the manchester neighborhood plan · 2016. 7. 5. · (nthp), northside community loan fund;...

1

The Manchester Neighborhood Plan

Introduction & Methodology

In the summer of 2009, the Manchester Citizens Corporation (MCC) Board of Directors

partnered with Pittsburgh History & Landmarks Foundation (PHLF) to commission a

neighborhood planning process. The decision to undertake a planning process reflected a

number of issues including the recognition that MCC’s existing planning documents were out of

date with respect to reflecting the existing conditions in the neighborhood, and the desire to

respond to increasing demolitions in Manchester in a proactive manner. MCC felt that the

elements of a neighborhood wide strategy were embodied in the organization’s current

development projects, but needed to be enhanced and articulated as part of a neighborhood

planning process.

MCC and PHLF desired to create a plan that is a dynamic rather than a static document. As a

result, the planning process focused on establishing strategic principles and guidelines that would

not change, even as the condition of individual parcels in the neighborhood changed. Although

the Plan includes some parcel-specific recommendations, the plan is designed to focus more on

overarching principles and guidelines.

The Plan’s focus is on vacant and abandoned property. This is a critical issue as identified by

Manchester residents and it is supported by data that indicate Manchester has a significant

number of vacant properties. Vacant property poses a threat to public safety and the integrity of

Manchester’s historic district. Dealing with the issue of vacant property in a systematic and well

thought out manner is an objective of this Plan.

The goals of this Plan relate to improving the physical and market conditions in the Manchester.

If the Plan is successful, the measurable results will include: fewer vacant properties, greater

private investment in renovations, and higher property values. With a stronger real estate

market, Manchester will have fewer vacant properties and be a more desirable place to live for

existing and potential new residents.

MCC created a Steering Committee to oversee the implementation of the planning process in the

Summer of 2009. The Urban Redevelopment Authority committed $7,000 towards the planning

process and was specifically interested in having the Plan address properties in the Manchester

Renaissance portfolio. PHLF committed staff time and raised a $100,000 grant from Richard

Mellon Scaife that will go towards future activities in Manchester.

In order to establish baseline data, MCC relied upon existing data from the 2000 Census and the

Pittsburgh Community and Neighborhood Information Systems (PNCIS). The Department of

City Planning released an online data center known as “SNAP” in early 2010, and this data was

added to the plan. City Planning expects to update this data periodically, and the availability of

this data will be extremely helpful in updating the plan going forward.

2

PHLF performed a preliminary market analysis using data available through the West Penn MLS

and RealStats databases. This analysis included looking at data from 1998 through October of

2008 in order to determine trends and reveal areas of the neighborhood that included specific

areas of market strength or weakness.

Members of the Steering Committee and other volunteers worked to identify vacant structures in

Manchester. Many of these volunteers have done this work on previous studies and have been

trained by CTAC. Other datasets such as PNCIS and the City’s GIS system were used to cross

reference vacant and condemned properties. The City’s Planning Department helped map this

information. The Steering Committee then worked through the process of applying the

guidelines developed in the Plan to prioritize individual parcels.

PHLF provided needed expertise in estimating renovation costs. Tom Keffer, PHLF’s

construction manager with more than 20 years experience in residential renovations, was able to

develop renovation cost estimates for properties. Conceptual project budgets were developed to

provide some framework for estimating the sources of funds that will need to be raised in the

implementation phase. These conceptual budgets were based on financing and costs that are

typical in URA funded projects.

Executive Summary

Overview

This planning process was designed to replace the previous Manchester Neighborhood

Transformation Initiative (MNTI), which was completed four years earlier. The resulting plan

draws heavily from MCC’s historic preservation roots and builds on the $20 million worth of

development that is currently underway in Manchester.

Existing Conditions

Manchester’s existing conditions represent a market that, while improving, still suffers from a

significant number of vacant and deteriorated properties.

19.6% of the housing stock is vacant1

84 properties have been condemned by the City2

55 units have been demolished between 2004 and 20083

Market Summary

In the latter part of 2008 and continuing through 2009, the financial markets began to experience

unusual and significant changes that resulted in less access to credit, particularly mortgage

financing. Obtaining financing to purchase a home is more difficult than it was in prior years.

1 2000 Census

2 Response from City of Pittsburgh to MCC request under Freedom of Information Act

3 Ibid 3

3

Mortgage lenders now require higher credit scores and larger down payments, thus creating a

smaller number of eligible borrowers and homeowners. This situation is a concern to MCC as

private capital is necessary to fund improvements to vacant and deteriorated properties in

Manchester.

Obtaining private financing to purchase and rehabilitate Manchester’s vacant properties has

become even more difficult as many parcels have tax liens or other judgments clouding the title.

A one-to-two-year factor should be added to all projects attempting to structure public/private

financing for housing to allow for clearing existing liens and judgments. Before the current

financial crisis, there was evidence that Manchester’s private housing market was strengthening,

based on the statistical information below, which was taken from an analysis of home sales data

over the last ten years through the West Penn MLS and RealStats databases:

Manchester’s housing market varies significantly from street to street and block to block.

Areas of market strength include: Page Street, West North Avenue, Sheffield Street, and

Liverpool Street. The weakest market segments are located on Adams Street, Columbus

Avenue, and Nixon Street.

Home sale prices in Manchester have appreciated faster than other Northside

neighborhoods (Fineview, Perry Hilltop, Spring Garden) and slower than two other

neighborhoods (Allegheny West, Central Northside). However, Manchester’s home sales

prices have kept pace with the City’s averages over the past ten years. The City’s

average home price measured in constant (2007) dollars is $100,000.

Revitalization Principles

These strategic revitalization principles will guide current and future development efforts and

assist with prioritizing among numerous opportunities:

Prioritize Projects of Scale and Impact

Prioritize Key Corridors and Corners

Connect Current Development Along Columbus to Areas of Existing Market Strength

Criteria to Evaluate and Prioritize Restoration of Existing Properties

These principles seek to reconcile preservation interests, public safety, and market realities.

MCC and its partners will evaluate strategic importance based on the following general

guidelines:

Architectural Integrity

Cost vs. Market Value (i.e. prioritize structures with smaller funding gaps, allowing for

more development)

Marketability/Ability to identify purchasers for redeveloped real estate

Location along key corridors or corners

4

Cultural significance (i.e. properties that have significance based on who lived there or

events that occurred)

Potential impact of demolition on adjacent properties (i.e., is it a party-wall structure,

what would the potential impact on the streetscape be)

Programmatic Recommendations

Through MCC’s strategic planning process, MCC and PHLF developed a series of

recommendations regarding vacant buildings and land, which are designed to leverage

public/private resources.

