15222 light manufacturing space in Mill 19 412-261-2200 the first lease in the highly anticipated www.HannaLWE.com Jim Winter Hazelwood Green Development. [email protected] A. J. Pantoni In addition to these sales and [email protected] construction, vacancy at some of

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www.developingpittsburgh.com 39 724.524.1280 205 West Water Street Saxonburg, PA 16056 etzelengbld.com CAPITAL MARKET UPDATE

or those seeking debt or equity HFF’s Pittsburgh office. “Now people potential concern, but investors and partners in the capital markets, feel like they’ve given up on what a lenders alike have spread capital across Fconditions have changed little traditional business cycle is and are just a broad spectrum of risk, with the yields since the beginning of 2019. The cost of saying that rates are low; fundamentals reflecting the level of risk undertaken. capital remains at historically low levels. are good; so, let’s stop worrying about There have been new capital sources Investment liquidity and demand is high, predicting end of cycle and let’s get the developed that are taking higher risks, outstripping supply in virtually every money out there. Firms are able to raise but the conditions of those deals have market. Underwriting is deal-friendly but money. People like real estate as an provided a balance of risk and reward. has not loosened on leverage or terms. alternative investment class. The whole With most of the market expecting the end of cycle conversation seems to have The riskiest of the pre-2008 credit Federal Reserve Bank to match the bond faded.” sources, commercial mortgage-backed market’s outlook by cutting rates at least securities (CMBS), has weathered two once before the end of 2019, a few Popovich, and others, attribute the different maturity cycles for its most questions linger: de-escalation in fears to a couple of troubled loans. Time and recovery kept factors. One is the persistent low interest the loans securitized during the previous • Have we reached the point in the rate environment, which has buoyed cycle from default. And the market business cycle where bubbles begin demand for real estate as an asset class. forces and subsequent regulations to form? The other, more influential, factor is have kept CMBS volume in check. After that the U.S. economy is continuing approaching $100 billion in volume a • Will lenders begin to ease back on to expand, despite the length of the few years ago, CMBS issuances have competing for deals and increase business cycle. Trade wars have hurt declined. The forecasted 2019 volume of spreads? parts of the economy, but the damage $75 to $90 billion is in the range of 2018 has been limited thus far. Labor markets volume, which was lower compared • Will banks begin to reduce loan are extremely tight, but employers are to 2017. Demand for CMBS bonds is capacity until spreads increase or will still adding jobs. Wages have not spiked hampered by regulations that require they double down on growing market as might be expected in a job market bond issuers to have equity in the deals share? that has little or no unemployment, yet and a well-earned reputation for poor workers are seeing incomes rise slightly servicing. • Do predictions of a 2020 downturn in faster than inflation. Gross domestic the economy still seem credible? product growth is starting to slow, but “CMBS production started slow in 2019, the first quarter growth still exceeded but it is on par with 2018. With the • What will the 2020 elections mean to dramatic drop in swap rates, which are the economy? three percent. the lowest they’ve been in the last few In short, absent the economic concerns years, the all-in interest rates are now

The answers to these questions, in order, that might raise red flags for investors very attractive,” notes Daniel Puntil, appear to be: probably not, definitely or lenders, the capital markets are senior vice president for Grandbridge not, no (and it depends), not so much, functioning efficiently. There is more Real Estate Capital. “As a result, there and who knows? than adequate liquidity. Long-term rates has been a strong pick up of smaller are showing no signs of increasing, multi-property, multi-borrower deals, By all measures the December 2018 reducing the risk to lenders of holding which have bolstered the typical CMBS cut in the Fed Funds rate was probably portfolios with rates that are upside issuances of very large single property, 25 basis points too much. The material down. Lenders are competing more single borrower transactions. We expect impact of such a small reduction in the fiercely for deals, which is great for CMBS production in 2019 to be equal to overnight lending rate was negligible. borrowers, if not for profit margins. or slightly better than 2018.” The psychological impact was enormous. Stock markets reacted by Ten years into the recovery from the Puntil observes that other alternative going into full correction mode for 30 financial crisis there is little evidence financing conduits have begun to grow days but, more importantly, the response of asset bubbles being formed nor of in share to serve the portion of the of investors signaled that mainstream the kinds of frothy lending conditions marketplace that needs nontraditional loans. thinking had moved from cautiously that have preceded credit crunches “One segment of the industry that has optimistic to uncertain. Six months later, in the past. Underwriting of nearly all blossomed over the last year is the that uncertainty is a distant memory. loans remains disciplined. There has been some regulatory pressure on advent of debt funds. These funds are “End of cycle risk was all we heard about underwriting but, for the most part, promoting short-term bridge loans at the end of last year and the beginning the industry has also checked its worst and construction lending,” he explains. of this year,” says Mark Popovich, senior impulses. Excess liquidity – too much “These debt funds are the result of 724.524.1280 205 West Water Street Saxonburg, PA 16056 etzelengbld.com managing director and co-head of JLL money chasing too few deals – is a investors seeking higher yields. The debt

www.developingpittsburgh.com 41 funds’ capital comes from private yields. equity, high net-worth individuals, etc. who are looking for higher returns on It is business as usual, with minor alternative investments. exceptions, for two of the mainstays of the commercial real estate capital “These loan products usually have market, life insurance companies and three-year terms with extension the government-sponsored agencies, options for another year or two. The Fannie Mae and Freddie Mac. costs are typically one percent on the way in and on the way out. Interest “Life insurance companies’ underwriting rates start at five percent and go as standards continue to be very much high as eight percent, depending on business as usual,” says Puntil “Average the product and the leverage. In the underwritten loan-to-value ratios hover Northeast, including Pittsburgh, the around 65 percent. With interest rates banks are very competitive going in the 3.75 percent-to-4.25 percent after these types of deals. In order to range for 10-year fixed rate terms, life compete, the debt funds will seek out companies have been successful at loans that have a higher risk profile. picking off bigger multifamily loans They are also typically doing non- that would normally go to Fannie and recourse loans. They believe that they Freddie. Borrowers are turning to life have a place in the market for people companies seeking competitive rates looking for nontraditional bank loans.” and ease of execution together with flexible prepayment terms. With the Another growing source of capital is flattening of the yield curve for long- REIT-issued corporate bonds, which term money beyond ten years, we have are expected to provide as much as seen an interest from borrowers who are $60 billion in financing in 2019. That seeking longer fixed-rate terms of up to is a small slice of the commercial 30 years for an additional 25 basis points real estate capital market, but offers (0.25 percent) in interest rate. unsecured financing for projects and investors looking for risk-adjusted “The agencies (Freddie Mac and Fannie

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42 DEVELOPING PITTSBURGH | Fall 2019 Mae) continue to operate under the Federal Housing Finance Agency (FHFA) which has imposed caps of $35 billion on each of their annual multifamily lending volumes. However, FHFA allows certain loans to be exempt from the caps: A Proven Team. affordable housing (LIHTC or tax A Different Approach. exempt bonds), small properties A ProvenAvison Team.Young’s integrated team approach to commercial real (5-50 units), rural properties, market estateA Proven engages Team. deep expertise from a broad range of rent apartments with affordable A DifferentprofessionalsA Different Approach. across Approach. our organization. In a partnership, focused rent levels, and ‘Green’ programs. AvisonA Proven Young’sonAvison your ATeam. 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“We’re not getting much help from the Fed,” says Joseph Smith, senior vice president of marketing for Dollar Bank. “The Commercial & Multifamily Finance Federal Reserve starts in one Multifamily | Retail | Office | Industrial | Hospitality direction, then gets stuck and is talking about going in the opposite direction. How can you do any rate forecasting in that environment? I don’t see anything that is going to lift rates in the next two years.”

Smith says the declining rates raise concerns among bankers that another refinancing wave 603 Stanwix St., Suite 1899 | Pittsburgh, PA 15222 could occur. A rush to refinance 412-391-3366 | Grandbridge.com loans would bring banks additional fees associated with closing loans, but would also reduce the Loans are subject to credit approval. Equal Housing Lender interest income that banks earn

www.developingpittsburgh.com 43 Source: Federal Reserve Bank of St. Louis. overall. That would further squeeze know the next time we have a deal. the market that have seen heightened margins on loans. It is hard to imagine The difficulty we have is that we don’t building activity – such as Downtown conditions where banks walk away from have a lot of deal velocity in Pittsburgh. office space or Lawrenceville apartments construction lending or commercial There’s relatively little product and a lot – aren’t seeing a decline in rental rates real estate, but the competition and of investor demand and liquidity, so that or sagging occupancy that endangers regulation of residential lending drove when you do have a good property, the project’s performance. Lenders are a number of banks to forego the home people really jump on it.” paying attention to those fundamentals. mortgage market. “We try to pay attention to key Greg Sipos, executive vice president “If anything, I think indicators like absorption rates and at First Commonwealth Bank, also Pittsburgh is heating rents per square foot,” says Sipos.” I finds the interest rate environment think individuals have become more challenging, but he is encouraged by up. The properties that selective about the sub-market they live the demand for commercial property. in but, if it’s in the right primary market, we have offered for sale we are not seeing any lag yet in the “The first thing globally that I look at is occupancy numbers. That’s true of the strength of the permanent market have received a lot of anything from office to multi-family to and what their take-out strategy is,” industrial.” he says. “In multi-family, which has interest from groups seen a boom in the last few years, the that have invested here Pittsburgh’s commercial real estate agencies and the life companies can be market may feel hot to locals, but to more aggressive in their underwriting and other groups that many lenders and investors Pittsburgh than banks are. We are seeing take-outs is attractively stable. Late in the business on assets in the early stages when want to invest here,” cycle it is more attractive to be a market properties may only be at 85 percent Popovich explains. “We that is less volatile. With most of the occupied. When the permanent market upside of the real estate cycle already is feeling that good, it makes me feel are constantly getting realized, capital is looking for more good about the construction lending certainty. market.” calls from groups who “A lot of capital market groups are more Sipos says that he is more bullish on want to be in Pittsburgh cautious about the gateway markets some sub-markets in Pittsburgh more because they are so competitive, and than others. That’s a granular analysis and ask us to let them prices are so high. Investors are turning that isn’t necessarily holding true for all know the next time we towards strong secondary cities like lenders. Mark Popovich says that after Pittsburgh,” says Popovich. “We have several years of growing investment have a deal.” seen the growth in Nashville, Austin, in Pittsburgh, he hasn’t seen interest and Memphis, and Pittsburgh compares waning. Great conditions for commercial real very well against those markets. We estate have also made for a busy have a resurgent economy so there’s “If anything, I think Pittsburgh is heating construction market in Pittsburgh a lot for investors to look at. I think up. The properties that we have offered over the past few years. Increased sometimes the lack of deal velocity for sale have received a lot of interest construction and deliveries have made increases people’s interest. It’s hard to from groups that have invested here and for slightly softer conditions for some get into this market and that can be other groups that want to invest here,” property types in certain parts of the enticing sometimes.” DP Popovich explains. “We are constantly region. Overall, however, the expanded getting calls from groups who want to inventory hasn’t created an oversupply be in Pittsburgh and ask us to let them of product. Even specific segments of

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Transportation and Permitting – An Evolved and Refined Process By Michael J. Haberman, P.E., PTOE

he Department of Mobility and was almost always the same: “The property owners looking to develop Infrastructure is the newest proposed development will have an or redevelop their land? It means TDepartment in the City of impact on traffic operations at the that the preparation of Transportation Pittsburgh. It was formally established study intersections; however, due Impact Studies is no longer just a task in 2017. Referred to as DOMI, the to right-of-way restrictions and the that is necessary to check a box on presence of existing buildings or Department is responsible for the a list of submission requirements. It structures, roadway improvements are means that developers and property City’s transportation network and for not feasible. Therefore, no mitigation owners should engage DOMI early managing access to the public Right- is recommended.” In most cases, in the planning process. This does of-Ways. The Department has three the preparation of these studies was not suggest that property owners or Divisions including (1) Planning, Policy, simply to check off a box on the list of developers will have to individually and Permitting; (2) Transportation requirements for a land development solve the public infrastructure Services; and (3) Project Design approval. It was understood that deficiencies throughout the City. But and Delivery. DOMI’s policies and adding capacity by way of roadway it does imply that working collectively requirements are vast and continue widening or roadway reconstruction and cooperatively with DOMI will to evolve over time. This article will just wasn’t possible throughout the not only help DOMI achieve their focus on the permitting process and majority of the city limits. goals but will, in most cases, expedite the planning and approval process some of the obligations that impact Over the past decade, the word traffic for developers. The result will be a the development community and their has evolved into transportation. It is more cohesive, safe, and efficient contractors. The City of Pittsburgh’s no longer just the impacts to vehicular transportation network for all users, website states, “The Department of traffic that must be evaluated or including those who will ultimately Mobility and Infrastructure issues considered. The word transportation patronize each development. and enforces permits for disruptions, includes all modes of transporting occupancy, and construction in the people and goods as well as the Having successfully navigated the public Right-of-Way of the City of multimodal infrastructure network planning and site design process, Pittsburgh.” There are at least 17 that serves them. This includes motor and upon gaining the necessary land permits that DOMI is responsible for vehicles, motorcycles, pedestrians, development approvals, the next step bicycles, buses, shuttles, the ‘T’, taxis, in the development / redevelopment reviewing and approving, including and Uber/Lyft. Each of these modes process is to obtain the necessary several that effect developers and of transportation is intertwined on a permits for access and construction contractors. New city street permits, minute-by-minute, hour-by-hour, and activities. As was discussed in the curb cut permits, encroachment day-by-day basis. They all interact opening paragraph, these permits are permits, street opening permits, traffic with each other and must coexist on administered by DOMI. Depending obstruction permits, and street vacation a complicated public infrastructure on the type and size of development permits are just a few of the permits system. Traffic Impact Studies have, or redevelopment project, multiple that are administered by DOMI. in turn, evolved into Transportation permits may ultimately be required. Impact Studies. Some common permits that may be Before getting to the point where required include curb cut permits, a developer or property owner can DOMI has several goals, two of which street opening permits, and / or traffic apply for one of the many permits are as follows: (1) all trips less than obstruction permits. governed by DOMI, a detailed one mile are easily and enjoyably study of the existing and proposed achieved by non-vehicle travel, and Let’s start with curb cut permits. transportation system is required. In (2) streets and intersections can be Whether it be for vehicular access to the past, property owners seeking intuitively navigated by an adolescent. a parking garage or surface parking to develop or redevelop parcel(s) in One could point out that neither of lot, or for access to a loading dock the central business district or in one these goals mentions the ease or for delivery vehicles, a curb cut permit of the surrounding neighborhoods speed at which vehicular traffic can will be required. The requirements within the City limits (Central Oakland, get into, out from, or around the for curb cut permits are outlined Lawrenceville, Strip District, North city. That is not to say that DOMI is in DOMI’s policies and standards. Shore, South Side Flats, etc.) had ignoring vehicular efficiencies, but it For those familiar with PennDOT’s to prepare Traffic Impact Studies does mean that vehicular efficiencies Highway Occupancy Permits, the as part of their land development should not be accomplished at the curb cut permit process is similar. submissions. The word traffic is expense of the efficiency and safety of Property owners and/or developers italicized for a reason (I’ll come back the other modes of transportation. are required to submit engineered to that shortly). Developers would hire drawings detailing the proposed consultants to prepare these Traffic So, what does this mean to the geometry and dimensions of the Impact Studies, and the conclusion development community and curb cut along with other pertinent

www.developingpittsburgh.com 47 information about the property. DOMI oversees and administers the entire process; however, approvals are also required from the Department of City Planning and the Zoning Office. These internal reviews and coordination take place through the Accela permit system with final approval and the permit ultimately issued by DOMI. The entire process should take approximately two to three weeks.

