Pittsburgh has millions of dollars in unspent federal coronavirus aid. Mayor Ed Gainey announced Friday plans to spend a small chunk of it on creating more residential housing Downtown.
Gainey plans to introduce legislation to spend $2.1 million on a pilot project that would convert vacant Downtown office buildings into residential units. The funds would be used by the Urban Redevelopment Authority, which already plans to spend $3 million in state dollars on similar efforts.
In a statement Friday, Gainey said the investment would “improve the vitality of Downtown Pittsburgh.” The sentiment was echoed by the Pittsburgh Downtown Partnership.
The city's central business district has not yet rebounded from the devastating impact of the COVID-19 pandemic, which has left many office buildings empty nationwide. According to City Controller Michael Lamb, Downtown garages remain at under 50% capacity on weekdays. The controller said commuters have yet to return to the neighborhood, affecting restaurants and other businesses.
More housing Downtown could be good for business, but it would also advance one of Gainey’s key campaign promises: more affordable housing. In a statement, Gainey said the new residential developments would target a mixed-income audience that includes affordable units and workforce housing. Workforce housing would benefit employees with jobs in the area, though Gainey did not mention any private partnerships in Friday’s announcement.
If approved, the money would supplement workforce housing efforts already underway at the county and state level. Officials are launching a $9 million program to support Downtown and create more housing opportunities.
“We are excited to join State Senators Jay Costa and Wayne Fontana, Allegheny County Executive Rich Fitzgerald, the URA, and the Pittsburgh Downtown Partnership in this endeavor," Gainey said.
Senate Minority Leader Jay Costa called the conversion program a great opportunity to help Downtown recover from the pandemic. “Providing funding to assist converting these spaces will ... reinvigorate the Golden Triangle,” he argued.
Pittsburgh Downtown Partnership President and CEO Jeremy Waldrup welcomed the news Friday, arguing that the growing number of tenants Downtown is what keeps the neighborhood alive.
“Our growing residential community is making Downtown a more vibrant and resilient neighborhood, supporting our retailers and restaurants while also activating some of our beautiful historic buildings,” Waldrup said.
City Council must approve the plan.