Implement Manchester’s $20 million4 Development Strategy through the Manchester

Renaissance and Columbus Square5 housing programs

Publish a Manchester Declaration of Community Wealth Statement and revisit it annually

Hold future versions of Manchester’s Great House Sale

Conduct a House Tour of Vacant Buildings and implement a $1 City House Sale for

vacant structures

Extend the Manchester Renaissance Housing Program to other vacant buildings located

throughout Manchester

Capitalize a Revolving Loan Fund for Preservation Activities

Utilize the Recently Enacted Pennsylvania Conservatorship Law for

Manchester’s Strategic Planning Initiatives

Utilize the City’s Land Reserve Program to Assemble Publicly Owned and

Tax Delinquent Property

Document, Warehouse, and Re-use Architectural Elements Retrieved from Demolished

Structures

Maintain a Viable Manchester Local Historic Review Committee (LRC)

4 The Columbus Square development and associated infrastructure improvements totals $15 million; the

rehabilitation of Phase I and Phase II of the Manchester Renaissance Portfolio will total $5 million.

5 Columbus Square is the name given to the development project on the former American Electric site.

5

Overview

The Manchester community continues to struggle with problems associated with vacant and

abandoned property. The City has identified public safety concerns that may result in

demolitions if left untreated. Presently, the City has 84 properties in Manchester on the

condemnation list and has asked the MCC to develop a strategy for addressing these properties.

MCC’s approach considers the future of all 84 structures; however, MCC linked the

neighborhood revitalization plan to all vacant and abandoned properties.

The list of condemned properties is not static. MCC must will a proactive approach so that it can

impact development within the neighborhood. This plan is developed to leverage existing

planned development into a comprehensive strategy that addresses the entire neighborhood, not

just the properties that are currently threatened.

MCC and PHLF led various planning initiatives including the original 2005 MNTI and

subsequent updates to the plan by Perkins Eastman Architects in 2007. Given that neighborhood

land use conditions have changed in the neighborhood6 since these prior reports, MCC, working

in conjunction with PHLF and community residents, decided to take a leadership role in

developing Manchester’s Neighborhood Plan.

The Plan grew out of public meetings regarding the city’s condemnation of 84 historic structures.

MCC expressed concerns about the pace of demolition activities in the neighborhood, and

requested time to update its neighborhood plan. MCC’s Board of Directors empowered a

working group chaired by the Rev. Dr. James Robinson to oversee the update. The working

group consisted of eighteen community residents and MCC Board Members. These individuals

are listed in the Appendix. The Committee agreed not to focus exclusively on the 84 currently

condemned properties, but rather on overall strategies and programs that will impact the

redevelopment of the entire neighborhood.

Demolition is particularly salient given Manchester’s history. MCC was formed in 1968 and

collaborated with PHLF in response to Manchester’s planned demolition as part of the urban

renewal policies of the 1960’s. MCC’s 40-year history is centered on using historic preservation

as a revitalization tool for improving the community. Over the years, MCC has created over 250

new and rehabilitated housing units. MCC and its partners developed the first Hope VI project

in Pittsburgh, which replaced obsolete public housing units with over 120 units of mixed–income

housing. This effort led MCC to establish strong partnerships and relationships with several

institutions and organizations.

MCC understands that it is not able to accomplish or implement its community revitalization

strategies alone. The public and private sectors have been enlisted to assist MCC in

accomplishing its community objectives. Some of MCC’s partners include: Pittsburgh History

6 Land uses have changed as certain properties were demolished and became vacant lots.

6

& Landmarks Foundation (PHLF), the Urban Redevelopment Authority of Pittsburgh (URA),

the City of Pittsburgh and the Office of Mayor Luke Ravenstahl, and the City of Pittsburgh

Historic Review Commission (HRC). Various elected officials, local churches, and

neighborhood organizations have also been involved including: ESB Bank, Fannie Mae, Federal

Home Loan Bank of Pittsburgh, Fidelity Bank, First Niagara Corporation, Fourth River

Development, Heinz Endowments, Housing Authority of the City of Pittsburgh (HACP),

Manchester residents, MCC staff and volunteers, the National Trust for Historic Preservation

(NTHP), Northside Community Loan Fund; Northside Leadership Conference, Parkvale Bank,

Pennsylvania Historical and Museum Commission (PHMC), PNC Bank, Tri-State Bank,

Pittsburgh Community Reinvestment Group (PCRG), Sky Bank, and the U.S. Department of

Housing and Urban Development (HUD).

Location

The neighborhood of Manchester is located on the Northside of Pittsburgh, approximately one

mile from the City’s Central Business District. The neighborhood is adjacent to the Allegheny

River, and Route 65 bounds the western edge of what the city defines as Manchester. Before

urban renewal, Manchester’s boundaries extended to the Allegheny River and included a mostly

industrial area known as Chateau. Most residents consider this area to be a part of Manchester.

Manchester consists of 180 acres reflecting a traditional urban grid with cross streets and alleys.

It is proximate to major highway systems and has good public transportation access via Port

Authority bus service. The neighborhood is adjacent to major development along the Allegheny

Riverfront including: Heinz Field, the Carnegie Science Center, and the Rivers Casino.

Manchester is predominantly residential in character and shares the Western Avenue business

district with Allegheny West. A number of industrial, commercial, and residential uses occupy

Chateau Street. The neighborhood has several churches, a public elementary school, as well as a

charter school. In addition, there are recreational areas on Page Street, Juniata Street, and

Columbus Avenue. These recreational areas include basketball courts, tennis courts, and a

softball field. Manchester has a small city-owned pool that has not been operated for several

years and will likely remain closed as the city has downsized its pool facilities.

7

Location of Manchester within the City of Pittsburgh

History

Developed in the early part of the 19th

Century, Manchester became a borough in 1843 and

merged with the City of Allegheny in 1867. . During the latter part of the 1800’s, Manchester

was a bedroom community for residents wanting to escape the activity of the more urban areas.

The streetcar network spurred early population growth in Manchester, linking the neighborhood

with population centers of Pittsburgh and Allegheny. In 1907, the City of Allegheny was

annexed by the City of Pittsburgh.

Like many city neighborhoods, Manchester experienced a gradual population decline beginning

after World War I as residents began to leave urban areas for the suburbs. This decline reached

its peak in the 1950’s and 1960’s as urban renewal programs built a highway that bisected

Manchester, which cut off the predominantly residential portion of the neighborhood from the

Allegheny River. This decline left Manchester with many vacant houses and a population base

that could no longer support the level of commercial development that previously existed.

In the 1970’s, MCC partnered with PHLF, the URA and private developers to renovate many

historic houses. During the next 20 years, over 150 units of housing were developed along with

other amenities such as brick sidewalks and street trees. In the late 1990’s, Manchester’s public

housing was restructured through a public private partnership known as the Manchester Hope VI

project. More than 120 units of housing were built and revitalized as part of this project.

Demographics

The Department of City Planning recently made available a new online data resource known as

SNAP. This data provides a useful snapshot of Manchester and a benchmark from which to

compare the neighborhood. Some of the basic data is summarized on the next page.

