City of Pittsburgh – Department of City Planning The Pittsburgh and Philadelphia Stories John Carpenter REDEVELOPMENT AUTHORITY of the CITY OF PHILADELPHIA Kim Graziani OFFICE OF THE MAYOR of the CITY OF PITTSBURGH

PittsburghPhiladelphia Total Miles55.42 sq mi sq mi Total Neighborhoods90 neighborhoods155 neighborhoods Total Population 333,5271,540,351 Population Loss over 50 Years343,278 or 50 %452,703 or 23% * Median Sales Prices for Single Family Homes $66,562$130,400 Percent of Homeownership52%59.3% Approx. Total Taxable Parcels126,732570,000 Amount of Tax Delinquency (total parcels ≥ 2 Years Tax Delinquent ) 17,780 or 14 %100,000 or 18% Abandonment (total parcels ≥ 5 Years Tax Delinquent ) 8,690 or 6.8% ? Foreclosures 20081,199 (0.7%)≈ 5,500 (1%) 7430 (2009) Vacancy (lots and structures) 14,000 vacant lots (9,826 parcels publicly-owned) 6,000 or12% vacant buildings 40-60,000 vacant properties (10,000 publicly-owned)

 It’s Everywhere 40-60,000 Vacant Properties (estimates vary)  It’s Expensive  Jumbled Ownership Hard to Assemble Parcels  Private vs. Public Ownership Philadelphia Vacant Land Story DEFINITION OF THE PROBLEM

City-Wide Vacancies Philadelphia Vacancy Density

 IT’S EXPENSIVE $69.4 Million (to date) $11.3 Million (L&I FY2008) Blighted properties reduce the value of nearby properties by up to 20% Lost revenue from failed real estate tax collection Maintenance of vacant properties by City Diminished value resulting from vacant properties Philadelphia: Definition of the Problem

Jumbled Ownership

Philadelphia: Definition of the Problem  Private Ownership  Tax-Delinquent  Public Ownership  Fragmented  Private Ownership vs. Public Ownership 1 out of 5: Publicly Owned Public 4 out of 5: Privately owned Private

 Private Ownership = 4 out of 5 1 year = $1.4 Million years = $6.2 Million 11 + years = $61.8 Million Most of the older delinquencies are considered uncollectable. Total Private Ownership = 4 out of 5 Vacant Properties Over half are tax delinquent, a total of $69.4 million Private Philadelphia: Definition of the Problem

Fragmented Public Ownership Total Public Ownership = 1 out of 5 Vacant Properties 50% 27% 15% 8% Public Philadelphia: Definition of the Problem

Philadelphia: Goal Unified system of:  Tax foreclosure  Property maintenance  Effective marketing for reuse

Websites with property lists Broker Sale Pilot Coordinated RFPs Simplified Documents More Predictability Recent Progress

City-Wide Vacant Land Work Group Convened by the Mayor How We’re Fixing the Problem

Lessons Learned  Key Linkage Between: Tax Collection Policy Land Re-use Opportunity  Everyone is a Stakeholder: Homeowners Landlords Non-profits Government  Differing Interests

Pittsburgh: Definition of the Problem

Pittsburgh: Definition of the Problem

Pittsburgh: Definition of the Problem

Pittsburgh: Definition of the Problem

City of Pittsburgh – Department of City Planning Pittsburgh: Definition of the Problem

Pittsburgh: Definition of Problem

City of Pittsburgh – Department of City Planning Pittsburgh: Definition of the Problem  Scale and effect of decline in certain neighborhoods  Cost to acquire, maintain and responsibly reuse  Local community capacity

Current Resources to Address the Problem  Pittsburgh Land Reserve  Mayor’s Green Up Pittsburgh Program  Comprehensive and Local Plans  Increased demolitions

Goal Create a more comprehensive system to recycle tax delinquent and abandoned parcels by:  improving the current system that works if there is an end user/market;  creating a system to deal with properties with no market; and  develop a sustainable funding mechanism

Larimer 45% of neighborhood is tax delinquent (1,977 out of 4,348 taxable parcels)

Larimer Green Zone Total Costs Total Public Acquisitions$123,379$148,232$19,250$290,861 Private Acquisitions$196,108$110,837$306,945 Holding Costs$500$532$2,578$272$3,882 Demolition$133,067$2,945$136,012 Community Support Greening$27,175$30,000 $87,175 Organizational/Programmatic ELCCC/Kingsley$67,825$15,000$82,825 Hosanna Industries Homeface Program$100,000 Total$123,879$243,764$496,003$144,054$1,007,700  Total Cost: $1Million Total Acreage Under Public Control: 7.85 (13.5 acre zone)

Larimer 45% of neighborhood is tax delinquent (1,977 out of 4,348 taxable parcels) Before After

Process to Achieve Our Goal  Mayor Ravenstahl is leading the charge via the Land Recycling Task Force  Members of the Task Force include:  City Representatives  County Representatives  State Representatives  School Representatives  Local Authorities  Community Development Professionals  Real Estate Attorneys  Advocates  Task Force meets quarterly  Pilot projects

Lessons Learned  Focus on tax policy  Costs of blight  Benefits of stabilizing communities  Involve community  Support creative reuse strategies

Comments/Questions? Cindy Daley: Dan Kildee: John Carpenter: Kim Graziani: GO STEELERS! Thank you.