In addition to curb cut permits, another common permit required is a street opening permit. Street opening permits are typically When it comes to real estate, we see potential everywhere. necessary for utility connections (water, gas, sanitary, electric, etc.) CBRE turns scale into strength, expense into performance, that are proposed within the existing and property into prosperity. How can we help you public Right-of-Way beneath the street surface. Whether these utility transform your real estate into real advantage? connections are applied for by a utility provider or a contractor, a street opening permit is required for digging in city streets. Street opening permits require insurance bonds for varying amounts depending on the Build on type of roadway (asphalt or concrete). www.cbre.com/BuildOnAdvantage Advantage Unlike the curb cut permits, only DOMI review and approval is required for street opening permits. The permits typically cover a 14-day working period and a 30-day restoration period.

The final permit is the traffic obstruction permit. According to DOMI, a traffic obstruction permit is required to safely and efficiently maintain traffic flow. Over the past two years, the process and requirements for obtaining a traffic obstruction process have changed. In the past, contractors could put together aerial graphics and exhibits along with a written construction management plan and submit them to the Department of Public Works for review and approval.

With DOMI now overseeing the process, and with their newly enacted policies and standards, engineered Maintenance and Protection of Traffic (MPT) plans are also typically required for construction projects. These MPT plans are the responsibility of the applicant, which is usually the contractor for the project. The plans provide details and requirements for signage, barricades, barriers, and fencing. The MPT plans also define and outline any required vehicular, bicycle, and pedestrian detours. They

48 DEVELOPING PITTSBURGH | Fall 2019 B&G Breaking Ground Ad:Layout 1 7/2/14 11:58 AM Page 1

Real Estate I Construction I Manufacturing provide specific locations and P. 412-227-2500 • F. 412-227-2050 dimensions of the proposed work www.BlumlingGusky.com areas, equipment lay-down areas, dumpster(s), and construction trailer(s). Depending on the size and scope of the MPT, the permit may also require working hours that are limited to evenings, weekends, or off-peak hours. The permit may also require off-duty police officers or flaggers to direct traffic around the work area depending on the location of the project and impacts to the adjacent traffic patterns. Much like many of the permits administered by DOMI, traffic obstruction permits require coordination between DOMI, contractors, and engineers Project success. in order to ensure not only the It’s what our clients do. safety and protection of the contractors performing the work, It’s what we do. but the safety and protection of the public traveling adjacent to the construction site.

This article only scratches the surface of recent changes to the planning and permitting process in the City of Pittsburgh. The emergence of the Department of Mobility and Infrastructure in 2017 combined with the ongoing implementation of an organized and transparent permitting system has led to a more streamlined and efficient process for taking a proposed development or redevelopment from planning through construction. Procedure manuals, policies, and standards have been developed, revised, and refined since 2017 by DOMI. A long-term vision has been developed as it relates to the viability of the City’s infrastructure for all modes of transportation. With short- term planning and cooperation on a project-by-project basis, the future is bright for everyone who lives, works, or plays within the City limits and even for those who are just passing through. For more information on the Department of Mobility and Infrastructure and the permitting process, go to https://pittsburghpa. gov/domi/index.html. DP

Mike Haberman is a project manager and shareholder at The Gateway Engineers, Inc. He can be reached at [email protected] or 412-409-2393.

www.developingpittsburgh.com 49

BENCHMARKS

Changes on the Horizon for LERTA

n August 2, Mayor Bill Peduto basis. A project in a neighborhood like demand for a spec office building in one signed the new legislation on East Liberty received a LERTA or TIF of those areas.” Othe City’s Local Economic for just about anything a decade ago, Revitalization Tax Act District (LERTA) whether it was office or retail or housing. The developer for District 15 echoes Imbrie’s sentiments. While it’s not program, which passed City Council on There are neighborhoods that don’t need the pump primed anymore. The surprising that a developer would be in July 30. As promised, the new LERTA market itself will carry the day.” favor of continuing LERTA as is, John program includes provisions that require Deklewa makes an argument from a developers create a share of units that One of the projects currently in different perspective. Deklewa, CEO will be affordable by people making 50 development that is being treated of RDC, points out that speculative percent of the median household income differently is District 15 Beta Version. development goes hand in glove or less. While reserving ten percent of the RDC/Orangestar is developing the with economic growth, providing residential units as affordable may not be 205,000 square foot second phase of the inventory necessary for growing welcomed by developers and property the District 15 development. Phase one businesses to expand. Asked if he thinks owners, the City’s legislation stopped short was a speculative office building that a diminished version of LERTA would of the kinds of changes that have been was fully leased by Facebook before impact spec development, Deklewa is construction was complete. District 15 blunt. floated by Allegheny County for its LERTA received a LERTA for the first building, participation. but is looking at a modified LERTA for “No LERTA, no speculative the Beta Version building. What the development,” he says. “When you’re County Executive Rich Fitzgerald county has proposed is a shorter term building spec your lease up time is a believes that the region’s development for the LERTA that rolls off once the complete unknown. Between your landscape has changed sufficiently that building is stabilized. interest, operating reserves, utilities, and Allegheny County should be re-thinking taxes, you can go broke during that lease how and where it chooses to forego Tad Imbrie, CEO of PenTrust Realty up duration. The tax abatement program tax revenues in favor of incenting Advisors, acknowledges that the is the single most important incentive redevelopment. fortunes of some of Pittsburgh’s sub- line item on your budget when you’re markets have improved but disagrees building spec.” “There are certain markets where people that removing or reducing the tax are building on spec and they’re not abatements will not have an impact. “LERTA is, in my opinion, effective building out of the goodness of their because if you meet the qualifications of heart. They are building because the “Curtailing a LERTA during the first two the legislation you don’t have to justify market is there,” Fitzgerald says. “I’m or three years affects the cash flow anything or prove that it’s needed to fill talking about the Airport Corridor or and the value. Tax abatement vehicles the gap. LERTA is done to encourage the Innovation District that runs from like LERTA are crucial for developers development in certain areas. I think that the Strip District through to Oakland to raise the capital and the equity they does that,” says Todd Reidbord, principal and even to the North Shore. Those need for projects in the early stages a Walnut Capital. neighborhoods are attracting developers of a market,” Imbrie explains. “Projects to build right now and they are attracting would be tougher to underwrite and, Walnut Capital has been the recipient tenants. with less equity, the projects would be of millions in development subsidies tougher for the banks who provide the for its groundbreaking projects in East “I don’t know that there will be strict lines first mortgage. From our perspective Liberty, including LERTA programs. drawn around certain neighborhoods. we loved a LERTA program and would Reidbord asserts that those subsidies We will review them on a case-by-case like to see it continue in its place. We filled financing gaps that made equity certainly investors more comfortable with what understand were highly speculative projects. He why the does not agree that economic fortunes county have improved to the point where might incentives can be diminished, especially want to in desirable areas. reconsider it or apply “That’s their prerogative but I think it to more they’re wrong. Pittsburgh is still a difficult underserved place to develop,” Reidbord says. “We areas, but, have got to get more people to live in on the the city and the incentives that attract other hand, people to develop and live in the city are what is the extremely important. I just don’t buy the

www.developingpittsburgh.com 51 argument that we don’t have to continue these programs. There’s a lot of development going on. I don’t understand why you’d want to stop.”

Providing services equitably is a constant battle for local governments. Tax-generating properties are important to government’s ability to expand or improve the quality of public service. In cities where population and economic growth are robust, there is no need for incentives to developing a tax base. Pittsburgh is not one of those cities. In the struggle to attract development, the taxing authorities in Pittsburgh – including the Commonwealth – have a decades-long history of abating taxes in the short term VALUED to increase sustainable tax revenues. A November 2017 study by the City Controller’s office found that Pittsburgh received more than $14 million in tax revenues from RELATIONSHIPS expiring abatement programs – which include more than LERTA – between 2006 and 2018. ... built on our commitment That fact makes a compelling case for the mutual benefit of tax abatements as economic incentives. There’s no way to to client service. judge what the incentives cost the taxing bodies since the properties didn’t exist prior to the development. Developers point out that the increased revenues related to the property – such as earned income from new residents or • Construction payroll taxes from workers – are also significant and, but for • Corporate & Business Law the project, would not be coming to the local government. • Creditors’ Rights & Bankruptcy As an example, Oxford Development’s request for a LERTA for its Coda on Centre project estimated that the • Employee Benefits completed apartment building would generate nearly $522,000 for Pittsburgh Public Schools during the ten-year • Employment Law abatement period, instead of the roughly $136,000 that the • Energy, Utilities & Mineral Rights property would generate without the new development. The $1.5 million abatement during that period would result • Immigration in four times the revenue and make the project possible by bridging part of the financing gap. After ten years, the • Insurance Coverage annual revenue was estimated to be more than $215,000. • Intellectual Property The counter argument, of course, is that the • International Law neighborhoods in question have become so attractive that the internal rate of return and appreciation of the property • Litigation & Dispute Resolution now bridge the gap so tax abatements don’t need to. City • Private Clients and county officials say they aren’t in favor of eliminating their LERTA programs, just directing them to communities • Real Estate & Lending that haven’t become proven commodities.

• Sustainable Development “With the rapidly advancing lease rates that projects are attracting in these markets there is a new, and more difficult, burden of financial justification for what is public investment in projects,” says Lance Chimka, executive director of Allegheny County Economic Development. “The days of $40 per square foot are here in the Strip District so the financial models need to adapt accordingly.”

Adjusting financial models is easier said than done. Few, if any, developers build with outside investors. Outside investors bring the 20 or 25 percent equity to the capital stack that lenders require. Investors have become quite Henry W. Oliver Building enamored of Pittsburgh, especially since its economic drivers are the same ones attracting investors globally. 535 Smithfield Street, Suite 1300 Reidbord’s point about letting a winning streak run is Pittsburgh, PA 15222 relevant, especially if reducing tax incentives will knock a 412.456.2800 | muslaw.com point off the return on investment.

52 DEVELOPING PITTSBURGH | Fall 2019 Equity yields are being compressed largely because Sipos admits that opinion will not be popular with developers construction costs are rising. Commodities prices increased and agrees that there isn’t data to support the argument significantly in 2018 and, while inflation has slowed, those that incentives don’t drive development. On the other hand, prices haven’t retreated. The tight labor supply has pushed creating opportunities for a greater share of the incentive those costs higher than the overall pace of inflation as well. pie to be used in underdeveloped communities has value. Offering tax abatement to projects proposed in Homewood, “The mandate for affordable housing puts a crimp in the the Hill District, or the Mon Valley may not seem to be good income from an apartment project. LERTA is very helpful in uses of resources, given the current demand for commercial offsetting that loss of income for the investors,” notes Imbrie. property in those communities, but the same was said of East Liberty when the idea that converting the former Nabisco “LERTA is not going to make or break a deal for an investor. factory could be a transformative project. Investors put money into a project based on the perceived demand,” continues Imbrie. “Having a LERTA in place makes “It’s time to move from a recovery mindset to a growth it easier to make that decision. It enhances that return on mindset,” concludes Chimka. investment but it doesn’t drive the deal.” Growth is what’s on John Deklewa’s mind too. While he still “The capital stack is still the capital stack. If those incentives believes that LERTA and other tax abatements are cushions aren’t there it will force developers to put more equity into against soft markets, Deklewa is most concerned that the the project. I don’t see banks stretching for greater loan-to- dampening of speculative development as Pittsburgh sees a value on construction loans,” says Greg Sipos, executive vice brighter economic future presents an unnecessary risk to the president at First Commonwealth Bank. “If the city and county region’s growth. pull back on LERTA in certain areas, I don’t think it’s going to slow down development because developers have clients that “People have to decide how important speculative building want to be in those areas. is to the growth of the city. I’m concerned that without spec building there wouldn’t be the inventory of space that is “In a declining interest rate environment I think that developers needed to attract the kind of emerging technology companies will have to look at what a reasonable return is. A developer that have located and grown here over the past decade,” can end up finding a tenant and take a deal to the permanent Deklewa says. “If you don’t have inventory, there is no change market, cashing out at that stage. Developers can get their for growth. It is a detriment to any city if there isn’t inventory money back at a much quicker pace than they would have available for employers when they need it.”. DP five years ago because it leases quicker.”

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Governor Wolf is proposing to expand the funding available to support development and job creation in Pennsylvania. Should a source of funding be approved by the legislature, what do you think should be the top investment priorities?

Michael W. Takacs, Cecilia Cagni Jamie White, PE RLA, ASLA Senior Vice President, LLI Associate, Bohler President of Engineering Engineering Marketing/ Vice President, Board Member Communications, NAIOP Pittsburgh At-Large, NAIOP Allegheny Pittsburgh Conference on “Infrastructure! Community While ACT 89 “Supporting Development has dramatically development is Board Member increased funding one of the most At-Large, NAIOP for transportation Pittsburgh vital measures ($2.3 billion per year), most of that money the state can do to help support the local has been used for “replace and repair” “It’s critical to the Pittsburgh region’s and regional economies and to directly as well as public transportation funding. vitality that the Commonwealth invests in increase job creation. Development in We need spending on new capacity and southwestern Pennsylvania, particularly our state and our region is not easy or new extensions to support and attract in transportation infrastructure. As part of inexpensive compared to our surrounding population growth (development). In order the Allegheny Conference’s Our Next 75 states. Many projects are burdened with to connect to new development projects, regional visioning initiative, we conducted having to improve infrastructure in and the existing water, sewer, and storm water region-wide listening sessions culminating around the development area which infrastructure systems need upgraded in a 1,000- person summit of citizen adds costs and time to development and expanded. Many of these systems are leaders in June. Multi-modal transportation projects large and small. In addition, the already stressed beyond their engineered infrastructure consistently surfaced as a surrounding communities benefit from capacities and incapable of supporting new top priority in the list of issues that are this upgraded infrastructure as well as the development. development itself. Money spent in this most important to the diverse groups of manner has direct and immediate benefit stakeholders from across the 10-county “Electric power and natural gas to the communities and state as a whole. region with whom we engaged. From infrastructure also needs state support! improved public transportation via a Pennsylvania Department of Community The continued funding of the Department bus rapid transit system and enhanced and Economic Development has many of Economic Development’s initiatives investment in our roads and bridges, to outstanding programs that support will allow the state to better position smart infrastructure implementation and energy infrastructure, in need of additional themselves against other locations when strengthening the turnpike, and more, funding.” it comes to the never-ending struggle for investment in transportation infrastructure new economic development.” will be a lynchpin for growing our region’s economy and positioning it as a location of choice for businesses and individuals.

