Downloaded 14 times
More Related Content
Similar to Brownfields Tour: A Visit to Hazelwood Green & RIDC Mill 19
Brownfields Tour: A Visit to Hazelwood Green & RIDC Mill 19
- 1. Note: Some slidesare from a November 2020 CREW presentation with the PRA, RIDC and PJ Dick
- 2. RIDC: Regional Driverof Economic Growth • RIDC is a private, not-for-profit economic development organization that receives no public operating support • Developing competitive industrial and technology sites and facilities • Supporting a full spectrum of jobs • Sharpened focus on strengthening industry growth clusters: Autonomy, Biotech & Advanced Manufacturing • Focus on growing opportunities in underinvested "seedling" communities • Hazelwood, Fairywood, Rankin, McKeesport, Duquesne, East Pittsburgh, along with Armstrong, Lawrence and Westmoreland Counties SWPA Economic Distress by Zip Code & RIDC Park Map
- 3. 23 24 Current Projects 1. ThornHill Industrial Park 2. Innovation Ridge 3. RIDC Park West 4. Neshannock Business Park 5. O'Hara RIDC Industrial Park 6. RIDC Mill 19 at Hazelwood Green 8. Keystone Commons 9. Industrial Park of McKeesport 10. City Center of Duquesne 11. RIDC Westmoreland 12. Lawrenceville Technology Park 23. RIDC Carrie Furnace 24. RIDC Armstrong Innovation Park Past Projects 7. Beaver Manor 13. Meadow Ridge Business Park 14. Nabisco Bakery 15. Air Cargo Building III 16. Pullman Plaza 17. Harmar Manor 18. West Hills Commons 19. Oakland-University Area 20. Penn Garrison Cultural District Properties 21. Pittsburgh Technology Center 22. Edgewater Steel
- 4. Parks 14 Square Feet 7.5M+ Companies inour facilities 106 Annual real estate taxes paid $3.4M+ Jobs in RIDC parks 17,000+ Annual capital investment $40M
- 5. Heinz Lofts Before Heinz Lofts After “Abrownfield is a property, the expansion, redevelopment, or reuse of which may be complicated by the presence or potential presence of a hazardous substance, pollutant, or contaminant.” - EPA
- 6. • Locations nearrail or water transit • Existing infrastructure • Contamination Removal • Job creation & expanded property tax base • Revitalization of economically depressed neighborhoods • Unknown levels of contamination Costly remediation process
- 7. Steel Bust: 1980-1982 •Nationally • The economy suffered through two recessions in this period. The first during the first six months of 1980. The second lasting 16 months, from July 1981 to November 1982. • In 1980, inflation had reached 13.5% and the Federal Reserve raised interest rates and slowed money supply growth, which slowed the economy and caused unemployment to rise. Energy prices and supply were put at risk causing a confidence crisis as well as inflation. • In 1981, the Iranian oil embargo aggravated economic conditions by reducing U.S. oil supplies, which drove up prices. • Regionally • The region stretching from roughly from Chicago to Central Pennsylvania was impacted disproportionately as their industrially driven economy went into a severe decline. Decades of disinvestment, labor issues and foreign competition forced the steel and auto industries to restructure. • Nearly one-third of the regional workforce was in manufacturing. The regional unemployment rate peaked at 17% in January 1981, compared to 10% nationally. Peak Trough Months January 1980 July 1980 6 July 1981 November 1982 16
- 8. 4.0% 6.0% 8.0% 10.0% 12.0% 14.0% 16.0% 18.0% January, 1980 March, 1980 May, 1980 July, 1980 September, 1980 November, 1980 January, 1981 March, 1981 May, 1981 July, 1981 September, 1981 November, 1981 January, 1982 March, 1982 May, 1982 July, 1982 September, 1982 November, 1982 January, 1983 March, 1983 May, 1983 July, 1983 September, 1983 November, 1983 January, 1984 March, 1984 May, 1984 Unemployment Rate Southwest PAUnited States Trough 1 Trough 2 -10.0% -8.0% -6.0% -4.0% -2.0% 0.0% 2.0% 4.0% 6.0% 8.0% January, 1980 March, 1980 May, 1980 July, 1980 September, 1980 November, 1980 January, 1981 March, 1981 May, 1981 July, 1981 September, 1981 November, 1981 January, 1982 March, 1982 May, 1982 July, 1982 September, 1982 November, 1982 January, 1983 March, 1983 May, 1983 July, 1983 September, 1983 November, 1983 January, 1984 March, 1984 May, 1984 Year over Year Change in Employment Southwest PA United States Trough 1 Trough 2 Source: Local Area Unemployment Statistics - US Bureau of Labor Statistics, PA Dept. of Labor & Industry Source: Local Area Unemployment Statistics - US Bureau of Labor Statistics, PA Dept. of Labor & Industry
- 9. -50,000 -40,000 -30,000 -20,000 -10,000 0 10,000 1979 1980 19811982 1983 1984 1985 Components of Population Change Total Change Natural Change Net Migration -1.6% -2.0% 1.8% 1.8% -1.1% 3.2% 1.7% -2.5% -2.0% 1.9% 2.3% 2.0% 5.4% 2.2% -3.0% -2.0% -1.0% 0.0% 1.0% 2.0% 3.0% 4.0% 5.0% 6.0% 1979 1980 1981 1982 1983 1984 1985 Change in Per Capita Personal Income ($2018) Pittsburgh MSA United States Source: Population Estimates – US Census Bureau Source: US Bureau of Economic Analysis Note: Components of Population Change not available in 1979 and 1980.