8

City of Pittsburgh Manchester

POPULATION

2000 Population 333,527 2,506

2008 Population (Est.) 312,899 2,141

Pop. Change % 2000-08 -6.2% -14.6%

HOUSING & VACANCY (2000)

Housing Units 163,414 1,348

% Occupied 88.0% 80.4%

% Vacant 12.0% 19.6%

TENURE (2000)

% Owner Occupied 52.0% 43.5%

% Renter Occupied 48.0% 56.5%

BUILDING CONDITIONS SURVEY (2008)

% Poor / Derelict Buildings 3.5% 19.8%

BBI ACTIONS (2008)

% of Buildings w/ Code Violations 8.8% 25.1%

TAX DELINQUENCY (2008)

% of Taxable Prop. Delinquent > 2 yrs. 10.9% 18.6%

INCOME AND POVERTY (2000)

Median Income (Adj. for Inflation, 2009) $34,532 $31,272

Percent Under Poverty 20.4% 23.1%

HOUSEHOLD INCOME (2000)

Less than $10,000 18.0% 19.3%

$10,000 to $14,999 9.5% 9.1%

$15,000 to $24,999 17.1% 22.9%

$25,000 to $34,999 13.4% 12.1%

$35,000 to $49,999 14.9% 19.9%

$50,000 to $74,999 14.2% 10.7%

$75,000 to $99,999 5.8% 2.8%

$100,000 or more 7.1% 3.2%

POLICE REPORTS (2008)

Part I (Major) Crime per 100 Persons 4.3 4.0

Part II Crime per 100 Persons 5.6 7.5

The data indicate that while Manchester has lost population, there are other indicators that

suggest stability. Over a third of Manchester’s households make more than $35,000. If this data,

which is from 1999, were adjusted for inflation it would be much higher. Although Manchester

is classified as a low and moderate income neighborhood,7 it retains a sizeable middle-class

population. This local middle class population provides an economic base that the

neighborhood’s revitalization strategy can leverage.

7 The definition of a low-and-moderate income neighborhood according to HUD is a neighborhood with a median

income at or below 80% of the Statistical Metropolitan Area’s median income.

9

Goals

The primary goal of this plan is to update a comprehensive development strategy for Manchester.

Manchester’s current planned development activities embody elements of this strategy, but the

strategy needs to be articulated in a single document. The Manchester Plan highlights key

principles and approaches that guide public and private investment in Manchester. These key

principles may be applied to a changing set of conditions in the neighborhood, so that the plan

will not quickly become obsolete.

An important element of this plan is to develop a series of programmatic and policy

recommendations. The task of MCC and its partners will be to work through the implementation

of these recommendations.

With a clearly articulated development strategy, MCC has made recommendations for the 84

properties that appear on the city’s condemnation list. These recommendations will not stand

alone, but rather will be grounded in a clearly articulated strategy. Sharing this strategy with

MCC’s partners will facilitate communication and collaboration on key development issues

within Manchester.

Strategic Revitalization Principles

Developing key strategic revitalization principles are important to creating a development plan

that can adapt to changing conditions within the neighborhood. Strategic revitalization

principles will help guide current and future development opportunities. These principles may

also help to prioritize among different opportunities.

General Principles

Prioritize Projects of Scale and Impact—Manchester is a community with more than

600 parcels of land. Small and unfocused scattered site development will have little

impact on the neighborhood. Development sites should be assembled that are of

sufficient scale to make an impact. Sufficient scale is defined as a development project

that addresses all of the blighted properties on a particular block. This definition will

vary depending on project site. For example, on Nixon Street an entire block or

collection of blocks may need to be assembled while on Page Street assembling a couple

houses is sufficient scale. Protecting areas of relative strength in the neighborhood, and

preventing these areas from encroaching blight is a critical element of maintaining some

market strength within the neighborhood. Areas of relative market strength, as identified

by the Market Value Analysis commissioned by the City of Pittsburgh, include the

portion of the neighborhood that is south of North Franklin Street.

Prioritize Key Corridors and Corners—The amount of vacant and abandoned property

means not all properties can be redeveloped at once. Market absorption of new and

rehabilitated units, as well as the ability to raise any necessary public funds, constrains

10

the pace of redevelopment. Based on an analysis of home sales data for the last ten

years8 the annual absorption potential of new or rehabbed units in Manchester is eight to

12 units. Given constraints relative to funding and market absorption, properties that are

highly visible and along key portals should be prioritized for redevelopment.

Connect Current Development Along Columbus to Areas of Existing Market

Strength—The market analysis performed as part of this plan indicates that Manchester

has two real estate markets. Manchester’s stronger market exists along the southern

portion of the neighborhood including: Page, West North, Pennsylvania, Sheffield, and

Liverpool streets. These streets typically are strongest in the 1300 and 1400 blocks,

although the West North Avenue is an exception to this pattern with the 1100 and 1200

blocks being strongest on this street. The northern portion of the neighborhood, such as

Columbus, Adams, and Nixon Street are relatively weak in terms of market. MCC has

chosen to intervene in the weaker market with development initiatives, through

Manchester Renaissance and Columbus Square, leveraging over $20 million worth of

investment. MCC’s development strategy is to stabilize the weaker market, and expand

the strong market by making investments in key corridors that connect the two.

These general principles are reflected in MCC’s existing initiatives. Columbus Square will

address a major entrance and corridor in the neighborhood. Several of the properties in the

Manchester Renaissance are on visible and important corners throughout the neighborhood.

Collectively the additional 50 units are of sufficient scale and visibility to have a meaningful

impact on the community.

Vacant Structures

Vacant structures remain a significant problem in Manchester. The 2005 MNTI identified 106

vacant structures. The City of Pittsburgh currently has 84 structures on its demolition list, and

new properties are added to this list at an alarming rate.

As the largest residential city designated Historic District, MCC balances the interests of public

safety and historic preservation in making recommendations for vacant structures.

Unfortunately, the reality is that not every structure can be saved. Yet widespread demolition

may cause irreparable harm to the neighborhood’s historic fabric. In the Hill District,

widespread demolition destroyed much of that neighborhood’s historic character.

MCC has developed several basic principles to guide recommendations for vacant structures.

These principles seek to reconcile preservation interests, public safety, and market realities.

MCC will evaluate strategic importance based on the following guidelines:

8 This analysis was performed by PHLF and included a review of sales data in Manchester from 1998 to September

of 2009 as accessed through the RealStats database

11

Architectural Integrity

Cost vs. Market Value (i.e. prioritize structures w/smaller funding gap, allowing for more

development)

Marketability / Ability to identify a purchaser for vacant houses

Location along key corridors or corners

Cultural significance (i.e. properties that have significance based on who lived there or

events that occurred)

Potential impact of demolition on adjacent props (i.e. is it party-wall structure, impact on

streetscape, etc.)

The above principles will allow MCC to make recommendations not only for the 84 properties

currently on the demolition list, but for all vacant structures throughout the neighborhood that

have not deteriorated to the point of condemnation.

Vacant Lots

Manchester’s built environment reflects a housing density typical of urban neighborhoods. This

character should be preserved whenever possible. MCC supports an infill development approach

for vacant lots, recognizing that not every vacant lot is appropriate for a new house. Interest in

new housing must be balanced with market realities, recognizing the subsidy levels required for

for-sale housing prevent a new house from being placed on every vacant lot.

Where infill housing is feasible, the design should be consistent with the existing Manchester

housing stock. Some of the work of completing a “Manchester House” pattern book of designs

has been completed through the architectural work on the Columbus Square project. Several of

the plans in this project were designed to fit on typical Manchester lots. The goal is to take these

designs to infill sites, helping strengthen the connection between Columbus Square and the rest

of the neighborhood.