“Strategic investment in the region’s transportation infrastructure is a top priority for the Allegheny Conference, and we stand ready to engage as this conversation moves forward. As stated in the recently released Southwest Partnership for Mobility report, the cost of inaction far outweighs action and the return on investment will be experienced across the entire region.”

www.developingpittsburgh.com 55 Ryan A Schwotzer John R. Deklewa Brandon Snyder President, CEO, RDC Vice President, Crossgates Inc. Design+Build, Inc. Real Estate Board Member Board Member Development, Al. At-Large, NAIOP At-Large, NAIOP Neyer Pittsburgh Pittsburgh Board Member At-Large, NAIOP “Additional funding “The legislature Pittsburgh for economic should approve development a dedicated “Issues impacting should be source of our region’s ability considered. These funds help development funding and municipal guidelines to to take advantage of economic growth projects close the gap on project costs support development and job creation. include a depleting inventory of shovel (which continue to tick upward) so that The governor’s top priority should be ready sites for industrial development and market rents can be achieved. These funds facilitating existing Pennsylvania business limited availability of skilled workers for are great sources for new infrastructure, growth. National League of Cities finds industrial operations. In the last year, the especially when looking at the reuse of old that 80 percent of growth comes from market generated three industrial projects Brownfield sites or sites in underutilized expansion of existing businesses. Any in excess of 400,000 square feet. There markets. Infrastructure is always an funding should not only include workforce are few sites, if any, presently ready that important component of a project that education but also allow the Department of could feasibly support a fourth. If additional helps support the development of an Economic and Community Development funding is approved for development and area. The development is what creates to fast track the permitting and approval job creation, investment should further the housing requirements for businesses, process through state, county and local support raw industrial land development people, transportation needs, etc. and that governments for Pennsylvania businesses in order to capture inbound opportunities activity generates tax dollars and/or jobs for to expand. Additionally, any Pennsylvania from prospective employers new to market the municipality, state, and school districts business that expands their operation as well as to support our existing users for their continued investment.” (building expansion and hiring) should who seek to invest in new facilities while automatically qualify for a LERTA from all confidence in this economy remains high.” three taxing bodies.”

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News from the Counties

LARENCE

NEW CASTLE

BUTLER

KITTANNING BEAVER ARMSTRONG

BEAVER INDIANA

INDIANA

ALLEGHENY

PITTSBURGH

ESTMORELAND

GREENSBURG

ASHINGTON

WASHINGTON

FAYETTE

WAYNESBURG UNIONTOWN GREENE From our robust economy to our expanding transportation options, we’re experiencing widespread success and have positioned ourselves for sustained growth.

Local workers and companies are capitalizing on that success. Our unemployment rate recently reached an historic low, and we’ve Allegheny County become a leader in health care, finance, Allegheny County Economic Development education, manufacturing, arts and culture, and Chatham One, Suite 900 emerging sectors such as robotics, artificial intelligence, autonomous vehicles, and clean 112 Washington Place energy. Our businesses and renowned colleges Pittsburgh, PA 15219 and universities are training the next generation 412-350-1000 (T) of innovators, attracting young people and 412-642-2217 (F) companies to our area as well as enticing our Lance Chimka, Director current residents to stay. [email protected] www.alleghenycounty.us/econdev Those drawn here quickly see why longtime residents love this area so much. Allegheny By working together and investing in our local communities, Allegheny County is one of the most affordable places to County continues to thrive, and our institutions, amenities, and overall live, work, and play in the country. And whether quality of life are grabbing attention and accolades across the world. it’s our emerging culinary scene, numerous arts

www.developingpittsburgh.com 59 and cultural amenities, one-of-a-kind museums, or beautiful and accessible trails and parks, there’s something for everyone in this vibrant region.

Our cutting-edge airport and public transit system are ALLEGHENY COUNTY making it easier to get to those attractions. A $1.1 billion terminal modernization project is in the works at Pittsburgh ECONOMIC DEVELOPMENT International Airport, which continues to add national and …COORDINATING SUCCESS international nonstop destinations through carriers that see the importance of connecting our region to the rest of the This region is experiencing a renaissance, and world. The Port Authority, meanwhile, is embracing new Allegheny County Economic Development technology and enhancing the experience of riding on our (ACED) has played a vital role in our success buses and light-rail system, which helped it buck an industry by effectively coordinating initiatives and making strategic investments that maintain trend and increase ridership last year. It’s also developing and improve our extraordinary quality of life. a Bus Rapid Transit line between the area’s two largest job sectors. Its Allegheny Together program offers technical assistance and planning resources Allegheny County Economic Development is playing a to communities interested in revitalizing their big part in this region’s growth by making significant and main street business districts. ACED also is helping to improve other key locations in the strategic investments. Its Allegheny Together program offers area by investing millions in the rehabilitation technical assistance and planning resources to communities and development of brownfields, making interested in working to revitalize their main street corridors. former industrial land safe again for Its Allegheny Grows program, in partnership with the community and economic activity. Western Pennsylvania Conservancy, is further beautifying In partnership with the Western Pennsylvania the area. Over the course of two years, the program has Conservancy, ACED is further enhancing our provided materials as well as technical, organizational, land through the Allegheny Grows program. and educational support to garden groups throughout the It provides materials as well as technical, county. organizational, and educational help to garden groups throughout the county. Since Vital investments in transportation and recreation are also 2012, ACED has supported the growth and taking place. Now in its third year, the Active Allegheny maintenance of 133,526 square feet of program is supporting the implementation of projects that community garden space, resulting in the harvesting of 1,751,290 pounds of produce. will provide bicycle and pedestrian connections to important community destinations and transportation systems, such as Additionally, ACED is making important trails and transit routes. Last year, related projects included investments in local transportation and planning of segments of major trail corridors, such as on the recreation. Over the past three years, its Three Rivers Heritage Trail and the Montour Trail. Overall, the Active Allegheny program has awarded $581,667 to 24 different projects that will program has awarded $581,667 to 24 different projects. provide bicycle and pedestrian connections to important community destinations and Through public and private partnerships, including those transportation systems, such as trails and involving Economic Development, this region is continually transit routes. discovering new and innovative ways to grow and prosper. Our ability to work hard and collaborate will no doubt help Through hard work and collaboration, ACED is helping to meet this region’s needs. We are us build on our accomplishments and pursue a future full of continually discovering new, innovative ways promise and prosperity for all who choose to call Allegheny to boost our diverse and County home. thriving economy, ensure that everyone can take advantage our prosperity, and make Allegheny County an even better place to live, work, and play. Rich Fitzgerald County Executive ALLEGHENY COUNTY ALWAYS INSPIRING

Lance Chimka, Director Economic Development One Chatham Center – 112 Washington Place – Pittsburgh, PA 15219 412.350.1000 – www.alleghenycounty.us/econdev

60 DEVELOPING PITTSBURGH | Fall 2019 Armstrong County

Armstrong County Department of Economic Development Northpointe Technology Center Center II 187 Northpointe Boulevard Freeport, PA 16229 724-548-1500 (T) 724-545-6055 (F) Michael Coonley, Executive Director [email protected] www.armstrongidc.org

The Armstrong County Industrial Development Council (ACIDC) recently announced a joint venture agreement with the Energy Innovation Center Institute (EICI) to design, develop and operate the Critical Infrastructure Workforce Academy™ (CIWA). CIWA is a unique training facility in the Northpointe Business Park in South Buffalo Township that will focus on providing our current and future workforce the skills necessary to install, operate and maintain critical infrastructure; gas, electricity, water, sewer and telecommunications. CIWA is INDIANACOUNTYCEO.COM supported by the utility, energy and related construction industries as a Indiana County Center for Economic Operations means of improving both public and worker safety, attraction and training of a new workforce, the retraining COMMERCIAL REAL ESTATE and upskilling of both displaced • Windy Ridge Business & Technology Park and incumbent workers, and the advancement of energy sector • 119 Business Park The Windy Ridge research. Once fully developed, • Corporate Campus Business Park Business & Technology Park CIWA will include state-of-the-art is the home of • Corporate Campus Office Building classroom and online training, the Urban Outfitters, Inc. • virtual and live simulation with over Interchange Center Indiana Fulfillment Center. 20 acres to mock rural, suburban • Highpointe at Indian Springs Projected Operation: and industrial streets and building 3rd Quarter of 2019 settings. Additionally, the site is expected to function as a living 225 Jobs | $30M Investment laboratory for the main users of the facility: utility providers, upstream and midstream energy sectors and the When our businesses grow, our communities flourish! construction industry. The Project’s facilities, programing, and training are expected to be a new model of collaboration between employers,

www.developingpittsburgh.com 61 innovators, regulators, trade unions, sources, including; private investors, The Project will be an innovative and and training organizations for regional industry focused employers, government unique training facility that will combine workforce development, upskilling of and foundation grants. The CIWA public, private, for-profit, not-for-profit, displaced or underemployed people project and programing will be designed academic organizations, and governing in the region, and to drive improved and built in several phases beginning agencies into an effective partnership job readiness, safety and efficiency. in 2019. The EICI plans to conduct to provide standardized workforce The ACIDC will design and build the initial classroom training this fall at the development training, retraining, facility collaboratively with the EICI, Indiana University of Pennsylvania (IUP) upskilling and certification training to regional employers, and their national classroom facilities already in operation government, corporate employees, and training partners. The EICI will develop in Northpointe. The ACIDC and EICI private individuals working (or seeking and manage the Academy and all its anticipate breaking ground on the first to work) in the high paying and growing training and programing. Funding is phase of the workforce academy and utility, energy, construction, and related being secured jointly through various simulation yard in the spring of 2020. industries.

The ACIDC secured two new members in the Innovate 28 coworking space in Northpointe Technology Center II. The Advocacy Alliance and Whole LLC joined Young & Associates Consulting Engineers, Tallo and the Clarion BUILDING THE University Small Business Development Center. With these five members, the 1,600 square foot coworking space is ECONOMY approaching capacity after opening just over one year ago. Innovate 28 is the first of its kind in Armstrong County, Creating a Strong Foundation and offers its members the flexibility of month-to-month tenancy, furnished for Continued Growth office space, secure 24/7 access, and high speed fiber-optic internet.

A privately owned 12,000 square foot building in the West Hills Industrial Park in East Franklin Township was purchased by an expanding oil and gas company. Surefire Wireline LLC, an Armstrong County based wireline services company serving the Marcellus and Utica Shale region, closed on the building in May 2019. The ACIDC coordinated introductions between the previous owner and Surefire Wireline. Prior to the acquisition, the ACIDC, on behalf of the owner, listed the building for sale on its website (www.armstrongidc. org/properties/). The ACIDC owns and operates the unoccupied acreage in the SERVICES PROVIDED: West Hills Industrial Park. • Site Selection The ACIDC and Clarion University Small • Technical Assistance Business Development Center (SBDC) • Affordable Business/Industrial Site for Sale provided assistance to an agricultural • Office/Warehouse Space for Lease producer in Armstrong County. Le-Ara • Competitive Financing Packages Farms LLC is a pasture-based dairy farm • Workforce Development located in North Buffalo Township, with If you are interested in starting or growing your 75 high quality Holsteins encompassing business in our region, please contact us... we would 390 acres. They produce and distribute be happy to help! approximately 40,000 gallons of raw milk annually to Marburger Farm Dairy, Inc. in Evans City, PA. The dairy farm owner contacted the ACIDC with

Joe Saeler

62 DEVELOPING PITTSBURGH | Fall 2019 Executive Director Community Deveolopment Corportation of Butler County 724-282-1961 an interest in expanding the farm to from 26 terminals throughout North include value-added dairy products. America since 1984 from its corporate Butler County With assistance from the ACIDC and headquarters and terminal facility in Clarion University SBDC, Le-Ara Farms Harmony Township. The first phase of Community Development Corporation submitted an application for the the project is construction of a 15,000 of Butler County Pennsylvania Dairy Investment Program square foot maintenance and shop 112 Hollywood Drive #102 (PDIP) which resulted in a grant award facility. The project, approximately a Butler, PA 16001 of $50,000. Their project, totaling more $3.2 million investment, is funded in part T: 724-283-1961 than $110,000, will allow Le-Ara Farms through a $1.6 million PIDA loan and F: 724-283 3599 to purchase equipment enabling them a $250,000 loan from CED’s Business www.butlercountycdc.com to produce and establish an inventory of Development Fund. The first phase of the Joseph Saeler, Executive Director, value-added dairy products. project will help retain 190 existing jobs [email protected] and result in the creation of 24 new jobs over the next three years. The second Fourth River Holdings LLC recently phase of the project is construction of a Beaver County purchased a 2.3 acre parcel at the 14,000 square foot office facility due to Pullman Center Business Park Expansion Beaver County Corporation for expanding need for office personnel. (PCBPE). Site work has begun, and the Economic Development firm hopes to have the new 10,000 250 Insurance Street, Suite 300 Finally, CED also approved a $250,000 loan from its Business Development square foot facility under roof by this Beaver, PA 15009 Fund for improvements at the Ambridge fall. Fourth River Holdings will combine 724-728-8610 (T) Regional Center. Ambridge Regional, their two current locations at the PCBPE 724-728-3666 (F) located in Harmony Township and site and also expects to hire additional James Palmer, President Ambridge Borough, has over 1 million personnel for the Butler, PA site once it is [email protected] square feet of space in 22 buildings and completed. www.beavercountyced.org its current tenants employ over 200. This The Community Development $500,000 overall investment will provide Corporation of Butler County (CDC) The Beaver County Corporation for for access road improvements, fire safety was also the recipient of a $650,000 Economic Development (CED) awarded infrastructure, roof improvements, and Brownfield Assessment grant. These a contract for construction of a 30,000 purchase of a new truck scale for the funds are being used to identify square foot multi-tenant spec building at property for the benefit of not only the brownfield sites in the county. Once its WestGate Business Park in Big Beaver current tenants but will support the the sites are identified Phase Two of the Borough to Uhl Construction Company. attraction on new tenants as well. program will begin. Core borings will The building will be located on a 14-acre determine if remediation of each site is site and can be expanded up to 45,000 needed. The hope is that these sites will square feet, with seven acres of the site be cleaned up, developed, and returned remaining available for a second facility to the tax rolls. or for sale. Estimated cost of the project is $3 million and is funded, in part, The CDC has parcels available at both through a loan from the Pennsylvania the Victory Road Business (Clinton Industrial Development Authority (PIDA). Township) and the Pullman Center The shell is expected to be available for Business Park Expansion (Butler occupancy in November 2019. Township and the City of Butler). If you are interested in parcels at either of our Also, at the WestGate Business Park, CED business parks, please contact Executive closed on the sale of a 22-acre parcel to Director Joe Saeler at (724) 283-1961. Crossgates, Inc. Crossgates’ long term You can also view sites and buildings plans are to construct multiple flex space available for sale or lease in Butler buildings of approximately 100,000 County by visiting the CDC website, square feet in size on the property. www.butlercountycdc.com. Permitting for the first facility is underway with construction planned to begin later this year.

Beemac Trucking Company, LLC announced a major expansion project in the spring. It is purchasing property in Ambridge to accommodate its rapid business growth. Beemac provides trucking, logistics, port, warehousing, and specialized services to customers

www.developingpittsburgh.com 63 Fayette County

Fay-Penn Economic Development Council 1040 Eberly Way, Suite 200 Lemont Furnace, PA 15456 724-437-7913 (T) 724-437-7315 (F) www.faypenn.org Bob Shark, Executive Director [email protected]

In the first six months of 2019, Fay-Penn Economic Development Council, through its ongoing $15 million revolving loan fund, closed one loan for $75,000. With this financing, Fay-Penn was able to assist in the renovations for a new childcare center.

Fay-Penn was also able to distribute $9,500 in scholarships to seven local trade schools through its 2019 CREW Workforce Development Fund with the Community Foundation of Fayette County.