- 10. Steel Bust: 1980-1982 •Civic Investment Environment o Renaissance II underway as recession began - construction of skyscrapers, convention center, the “T” (light rail system) helped cushion immediate impact o Three Mile Island accident propelled CMU into field robotics o Pitt recruited Tom Starzl to build transplant program • Public Policy Interventions o Benjamin Franklin Partnerships (1983) o Pittsburgh High Technology Council (1983) o Pittsburgh Cultural District o Strategy for Growth (1984) o Software Engineering Institute (1984) o Strategy 21 (1985-92) o Municipalities Financial Recovery Act - Act 47 (1987) Peak Trough Months January 1980 July 1980 6 July 1981 November 1982 16
- 11. 1994- RIDC’s Pittsburgh Technology Center, oneof the first successful remediation projects Year Law Effects 1980 Comprehensive Environmental Response, Compensation, and Liability Act (CERCLA) or “Superfund” Placed liability for past contamination with the current owner of the property, discouraging development 1995 Pennsylvania Land Recycling and Environmental Remediation Standards Act or “Act 2” Removed the owner’s liability for past contamination as long as they completed the necessary remediation steps, becoming a nation-wide model for Brownfield policy RIDC’s McKeesport where Act 2 legislation was signed
- 14. • Pennsylvania BrownfieldsInventory • Often sites that private developers may avoid due to cost, but which have a high community impact
- 16. • Environmental SiteAssessment (ESA) conducted to determine level of contamination • Phase 1: Records review to determine potential for contamination (required for financing) • Phases 2 & 3: in-depth study, findings or financing requirements may trigger Act 2 process • Geotechnical Assessment for building suitability
- 18. • Committed tenancyin most submarkets • Appraisals that support loan to value ratios • Prepared sites with infrastructure • Market return expectations
- 19. State Federal Local SiteRemediation RACP CDBG, EPA LERTA Infrastructure and site preparation RACP, PennWorks, BIOS, TIF*, PIDA HUD 108 TIF, LERTA New Construction RACP, PIDA EDA, NMTC, OZ LIHTC Redevelopment of Existing Structure RACP, PIDA NMTC, OZ Foundations, LIHTC, Historic Tax Credits • Redevelopment Assistance Capital Program (Grant, requires 1:1 cash match with non state sources) • Business in Our Sites (Grant, Loan) • Pennsylvania Industrial Development Authority (Loan, $2.25M cap or 40%) • Community Development Block Grants (Grant) • Environmental Protection Agency (Grant, $100K for assessment) • Economic Development Administration (Grant) • Housing Urban Development (Loan) • New Market Tax Credit (Complicated, generally requires $10M project min) • Opportunity Zone (New, but generally requires tenant in hand) • Tax Increment Financing (Pubic Infrastructure only) • Low Income Housing Tax Credit
- 20. • Market analysisto identify profitable uses • Visioning and community engagement • Area assets and needs study • Redevelopment partners
- 21. • Remedial ActionWork Plan (RAWP) • Permitting Process • Demolition, site clearing and redevelopment according to state and federal standards
- 22. RIDC Tech Forge,Lawrenceville 51 Buildings owned $3.4M+ Annual real estate taxes paid 112 Companies in our facilities 7.5M+ Square feet owned 17,000+ Jobs in RIDC parks 5,800+ Jobs in our tenant’s facilities
- 23. HEPPENSTALL STEEL Lawrenceville TechnologyCenter EDGEWATER STEEL NABISCO BAKERY JONES & LAUGHLIN STEEL MILL Pittsburgh Technology Center RIDC Mill 19 at Hazelwood Green WESTINGHOUSE ELECTRIC Keystone Commons US STEEL – MON VALLEY Industrial Center of McKeesport City Center of Duquesne SONY ELECTRIC/Volkswagen RIDC Westmoreland
- 24. 1994- RIDC’s Pittsburgh Technology Center, oneof the first successful remediation projects Year Law Effects 1980 Comprehensive Environmental Response, Compensation, and Liability Act (CERCLA) or “Superfund” Placed liability for past contamination with the current owner of the property, discouraging development 1995 Pennsylvania Land Recycling and Environmental Remediation Standards Act or “Act 2” Removed the owner’s liability for past contamination as long as they completed the necessary remediation steps, becoming a nation-wide model for Brownfield policy RIDC’s McKeesport where Act 2 legislation was signed
- 25. FORMER USE J&LCoke Works LOCATION Hazelwood/Oakland, City of Pittsburgh DATE OF ACQUISITION RIDC acquired Mill 19 in 2016 after completing site preparation and infrastructure SIZE 265,000 sf ESTIMATED IMPACT 1000+ jobs $100M+ investment
- 26.