In locations where new infill housing is not feasible, sideyards are an alternative. Sideyards can

help enhance the desirability and value of occupied homes. There are many examples in

Manchester where sideyards have been maintained as attractive gardens. Another benefit of the

utilizing vacant lots as sideyards is that it does not require nearly the subsidy that new for-sale

housing requires.

Another possibility for vacant lots is community gardens. These gardens can be permanent or

serve as interim uses for future development. The challenge with community gardens is that they

must be maintained by volunteers. In some instances, well-intentioned gardens have turned into

overgrown vacant lots. Any new community garden in Manchester must have dedicated

community volunteers. Another challenge is to ensure that locations selected for community

gardens have the proper soil conditions to support plant life. In the past, MCC has addressed this

issue by working with the Penn State Cooperative Extension to assist with soil analysis and

remediation.

12

Community gardens also provide an opportunity for youth programming. Manchester and other

neighborhoods have had success in this regard. There are organizations in Pittsburgh such as

GTECH Strategies that have successfully planted urban lots with renewable crops and employed

local youth in harvesting these crops for biofuel.

Review of Existing Conditions

Market Summary

Property values in Manchester have performed in line with city averages and better than several

other Northside neighborhoods.

$0

$20,000

$40,000

$60,000

$80,000

$100,000

$120,000

$140,000

1988 1993 1998 2003

Ave

rage

Pri

ce i

n 2

00

7 $

Average Residential and Duplex Sales Price by Neighborhood 1988-2007

California

Kirkbride

Central Northside

East Allegheny

Manchester

Perry South

City Total

Source: Zenit Solutions

PHLF conducted preliminary market analysis based on RealStats and MLS property sales data

over the last ten years. This analysis was supplemented by a review of the Market Value

Analysis that was completed for the City. Manchester is a relatively small neighborhood with

13

few home transactions each year and it is difficult to draw conclusions on price trends. It is

possible, however, to recognize patterns of strength and weakness within the neighborhood.

Areas where specific weaknesses were noted based on property sales values include:

All of Nixon St., Adams St. and Columbus Ave.

The 1100 block of Fulton

The 1400 block of Franklin, with the rest of Franklin being mixed

The 1400 and 1200 blocks of Juniata St.

The 1100 block of Liverpool

Areas where specific strengths based on the strength of property sales values include:

The 1100 and 1200 blocks of Sheffield St.

The 1300 block of Liverpool St.

The 1200 and 1300 blocks of West North Ave.

The 1300 and 1400 blocks of Page St.

These specific areas of strength and weaknesses can be represented graphically in the map

below.

Even in the strongest blocks, low sales volumes indicate signs of weakness. This can be

attributed in large part to the condition of individual buildings. For example, there are a number

of vacant and deteriorating properties in the 1300 block of Liverpool Street, one of the strongest

14

blocks in Manchester. This reveals an important consideration in Manchester’s development

strategy — small scale development can have a tremendous impact if it is strategically located.

In addition to looking at individual sales data, MCC also worked with Bob Gradeck at Carnegie

Mellon University’s Center for Economic Development to analyze data on migration trends into

the neighborhood. Not surprisingly, most moves originate in neighborhoods near Manchester.

Suburban movers to Manchester come mostly from inner-ring suburbs. These trends are

encouraging. Below is a map that reflects the data:

Market Recommendations

Based on the analysis of market strength and weakness in Manchester, PHLF and MCC make the

following recommendations9 in terms of strategically targeting development activity:

Consolidate and strengthen the foundation—As noted in the Market Summary, the

area of market strength is in the 1400, 1300, and 1200 blocks of Page, North, Sheffield,

Pennsylvania and Liverpool Streets. Although there are points of weaknesses within this

general area, this is Manchester’s foundation.

9 Recommendations for specific parcels identified as being Condemned by the City and/or vacant appear in the

Property Recommendations section

15

The goal for this area is to ensure that it remains strong and that existing weaknesses are

addressed and not allowed to turn into more significant problems that could destabilize

this area. Within this area, seven key properties are prioritized for full restoration. These

properties are significant architecturally due to their location and their architectural value.

All of them are on the city’s current condemnation list, providing added urgency. These

properties include 1337, 1339, and 1445 West North Ave., as well as 1400, 1402

Liverpool, and 1427 and 1429 Sheffield St.

Extend the Columbus Avenue Portal Initiative—PHLF and MCC believe that it is

critical to deal with the widespread market weakness in the northern portion of

Manchester. The best opportunity to do this is by focusing on Columbus Avenue, where

work is already underway on the American Electric parcel and the first phase of the

Manchester Renaissance. Although there are many vacant and abandoned buildings

along Columbus, much of the historic fabric is intact. Several buildings spread

throughout the 1400 and 1300 blocks are quite distinctive. The top five priorities are:

1301, 1321, 1401, 1404, and 1412 Columbus St.

Bridge the Gap, Building from Strength—To bridge the gap between Liverpool St. to

the south and Columbus Ave. to the north, PHLF and MCC recommend working to push

the relative strength of the Liverpool market one block north into lower Franklin Street.

As noted above, the 1400 and 1300 blocks of Franklin are relatively intact, although in

many cases dilapidated and in poor condition. The top four priorities are: 1315, 1321,

1419, and 1421 Franklin St.

There are several strategic opportunities to push the market strength of the foundation

area east into blocks that are still relatively intact, but vulnerable. There are opportunities

to do this in the 1100 blocks of Liverpool and Sheffield streets. The Renaissance

Initiative will restore 1109 Liverpool in Phase II. Three additional properties are targeted

for development to leverage this improvement: 1113 Liverpool Street, as well as 1117

and 1121 Sheffield Street.

Foreclosures and High Risk Loans

Pittsburgh Neighborhood Community Information System (PNCIS) data suggest that while MCC

is not currently experiencing a foreclosure epidemic, problems could arise in the future based on

the number of high risk loans made in Manchester. These high risk loans often end up in

foreclosure or short sale situations.

16

2004-06 North Side Percent of First-Purchase

1-4 Unit Mortgages with High-Cost Loans

0.0%

10.0%

20.0%

30.0%

40.0%

50.0%

60.0%

Central

Northside

California

Kirkbride

City Total Brighton

Heights

Perry North Spring

Garden

Manchester Marshall-

Shadeland

Perry South

Pe

rce

nt

of

Mo

rtga

ges

wit

h H

igh

Co

st L

oan

s

Source: PNCIS, Zenit Solutions

Vacancy and Abandonment

The increasing threat of vacant and abandoned property is a critical issue for Manchester as

noted below:

19.6% of the housing stock is vacant10

194 parcels were classified by 2005 Manchester Neighborhood Transformation Initiative

(MNTI) as vacant lots or severely deteriorated structures

84 properties have been condemned by the City11

Over 20 demolitions have occurred in the last year12

A small number of houses may be functionally obsolete. Some vacant houses have outlived their

economic usefulness, while other properties are structurally sound and can serve as a useful

resource in Manchester’s revitalization efforts.