The FNB Business Event Center located at the University PITTSBURGH Business Park has hosted more than 30 events since the beginning of 2019 and more than 800 people have attended events and training there. This facility is open PROPERTY to the public and businesses can host events for up to 75 people at no cost.

The Fayette Leaders Academy graduated its fourth cohort TOUR in May with 12 participants. The group also finished its community service project, which was a middle school room renovation at the East End United Community Center in Uniontown. The fifth cohort will begin sessions in September and consists of 12 individuals. September 19, 2019 Fay-Penn Economic Development Council assists in growing and diversifying the economy in Fayette START & END AT THE County, Pennsylvania. We desire to be the pre-eminent “1st stop shop” economic development organization in AC HOTEL Fayette County by providing comprehensive business PANEL LUNCHEON development services through our staff or partners to make our clients more competitive in a global HAPPY HOUR TO FOLLOW marketplace. PROPERTY TOUR PROPERTIES Fay-Penn’s ultimate objective is to sustain a supportive environment for business start-up, expansion, and SERENDIPITY LABS attraction. THE STACKS THE TRYP HOTEL

WWW.CREWPITTSBURGH.ORG

64 DEVELOPING PITTSBURGH | Fall 2019 Greene County Greene County Industrial Developments, Inc. 300 EverGreene Drive Waynesburg, PA 15370 724-852-2965 (T) 724-852-4132 (F) www.gcidc.org Don Chappel, Executive Director [email protected]

Coal and natural gas continue to be the economic drivers in Greene County with numerous projects in the developing stages all over the county. Equitrans Midstream Corporation, the third largest natural gas gatherer in the United States and headquartered in Pittsburgh, continues its construction of two large natural gas compressor stations in Franklin Township. Equitrans has a substantial asset footprint in the Appalachian Basin. Several natural gas lines are also being constructed by other firms through various regions of Greene County.

NexGen Industrial Contractors, specializing in steel mill, excavation, mining, and electrical services in the Tri-State area, began construction of their new building in EverGreene Technology Park to house their 167-employee operation. Plans are to be operational in the fourth quarter of 2019.

Work continues on the West Virginia University medical office building with September 2019 targeted for its official opening.

A Draft Greene County 2019 Comprehensive Plan Update is out for its public review and comment period which ends on September 3, 2019. This document was developed collaboratively with public and stakeholder input as a decision-making guide for elected and appointed officials of Greene County for years to come.

If you are looking for a building or land, explore available properties in Greene County through our interactive map. Filter properties by size and type, and explore community data including demographics, labor force, wage, and talent pool data.

Visit https://www.co.greene.pa.us/site-search.

www.developingpittsburgh.com 65

Redevelopment Assistance Capital Indiana County Program. IRMC plans to use the funds Lawrence County to build a 15,000 square foot acute Indiana County Center for Economic care facility on a vacant lot across Lawrence County Economic Operations from the Kovalchick Convention and Development Corporation 801 Water Street Athletic Complex. Hospital President 100 East Reynolds Street Indiana, PA 15701 and CEO Steve Wolfe, says it will offer Plaza South, Suite 100 724-465-2662 (T) convenience for patients and access to New Castle, PA 16101 724-465-3150 (F) care, which he calls “the cornerstones 724-658-1488 (T) Byron G. Stauffer, Jr., Executive of growth for IRMC.” Senator Pittman 724-658-0313 (F) Director emphasized that the funding “supports Linda Nitch, Executive Director the sustainability of independent [email protected] [email protected] hospitals in rural communities, www.indianacountyceo.com www.lawrencecounty.com which “focus on care in their home community, as opposed to those that Westminster College in New Wilmington Philadelphia-based retailer, Urban are part of a larger network, which tend is embarking on several expansion Outfitters, Inc. (URBN) which operates to be more focused on bottom lines and projects including the construction of a more than 600 stores globally, balance sheets.” purchased 48.5 acres from the Indiana new campus athletic facility with partner County Development Corporation “I am extremely pleased the state is UPMC. The UPMC Sports Complex at (ICDC) to construct a nearly 1,000,000 making this significant investment to Westminster College will serve as the square foot fulfillment center at the protect and improve the health and new home for the school’s men’s and Windy Ridge Business & Technology well-being of our local residents,” women’s soccer and lacrosse teams. Park in Indiana County, anticipated to Senator Pittman said. “IRMC is planning UPMC Jameson School of Nursing and create 225 permanent full-time jobs. to redevelop an important piece of Westminster also joined forces recently Groundbreaking was held on September property along Wayne Avenue that to enable students to earn a Bachelor 27, 2018 with operations projected could promote further growth around of Science degree in Nursing. This to begin during the 3rd quarter 2019. the Kovalchick Convention and Athletic project follows Westminster’s recently Construction is underway for the internal Complex, such as we have seen with the completed expansion projects over the Roadway 3A project to provide access Hilton Garden Inn.” past two summers investing more than to the Urban facility and an additional $16 million in campus renovations to five development lots and engineering The Pennsylvania Economic improve academic buildings, athletic and permitting are underway for the Development Association (PEDA) is facilities, residence halls and campus Roadway 3B project accessing two the primary statewide organization grounds. Last year $7.2 million was additional lots, which are being funded representing economic development invested in campus improvement by a $1.4 million PennDOT Multimodal professionals and, as such, provides projects. Renovations are also underway Transportation Fund (MTF) grant and a opportunities at its conferences to in Hoyt Science Resources Center $1.2 million Commonwealth Financing share best practices that enhance the where a new Neuroscience suite and Authority MTF grant, respectively. professional dialogue and support major lecture hall are being constructed. local, regional and state economic Crews are also working to build an The recently passed Tax Reform development initiatives. The 2019 Fall addition to the Memorial Field House Act included a potential tax break Conference will be hosted at the IUP that will expand the men’s varsity locker for investors, referred to as Federal Kovalchick Convention and Athletic room and transform the hospitality room Opportunity Zones. Through this Complex from October 21–23. Please into a new student athlete lounge and program, an investor may defer capital visit www.peda.org for additional study space. gains taxes on the sale of any asset by information.. investing those gains through a Qualified UPMC made its presence in Lawrence Opportunity Fund and when held long County official in May 2016 when they enough, appreciation from the new purchased Jameson Health System investment can be realized tax free. and is investing $75 million to develop Indiana County has three census tracts services and facilities in Lawrence in the Downtown Indiana / Indiana County with an additional $10 million University of Pennsylvania (IUP) area, earmarked for strategic physician identified as Certified Opportunity recruitment. Recent improvements Zones. Please contact the CEO for to UPMC Jameson include a newly additional information. renovated Outpatient Center located at 1211 Wilmington Avenue, New In a joint release, Senator Joe Pittman Castle. The center features The Heart and Representative Jim Struzzi have and Vascular Institute and The UPMC announced a grant of $1 million dollars Esophageal and Lung Surgery Institute to the Indiana Regional Medical Center and is now also home to centralized (IRMC). The grant comes from the patient registration, imaging, diagnostic

www.developingpittsburgh.com 67 and infusion services. There is a $6.5 The energy sector, including coal, natural from a fire, infrastructure upgrades, million newly constructed, 22-bed gas and power generation, remains purchase of new equipment and the inpatient unit on the third floor of the the driver of Washington County’s acquisition and renovations of a building. hospital and includes an orthopedic strong economy. Rachel Gleason, Premier Automation, a Monroeville-based physical therapy lab and gym. In addition executive director of Pennsylvania Coal engineering systems solutions company, Association, when discussing a report is opening a second location in a UPMC has unveiled the new cardiac issued by the organization, commented 66,000 square foot building in Chartiers catheterization lab and the UPMC that the coal industry in PA has been Township at 320 Reliance Drive. They will Hillman Cancer Center on Wilmington steadying and credited production of full offer full engineering and manufacturing Rod in Neshannock Township. extraction coal from CONSOL’s Mining services which will include building Complex in Washington and Greene large and small electrical controls for Counties for helping to spark the rally. manufacturers. Washington The CONSOL complex is the largest underground coal mining complex in State agencies are investing in several North America. significant projects in Washington County County. Investments made by Penn Construction of the Beech Hollow power DOT in the Interstate 70 modernization Washington County Chamber of plant in Robinson Township is expected project continue to enhance the county’s Commerce to begin this year. Robinson Power transportation network. The $7.5 million 375 Southpointe Boulevard #240 Company has announced plans to major reconstruction of the Bentleyville construct electric transmission lines and Interchange is nearly complete. The Canonsburg, PA 15317 an electric transmission switching station project included modern-standard 724-225-3010 (T) at a cost of $28 million to transport entrance and exit ramps providing 724-228-7337 (F) energy from the plant. improved access to the Alta Vista Jeff Kotula, President Business Park. Several other projects are [email protected] CONSOL Pennsylvania Coal Company underway to improve and modernize was awarded a $147,000 grant from the Interstate 70 from the West Virginia www.washcochamber.com U.S. Department of Energy for funding of border east to the Pennsylvania Turnpike. conceptual designs under the request for Washington County’s economy proposals for coal-based power plants of The Turnpike Commission also continues to be strong and among the future. This is part of a larger initiative continues to make major investments the five counties in Southwestern to boost the coal industry through in Washington County. The Southern Pennsylvania, Washington was the only research and development. Beltway project, designed to provide county to show positive results when improved access to the Pittsburgh comparing 2018 population estimates Pennsylvania is the second largest gas International Airport from Interstate over the 2017 population estimates. producing state in the country and 79, is well underway. The commission The energy and manufacturing sectors according to Pennsylvania’s Independent awarded a $174.3 million contract to continue to lead the way and have been Fiscal Office, Washington County ranks Chicago-based Walsh Construction bolstered by continued investments in second in the state with 293.2 BCF of Co. for the building of the beltway’s development and transportation projects, production in the first quarter of 2019. interchange with Interstate 79. That driving the county’s strong economy in project represents the final phase of the the first half of 2019. Washington County has 1,655 of the 13-mile, $800 million project linking I-79 state’s 9,500 producing gas wells – more with the Findlay Connector at Route 22 A robust new housing market in the than any other county in the state. As a in Robinson Township. Plans call for the county is the result of the population result, the county will receive $8.4 million beltway’s middle section to be open to trend with approval for more than 350 this year in impact fees paid by shale gas traffic in fall 2021, with some restrictions new single-family, townhomes and drillers, a 15% increase over last year. at I-79 until the following year, when all patio homes in the townships of Peters, connections to and from the interstate North Strabane and South Strabane. The The transportation network for the are scheduled to open. region’s strong demand for affordable Marcellus Shale gas continues to develop housing has also attracted investment of with EQM filing an application with The Commonwealth of Pennsylvania more than $26 million from Michigan- Federal Energy Regulatory Commission has made some important investments based RHP Investment, the nation’s to construct 16.7 miles of new 16-inch across several industries through the first largest privately held owner and operator pipeline, at a cost of $80 million, through half of 2019. Funding awarded through of manufactured home communities. Washington County to transport natural the Rail Transportation Assistance RHP purchased the Washington Estates gas to a proposed power plant in Brooke Program, committed a $1.9 million and Washington Estates II communities County, West Virginia. The pipeline will grant to Allegheny Valley Railroad to located in Canton and Chartiers be known as the Tri-State Corridor and is rehabilitate approximately 34 miles of townships. In addition, Minnesota-based expected to be online in mid-2022. track on the W&P subdivision that is in Waters Senior Living broke ground on Washington and Allegheny counties. a 127-unit complex for senior citizens Several projects are underway in the The Washington Trust Building was in Peters Township. The development county’s manufacturing sector including awarded $196,420 from the state’s will include homes for senior living and the Ensinger Inc. multi-million dollar Keystone Communities program to specialty care as well as on-site amenities project that is very visible from Interstate renovate the building into mixed-use such as a full-service restaurant, café, 79 near Race Track Road. Dynamet space to include commercial offices, fitness studio, theater, community room Incorporated is investing more than retail and affordable housing units. and underground parking. $27 million into their operations in the Finally, the Pennsylvania Department of county. The project includes rebuilding

68 DEVELOPING PITTSBURGH | Fall 2019 Community and Economic Development interstate highway system. Visit www. and Pennsylvania Historical & Museum The first half of 2019 marked an westmorelandcountyidc.org to take a Commission announced an award of eventful time for new development in virtual tour of the site. $100,000 from the Historic Preservation Westmoreland County. Tax Credit program to The Century Inn in Well established companies are already Scenery Hill to support their $1,779,000 Throughout the first half of the year, expressing interest in Commerce restoration project of the fire-damaged utility installation and land preparation Crossing at Westmoreland. Late this landmark tavern located along the continued at Commerce Crossing February, Al. Neyer, LLC signed an historic National Road. at Westmoreland, Westmoreland option agreement with Westmoreland In continuing Washington County’s long- County’s newest industrial park. All County Industrial Development standing history of successful public/ work is on schedule and is projected Corporation (WCIDC) for approximately private partnerships, the Redevelopment to be completed in the fourth quarter 53 acres split between two pad-ready Authority of the County of Washington of 2019. The site offers five pad-ready sites at the park. Al. Neyer intends to is partnering with Running Brooke II sites ranging in size from 19-29 take a phased approach at the site Associates to utilize a $2 million grant acres and will provide tenants with and build an approximate 240,000 and a $3 million dollar low-interest direct access to active rail and the square foot speculative warehouse/ loan from the state’s Business in Our Sites Program to rehabilitate the former Brockway Glass Plant site in Canton Township. The funds will be used to demolish the existing buildings including a sand silo, for environmental remediation, to restore a retaining wall, to install utilities and for excavating and grading. Tearing down the former plant that closed decades ago will allow for the construction of a new 135,000 square foot warehouse-style building that is projected to provide 100-150 new jobs in Canton Township.

In addition, the Redevelopment Authority and Mon River Industrial Partners, under a public/private partnership, have been approved to receive a state-funded $4 million grant and a $6 million loan to revitalize the Mon River Industrial Park (former Wheeling Pittsburgh Steel Plant site in Allenport) for new manufacturing jobs.

Our strong economy, unparalleled quality of life, strategic location, both for access to natural resources as well as transportation of goods, and our history of public/private partnerships make Washington County an attractive place to locate your business and your family.

Westmoreland Maiello lays The legal groundwork County For ConsTruCTion Business.