- 27. J&L Coke Works2003 – Almono acquires site
- 28. 2012 – Afterdemolition of most remaining structures 2014 - After rough grading project that imported over 800,000 cubic yards of fill, adding between 2-14 feet of cap
- 29. 29 29 Creating Spacesand Places for Economic Growth Mill 19 Site Plan C B A OLD SECOND AVENUE LYTLE STREET
- 30. • Gaming andEconomic Development Fund - $500,000 Grant • Tax Increment Financing - $80,000,000 Authorized • Redevelopment Assistance Capital Program - $5,000,000 Grant • Multimodal Transportation Fund - $400,000 Grant • Power of 32 - $9,600,000 Loan • Pennsylvania Industrial Development Authority - $2,250,000 Loan • Penn Works - $3,000,000 Grant • PennDOT - $5,000,000 Grant • Commonwealth Financing Authority (Business in Our Sites x 2) - $7,000,000 Loan • Industrial Sites Reuse Assessment - $19,890 Grant
- 31.
- 33. 33 33 Creating Spacesand Places for Economic Growth Mill 19 – A Building in a Building Volume = 10,725,000 Ft3 Volume = 3,8000,000 Ft3
- 34.
- 35. 35 35 Creating Spacesand Places for Economic Growth Mill 19 Progress
- 36. 36 36 Creating Spacesand Places for Economic Growth Mill 19 Phase A
- 37. 37 37 Creating Spacesand Places for Economic Growth Mill 19 Phase A
- 38. 38 38 Creating Spacesand Places for Economic Growth Mill 19 Phase B
- 39.
- 40. 40 40 Creating Spacesand Places for Economic Growth Current and Near Term Construction at Hazelwood Green
- 41.
- 42. 1994- RIDC’s Pittsburgh Technology Center, oneof the first successful remediation projects Year Law Effects 1980 Comprehensive Environmental Response, Compensation, and Liability Act (CERCLA) or “Superfund” Placed liability for past contamination with the current owner of the property, discouraging development 1995 Pennsylvania Land Recycling and Environmental Remediation Standards Act or “Act 2” Removed the owner’s liability for past contamination as long as they completed the necessary remediation steps, becoming a nation-wide model for Brownfield policy RIDC’s McKeesport where Act 2 legislation was signed
- 43. FORMER USE GeoffreyBoehm Chocolates Heppenstall Steel LOCATION Lawrenceville, City of Pittsburgh DATE OF RIDC ACQUISITION 1996 2002 SIZE 14 acres 200,000 square feet ESTIMATED IMPACT 8 companies 300+ jobs
- 45.
- 46. Don Smith, President▪ [email protected] ▪ (412) 315-6444 Tim White, SVP, Development ▪ [email protected] ▪ (412) 315-6447 FORMER USE US Steel LOCATION Cities of Duquesne & McKeesport DATE OF ACQUISITION 1989-1990 SIZE 290+ acres ESTIMATED IMPACT 900+ jobs 1.3 million square feet Duquesne & McKeesport 4
- 47. City Center ofDuquesne Before
- 48. City Center ofDuquesne After
- 49. Industrial Center ofMcKeesport Before
- 50. Industrial Center ofMcKeesport After
- 51. Keystone Commons -1989 FORMER USE Westinghouse East Pittsburgh Plant LOCATION Turtle Creek, East Pgh, North Versailles DATE OF RIDC ACQUISITION 1989 SIZE 110 acres, 2.2 million square feet ESTIMATED IMPACT 38 companies, 1100+ jobs $1.4 million in annual real estate taxes 5
- 52. Keystone Commons -Redevelopment 52
- 53.
- 54.
- 55.
- 56. FORMER USE SonyElectric, Volkswagen, Chrysler LOCATION East Huntington DATE OF RIDC ACQUISITION 2012 (ground lease from PIDA) SIZE 350 acres, 2.8 million square feet ESTIMATED IMPACT 6 companies, 1000+ jobs RIDC Westmoreland 7
- 57. EDGEWATER STEEL &THE BAKERY 9 FORMER USE Edgewater Steel Atlantic Bakery LOCATION Oakmont East Liberty, City of Pittsburgh DATE OF RIDC ACQUISITION 2002 SIZE 34 Acres RIDC cleaned up these sites and then sold them to private developers who turned them into mixed-use communities
- 59. Pittsburgh Technology Center FORMERUSE J&L Steel LOCATION Hazelwood/Oakland, City of Pittsburgh DATE OF ACQUISITION *URA acquired the property in the late 1980s. RIDC built 2 buildings – 1991 and 1997 SIZE 100+ acres ESTIMATED IMPACT 760+ jobs $500,000+ annual real estate taxes Jones & Locklin Mill
- 60.
- 61.
- 62.