10

2000 Census 11

Letter from the City of Pittsburgh in response to a request filed from MCC under the Freedom of Information Act 12

IBID 11

17

Current Planned Development

In conjunction with its partners, MCC is facilitating or directly developing nearly $20 million in

residential housing in Manchester. This development is concentrated in the Columbus Avenue

corridor, a key entrance to the neighborhood. The development addresses vacant lots and

structures which have contributed to increasing blight and stagnant property values. As this

development moves forward, MCC will reconnect this area of the neighborhood with portions of

the neighborhood which have stronger markets.

Through the MNTI of 2005 the American Electric site was identified as the largest piece of

vacant and developable land in Manchester. This site’s location is strategic, given its proximity

to the Columbus Avenue Bridge and it has the scale to make an impact on an area of the

neighborhood that has seen limited reinvestment. To complement the new construction on the

American Electric site, the Manchester Renaissance project focuses on the renovation of historic

structures nearby on Columbus Avenue.

This development includes:

Manchester Renaissance—A 38-unit for-sale redevelopment of a former multi-family

portfolio that was acquired through a HUD foreclosure. Property consists of renovation

of historic properties. The first phase includes nine units with four units on Columbus

Avenue. The second phase consists of 10 units. Total development costs for the first two

phases of the project are $5 million.

The development is a joint venture between MCC and Landmarks Community Capital

Corporation with significant support from the URA. Other financing includes funding

through the following sources: Neighborhood Assistance Program, County Infrastructure

and Tourism Funds, and HUD.

Landmarks Design Architects (LDA) has completed the plans for the houses. Five

houses will be single-family units. The remaining two structures will contain two units

each. It is anticipated that the homeowner would utilize the additional unit for a rental or

for an extended family. Prices start at $110,000. Construction is anticipated to start by

the summer of 2010.

Columbus Avenue Portal Initiative – This initiative recognizes the importance of the

Columbus Avenue entrances to the neighborhood. From the northwest, many people

enter the neighborhood at Chateau and Columbus Avenue. From the northeast, many

people enter the neighborhood via the Columbus Avenue Bridge. The portal is the

connection, via Columbus Avenue, between these two important entry nodes. MCC has

concentrated development activity along this corridor to achieve scale and impact.

Current initiatives within the portal include: Columbus Square; Manchester Historic

18

Restoration Initiative; and several vacant lots controlled by Northshore Community

Alliance. MCC will strengthen these real estate investments with infrastructure

improvements and planning for the re-use of the pool and recreation facility.

Columbus Square (the former American Electric site) – A 31-unit for-sale new

construction housing development bound by Columbus Avenue., Juniata Street.,

Sedgwick Street, and Fulton Street. The development includes major public

infrastructure work with the reconnection of Juniata Street and the installation of a new

sewer line. The first phase includes five houses and the public infrastructure. Total

development costs are $15 million.

The development is a joint venture between MCC and Fourth River Development. The

site was acquired in 2006 and funds were raised through the Pennsylvania Department of

Environmental Protection to complete the environmental remediation of the site.

Financing for the project was arranged through multiple funders, including: Enterprise

Zone Tax Credits; the URA; National City Bank; Northside Community Development

Fund; and the state Department of Community and Economic Development.

The development team selected Devlin Architecture to complete the plans for the housing

units. The plans were designed to fit onto typical Manchester lots, with the idea that the

plans can be replicated on other vacant lots throughout the neighborhood. The plans call

for three- and four-bedroom units, with an option for a first floor master bath. Prices start

at $170,000. Construction is scheduled to begin in the spring of 2010.

19

A map of the Columbus Square and Manchester Renaissance Phase I appears below.

Programmatic Recommendations

Given the number of vacant properties in Manchester, MCC and its partners faces significant

challenges in leveraging the necessary resources to address these properties. There is not one

approach to vacant property that is applicable in all circumstances. MCC believes that when

possible, the private market should be encouraged to take on the risk and expense of appropriate

development projects in the neighborhood. The role of MCC is to facilitate such transactions,

and to step in where the private market cannot or will not act.

Through MCC’s strategic planning process, MCC and PHLF have developed a series of

recommendations regarding vacant buildings and land. These recommendations are

complementary in nature and designed to leverage public and private resources.

Implement Manchester’s $20 Million Development Strategy through the

Manchester Renaissance and Columbus Square Housing Developments — MCC and

its partners are initiating an ambitious housing program that will help secure the

20

Columbus Avenue corridor. The Columbus Square development has broken ground and

the Manchester Renaissance Program is set to break ground shortly. Successful

construction and sale of these developments is a priority for the neighborhood.

Publish a Declaration of Community Wealth and Revisit it Annually — Manchester

is a community with significant financial and cultural resources. Manchester suffers

from a lack of good publicity, as the media and others may portray Manchester as a

community with high crime and violence. To provide a better impression of Manchester,

MCC, along with political leaders and residents, should issue a Declaration of

Community Wealth statement listing all community assets and achievements and revisit

this statement annually. The statement should list all partners and serve as an update of

the progress on this Community Plan. This statement will establish regular positive

public relations.

Hold Future Versions of the Manchester Great House Sale — MCC and its partners

will hold future Great House Sales focused on selling houses in the Manchester

Renaissance and Columbus Square housing developments. The most recent sale, held

October 17th

and 18th

of 2009, generated interest in housing throughout Manchester and

helped to advance future development by showing a strong level of market interest. The

Great House Sale will highlight the incentives associated with these developments

including: tax abatements, low interest loans, and deferred second mortgages that

significantly lower the cost of ownership. Households with incomes of as little as

$30,000 may be eligible to purchase a home.

Conduct a House Tour of Vacant and Available Houses and Implement a $1 City

House Sale for Vacant Structures — Manchester Historic Society currently holds

annual House Tours of renovated homes. To supplement this, MCC and its partners

should hold a House Tour of vacant and prospectively available houses for rehabilitation.

These would include City owned, MCC owned, and privately owned homes which MCC

obtains permission to show. In conjunction, information should be offered from various

vendors on resources (financial, architectural, etc.) available to help persons interested in

renovating historic houses. This $1 House Sale program was employed by the city in

several historic neighborhoods such as Manchester and the Mexican War Streets in the

late 1970’s. Individuals could purchase vacant homes for as little as $1, provided they

provide evidence of financing, agree to promptly fix up the home, and occupy it for a

period of time. The value of this program is that it leverages private market interest in

the neighborhood. In order for the program to work, a selection of properties will need to

be available with clear and insurable titles—either through the land reserve or the

conservatorship programs. Key program requirements such as owner occupancy and a

limit on the amount of time someone could take to renovate the home would prevent

speculative purchases.

Extend the Manchester Renaissance Project to Other Prioritized Vacant Structures

Throughout Manchester — PHLF and MCC have worked to develop a three-pronged

redevelopment strategy to target specific areas for restoration work. This strategy

involves: 1) consolidating and strengthening the area of market strength (West North

Avenue, Page, Sheffield, Liverpool), 2) building a solid western corridor by continuing

21

the Columbus St. portal, and 3) bridging the gap between these two by pushing the strong

market along Liverpool Street to the west, and focusing primarily on lower Franklin,

while also looking for opportunities to strengthen the still intact 1100 blocks to the north.