Westmoreland County Industrial Development Corporation 40 North Pennsylvania Avenue # 520 Greensburg, PA 15601 724-830-3061 (T) 724-830-3611 (F) A Firm Commitment to You Jason W. Rigone, Executive Director 412.242.4400 - mbm-law.net [email protected] www.co.westmoreland.pa.us

www.developingpittsburgh.com 69 distribution building on Lot 3, and then larger buildings planned for Commerce Glass Site. Daylighting a stream channel, a 233,000 square foot speculative Crossing. replacing piping, and earthwork has warehouse/distribution building on been completed thus far. The project’s Lot 4. Each building will be designed Also in June, Pressure Chemical completion is projected for the end to accommodate more than 200 Company signed an option agreement of this summer. WCIDC procured employees. Al. Neyer is a 125-year-old for Lot 16 at Westmoreland Technology ownership of the blighted glass factory commercial real estate development Park II. Pressure Chemical Company site in 2016, and environmental and design-build firm who focuses on intends to purchase the 14-acre site for remediation on the site began in 2017. speculative and build-to-suit industrial, the construction of a separate facility The WCIDC Board of Directors signed office, and mixed-use projects. that will support their current operation a sales agreement with Elliott Group for in Allegheny County. the 13.2-acre property in 2018. Elliott After positive reactions from potential intends to expand its operations in users when news broke about their Several lots are still available at Jeannette by building a new facility on plans at Commerce Crossing at Westmoreland Technology Park II, the property. The facility will be used to Westmoreland, Al. Neyer wanted to ranging in size from 3-16 acres. The test cryogenic pumps and expanders expand their footprint in the WCIDC park is strategically located near the being manufactured at the company’s industrial park system. In June, Al. Neyer transportation hub of Westmoreland global headquarters located 1.5 miles signed an option agreement with WCIDC County, less than one mile from the from the site. to purchase Lot 13 at Westmoreland U.S. Route 119 and the PA Turnpike in Technology Park II in Mt. Pleasant for the New Stanton. The site offers a wide To learn more about economic construction of an approximate 150,000 range of lots that can house warehouse, development projects in Westmoreland square foot flex industrial/warehouse manufacturing and commercial tenants. County, visit WestmorelandCountyIDC. building. The building will be intended The park is also within close proximity to org. for office, warehousing and/or light WCIDC’s Westmoreland Logistics Park manufacturing uses and will be designed which provides users access to an active to house more than 150 employees. The rail freight terminal. flex building will provide unique solutions for users looking for modern Class-A In April, WCIDC entered into the final spaces with a smaller footprint than the phase of work at the former Jeannette

1919 industrial parks & business Complexes

Westmoreland County Industrial development corporation

WCIDC strives to promote workforce development and economic growth within Westmoreland County through our county-wide insustrial park system. Our industrial parks and modern business complexes currently have many sites available for industrial, distribution, manufacturing, and commercial uses. Situated in stratiegic locations all across the county, our parks can benefit businesses of many industries.

Available Sites Contact Us: www.westmorelandcountyidc.org Qualified Workforce 724.830.3061

Stratiegic Locations

70 DEVELOPING PITTSBURGH | Fall 2019

“Protecting What Matters”

Building Information Modeling Fire Sprinkler Design Fabrication Installation Inspections Service and Repair Fire Alarm

190 Bilmar Drive, Suite 100 Pittsburgh, PA 15205 412-922-6700 www.mongioviandson.com

One on Centre by EdR Trust Fire protection by Mongiovi & Son Fire Protection Services BUILDING EXCELLENCE AT EVERY LEVEL

OUR EXPERTISE WE SOLVE PARKING • New Construction Carl Walker Construction is the premier contractor for all your parking • Horizontal/Vertical Expansions facility needs. We offer sustainable design, new construction/expansion, • Concrete Repair & Replacement restoration and preservation, as well as specialty concrete know-how, • Traffic Coatings/Sealers through self-performed, single-source solutions, to exceed every new project challenge. • Expansion Joints/Sealants • Post-tensioning Over hundreds of projects, from conception to completion, we have • Maintenance Packages demonstrated a commitment to quality, building an industry standard that few others can achieve. Our experience, technical capability, proven • Infrastructure Deterioration resources, and a genuine passion for our work, continues to keep us • External Strengthening Systems BUILDING EXCELLENCE AT EVERY LEVEL™. • Stadium Rehabilitation • Carbon Fiber Reinforcement

CARL WALKER CONSTRUCTION 935 VISTA DRIVE PITTSBURGH, PA 15205-1218 P: 412.490.2924 | F: 412.490.2928

CARLWALKERCONSTRUCTION.COm People & Events

Pentrust’s Jim Noland (left), Tyler Noland, and CBRE Gerry Dudley Members of the Developing Leaders who sorted and packed medical (right) at the Presbyterian Senior Care golf outing at Oakmont Country supplies at Global Links on July 18 were (from left) Clayton Morris, Kelsey Club. Kaspenedes, Brandon Rothey, Miguel Villa, Jacob Van Loon, Chris Perez, Jim Ambrose, Amanda Buczynski, Victor Kono, Erica Wilkerson, and Patrick Gehring.

(From left) CBRE’s Kyle Prawdzik, Nyer’s Brandon Snyder, and Tyler (From left) Retired Pittsburgh police officer Bill Maruska, NAIOP Pitts- Noland from PenTrust at the NAIOP Golf Outing at Fox Chapel Golf burgh President Don Smith from RIDC, and PJ Dick’s Bernie Kobosky. Club.

www.developingpittsburgh.com 73 Colliers International | Pittsburgh specializes in adding value to our clients to accelerate their success.

(From left) MBM’s Missy Powell, Desmone’s Jim Ambrose, NAIOP Pittsburgh’s Brandon Mendoza, and Amanda Buczynski from DIRTT Environmental at the NAIOP Golf Outing at Fox Chapel Golf Club.

Commercial Real Estate Sales and Leasing Services > Real Estate Management > Valuation and Advisory > Corporate Solutions > Investment > Sustainability > Auctions (From left) Grandbridge’s Dan Puntil, Ron Puntil 412 321 4200 | www.colliers.com | @PghCRE and Brentwood Bank’s Brad Pascarella. Learn how we are living our values of service, expertise, community and fun at www.colliersinternationalpittsburgh.com

(From left) Mascaro’s Alyssa Kunselman, Stacey Weniger from Sentinel Construction, Flynn Construction’s Jennifer Kilgore, and Kelsey Kanspedos from Bohler Engineering.

Paul Messineo Jr. from Allen & Shariff (left) with DRS’s Rachel Rzymek and Tobie Nepo at the NAIOP/CREW Clays Shoot.

next-architecture.net ARCHITECTURE I INTERIOR DESIGN I STRATEGIC PLANNING

74 DEVELOPING PITTSBURGH | Fall 2019 Civil-Site Design for 62-Acre Development Gordon Food Service Distribution Center The team from Strada Architecture at the NAIOP/CREW Clays Shoot. Professional Services ■ Commercial ■ Stormwater / MS4 ■ Industrial ■ Green Infrastructure ■ Institutional ■ Landscape Architecture ■ Residential ■ Planning ■ Municipal ■ Surveying ■ Water / Wastewater ■ GIS / Mapping / South Side Riverfront Park ■ Roadway and Pavement Asset Management The Soffer Organization and Environmental Planning and Design, LLC

Headquarters: 846 Fourth Avenue (From left) CREW Pittsburgh members Miranda Coraopolis, PA 15108 (Allegheny County) Slomkowski from Menard USA, Karen Kuk- 412-264-4400 | www.lsse.com ish from Tall Timber Group, Babst Calland’s Krista-Ann Staley, and Jennifer Portaro from Branch Offices: ECS Mid-Atlantic. Greensburg, Westmoreland County, PA Albion, Erie County, PA Managing Principals: Kevin A. Brett, P.E.; Ned Mitrovich, P.E.; Jason E. Stanton, P.E. Civil-Site Design for 125,000 SF Facility GE Additive Technology Advancement Center

(From left) Jennifer Tylenda from Studio ID, JLL’s Alicia Wolfe, speaker Andrea Wetherald from &Beyond, and Langan’s Jennifer Rice at CREW Pittsburgh’s “Art of Confrontation” Lunch ‘n Learn presentation.

AmeriServ Trust And Financial Services Company – Trustee PenTrust Real Estate Advisory Services, Inc. – Investment Advisor

Building Solid Investment Returns For Tomorrow And Creating Union Jobs Today Community Bank’s Stephen McCarron and Alicia Henry from Westmoreland County Industrial Development Corp.

For more information call 412-279-4100.

www.developingpittsburgh.com 75 Board of Directors NAIOPDonald Pittsburgh Smith Jr., President Officers DavidRegional Weisberg, Industrial President BNYDevelopment Mellon Corporation DonaldJamie Smith White, Jr., Vice Vice President President RegionalLLI Engineering Industrial DevelopmentTony Rosenberger, Corporation Secretary TylerChapman Noland, Secretary Properties PenTrust Real Estate Advisory Services Inc. Valerie Voss, Treasurer ValerieBDO, Voss, USA Treasurer BDO David Weisberg, Past President BrianBNY Walker, Mellon Past President Millcraft Investments Inc. Brian Walker, National Board Domenic Dozzi, Corporate Board JendocoMillcraft Real Investments Estate Jamie White LLI BoardEngineering of Directors at Large Gregory Quatchak, National Committee CivilCecelia & Environmental Cagni Consultants Allegheny Conference on LouisCommunity Oliva, Advisory Development Board Liaison Newmark Grubb Knight Frank John Deklewa RDC Design+Build, Inc. BoardAlyssa of Kunselman Directors At Large Mascaro Cecilia Cagni AlleghenyTyler NolandConference on CommunityPenTrust Real Development Estate Advisory Services LindaRyan Fisher Schwotzer FarmersCrossgates Bank Inc. MaureenAnthony Ford “Tony” Rossi AlcoaCBRE Tony Rosenberger Jason Stewart Chapman Properties JLL Izzy Rudolph McKnightBrandon Realty Snyder Partners Al. Neyer Ryan Schwotzer CrossgatesMichael Inc. Takacs Bohler Engineering Jason Stewart JonesJim Lang Ambrose, LaSalle DL Representative Learn more about NAIOP, the Commercial Real Estate Development LarryDesmone Walsh Architects NAIOP in the western Association, is the leading organization for developers, RugbyPatricia Realty Farrell, Legal Counsel Pennsylvania tri-state region owners and related professionals in office, industrial JamieMeyer White Unkovic & Scott LLP LLI Engineering at naioppittsburgh.com and mixed-use real estate. NAIOP provides Anthony Rossi, DL Representative or 412-928-8303. unparalleled industry networking and education, and CBREAdvisory Capital Markets Board advocates for effective legislation on behalf of our PatriciaDavid Farrell, Weisberg Legal Counsel MeyerBNY Unkovic Mellon & Scott LLP members. NAIOP advances responsible, sustainable Brian Walker development that creates jobs and benefits the AdvisoryMillcraft Investments Board communities in which our members work and live. Dan Puntil SteveGrandbridge Thomas Real Estate Capital Chapman Properties Steve Thomas PeterChapman Sukernek Properties Hanna Langholz Wilson Ellis Paul Griffith PaulNewmark Griffith Knight Frank Integra Realty Resources Inc. Lou Oliva David Massaro MassaroNewmark Properties Knight Frank ThomasBarry Murphy Ford For more information on how you can develop JendocoContinental Real Estate Real Estate connections with commercial real estate through NAIOP, Dick Donley visit us online at www.naiop.org or call 800-456-4144. Richard Donley CranberryChaska Business Property Park Advisors, Associates Inc.LP Lynn DeLorenzo TARQUINCoRE, LLC

76 DEVELOPING PITTSBURGH | Fall 2019 NAIOP Pittsburgh Officers

David Weisberg, President ARCHITECTS BNY Mellon Donald Smith Jr., Vice President Regional Industrial Development Corporation Tyler Noland, Secretary PenTrust Real Estate Advisory Services Inc. 2019 BUYER’S Valerie Voss, Treasurer BDO Design 3 Architecture PC Brian Walker, Past President GUIDE 300 Oxford Dr. Suite 120, Monroeville, PA 15146 Millcraft Investments Inc. T: 412-373-2220 Domenic Dozzi, Corporate Board www.d3a.com Jendoco Real Estate LOOKING FOR AN ARCHITECT, ENGINEER, CONTRACTOR William Snyder – [email protected] Jamie White OR LENDER? THE 2019 NAIOP PITTSBURGH BUYER’S GUIDE Design 3 Architecture has been offering architecture, LLI Engineering planning, and interior design services to the Pittsburgh region since 1982. We view inherent project constraints Gregory Quatchak, National Committee LISTS DOZENS OF FIRMS FROM AROUND THE REGION THAT as potential opportunities for innovative design solutions. Civil & Environmental Consultants CAN FIT THE BILL. With a philosophy grounded in team collaboration, Louis Oliva, Advisory Board Liaison providing both personal attention and project leadership, Design 3 Architecture does more than solve problems. We Newmark Grubb Knight Frank provide solutions that are unique, exciting and affordable. Architects...... 77 Board of Directors At Large ASA Specialty Contractors ...... 80 Cecilia Cagni Civil Engineers...... 80 Allegheny Conference on Community Development Contractors...... 82 DLA+ Architecture & Interior Design Linda Fisher Folster Plaza, Suite 200 Farmers Bank Developers...... 83 750 Holiday Drive, Pittsburgh, PA 15220 www.DLAplus.com Maureen Ford Document Handling ...... 84 Kari Miller – [email protected] Alcoa DLA+ is a full-service architecture and interior design firm Tony Rosenberger Economic Development...... 84 providing clients with a collaborative partnership and Chapman Properties integrated approach through our Strategic ArchitectureSM Engineers...... 86 Izzy Rudolph solutions. Our corporate/commercial, higher education, sports, government, healthcare, and retail/hospitality McKnight Realty Partners Environmental...... 86 clients seek out our expertise to solve their unique Ryan Schwotzer objectives and support their overall mission, vision, and Crossgates Inc. Finance...... 86 strategy. We are committed to delivering successful projects that include sound principles of sustainable design Jason Stewart Industry/Trade Group...... 88 intended to serve clients and the community well into Jones Lang LaSalle Learn more about NAIOP, the Commercial Real Estate Development the future. Fueled by a creative and talented team, our Larry Walsh Insurance...... 89 once two-person firm has grown to 40 people in 11 years, NAIOP in the western Association, is the leading organization for developers, Rugby Realty earning us a spot in the top 10 “Largest Pittsburgh-Area Interior Designer...... 89 Architectural Firms” for the sixth year. Pennsylvania tri-state region owners and related professionals in office, industrial Jamie White LLI Engineering at naioppittsburgh.com and mixed-use real estate. NAIOP provides Land Surveyors...... 90 Anthony Rossi, DL Representative or 412-928-8303. unparalleled industry networking and education, and CBRE Capital Markets Legal Services...... 90 advocates for effective legislation on behalf of our Patricia Farrell, Legal Counsel Professional Services...... 90 Meyer Unkovic & Scott LLP DRS Architects, Inc. members. NAIOP advances responsible, sustainable Real Estate Brokers...... 90 One Gateway Center, 17th Floor development that creates jobs and benefits the Pittsburgh, PA 15222 Advisory Board Signage...... 91 T: 412-391-4850 | F: 412-391-4815 communities in which our members work and live. www.drsarchitects.com Steve Thomas Scott Hazlett, Principal, AIA, ACHA, EDAC Specialty Contractors...... 91 [email protected] Chapman Properties Rachel Rzymek, Business Development & Marketing Peter Sukernek [email protected] Hanna Langholz Wilson Ellis DRS Architects continues to provide innovative and creative Paul Griffith architectural and interior design solutions as we have for Integra Realty Resources Inc. over 60 years. We carefully define our clients’ needs and develop customized responses to each design challenge. David Massaro DRS provides architecture, interior design and master Massaro Properties planning services through the varied markets of higher Thomas Murphy education, laboratories, healthcare, health and wellness, For more information on how you can develop Jendoco Real Estate government, hospitality, and corporate offices. Our connections with commercial real estate through NAIOP, talented design teams work to develop exemplary projects visit us online at www.naiop.org or call 800-456-4144. Richard Donley which enrich daily life, improve communities, advance a Cranberry Business Park Associates LP sustainable future and promote design excellence.

