In this month's episode of Wealth Building Wednesdays, BPG's VP of Development, Bomani Howze sits down with Dr. Diamonte Walker, Deputy Executive Director of the Urban Redevelopment Authority of Pittsburgh (URA) to discuss the importance of public-private partnerships. Dr. Walker is committed to advancing and measuring equitable development by ensuring residents, business owners and institutions face the new realities of Pittsburgh's transforming economy. Hear from her in this month's episode. You won't want to miss it!
Part of FNB’s More Than $200 Million Investment in Historically Underserved Community
F.N.B. Corporation (NYSE: FNB) announced it has delivered an initial payment of nearly $7.2 million to the Greater Hill District Reinvestment Fund to support community investment and development.
The funds are part of a forward-thinking financing solution provided by FNB, in collaboration with the Pittsburgh Penguins, The Buccini/Pollin Group and Clay Cove Capital. This strategy enabled the partnership to monetize and make immediately available the Local Economic Revitalization Tax Assistance (LERTA) revenue generated by the FNB Financial Center project, which otherwise would have been paid out over a 10-year period. Delivering the proceeds up front results in direct benefit for the Hill District, aligning with the development team’s extensive commitment to ensure that the construction of FNB’s new corporate headquarters fosters overall development and success in the community.
“Our close partnership with the Penguins and the entire development team made it possible for us to propose an innovative financial solution that had a greater and more immediate impact in the community,” said Vincent J. Delie, Jr., Chairman, President and Chief Executive Officer of F.N.B. Corporation and First National Bank. “It took creativity, dedication and a joint effort to get these funds back into the Hill District more quickly, where they can be put to work in resources and initiatives that will foster success for residents and businesses that require the funding.”
FNB Financial Center is at the core of one of the largest, most socially responsible urban development initiatives in the U.S., with a commitment for substantial participation by minority- and women-owned businesses. The project is expected to be a catalyst for hundreds of millions of dollars in overall economic expansion, the creation of more than 1,000 jobs and significant neighborhood reinvestment.
With a long history of service to the community, FNB’s total investment in the Hill District is in excess of $200 million in loans, investments and grants. In addition to the LERTA funds, highlights include:
PITTSBURGH, PA (September 1, 2021) F.N.B. Corporation (FNB), the Pittsburgh Penguins, Clay Cove Capital and The Buccini/Pollin Group (BPG) today joined members of the Historic Hill District community and elected officials to break ground on FNB Financial Center, the 26-story mixed-use tower that will kick-start the redevelopment of the historic Pittsburgh neighborhood and serve as the corporate headquarters of FNB, the parent company of First National Bank.
With more than 150 years of service to western Pennsylvania, construction of FNB Financial Center further marks FNB as one of the greatest drivers of Pittsburgh’s revitalization through its commitment to raising the quality of life for all in the region. The tower is expected to generate 1,250 construction jobs, 2,000 permanent jobs and $40 million in investments in the Middle and Upper Hill District. It will contain more than 475,000 square feet of Class A office space, consolidate the company’s regional headquarters operations and include open space and terraces for community events at the adjacent Plaza at FNB Financial Center.
“Through the dedication of our partners and community, today we commenced a project that will fulfill a vision for transformation in our region that has been years in the making,” said Vincent J. Delie, Jr., Chairman, President and Chief Executive Officer of F.N.B. Corporation and First National Bank. “We are proud to continue to grow our Company in our headquarters city and for FNB to be such an integral part of Pittsburgh’s future.”
Construction of the tower at Bedford Avenue and Washington Place will further restore connections between the Greater Hill District and Downtown Pittsburgh and is the first step in an estimated $1 billion redevelopment by the Pittsburgh Penguins of the 28-acre former Civic Arena site.
To expand participation by minority and women-owned businesses in the project, the development team hired e-Holdings at the start of the year to boost inclusive procurement efforts. In June, the Penguins and BPG opened the First Source Center on Centre Avenue as a one stop shop for those seeking assistance with employment and contracting opportunities at the site, which, following construction of FNB Financial Center, will next include a live music venue, parking garage and housing.
“The Penguins are proud to be one of the most community-driven teams in professional sports, and while there is still much work to be done, today’s groundbreaking shows that we stand by the promises made to our Hill District neighbors,” Penguins CEO and President David Morehouse said. “FNB too has a long history of supporting our city, and with this project they are providing a tremendous boost to Pittsburgh’s economy and job creation as we rebound from the COVID-19 pandemic.”
BPG is the master developer of the commercial elements of the Lower Hill District.
“We are delighted to achieve such an important milestone for this transformational project – one that’s made possible by the strong partnership behind the FNB Financial Center,” BPG Co-President Chris Buccini said. “This partnership is made up of champions, and this project would not happen without our partners’ love of their hometown and our collective commitment to making Pittsburgh a better place for all its residents. We are excited about the future of this City, this community and this significant investment and look forward to working together to make great things happen in the Historic Hill District.”
Construction of FNB Financial Center will be led by P.J. Dick. Internationally-renowned Gensler is leading the design team for the project. The Pittsburgh office of JLL is responsible for commercial leasing efforts.
Construction of FNB Financial Center and the Plaza is expected to be completed in late 2023.