The Appendix to this plan contains information regarding subsequent phases of the

Manchester Renaissance.

Capitalize a Revolving Loan Fund for Preservation — Preservation activities in

Manchester should be incentivized. Although loan funds exist that allow for housing

rehabilitation as an eligible use, none are targeted specifically towards Manchester — the

largest city residential historic district. Given the unique demolition pressures that the

Manchester historic district faces, it is appropriate that a preservation fund targeted to

Manchester be capitalized. Such a fund could be administered by PHLF, and supported

through foundation and URA funds. The revolving loan fund would provide borrowers

willing to undertake substantial renovations of a vacant home with an important source of

capital in a difficult capital market. The funds could be targeted for the rehabilitation

process and be replaced with more readily available permanent financing once the

renovations are completed. Individual loans “revolve” when homeowners pay back the

loan after renovations are complete and a more traditional mortgage (i.e. straight

purchase as opposed to one with a purchase and rehab component) can be obtained.

Utilize Recently Enacted Pennsylvania Conservatorship Law for Abandoned

Structures—Pennsylvania recently has established a mechanism by which a community

group can petition the court to act as the conservator of a vacant or blighted property —

known as the Abandoned and Blighted Property Conservatorship Act. This law gives

communities a new option for acquiring problem properties. In order to take advantage

of this legislation, MCC should establish a subsidiary property holding corporation to

manage targeted properties and eventually take title on them, should they not be

redeemed by their current owners. The ultimate disposition of acquired property can

occur through a sale to a private party willing to undertake redevelopment consistent with

this plan. In the absence of a private party, MCC may decide to purchase and redevelop

the property.

Utilize the City’s Land Reserve Program to Assemble Publicly Owned and Tax

Delinquent Property — Properties that are tax liened and tax delinquent are usually

leading indicators of properties that will eventually end up on the City’s condemnation

list. Given the length of time that it takes to acquire tax liened property, this process

should be started before a property is on the condemnation list. MCC or its development

subsidiary will initiate the assembly process through the City’s Treasurer Sale process.

Through this process, tax delinquent properties that are not redeemed by their owners are

taken into City ownership. As the initiator of the tax sale, MCC or its development

subsidiary would then be required to purchase the properties from the City within two

years. This is a well-established process that is administered through an agreement

between the City, URA and Pittsburgh Community Reinvestment Group (PCRG). Based

on the guidelines established in this plan, when MCC acquires a property through this

22

process the ultimate disposition will be determined by the guidelines established in this

plan. For example, a property could be: 1) sold to a private party for redevelopment;

2) redeveloped by MCC; 3) sold to an adjacent homeowner as a sideyard; or

4) maintained by MCC for a community garden.

Document, Warehouse, and Re-Use Architectural Elements Retrieved from

Demolished Structures – This plan acknowledges that certain structures will be

demolished. Given the necessity of demolition in certain instances, it is important to

preserve and re-use architectural elements that can be salvaged. This is often difficult to

do, but it is possible to include these requirements as part of the Bureau of Building

Inspection’s bid specifications for demolition. A caretaker of these salvaged elements

should be established, to ensure they remain available for re-use in Manchester rather

than sold off for use in other historic neighborhoods. Construction Junction is one

potential partner in this effort, and the logistics of ownership, storage, and ultimate

disposition of the artifacts would need to be addressed as part of the implementation

phase of this Plan.

Extend the Manchester Renaissance Project — PHLF and MCC have developed a

renovation program that addresses key priorities in Manchester. The first phase has been

financed and is ready to break ground. Using this as a model, MCC and PHLF have

outlined subsequent phases to include critical properties. The next phases are described

in more detail in the Appendix.

Maintain a Viable Historic Local Review Committee—According to the City Planning

Department, three neighborhoods currently have viable Local Review Commissions

(LRCs): Allegheny West, East Carson Street, and Penn Liberty. Although LRCs do not

approve historic designation, the commissions have an important advisory role to the

city’s Historic Review Commission (HRC). Given that the Manchester District is one of

the largest local districts in the City and there are neighborhood properties up for

consideration at nearly every HRC meeting, it is important that the recently established

Manchester LRC be supported and maintained. The LRC helps to advise the commission

of this Plan’s recommendations as they relate to proposed agenda items.

Additional Recommendations

Although they don’t relate directly to development, the following, were put forward through the

community process as complementary recommendations. Development should:

Encourage employment of local residents

Promote sustainable design and building practices

Enhance neighborhood security

23

Implementation

In addition to laying out a phased development approach for strengthening the market and

addressing vacant properties, MCC and PHLF have devised a complementary set of

implementation strategies. The redevelopment of Manchester enjoys the tremendous local

political support from Mayor Ravenstahl, Councilman Lavelle, Deputy Mayor Yarone Zober,

and Department of Housing Director Tom Cummings. The implementation plan seeks to

capitalize on this political support, and set up a framework so that future changes in the political

climate would not endanger implementation. A clear leadership charge is imperative to the

success of the redevelopment process.

A summary table has been prepared that highlights some of the key implementation steps from

this plan, and notes target dates and parties involved with each item.

Task Target Involved Parties

Completion

Immediate Items

Break Ground on Phase I Columbus Square Completed MCC, URA, FRD

Update Plan with data from SNAP database Completed MCC, DCP

Make Use Recommendations for all Prioritized Properties May-10 MCC, PHLF

Publish Declaration of Community Wealth Statement Jun-10 MCC, MO

Break Ground on Phase I Manchester Renaissance Jun-10 MCC, PHLF

Place Properties for Renaissance in T-Sale Aug-10 MCC, PCRG, URA

Longer Term Items

Develop Operational Plan for Warehousing and Re-using

architectural elements Sep-10 MCC, CJ, PHLF, DCP

Capitalize a Revolving Loan Fund for Manchester Preservation Dec-10 MCC, URA, PHLF

Conduct Great House Sale Apr-11 MCC, PHLF

Update Basic Conditions Data in Plan Jun-11 MCC, PHLF

Partner Key

CJ: Construction Junction

DCP: Department of Ci ty Planning

FRD: Fourth River Development

MCC: Manchester Ci tizens Corporation

MO: Mayor's Office

PCRG: Pi ttsburgh Community Reinvestment Group

PHLF: Pi ttsburgh His tory & Landmarks Foundation

Manchester’s Leadership Charge

MCC and PHLF recognize residents are the neighborhood’s greatest asset. The aforementioned

political support, however, is necessary to move Manchester’s revitalization efforts forward.

These public servants are spearheading an effort to revitalize Manchester and address the

24

problems of vacancy and abandonment that have increased due to the downturn in the housing

market. To achieve this goal and keep the process moving forward, MCC and PHLF believe that

the city leadership should:

Designate a single point person within the city administration to coordinate and

communicate on all issues related to Manchester’s revitalization strategy. This person

would likely be Kim Graziani, Mayor Ravenstahl’s Director of Neighborhood Initiatives.

Participate annually in the Declaration of Wealth Statement (described in the

Programmatic Recommendations) for Manchester. The City’s participation would

include assistance with updated data, perhaps through the SNAP database, and

participation in a press conference publishing the Declaration of Wealth Statement.

