Despite a last minute attempt by Hill District Councilman R. Daniel Lavelle to add amendments, Pittsburgh City Council passed legislation approving zoning changes required for the development of the 28-acre former Civic Arena site.
Lavelle, who was not present for the Feb. 4 final vote, had sought to amend the January settlement forged by the city, its Urban Redevelopment Authority, the Pittsburgh Penguins and the Hill Community Development Corporation when he introduced the legislation a week earlier.
Specifically, Lavelle had sought to eliminate a “green building” exemption to height restrictions on the site. He also sought to limit the types of businesses—and who owned them—occupying ground-floor retail space within the development zone.
The amendments were voted down. But council did approve establishing an Affordable Housing Taskforce, a body Mayor Bill Peduto committed to forming as part of the January agreement.
That agreement also allowed the URA to approve creation of a special Local Economic Revitalization Tax Assistance district to help finance the $440-million development. In lieu of property taxes, Property owners located within the district would receive a 10-year abatement. However, they would still deposit their assessed amount into two funds, one established for site infrastructure and one neighborhood revitalization elsewhere in the district.
The funds are expected to generate $40 million over 25 years, with half going to improvements in the Hill and Uptown. The authority approved the deal during a special meeting Jan. 26.
For its part, the Hill CDC, won an agreement reducing the minimum size of development parcels within the district to three acres. This would allow for small and minority development entities to take part in the general contracting for work on the site. The five-acre minimum requirement for final development plans was also eliminated.
It also had the boundaries of the district altered so that certain properties—most notably the CONSOL Arena—would not be eligible to receive monies from the Neighborhood Revitalization Fund.
“This is a huge win for the community. It couldn’t have happened without the stakeholders committing to and working on this for over two years,” said Hill CDC Executive Director Marimba Milliones. “And the Affordable Housing Taskforce is critical, not just for the Hill but for the whole city.”
The 28-acre site is divided into three sub-districts each with a mix of specifically allowed developments either residential, retail, commercial, manufacturing or green space.
It also restricts certain businesses from locating anywhere in the district. Some of these include: adult entertainment, communications towers, gas wells, auto repair shops, methadone clinics, correctional facilities, and fraternities or sororities—although some of the residential units may serve as dormitories.
The Lower Hill Redevelopment Community Collaboration and Implementation Plan agreement also calls for hiring a consultant who will monitor each developer’s implementation of the plan and issue quarterly reports on compliance.
The Sports and Exhibition Authority is scheduled to begin initial infrastructure this spring. The development’s first tenant, U.S. Steel, will resubmit the final development plan for its new headquarters building to the city planning commission within the month.
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