An in-depth look at how residential demand, corporate growth, and development activity sparked the resurgence of downtown Pittsburgh

1. © JLL 2017 1
Full circle: Pittsburgh
An in-depth look at how residential demand, corporate
growth, and development activity sparked the
resurgence of downtown Pittsburgh

2. © JLL 2017 2
Pittsburgh’s resurgence
gains national attention
The economy in downtown Pittsburgh is gaining momentum,
driven by growth in multiple sectors. Companies like Uber
and Amazon are taking advantage of the highly technical
workforce Carnegie Mellon University and the University of
Pittsburgh continue to provide. While the engineering and
robotics industries continue to grow in Pittsburgh, the
announcement of Shell’s cracker plant in Beaver County has
inspired a new sense of optimism in the energy sector
across the entire region.
As Pittsburgh’s future potential is gaining more recognition,
the investments flowing into downtown are changing the
landscape. A number of buildings are currently being
redeveloped by outside investors, while several new
developments are close to breaking ground. The excitement
and energy around downtown is tangible and with over 4,000
residential units currently in the construction pipeline,
population is expected to grow in the coming years.
Downtown Pittsburgh
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Downtown Pittsburgh by the numbers
37%Percent Millennials
134,000Total employment
70Office tenants
2016 Business attraction and retention
111# of investment projects (2012-planned)
$4.3BTotal investment
87%Private investment
4.8Square miles
33,000Residential population
16.6%Population growth since 2000
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Downtown Pittsburgh
1,500,000
1,900,000
2,300,000
2,700,000
20,000
25,000
30,000
35,000
2000 2010 2017
Population growth
Current downtown population estimates show
a considerable increase since 2010 due to
substantial residential development.
2.4M
2.3M
2.7M
28.3K
27.4K
33.0K
Demographics
21%
37%
16%
4%
Generation Z and Millennials make up over
half of the population downtown, fueling
Pittsburgh’s new dynamic economy.
Generation Z (0-19)
Millennials (20-36)
Generation X (37-52)
Baby Boomers (53-71)
The Silent Generation (72+)
2017 downtown population by age
8,000
12,000
16,000
2000 2010 2017
Residential development
With an additional 4,000 apartment units
in the pipeline, the downtown residential
market is positioned for rapid growth.
10.8K
12.3K
15.8K
People
Downtown population Metro population Downtown housing units

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Largest employers
The largest private employers in downtown
Pittsburgh span a broad range of industries,
illustrating the region’s diverse economy.
UPMC
HighmarkHealth
PNC Financial
BNY Mellon
US Steel
46,500
20,900
11,400
7,000
4,200
PPG
Alcoa
UnitedHealth Group
Rivers Casino
EDMC
2,300
1,700
1,600
1,500
1,500
Business attraction & retention
In 2016, urban demand remained strong as
nearly 70 office tenants made a commitment
downtown. Below are several of the largest
commitments.
Amazon
Brickstreet Insurance
Frost Brown Todd
Industrious
Ariba (SAP)
Carmeuse
Confluence
EDMC
Federated Investors
Highmark
Marshall Dennehey
Morgan Lewis
Peoples Natural Gas
Seubert & Associates
Tucker Arensberg
UnitedHealth Group
UPMC
US Steel
Retention or expansion (1,300,000+ s.f.)
Attraction (170,000+ s.f.)
Employment by industry
Professional and business services
Hospitality, leisure and retail
Government
Construction, manufacturing and transportation
Downtown employment by industry
Information
Education and healthcare
Other
Downtown Pittsburgh has a thriving 21st
century economy with significant employment
in the business and technology industries.
36%
23%
13%
9%
7%
10%
Business
Netflix
Oculus
Uber
Downtown Pittsburgh

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23%
23%
54%
Investment by project status
Investment activity has surged over the last
five years and many large planned projects
have yet to begin construction.
Completed (2012-16)
Under construction
Planned
$1.0B
$1.0B
$2.3B
43
29
39
Status Investment
# of
projects
Investment by funding type
Private funding accounts for the majority
of investment spending over the past five
years, as outside investors have noticed
Pittsburgh’s diverse economic potential.
87%
13%
Private investment dollars
Public investment dollars
$0.0
$0.7
$1.4
$2.1
Education,
infrastructure,
public use
Entertainment,
retail
Hotel Office Residential
Investment by property type
Office projects have received the largest share
of investment dollars, driven by large private
developments.
37
projects
20
projects
36
projects
9
projects9
projects
($B)
Investment
Downtown Pittsburgh

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7 Pitt Building Redevelopment
8 Pittsburgh Stadium Garage
9 Riverfront Landing Apartments
10 Pittsburgher Building
11 Town Place Development
1 3 Crossings: The Hub
2 Cambria Suites at PPG Arena
3 City-County Building Renovations
4 Heinz Lofts: Service Building
5 Nova Place Renovation
6 Penn Rose Redevelopment
1 20 Stanwix
2 3 Crossings: Riverfront West
3 319 Third Avenue
4 525 William Penn Renovations
5 Allegheny Building Improvements
6 Allegheny County Courthouse
7 Civic Arena Site
8 Continental Residential Project
9 Heinz Research Apartments
10 Macy’s Redevelopment
11 Northbank Hotel
12 One Oxford Redevelopment
13 Penn Avenue Plaza Restoration
14 Post Gazette Redevelopment
15 PPG Glass Warehouse
16 Produce Terminal Development
17 Rivers Casino Hotel
18 Steelworkers Building Renovation
19 The Highline
11 Monongahela Incline
12 Point Park Center for Media
13 PPG Ice Rink Expansion
14 ALCOA Building Conversion
15 The Tower at PNC Plaza
16 The Yards at 3 Crossings
17 JLL Center / Hilton Garden Inn
18 Union on 5th
19 Union Trust Improvements
20 Verizon Building Restoration
1 3 Crossings: 2501 Smallman
2 3 Crossings: 2555 Smallman
3 907/909 Penn Avenue
4 Allegheny Health Department HQ
5 Benedum Center Expansion
6 Clark Building
7 Embassy Suites & Oliver Building
8 Flats on Fifth
9 Homewood Suites
10 Liberty Center Improvements
Investment map
Significant projects under construction
Significant projects completed in 2015-16
Notable proposed projects
Completed in 2015-16 Under construction Proposed
Downtown Pittsburgh

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Contact
Tobiah Bilski
Research Analyst, GIS
+1 412 208 1426
tobiah.bilski@am.jll.com
www.jll.com/research
www.jll.com/pittsburgh
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