Organizational Capacity

Mayor Ravenstahl has a commendable vision for neighborhoods, specifically in his commitment

to addressing problems of vacant property. Presented with this challenge, the URA’s Housing

Department, under the leadership of Tom Cummings, has outstanding success with packaging

and financing the Manchester Renaissance and Columbus Square developments. The City’s

Bureau of Building Inspection has been active in pursuing citations on vacant and problem

properties. It is important to better coordinate the continuing efforts of various government

agencies and departments to improve organizational capacity.

MCC and PHLF recommend that all parties involved, from department directors to elected

officials, should consider how to effectively manage and relay information about the

implementation process. Establishing regular coordinating meetings between parties is

necessary. In addition, a panel discussion and update should occur at community meetings with

Manchester residents.

Economic Development

A broad-based approach is necessary for revitalization of Manchester’s vacant properties.

Economic development activities should focus on creating opportunities for both neighborhood

properties and residents. While MCC does not currently have a workforce development program,

there are other institutions in Manchester such as the Bidwell Training Center that are well

known and accomplished workforce programs. These programs are important, and MCC will

partner with quality workforce providers to allow Manchester residents to access these services.

Job creation is a key economic driver that brings benefits to Manchester’s revitalization in a

number of ways. Improving the economic conditions of Manchester’s residents will provide a

stronger economic base upon which to address the problem of vacant and abandoned buildings.

Some buildings are abandoned because their owners lack the means to maintain them. Efforts to

expand existing job opportunities, as well as support for new business enterprises are an

investment that support wealth creation in Manchester. Strategic efforts should include:

Cultivation of New Job Creation Opportunities through Local and Regional Job

Centers — There are many local and regional job centers serving Manchester residents.

25

The location of a new employer with over 1,000 jobs adjacent to Manchester, the Rivers

Casino, creates a major employment opportunity. MCC can work with partners such as

the Northside Leadership Conference and Bidwell Training Center to facilitate job

training and hiring of local residents.

Coordination with Local Financial Institution Partners—Local financial institutions

market Small Business Administration (SBA) and portfolio loan products for the creation

and expansion of local businesses. MCC has many great partners in this regard,

including PNC Bank, First Niagara Financial Group, and the Northside Community Loan

Fund.

The Western Avenue business district which serves Manchester is currently undergoing a major

public infrastructure improvement program. The street, curbs, sidewalks, and light poles are

being replaced and the electrical service will be relocated to the alleys. Businesses in this district

employ many Manchester residents. As a result, MCC expanded its Board of Directors to

include representatives from businesses along Western Avenue.

Public Safety

There is a clear link between public safety and neighborhood revitalization. Manchester will

struggle to sell new and rehabilitated homes if the perception is the neighborhood is unsafe.

MCC has led several Community Safety Initiatives over the last few years, including block

watch groups, a no loitering sign campaign, and funding for extra police details. Initially, MCC

utilized three block watch groups focused on different geographies. Over time, it became clear

that a consolidated approach made the most sense. In 2006, the block watch groups decided to

merge in to one group creating the Manchester Community Safety Committee.

Manchester Citizens Corporation has recently broadened its public safety efforts to include the

Community Justice Program. The program is built on the idea of a broad-based intervention to

criminal activity. The program involves community members in the process of addressing the

consequences of criminal activity. Criminal offenders may be referred to a local Community

Justice Panel that exposes the offender to members of the community that he or she harmed

through their actions.

26

Appendices

Special Implementation Focus: Financing

I. Identify Financial Resources and Engage a Finance/Development Officer

II. Review all Manchester Housing Financing Assumptions

A. Staffing Needs and Capacity

B. Existing Development Commitments

1. Environmental

2. Legal

3. Financial

III. Identify Predevelopment Financing

A. Site Control

B. Communications/Branding

C. Entitlements

D. Consultants

IV. Identify Core Funding Strategies and Sources

A. Private Financing

1. Pittsburgh Financial Institutions

2. Insurance Companies

3. Pensions

4. Foundations

B. Public Financing

1. Federal Sources

a. New Market Tax Credits

b. LIHTC

c. HOME Investment Partnership Program

d. Community Development Block Grants

e. Fannie Mae and Freddie Mae

f. Federal Home Loan Bank

2. State Sources

a. Pennsylvania Housing Finance Agency

b. Department of Community and Economic Development

c. State Representatives/Community Revitalization Program

27

3. Local Sources

a. ACCBO

b. Bond Financing

c. Tax Abatement

d. County Infrastructure and Tourism Fund

Program & Budget for Manchester Renaissance Future Phases

The Manchester Renaissance Initiative is the redevelopment of a portfolio of former rental

property that was acquired by the Urban Redevelopment Authority through a HUD foreclosure.

MCC secured Landmarks Community Capital Corporation (a PHLF affiliate) to assist in the

development of the first nine-unit phase. Financing was raised through a variety of public and

private sources.

Having secured financing for the first phase of development, MCC and PHLF have evaluated

options for a second phase of development which would follow the completion and sale of Phase

I. The remaining Renaissance portfolio consists primarily of vacant structures and lots that are

on alleys. These properties, because of their condition and location on alleys, are seen as having

less priority than other vacant structures located on more visible streets. In addition, these alley

properties are less desirable from a marketing perspective and would likely command lower sales

prices.

The recommendation is to substitute the development of other more visible and marketable

structures for the remaining Renaissance units. Any HUD-related restrictions on income would

need to transfer to the substituted units. Redeveloping vacant houses in more strategic and

desirable locations in Manchester makes sense both for the neighborhood and the residents that

will occupy the restored homes.

Renaissance Properties:

These properties are part of the original Manchester Renaissance portfolio which is currently

controlled by the URA and Ralph A. Falbo Inc.:

1424, 1426, 1428, and 1430 Rush — This structure is a four-unit brick apartment

building which fronts on an alley but has access to a vacant lot for parking. If an

interested party can be found to make the necessary improvements, it should be saved. In

the absence of finding a third party to take on this project, the structure could be

demolished.

1316 and 1318 Lake — This is a brick duplex which fronts on an alley having little

setback from the street. Each unit is only 12 feet wide. It is not a priority for

preservation.

28

1122, 1124, and 1126 Warlo—This is a brick three-unit configuration in townhouse style.

Its condition and location makes it not a priority for preservation.

Properties Prioritized for Restoration:

MCC owns the properties at 1400 and 1402 Liverpool Street. The rest of the properties would

likely need to be acquired through the City’s Treasurer’s Sale process.

1400 and 1402 Liverpool Street — These are structurally unconnected, but companion

buildings, with 1400 set on the prominent corner of Liverpool and Manhattan streets.

Both need substantial work, though 1400 is nearly too far gone to recover and it is

included on the city’s condemned list.

1337 and 1339 West North Avenue – This is a very handsome duplex structure that sits

on the prominent corner of West North and Manhattan streets. There is enough square

footage to accommodate multiple units on each address. Although the building has

interesting architectural features, it is in very poor condition. It is on the city’s

condemned list.

1445 West North Avenue — The western end of the 1400 block of North Avenue has

already lost several structures. As a result, this building now sits on the end of the block

and is the current buffer against noise from Chateau Street. Restoration and occupancy

will help protect this entire block. It is on the city’s condemned list.

