South Side real estate board says mission accomplished
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From left, Ron Goings, Rick Belloli, Aaron Sukenik, Judy Dyda, Rachael Glasder, Susie Puskar and DaVar Cutler of the South Side Local Development Co.
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South Side Local Development Co., one of the most successful nonprofit real estate developers in Pittsburgh, will spend the next 18 months putting itself out of business.
The board decided to dissolve the little company whose 28-year tenure on the South Side has coincided with the neighborhood's transformation in private property values, popularity and market economy.
A successor organization with a focus on public issues will be formed with community feedback to the South Side Planning Forum, the neighborhood's umbrella for other groups, and the Pittsburgh Partnership for Neighborhood Development.
"This is an exciting transition, and I'm thinking of this as a huge success story," said Ellen Kight, executive director of the Pittsburgh Partnership for Neighborhood Development. "They have really done what a (community development corporation) is supposed to do."
Successful development corporations step in with public investment to help neighborhoods attract private investment. Some also have youth and job training programs, public safety committees and other outreach. The South Side nonprofit has largely focused on real estate and has built or renovated more than 100 homes in the past 20 years.
Private developers have added some 800.
"We've done our job," said Tracy Myers, the company's board president.
In 1982, when the company was founded, property values were two-thirds of the city's median value, said executive director Rick Belloli. In 2008-09, those values were 170 percent of the city's median. About 50 percent of the retail space along East Carson Street was vacant in 1982, and that rate is now at about 10 percent, he said.
Rob Stephany, executive director of the Urban Redevelopment Authority, said there is still work to be done by a high-capacity real estate nonprofit in the South Side's adjacent neighborhoods.
"The target area is big, and the next step would be moving that [real estate] strength to the next frontier," including Allentown and Arlington, he said.
"Clearly from a real estate value standpoint, the [development company] has been an invaluable piece of the puzzle," he said. "The equity senior citizens have in their homes is growing, and that's a proud moment. The fact that there are $400,000 sales in the South Side astounds me to this day."
The remaining challenges largely have to do with the proliferation of bars, said Ms. Myers. "That's a consequence of our success."
First Published November 1, 2010 12:00 am