www.developingpittsburgh.com 77 Gerard Associates Architects PWWG Architecture + Planning 410 Fort Pitt Commons 408 Blvd. of the Allies, Pittsburgh, PA 15219 445 Fort Pitt Boulevard T: 412.391.2884 | F: 412.391.1657 Pittsburgh PA 15219 HHSDR Architects/Engineers www.pwwgarch.com T: 412-566-1531 40 Shenango Avenue, Sharon, PA 16146-1502 Lisa Carver, AIA, LEP AP, Principal www.gerardassociatesarchitects.com 130 7th Street, 201 Century Building [email protected] Dawn Danyo DiMedio, AIA, LEED AP BD+C Pittsburgh PA 15222-3413 [email protected] T: 800-447-3799 | T: 412-281-2280 PWWG offers architecture and planning with a focus A Woman Owned Business providing architecture, www.hhsdr.com on work in urban, campus, and historic contexts. Our planning, interior and environmentally responsible Andreas Dometakis – [email protected] portfolio includes significant work in multi-family design services to a full range of commercial clients Matthew Franz – [email protected] housing, education, and cultural buildings, as well as the preservation of adaptive re-use of existing buildings. since 1959. The firm commits itself to understanding HHSDR helps our clients deliver successful projects, on- Our award-winning design work also includes hotels, projects completely, developing working relationships time and on-budget, using a 360 degree approach to parking structures, theaters, offices, and technical with clients and delivering projects that are technically project planning, design and management. Our approach training facilities. For over 40 years, from our studios and aesthetically complete. Every project is given principal means detailed, Partner involvement at every phase, from in downtown Pittsburgh, we have assisted owners with attention. We believe this commitment to service yields initial studies through the phases of design, construction detail-oriented service. From early conceptual studies superior design. contract management and post-construction closeout. through completion of construction, PWWG is adept It means advocacy on our clients’ behalf, through every at coordinating multi-disciplinary teams of engineers, stage of the project, with the same Partner and team consultants, contractors, and artists. PWWG brings members that started the project with you. It means a expertise in code compliance, feasibility and space facility that is as effective as it is beautiful. It means having programming, historic tax credits, community outreach, the confidence that comes from a firm with more than visualization, and architectural design. 66 years of experience. HHSDR looks forward to speaking Hayes Design Group Architects with you about our 360 degree approach to your project. 100 Ryan Court, Suite 11, Pittsburgh, PA 15205 T: 412-206-0410 www.hayesdesign.com Kevin Hayes, AIA, Principal and Founder [email protected] HDG is a full-service architectural firm offering pre-design, ikm incorporated Renaissance 3 Architects, LLC schematic design, design development, construction 11 Stanwix Street #2200, Pittsburgh, PA 15222 document, bidding, and construction administration T: 412-281-1337 | F: 412-281-4639 48 South 14th St., Pittsburgh, PA 15203 services. Since 1992, we’ve provided architectural, www.ikminc.com T: 412-431-2480 planning, and interior design for professional offices, Joel R. Bernard, AIA, NCARB, LEED AP, Principal www.r3a.com commercial buildings, schools, institutional buildings, [email protected] Deepak Wadhwani – [email protected] religious buildings, government buildings, and water At R3A, our Mission is to assist organizations and treatment plant facilities. HDG is committed to serving IKM provides architecture, planning, and interior design services to complex clients across the region in healthcare, institutions to optimize their performance, enhance their the client. We believe that design excellence is achieved experience and build their brand through the thoughtful through an interactive process with the client, from K-12, workplace, and civic and cultural organizations. IKM champions an immersive client engagement process integration of research driven design, technology and programming through completion. We seek to understand sustainability solutions into their facilities strategy. R3A is the needs and the desires that each client has for a project. using printing and AR/VR technologies to meet its vision of recognition for excellence in institutional architecture, a 26-person firm that has built an expertise in the design Then we work to meet a client’s needs as they define of higher education, science and technology, smart them. design, and advancement of our client’s mission. In continuous practice for 109 years, IKM is an ever- workplace and advanced manufacturing environments. changing organization that seeks to diversify its projects Our ethos is built upon working collaboratively with and people in order to make a difference. IKM is a member diverse team members, while providing overall project of the American Institute of Architects and the US Green leadership within an integrated framework. Building Council.

VEBH Architects 470 Washington Road, Pittsburgh, PA 15228 T: 412-561-7117 www.vebh.com Daniel Skrabski – [email protected] VEBH Architects has been serving the communities of Southwestern Pennsylvania and beyond for 75 years. We are passionate about creating productive working, learning and wellness environments for our clients and those they serve. We are committed to the design of great places that inspire, motivate, and ultimately enrich our region and our communities.

78 DEVELOPING PITTSBURGH | Fall 2019 A Proud History of Building Excellence in Pittsbugh Since 1908

Pitt Stadium - 1908 Nabisco - 1918

UXS Tower - 1971

Tower Two-Sixty - 2015

Turner Construction Company 925 Liberty Avenue, 3rd Floor Pittsburgh, PA 15219 Jodi Rennie, VP & General Manager 412-255-5400 | www.turnerconstruction.com Building the Future ASA SPECIALTY CONTRACTORS CIVIL ENGINEERS Pennoni 9 Foster Plaza, Suite 700, 750 Holiday Drive Pittsburgh, PA 15220 T: 412-229-2811 www.pennoni.com Brian Fischbach – [email protected] The Gateway Engineers Pennoni is a multidisciplinary consulting engineering Allegheny Mineral Corporation 100 McMorris Road, Pittsburgh PA 15205 firm founded more than five decades ago. Our firm helps T: 412-921-4030 | F: 412-921-9960 communities and private sector clients alike navigate the One Glade Park, East Kittanning, PA 16201 www.GatewayEngineers.com ever-changing technological advancements available T: 724-548-8101 Ryan L. Hayes, Director of Business Development and learn how best to integrate “smart” solutions into the www.alleghenymineral.com [email protected] current landscape and make them a part of resilient and Dennis C. Snyder, President Gateway Engineers and its predecessors have played an sustainable planning. Pennoni has 35 offices throughout Mike Odasso, Vice President of Sales the Mid-Atlantic, Ohio, North Carolina, Florida and New [email protected] active role in the development of the Ohio Valley since 1954. Our incessant pursuit of project management England. Locally, Pennoni has offices in Pittsburgh, State Allegheny Mineral Corp. provides crushed stone, industrial excellence has created strengths in municipal engineering, College and Uniontown that service the developer, rock dust and agricultural lime to Pennsylvania, Ohio, consulting work, and all facets of private development industrial, transportation, education and the Marcellus and West Virginia. In 2014, the company was listed as one including the burgeoning energy industries. The tradition of Shale industry in Western Pennsylvania, Ohio and West of the 40th largest aggregate producers in the nation. providing value-added engineering solutions carries on as Virginia. We put all our passion, our knowledge and our Our limestone product has provided a solid foundation the company continues to grow. Gateway Engineers staff of skill into doing whatever it takes, every day, every time, for schools, churches, hospitals and family homes in registered professional engineers, surveyors, construction for every project. and around our community. Allegheny Mineral has been inspectors, and landscape architects, along with qualified recognized for its efforts in areas of safety, sustainability, technicians, is ready to provide the expertise and community relations and industry contributions in the personalized service which every project deserves. For more form of awards from state and federal agencies. information, please visit the new GatewayEngineers.com.

Red Swing Group Engineers and Surveyors Herbert, Rowland & Grubic, Inc. One Monroeville Center 200 West Kensinger Drive, Suite 400 3824 Northern Pike #800 Overhead Door Company of Cranberry Township, PA 16066 Monroeville, PA 15146 Greater Pittsburgh T: 724-779-4777 T: 724-325-1215 400 Poplar Street, Pittsburgh, PA 15223 www.hrg-inc.com Red Swing Consulting Services, a Veteran-Owned T: 412-781-4000 Ext. 216 | F: 412-781-2446 James A. Feath, RLA - [email protected] Business, views its Client as Partners; focusing first www.overheaddoorpittsburgh.com HRG is an employee-owned, full-service consulting and foremost on building and maintaining strong Jason Henze – [email protected] engineering firm that provides quality, cost-effective design relationships and trust. This mutual trust is the foundation of a solid business partnership. Red Swing offers Land From the time we invented the garage door in 1921 solutions. Our professional team provides a wide range of services from site design, permitting, and environmental Development Consulting Services to take a project Overhead Door has always produced and installed from concept through construction. Red Swing has the highest quality products. Our superior product assessments to transportation and survey. We do it all in-house, expediting the land development process and experience in Surveying, Civil Engineering, Infrastructure, craftsmanship and dedicated excellence in customer Utility, and Telecommunications Projects. Red Swing care has made us the leader in door systems for diverse eliminating delays. We get you down to business – Fast. Since its inception in 1962, HRG has grown to eight office effectively maximizes the return on investment through markets and customers around the globe. We offer the a collaborative design approach, utilizing a low impact most complete line of quality residential, commercial and locations throughout Pennsylvania and West Virginia. We have over 200 dedicated professional engineers, geologists, design philosophy that reduces project capital costs and industrial upward-acting door systems. Our Red Ribbon produces the competitive edge that we and our partners environmental scientists, surveyors, landscape architects, trademark is your guarantee of receiving unequaled demand. personalized service and expertise – from assistance and related support personnel that provide a full-service with product selection through the timely completion of approach to every project. Service offerings include product installation. land development, water resources, water & wastewater, transportation, survey, GIS, environmental, and financial consulting.

David E. Wooster and Associates, Inc.

2 East Crafton Ave., Pittsburgh, PA 15205-2804 341 Science Park Dr., Ste. 205, State College, PA 16803 T: 412-921-3303 | C: 412-491-6132 www.dewooster.com Chuck Wooster, President [email protected] Since 1971, our firm has been a highly regarded and respected leader in the traffic engineering industry. We are most proud of our uncompromising integrity. Our goal is to guide our clients through the rigorous process of real estate development and assist them by correctly identifying on-site and off-site traffic impacts, develop cost effective and efficient mitigation strategies, and seek and receive municipal and State DOT approvals and/or permits. Our skills include: Traffic Engineering Studies, Highway Occupancy Permits, Traffic Signal System Design, Roadway Design, Intersection Design, and Parking Studies.

80 DEVELOPING PITTSBURGH | Fall 2019 www.volpatt.com

#WeAreBuilding industrial commercial institutional CONTRACTORS

Fairchance Construction Company Mascaro Construction PO Box 535 1720 Metropolitan St, Pittsburgh, PA 15233 Fairchance, PA 15436 T: 412-321-4901 T: 724-564-7485 | F: 724-564-7488 www.mascaroconstruction.com www.fairchanceconstruction.com A. Martini & Company Michael R. Mascaro - [email protected] 320 Grant Street, Verona, PA 15137 Brian Gaudiano, Vice President T: 412-828-5500 [email protected] Mascaro is one of the region’s largest construction firms specializing in design-build, construction management, www.amartinigc.com Founded in 1916, Fairchance Construction is a family and general contracting. Founded in 1988 on the simple Emily Landerman – [email protected] owned, full service contracting firm. We specialize in design-build and have the capability of completing design premise to deliver excellence in construction services, As a fourth generation General Contracting and we bring to your project the ‘Mascaro Advantage:’ We Construction Management firm, founded in 1951, the in house. We are a committed partner with core values of are humble, hungry, and smart – not shying away from principals of A. Martini & Co. continue to provide hands- honesty, integrity and trust. We value every relationship on participation as a commitment to our clients and we build and translate that into smooth, successful hard work and complex projects, but tackling each one each of their projects. Our company’s size, history, and projects. Many of the relationships we have built over the proactively. We do what we say we are going to do, work philosophy are specifically geared to offering the last 100-plus years have translated into repeat clients. Our right, the first time. We will provide a family atmosphere, experience, commitment, and a partnering approach goal is to deliver your best project, your best value and an concentrating on the health and welfare of not only our needed for your project.A. Martini & Co. provides exceptional experience from start to finish. We know you employees, but also that of our clients and community. construction management and general contracting don’t sacrifice quality when it comes ot your business and Our success is based on our market diversity, superior services for corporate, healthcare, senior living, restaurant, we won’t either. planning, building relationships, and, most importantly, religious, retail, non-profit, residential and education delivering great experiences. clients.

Restoring the Past Building the Future Jendoco Construction Corporation 2000 Lincoln Road, Pittsburgh, PA 15235 McKamish, Inc. T: 412-361-4500 | F: 412-361-4790 50 55th Street, Pittsburgh, PA 15201 www.jendoco.com Burchick Construction Company, Inc. T: 412-781-6262 | F: 412-781-2007 Domenic Dozzi – [email protected] 500 Lowries Run Road, Pittsburgh, PA 15237 www.mckamish.com T: 412-369-9700 JENDOCO Construction, founded in 1957, is located in John Jordan – [email protected] www.burchick.com Pittsburgh’s East End and provides building construction Serving the mid-Atlantic region with over forty years Joseph E. Burchick – [email protected] services to the Western Pennsylvania region. Jendoco believes that the built environment should have a Net- of experience, McKamish is a full-service mechanical Burchick Construction is a full-service general contractor Positive impact on people, nature, and communities construction company specializing in commercial founded on the commitment to excellence that Joe Burchick and that designing and constructing the places in which HVAC, plumbing, piping, industrial piping, custom metal brings to each project. Burchick’s management approach we live, work, worship, learn, heal and play should be fabrication, 24/7 service and maintenance. McKamish is is designed to ensure optimum results for our clients while collaborative, creative, and fun. Through proactive dedicated to “Building Excellence” on every project that setting the performance standard for construction services. solution development, sustainable building practices, we build. With a dedicated team of employees who are Our executives and managers have broad-based experience community engagement, and charitable support, Jendoco committed to our customers, you can feel confident that delivering construction to the highest of standards with continues to demonstrate our commitment to the Greater your project will be handled with integrity. A family-owned every delivery method preference. Burchick’s project team Pittsburgh Region. company with deep roots in the Pittsburgh community, and professional engineers on staff are equally comfortable with a completed design or with providing pre-construction our goal is to surpass customers’ expectations and provide assistance at the earliest stages of design. Burchick has top quality service in everything we do. managed commercial, institutional, and industrial projects from $1 million to $73 million with equal attention. Burchick Construction – Setting the Performance Standard.

Landau Building Company 9855 Rinaman Road, Wexford, PA 15090 T: 724-935-8800 PJ Dick Inc. Etzel Engineer and Build www.landau-bldg.com Jeffrey Landau, President – [email protected] 225 North Shore Drive, Pittsburgh PA 15212 205 West Water Street T: 412-807-2000 Saxonburg, PA 16056 Established over 100 years ago, Landau Building Company www.pjdick.com T: 724 524 1280 (LBC) has become one of the premier family-owned Bernard J. Kobosky | [email protected] Twitter: @Etzel_Eng_Bld and operated general contracting firms in Western PJ Dick – Trumbull – Lindy Paving is a Pittsburgh, PA www.etzelengbld.com Pennsylvania. In 2006, Landau Building Company Rege Etzel - [email protected] based contracting entity providing building construction, expanded its construction services to include the northern highway, site, and civil construction and asphalt paving Etzel Engineer and Build is a design-build contractor serving West Virginia region when it created the subsidiary Marks- services. Since 1979, the companies have served a the mission critical and commercial construction industries. Landau Construction. Now in its 5th generation, LBC number of different owner groups including commercial, We are located in Saxonburg, Pennsylvania with roots continues to build strong RELATIONSHIPS with its clients institutional, government and private equity developers. dating back to 1987. Etzel has built strong relationships with by focusing on their need to build a safe, high-quality Consistently ranked among the nation’s top firms, the subcontractors and equipment vendors serving the area. project on time and within budget. Our commitment to family owned group of companies is widely considered These relationships allow Etzel to better understand the integrity, honesty, and excellent client service has built the region’s largest construction firm offering a variety of local bid market; a more aggressive bid process reduces the solid REPUTATION we exhibit every day and on every delivery systems utilizing superior expertise, equipment overall construction cost. Our capabilities reach beyond the project. We deliver exceptional RESULTS that exceed our and innovation. Western Pennsylvania. We have completed construction client’s expectations for quality and service and make projects from Kansas to Boston. We specialize in an open Landau Building Company their builder of choice. We book, owner focused delivery method. welcome the opportunity to be your builder of choice.