1427 and 1429 Sheffield Street — This is a very substantial and handsome duplex

structure that is on the lower end of the 1400 block of Sheffield and can serve as a buffer

from Chateau Street once it is restored and occupied. There is enough square footage for

multiple units in each address. It is on the city’s condemned list.

1301 Columbus Street — This building is near the former American Electric site. The

corner building across the street has already been demolished. The building is very

distinctive and was originally home to a commercial space on the first floor. It could

accommodate multiple units on the upper floors. This building could anchor the northern

end of Columbus and provide an important transition to the Columbus Square project. It

is on the city’s condemned list.

1321 Columbus Street — While 1321 Columbus is not as distinctive architecturally as

the other four Columbus Street properties we prioritize here, it is an important part of the

fabric of the 1300 block and it is on the city’s condemned list.

1401 Columbus Street — This is a very distinctive building on the important corner of

Columbus and Manhattan streets. It originally housed a commercial venture in the first

floor. It could accommodate multiple units in the upper floors. It must be retained and

restored as part of any serious effort to shore up the 1300 and 1400 blocks of Columbus.

29

1404 Columbus Street — This is now the corner building on the northwestern side of the

1400 block of Columbus. It provides a complement to the 1401 building across the street

and is equally important to a Columbus Street restoration. It is on the city’s condemned

list.

1315 and 1321 Franklin Street — These are both modest, attractive buildings that are

near the middle of the 1300 block of Franklin Street. Both buildings are in poor

condition but the restoration and occupancy of them would help solidify this block. 1321

Franklin is on the city’s condemned list and was recently purchased from the City by a

young family, however, it is unclear if they are still involved.

1419 and 1421 Franklin Street — These two are end units in an attached row of

properties. As a whole, this is a substantial structure and it is important to the 1400 block

of Franklin Street that the entire row be preserved.

1109 Liverpool Street — This building is the end of a contiguous row. It is a typical 2 ½

-story masonry house with a dormer. The property contributes architecturally to the

block in which it is in.

Manchester Renaissance Phase II Program & Budget

The program below reflects a conceptual Phase II of the Manchester Renaissance based on the

prioritization of properties using the guidelines in this plan. The ten units represented in this

Phase II do not represent all of the prioritized properties, and other prioritized properties that are

be included in this Phase will be part of subsequent phases. Public funding sources and sales

absorption limit each phase to no more than ten properties.

The average construction cost estimates were generated by Tom Keffer, Construction Manager at

PHLF and based upon an assessment of the physical condition of each structure. Sales pricing

was estimated based upon market sales data for Manchester.

The budget reflects a conceptual plan for financing that is based upon typical levels of public and

private investment in these projects. Funding for Phase II is contingent upon successful

completion of Phase I, which has committed funding and expects to break ground by the

Summer of 2010.

Phase II and Phase III may require property acquisition by MCC. It is anticipated that most of

these properties will be acquired through the City’s Treasurer’s Sale process. That process must

begin now in order for MCC to be able to start Phase II immediately after construction and sale

of Phase I.

30

Manchester Citizens Corporation

Manchester Historic Restoration Initiative Phase II

10 units

CONCEPTUAL UNIT CONFIGURATION

1337 & 1339 West North Ave. 1445 West North Ave.

Projected Number of Units 4 Projected Number of Units 1

Square Footage Per Unit 1500 Square Footage Per Unit 1944

Avg. Construction Cost $140 Avg. Construction Cost $85

Total Construction Cost / Sq. Ft. $840,000 Total Construction Cost / Sq. Ft. $165,240

Base Sale Price $150,000 Base Sale Price $160,000

1315 N. Franklin 1400 Liverpool

Number of Units 1 Number of Units 1


Avg. Construction Cost / Sq. Ft. $110 Avg. Construction Cost / Sq. Ft. $130

Total Construction Cost $176,410 Total Construction Cost $198,900


1402 Liverpool 1109 Liverpool

Projected Number of Units 1 Projected Number of Units 2


Avg. Construction Cost $110 Avg. Construction Cost $110

Total Construction Cost / Sq. Ft. $209,110 Total Construction Cost / Sq. Ft. $396,000


Total Construction Costs $1,985,660

Total Sales Revenue $1,540,000

Annual City of Pittsburgh Property Tax Revenue $16,632

31

Manchester Citizens Corporation

Manchester Renaissance Initiative: Phase II

10 units

CONCEPTUAL DEVELOPMENT BUDGET

SOURCES OF FUNDS BUDGETED NOTES

Bank Loan $1,000,000 7.0% interest

NSCDF 2nd Position Construction Loan $392,200 7.0% interest

URA CDIF Grant $150,000

HUD Upfront Grant $250,000 25k per unit / 10 units

URA HCP Grant $300,000 30k per unit / 10 units

Allegheny Foundation Grant $250,000

State HRA or PHFA NSP Funds $275,000

DEVELOPMENT SOURCES: $2,617,200

PERMANENT FINANCING

Deferred (Sale Proceeds) $147,800

Total $147,800

TOTAL SOURCES OF FUNDS: $2,765,000

USES OF FUNDS

Acquisition $100,000

Materials & Labor $1,985,660 see attached unit mix

Contingency $99,283 5%

Additional Site Work $40,000

Architect $140,000

Developer Overhead $99,283 5% construction cost

Marketing $15,000

Closing Costs $4,000 4% of acquistion

Construction Interest $73,000 18 months, 50% AOB

Legal Fees $10,000

Construction Period Taxes $4,000

Construction Period Insurance $5,000

Holding Costs $10,000

Appraisal Fees $3,000

Inspection Fees $3,000

Financing Fees $14,000 $0

Title Insurance $9,974

Construction Closing/Recording Fees $2,000

$2,617,200

Sales Price (10 units) $1,540,000PERMANENT USES

Closing Fees $40,000

Transfer Taxes (2.0%) $30,800

Sales Commission $77,000 Avg. 5%

SUBTOTAL PERMANENT USES: $147,800

TOTAL DEVELOPMENT COST: $2,765,000Total Sources $2,765,000

GAP / (Overage) $0

32

Manchester Renaissance Program Summary

Resulting Original Renaissance

Property Address Recommendation # of Units Portfolio

Phase I

1110 Bidwell Rehab 2 Yes

1240 Liverpool Rehab 2 Yes

1322 Columbus Rehab 1 Yes




1113 Sheffield Rehab 1 No

Total Phase I 9

Phase II

1337 W. North Rehab 2 No



1315 N. Franklin Rehab 1 No

1400 Liverpool Rehab 1 No


1109 Liverpool Rehab 2 Yes

1424, 1426, 1428, 1430 Rush Sale to rental developer 4 Yes

1316 Lake Demolish 0 Yes

1318 Lake Demolish 0 Yes

1122 Warlo Demolish 0 Yes



Total Phase II 14

Phase III

1301 Columbus Rehab 1 No











1429 Sheffield Sale to rental developer 4

Total Phase III 15

Total All Phases 38

the manchester neighborhood plan · 2016. 7. 5. · (nthp), northside community loan fund;...

Documents