82 DEVELOPING PITTSBURGH | Fall 2019 Rycon Construction Inc. 2501 Smallman St., Suite 100, Pittsburgh, PA 15222 T: 412-392-2525 www.ryconinc.com Todd Dominick – [email protected] Rycon Construction, Inc. is a premier preconstruction, General Residential Contractor general contracting and construction management firm with offices in Pittsburgh, Atlanta, Cleveland, Ft. with an extended mission to promote employment Lauderdale, and Philadelphia. An ENR Top 400 Contractor, of area residents and MWBE subcontractors. Rycon specializes in new construction, renovations and design build projects for owners of commercial, industrial, institutional, multi-unit residential and governmental SKYLINE TERRACE buildings. Rycon’s stellar reputation for quality service is built on a solid history of successful projects completed on time and on budget and an unwavering business philosophy that puts customer satisfaction first. The results are return customers and impressive company growth. The company has executed more than $4 billion of work and currently Rycon’s revenue is around $550 million.

DEVELOPER

Photo: Charles Uhl

THE OVERLOOK

Chapman Properties 100 Leetsdale Industrial Dr., Leetsdale, PA 15056 T: 724-266-4499 www.chapmanprop.com Steve Thomas – [email protected] Chapman Properties is a leading provider of quality business facilities in Southwestern Pennsylvania. An award-winning commercial property development and management company based in Pittsburgh, Chapman Photo: Massery Photography, Inc. designs, builds, and operates state-of-the-art business parks with a concentration on regional distribution and industrial projects. They are best known for their PLEASANT RIDGE redevelopment of the two-plus million square foot Leetsdale Industrial Park, and are currently developing Chapman Westport, a 2.6 million square foot master- planned mixed use business park located 3 miles from Pittsburgh International Airport on PA Turnpike 576 with tenants including General Electric’s Center for Additive Technology Advancement and a new one million square foot Amazon fulfillment center (under construction). For more information, visit www.chapmanprop.com.

Photo: Charles Uhl

CRESCENT COURT

Photo: Charles Uhl

Mistick Construction | 1300 Brighton Road | Pittsburgh, PA | 412.322.1121 www.mistickconstruction.com

www.developingpittsburgh.com 83 South Side Apartments, Pittsburgh DOCUMENT HANDLING Rendering Courtesy of Fifth Dimension Architecture + Interiors LLC

TRI STTE

Tri-State Signs & Reprographics, Inc. 2934 Smallman Street, Pittsburgh, PA 15201 T: 412-281-3538 | F: 412-281-3344 www.tsrepro.com DJ McClary, Director of Operations [email protected] Tri-State provides printing and document management to Architects, Engineers and Contractors. We utilize the latest in Online Plan Room Services, Scanning and Printing in both Black & White and Color. Our color division specializes in large format color, servicing the Trade Show Exhibit, Sign, Vehicle Advertising, and Window Display Markets among others. Our unique approach combines our years of experience with new technical knowledge and capabilities to equip us to continually present new possibilities to our clients.

ECONOMIC DEVELOPMENT

PARTNERS FOR WHAT’S POSSIBLE www.pennoni.com Ambridge Regional Center 2301 Duss Avenue #1, Ambridge, PA 15003 T: 724-266-4661 www.AmbridgeRegional.com [email protected] The Ambridge Regional Center is “Rail Served. Crane When your vision is a building designed for the Served. Customer Served.” The 85 Acre, 22 Buildings and over 1 million square foot Industrial Park in Beaver future, you need a financial partner who is as well. County offers a variety of Warehouse, Distribution, Manufacturing, Lab & Yard Space. Convenient to all When Shawn Fox saw the opportunity major roadways, and only 11 miles from the future Shell cracker plant, our tenants enjoy direct access to Norfolk to positively impact the future of Southern Rail Co. service as well as on-site maintenance Pittsburgh with a new office space and logistics services, though our Con-Am Warehouse. Designations: Foreign Trade Zone, HUB Zone, Enterprise in District 15, he needed a financial Zone, PA Act 2 Clearance. partner who could make the unique future he envisioned possible. Then he met the team at First Commonwealth. Armstrong County Industrial From listening to his plans, to bringing Development Council a unique understanding of the goals Northpointe Technology Center II 187 Northpointe Boulevard, Freeport, PA 16229 from the view of the developer, T: 724-548-1500 First Commonwealth provided the www.armstrongidc.org Michael P. Coonley, Executive Director resources to help him bring his [email protected] vision from paper to completion. The Armstrong County Industrial Development Council Call our Commercial Investment (ACIDC), established in 1968 is a private 501(c)(3) industrial development corporation. Identified as the lead economic Real Estate team for your vision development group within the County, the ACIDC, along today at 412-295-6557. with its sister organization the Armstrong County Industrial Development Authority, provides single-point-of-contact service for emerging or expanding business and industry. Owners and operators of four industrial parks, single fcbanking.com/talkbusiness use and multi-tenant facilities, the ACIDC works closely with existing or prospective businesses to identify the right location. They also provide financing assistance to Member FDIC companies through government loan/grant programs and private sector financial institutions.

84 DEVELOPING PITTSBURGH | Fall 2019 100 Ryan Court, Suite 9 Pittsburgh, PA 15205 Community Development 412-276-2027 Corporation of Butler County www.rig-consulting.com 120 Hollywood Drive, Suite 102, Butler, PA 16001 T: 800-283-0021 | F: 724-283-3599 www.butlercountycdc.com Joe Saeler, Executive Director [email protected] The Community Development Corporation of Butler A Certified DB/DBE/WBE County (CDC) is the lead economic development organization in Butler County. The CDC is your first contact for economic development in Butler County. The Construction Management · Construction Inspection · Facilities CDC works closely with you to identify the right location for your business. Available land includes 30 acres at the Management · Facilities Inspection · Materials Services · Pullman Center Business Park Expansion. Initial lots at the Pullman site are priced as low as $50,000 per acre. Materials Inspection · Land Surveying · Mapping · UAS All utilities are at both sites. The CDC also has financing available for real estate, equipment, working capital and lines of credit.

Indiana County Center for Economic Operations 801 Water St., Indiana, PA 15701-1705 T: 724-465-2662 | F: 724-465-3150 www.indianacountyceo.com Byron G. Stauffer, Jr., Executive Director [email protected] The Indiana County Center for Economic Operations (the “CEO”) was established in 1994 as a county-wide public- private initiative. The CEO Affiliates include the Indiana County Commissioners, the Indiana County Chamber of Commerce, the Indiana County Development Corporation, the Indiana County Tourist Bureau, and Indiana University of Pennsylvania, whom jointly seek to support the continuous improvement and vitality of Indiana County through increased business, economic growth, tourism, education, and the quality of life in Indiana County. The CEO facilitates access to information, resources, and the delivery of integrated programs and services to assist businesses in their efforts to grow and expand.

Washington County Chamber of Commerce 375 Southpointe Blvd. #240, Canonsburg, PA 15317 T: 724-225-3010 | F: 724-228-7337 www.washcochamber.com Legacy of Will Thomeier, Director Economic & Tourism Development – [email protected] The Washington County Chamber of Commerce is the Craftsmanship & Service largest business organization in Washington County and the second largest chamber of commerce in Southwestern Pennsylvania. The Chamber focuses on economic and business development initiatives to expand the economy of Washington County and was one of the first organizations to publically support the economic benefits and job creation potential of the natural gas industry. Learn more at www.washcochamber.com. General Contractor | Construction Manager Shannon1.com 412-341-1155

www.developingpittsburgh.com 85 Let’s taLk @ 412.261.8130 ENVIRONMENTAL

Westmoreland County Industrial Development Corporation Lennon, Smith, Souleret “ 5th Floor, Suite 520, Engineering, Inc. 40 North Pennsylvania Ave., Greensburg, PA 15601 T: 724-830-3061 | F: 724-830-3611 846 Fourth Ave., Coraopolis, PA 15108We’ Re making www.westmorelandcountyidc.org T: 412-264-4400 KU Resources, Inc. www.lsse.com Jason W. Rigone, Executive Director 22 South Linden St., Duquesne, PA 15110 Kevin A. Brett, P.E. – [email protected] [email protected] T: 412-469-9331 | F: 412-469-9336 Founded in 1983 by the Westmoreland County Board Established in 1985, LSSE is a civil engineering and www.kuresources.com of Commissioners, the Westmoreland County Industrial surveying firm with offices located inL Coraopolis,oans... Tysen Miller – [email protected] Development Corporation (WCIDC) implements a Allegheny County (headquarters); Greensburg, KU Resources, Inc. provides a full range of comprehensive economic development strategy to Westmoreland County (branch) and Albion, Erie County environmental management and site development promote growth in terms of job creation, economic (branch), Pennsylvania. LSSE has provided planning, engineering services to industrial, commercial, output and a stable tax base for Westmoreland County. surveying and design services for sites throughout and community based clients. The firm specializes Through the development of a county-wide industrial Pennsylvania and Ohio, including Pittsburgh’s South in brownfield redevelopment, environmental site Side Works and South Shore Riverfrontand Park; an a park system, a responsive Business Calling Program and assessment, economic revitalization assistance, involvement in public/private partnerships, WCIDC strives 833-acre industrial park site in Allegheny County; 50 regulatory permitting and compliance, remediation to foster business growth, resulting in job opportunities for big-box commercial sites; 20 warehouse/package design and implementation, and environmental risk the citizens of Westmoreland County. delivery sites; residential developments comprising management strategies. The firm’s engineering and over 4,000 housing units; institutional sites; brownfield environmental consulting capabilities also include redevelopment and unique, mixed-usediffe recreational, the areasR of civilence. and geotechnical engineering, site commercial and residential sites. development engineering, water resources engineering, mining and quarry services, water quality monitoring, ENGINEERS You need a bank you can countand on for air financing. quality complianceBut if the conversation and permitting. stops at interest rates ”and payment plans, are you getting your money’s worth? We’re a mutual bank, independent like you. We know having experienced professionals on your side makes a difference. That’s why you’ll have your own Dollar Bank business banker. A lender, yes. And more – someone who’ll get to know your business and bring you ideas to build your future. Ready foR a bank that invests in you? Let’s taLk @412.261.8130. FINANCE coRpoRate banking · business banking · tReasuRy management · commeRciaL ReaL estate · pRivate banking David E. Wooster and Associates, Inc. Civil & Environmental Consultants, Inc. 2 East Crafton Ave., Pittsburgh, PA 15205-2804 333 Baldwin Rd., Pittsburgh, PA 15205 341 Science Park Dr., Ste. 205, State College, PA 16803 T: 800-365-2324 T: 412-921-3303 | C: 412-491-6132 www.cecinc.com www.dewooster.com Gregory P. Quatchak, P.E. – [email protected] Chuck Wooster, President Dollar Bank Civil & Environmental Consultants, Inc. (CEC) is a [email protected] Three Gateway Center company of professionals who provide integrated design Equal Housing Lender. Member FDIC. Copyright © 2012, Dollar Bank,401 Federal SavingsLiberty Bank. Ave., Pittsburgh, PA 15222 BUS037_12 Since 1971, our firm has been a highly regarded and T: 412-261-7515 and consulting services at all points in a property’s life respected leader in the traffic engineering industry. We cycle. CEC’s industry experts offer a full complement of www.dollar.bank are most proud of our uncompromising integrity. Our David Weber, Senior Vice President BUS037_12.indd 1 2/14/12 11:08 AM evaluation, technical and regulatory insight. Our value goal is to guide our clients through the rigorous process [email protected]. lies in the practical knowledge senior leaders contribute of real estate development and assist them by correctly along with our broad skill-sets and desire to advance As your business changes, you’ll need the flexibility to identifying on-site and off-site traffic impacts, develop respond to market opportunities by purchasing equipment, our clients’ strategic objectives. We’re building trust cost effective and efficient mitigation strategies, and seek expanding your facilities or increasing working capital. Your and our reputation on a local level through personal and receive municipal and State DOT approvals and/or credit needs will change as your business grows, so your business relationships while continually assessing permits. Our skills include: Traffic Engineering Studies, overall credit plan should address short-term demands as our environmental and economic sustainability in the Highway Occupancy Permits, Traffic Signal System Design, well as long-term growth. Dollar Bank’s Business Banking communities where we practice. Experts will work to understand your business and assist Roadway Design, Intersection Design, and Parking Studies. you in achieving your goals with the right financing for your needs. For more information, contact David Weber, Senior Vice President Business Lending.

KU Resources, Inc. 22 South Linden St., Duquesne, PA 15110 T: 412-469-9331 | F: 412-469-9336 www.kuresources.com KeyBank Real Estate Capital Tysen Miller – [email protected] 11 Stanwix St., 15th floor, Pittsburgh , PA 15222 KU Resources, Inc. provides a full range of www.KeyBank.com environmental management and site development Russ Gentner, SVP – [email protected] engineering services to industrial, commercial, T: 716-819-5593 and community based clients. The firm specializes As one of the nation’s leading providers of commercial in brownfield redevelopment, environmental site and multifamily real estate finance, our focus is always assessment, economic revitalization assistance, on building long-term relationships with new ideas and regulatory permitting and compliance, remediation innovative thinking. So, no matter the size of the deal, design and implementation, and environmental risk KeyBank’s broad financing options, integrated platform and management strategies. The firm’s engineering and deep industry experience gives our clients what they need to meet their short- and long-term goals. Our real estate environmental consulting capabilities also include teams support Multifamily Mortgage Lending, Commercial the areas of civil and geotechnical engineering, site Mortgage Production, Healthcare Real Estate, Institutional development engineering, water resources engineering, REITs & Funds, Loan Servicing & Asset Management, mining and quarry services, water quality monitoring, Affordable Housing and Income Property Group. and air quality compliance and permitting.

86 DEVELOPING PITTSBURGH | Fall 2019 Relocate to Pittsburgh’s Fastest Growing Innovation district

now leasing

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For Office Leasing Information Contact: For Retail Leasing Information Contact: Joe Tosi | 412.261.0200, ext. 3471 Art DiDonato | 412.261.0200, ext. 3436 [email protected] [email protected]

www.developingpittsburgh.com 87 INDUSTRY / TRADE GROUP M&T Bank 213 Market Street Harrisburg, PA 17101 T: 717-237-6822 | C: 585-734-8745 www.mtb.com CREW Pittsburgh Julie Krause, Administrative Vice President PO Box 97753 [email protected] Pittsburgh, PA 15227 www.crewpittsburgh.org M&T Bank has a long-standing reputation of excellent [email protected] banking, earned by providing quality products and superior American Subcontractors Assn. of WPA service. Since 1856, M&T Bank has served people and Membership in the Commercial Real Estate for Women (CREW) businesses with a unique and personal approach, and 565 Callery Rd., Cranberry Twp., PA 16066 Network offers unparalleled business development, leadership today, is one of America’s largest banks with 725 domestic T: 724-538-8227 | F: 724-538-8227 opportunities, and networking opportunities both in your local offices in the Northeast. M&T is big enough to deliver the www.asawpa.org market and across 75+ offices in the US, Canada, and Great products and resources of a large bank, but remains a Angie Wentz, Executive Director Britain with 12,000+ members. The Pittsburgh chapter has 20+ community bank at heart. At M&T, commercial customers [email protected] years of providing networking opportunities and educational experience a whole team approach that includes over programs to its members and the community. Having a global 450 experienced commercial relationship managers and ASA Western PA, the American Subcontractors Association commercial real estate network at your fingertips and having general managers that function as a liaison to a full suite of of Western PA, is a non-profit organization dedicated to the your contact info in that global network have never been more solution partners. representation and advocacy for the subcontractor, specialty important in the greater Pittsburgh region than it is now. trade contractor, supplier and service provider business community; promoting an equitable business environment through providing professional education, networking opportunities, government advocacy and influence throughout the construction industry. ASA was founded in 1966, our chapter was established in 1989. ASA of Western PA has been around for 26 years. Learn more about what ASA Western PA can do for PNC Real Estate your company by visiting our website or contacting the office. 300 Fifth Ave., Pittsburgh, PA 15222 www.pnc.com/realestate T: 412-762-5619 Ironworker Employers Association of Lou Stempkowski, SVP - [email protected] Western Pennsylvania PNC Real Estate is a leading provider of banking, financing Foster Plaza 9 and servicing solutions for commercial real estate clients. 750 Holiday Dr., Suite 615, Pittsburgh, PA 15220 Our capabilities include acquisition, construction and T: 412-922-6855 permanent financing for developers and investors; agency www.iwea.org financing for multifamily properties; and debt and equity Danielle Harshman, Executive Director capital for the affordable housing industry. And, through Builders Guild of Western PA, Inc. [email protected] Midland Loan Services, we provide third-party loan 631 Iron City Drive, Pittsburgh, PA 15205 servicing, asset management and technology solutions. T: 412-921-9000 The IWEA is a Trade Association of Union Contractors who Jeff Nobers, Executive Director work in all aspects of the Ironworking Trade within the [email protected] Construction Industry. We are a resource for all owners, A unique, non-profit labor/management initiative, developers and contractors who are looking for a qualified representing 16 building trade unions and nine affiliated contractor with a well-trained workforce. Visit our website contractor associations. The Builders Guild is a positive or call our office for additional information. forum for labor, management, and community relationships, and fosters a cooperative and productive climate for regional commercial construction development. Rose Finance LLC Through the Builders Guild, unions and management have forged fair and equitable working partnerships which T: 412-469-0204 promote economic and professional growth. www.rosefinancellc.com Autumn Harris, Owner Guild initiatives include: Master Builders’ Association [email protected] • Promoting the professionalism, skill, and pride inherent 631 Iron City Dr., Pittsburgh, PA 15205 Rose Finance is a commercial real estate mortgage with union construction; T: 412-922-3912 brokerage committed to assuring that its clients • Training for long-term careers in the construction trades; www.mbawpa.org maximize capital for their projects and properties. Founder Autumn Harris is a seasoned commercial real • Providing a reliable, skilled and diversified workforce; Leading the Industry, Building the Region! The Master Builders’ estate finance veteran with an extensive institutional Facilitating diverse partnerships with like-minded Association is the voice for the construction industry in banking background combined with placing loans for organizations throughout Western Pennsylvania. Western Pennsylvania and provides valuable member services, a commercial real estate owner/developer giving her promotes best practices, and helps to grow a highly skilled a very deep network. Rose Finance arranges capital workforce. MBA will continue to be the premier construction for acquisition, construction, permanent and bridge association by setting exceptional standards of quality, safety, financing for multi-family, assisted living, retail, office, and labor relations, providing the best construction experience. hospitality and industrial warehouse/flex space. Harris Our members will build the Pennsylvania of tomorrow. has structured deals ranging from $5MM-$150MM with complicated, multi-layer capital stacks, including tax credits for both private developers and REITS.

88 DEVELOPING PITTSBURGH | Fall 2019 NAIOP Pittsburgh Rosslyn Commons 333 Baldwin Rd., Pittsburgh, PA 15205 www.naioppittsburgh.org Brandon Mendoza, Executive Director [email protected] NAIOP Pittsburgh is the regional association of developers, owners, investors, and professionals in commercial real estate. We are the leading industry resource to foster business relationships, promote responsible development and support growth of the region through education, leadership, and advocacy. Visit naioppittsburgh.com for additional information or contact [email protected].

INSURANCE

Simpson & McCrady LLC 310-330 Grant St., Ste. 1320, Pittsburgh, PA 15219 T: 412.261.2222 [email protected] Simpson | McCrady is a boutique risk management firm with a tailored approach to client management services. Our firm prides itself on providing our clients with access to specialists in all areas of the insurance industry including Commercial and Private Client Services. We strive to go above and beyond taking care of your insurance needs by providing risk management tools and solutions through our trusted vendors. As one of the largest personal and commercial insurance advisors in Pennsylvania, we have the expertise to handle any account size anywhere in the world. Looking to the sky for answers?

Market leaders look to INTERIOR DESIGNER BreakingGround .

Design 3 Architecture PC 300 Oxford Dr. Suite 120, Monroeville, PA 15146 T: 412-373-2220 www.d3a.com William Snyder – [email protected] Design 3 Architecture has been offering architecture, planning, and interior design services to the Pittsburgh region since 1982. We view inherent project constraints Email [email protected] or as potential opportunities for innovative design solutions. With a philosophy grounded in team collaboration, call 412-837-6971to advertise now. providing both personal attention and project leadership, Design 3 Architecture does more than solve problems. We provide solutions that are unique, exciting and affordable.

www.developingpittsburgh.com 89 LAND SURVEYORS LEGAL SERVICES PROFESSIONAL SERVICES

Babst Calland Lennon, Smith, Souleret Two Gateway Center 603 Stanwix St., 6th Floor, Pittsburgh, PA 15222 David E. Wooster and Associates, Inc. Engineering, Inc. T: 412-394-5400 846 Fourth Ave., Coraopolis, PA 15108 www.babstcalland.com 2 East Crafton Ave., Pittsburgh, PA 15205-2804 T: 412-264-4400 Justin D. Ackerman, Esquire 341 Science Park Dr., Ste. 205, State College, PA 16803 www.lsse.com [email protected] T: 412-921-3303 | C: 412-491-6132 Kevin A. Brett, P.E. – [email protected] Marcia L. Grimes, Esquire www.dewooster.com [email protected] Established in 1985, LSSE is a civil engineering and Chuck Wooster, President Peter H. Schnore, Esquire [email protected] surveying firm with offices located in Coraopolis, [email protected] Allegheny County (headquarters); Greensburg, Babst Calland’s attorneys offer experienced legal counsel Since 1971, our firm has been a highly regarded and Westmoreland County (branch) and Albion, Erie County in real estate development, finance, construction, energy, respected leader in the traffic engineering industry. We (branch), Pennsylvania. LSSE provides surveying services environmental risk assessment, zoning and land use, are most proud of our uncompromising integrity. Our for sites throughout Pennsylvania and Ohio. Our recent tax assessment appeals, eminent domain, and other goal is to guide our clients through the rigorous process experience includes an 833-acre industrial park site in corporate and litigation services. We provide creative, of real estate development and assist them by correctly Findlay Township, 40+ miles of new waterlines for a pragmatic advice to developers, landlords, tenants, identifying on-site and off-site traffic impacts, develop regional utility, approximately 300 miles of new sanitary investors, brokers and managers of commercial real cost effective and efficient mitigation strategies, and seek and storm sewers, property surveys for sites ranging estate to help them reach their goals, through attentive and receive municipal and State DOT approvals and/or from 0.5 to 833 acres, and over 3,300 rights-of-way. service that keeps the client’s bottom line in mind. From permits. Our skills include: Traffic Engineering Studies, acquisition to disposition, our approach to the practice of Highway Occupancy Permits, Traffic Signal System Design, Roadway Design, Intersection Design, and Parking Studies. law gives our real estate clients an edge.

REAL ESTATE BROKERS Red Swing Group Engineers and Surveyors One Monroeville Center 3824 Northern Pike #800 Meyer, Unkovic & Scott LLP Monroeville, PA 15146 Henry W. Oliver Building T: 724-325-1215 535 Smithfield Street, Suite 1300 Red Swing Consulting Services, a Veteran-Owned Pittsburgh, PA 15222 T: 412-456-2800 Business, views its Client as Partners; focusing first Avison Young and foremost on building and maintaining strong www.muslaw.com relationships and trust. This mutual trust is the foundation W. Grant Scott – [email protected] 4 PPG Place, Ste. 300, Pittsburgh, PA 15222 of a solid business partnership. Red Swing offers Land Patricia E. Farrell – [email protected] T: 412.944.2137 | F: 412.944.2124 www.avisonyoung.com Development Consulting Services to take a project Our real estate lawyers understand each client’s business from concept through construction. Red Swing has Brad Totten, Principal and Managing Director objectives and provide timely, creative, and cost-effective [email protected] experience in Surveying, Civil Engineering, Infrastructure, solutions. We regularly represent those in the business of Utility, and Telecommunications Projects. Red Swing real estate and those who must have real estate in order Avison Young is the world’s fastest-growing commercial effectively maximizes the return on investment through to do business. Our clients include manufacturers and real estate services firm. Headquartered in Toronto, a collaborative design approach, utilizing a low impact service providers as well as owners, developers, managers, Canada, Avison Young is a collaborative, global firm design philosophy that reduces project capital costs and lenders, landlords and tenants, investors, contractors, owned and operated by its principals. Founded in 1978, produces the competitive edge that we and our partners brokers, and design professionals. We represent clients the company comprises 5,000 real estate professionals demand. in all facets of commercial real estate, retail, multifamily, in 120 offices, providing value-added, client-centric office and industrial, working with them on purchases and investment sales, leasing, advisory, management, sales, land use and development, financing, leasing, title financing and mortgage placement services to owners insurance, property tax, and eminent domain throughout and occupiers of office, retail, industrial, multi-family and the region and across the US.. hospitality properties. RIG Consulting, Inc. 100 Ryan Court #9 Pittsburgh, PA 15205 T: 412-276-2027 www.rig-consulting.com Newmark Knight Frank Glen Rudzinski - [email protected] 210 Sixth Avenue #600, Pittsburgh, PA 15222 RIG Consulting, Inc. was established in May of 2005 T: 412-281-0100 and certified as a Woman-Owned Business Enterprise www.ngkf.com Gerard McLaughlin – [email protected] (WBE). We offer: Surveying and Right of Way of Services, Louis Oliva – [email protected] Construction Management and Construction Inspection Services, and Design Support Services. RIG has an Newmark Knight Frank is one of the world’s leading extensive workload partnering with Prime Consultants commercial real estate advisory firms. Together with across Delaware, Maryland, New Jersey, New York, Ohio London-based partner Knight Frank and independently- and Pennsylvania. In addition, RIG provides a broad range owned offices, NKF’s 15,000 professionals operate from more than 400 offices in established and emerging of survey and right-of-way services to public agencies, property markets on six continents. With roots dating utility agencies, developers, and private entities. back to 1929, NKF’s strong foundation makes it one of the most trusted names in commercial real estate. NKF’s full-service platform comprises BGC Partners’ real estate services segment, offering commercial real estate 90 DEVELOPING PITTSBURGH | Fall 2019 tenants, landlords, investors, and developers a wide range of services including leasing; capital markets services, including investment sales, debt placement, appraisal, and valuation services; commercial mortgage brokerage services; as well as corporate advisory services, consulting, project and development management, and property and corporate facilities management services. Newmark Knight Frank 210 Sixth Avenue #600, Pittsburgh, PA 15222 T: 412-281-0100 www.ngkf.com Gerard McLaughlin – [email protected] Louis Oliva – [email protected] Newmark Knight Frank is one of the world’s leading commercial real estate advisory firms. Together with London-based partner Knight Frank and independently- owned offices, NKF’s 15,000 professionals operate from more than 400 offices in established and emerging property markets on six continents. With roots dating back to 1929, NKF’s strong foundation makes it one of the most trusted names in commercial real estate. NKF’s full-service platform comprises BGC Partners’ real estate services segment, offering commercial real estate tenants, landlords, investors, and developers a wide range of services including leasing; capital markets services, including investment sales, debt placement, appraisal, and valuation services; commercial mortgage brokerage services; as well as corporate advisory services, consulting, project and development management, and property and corporate facilities management services.

SIGNAGE

TRI ST TE

Tri-State Signs & Reprographics, Inc. 2934 Smallman Street, Pittsburgh, PA 15201 T: 412-281-3538 | F: 412-281-3344 www.tsrepro.com DJ McClary, Director of Operations [email protected] Tri-State has the staff, equipment and skills to design, produce and install each of your signage projects. With our background in the building industry, we are able to work directly with our clients from the design phase throughout construction and the branding of a company. We create ADA compliant Interior signs and directories fulfilling the need for building code. Our equipment is able to cut and produce custom acrylic with raised tactile symbols and braille type on a variety of substrates painted NEW to the customer specification. Exterior signage including HOME construction billboards and banners for jobsites are DISCOVER PITTSBURGH’S HOUSING MARKET! delivered to the construction site.

SPECIALTY CONTRACTORS Greater Pittsburgh's NEWHOME is the first, COMBINED HEAT & comprehensive source of market information for POWER PLANTS newcomers, current residents as well as all professionals in the residential real estate business for the Greater Pittsburgh area.

NEWHOME will give insight about today's marketplace, our regional economic outlook, individual and project profiles as LLI Engineering well as in-depth feature articles on the issues and personalities 1501 Preble Ave, Suite 300, Pittsburgh, PA 15233 driving our region's residential market. T: (412) 904-4310 www.LLIEngineering.com Our editorial content presents the very best our region James D. White, PE, LEED AP [email protected] has to offer in new housing communities, locations and LLI Engineering provides mechanical, electrical, developments that showcase home building and remodeling architectural, commissioning, and structural engineering projects for today’s consumer. Discover state of the art services. Since 1910, LLI Engineering has been consistently features in comfort, technology, craftsmanship, innovation recognized for providing top-quality engineering design services. We specialize in commercial, critical facilities, and style in modern residential living. education, healthcare, industrial, infrastructure upgrades, Before you buy, build or remodel a home, Greater Pittsburgh’s green building design, energy conservation modifications, project engineering, and engineering estimates. Located in NEW HOME is required reading! Let us help you create the Pittsburgh, Pennsylvania, LLI Engineering has completed home that meets your personal dreams, goals and needs. projects in over 20 different states.

Visit greaterpittsburghnewhome.com today!

www.developingpittsburgh.com 91 setting the performance standard for 28 years

One Call. One Source. Complete Satisfaction. Burchick Construction Company, Inc. 500 Lowries Run Road • Pittsburgh, Pennsylvania 15237 Telephone: 412.369.9700 • Fax: 412.369.9991 • www.burchick.com 19-07-16_PDP_Ad_DevelopingPittsburgh.pdf 1 7/16/19 4:47 PM

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