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Developer touts ambitious Beechview plan

Developer touts ambitious Beechview plan

Hearing that Bernardo Katz would be arriving momentarily, a waiter at Aladdin's Eatery in Mt. Lebanon brought out a cold drink and set it on Katz's favorite window table.

"Bernardo likes to sit here," the waiter said, adding that in Aladdin's, Katz is known only by his first name.

Katz is landlord for the building in the 600 block of Washington Road in Mt. Lebanon's business district, the man who transformed an eyesore into a trendy spot where Aladdin's, Little Tokyo and an international gift shop called Tournesol now do business.

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It is here, the site of one of his clear success stories, that Katz came to talk about his latest venture: his plans to redevelop a deteriorating section of Beechview's Broadway Avenue business corridor.

Katz is in the process of acquiring 19 commercial properties there, and has ambitious plans for a Mexican restaurant, an upscale market, a coffee shop, juice bar and other businesses.

His first step has been to buy and close the sites of two nuisance bars -- Hot Tamales and Big Dawg's.

Katz, 44, a native of Rio de Janeiro, Brazil, and a classically trained cellist with a doctorate in music who speaks five languages and quotes philosophy, is an unlikely champion for a working-class neighborhood like Beechview.

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"Average projects bring average results," said Katz, who switched from music to real estate speculation a few years ago and now owns real estate in Mt. Lebanon, the Downtown Cultural District and Beechview. "My slogan is [that Beechview should be] a neighborhood of excellence," he said.

Though Katz said he is not politically connected, he secured a $540,000 loan from the city's Urban Redevelopment Authority to buy and close the bars.

Some Beechview residents are wary.

Don Bell, president of the Beechview Merchants Association, said the community has tried but failed to get the kind of URA support that Katz is getting.

"Now, all of a sudden the URA is throwing around money like a drunken sailor," he said.

"Bernardo has a track record," said his wife, Holly Katz, first violinist in the Pittsburgh Symphony.

State Rep. Michael Diven, D-Brookline, an early supporter, said he admires Katz's enthusiasm and determination.

"He was having trouble with two nuisance bars. I have been actively working with him so his vision of Beechview can be realized," said Diven, who has toured the sites with Katz and talked with him about putting together a master plan.

Katz is the process of closing real estate deals on most of the properties on Broadway, but is having trouble with at least one.

He has sued the owners of the Maffie's building at 1602 Broadway, a deteriorating structure that suffered fire damage. He claims that one of the owners agreed to sell the building for $43,000, minus a $13,000 credit to Katz to make improvements, but other heirs have refused to sign off.

"He can't compel the sale," said attorney Robert Garvin, who represents the Maffie family. Garvin said Katz needs three signatures from the sellers, but only has one.

At a hearing scheduled for June 10, Garvin will ask a Common Pleas judge to allow the building to be sold to another buyer, not Katz.

In an e-mail, filed with court papers in the Allegheny County prothonotary's office, Katz said purchase of the Maffie property is an important part of the package he is assembling.

"I have signed deals with contractors and have lots of money at stake," Katz wrote. "Anyone and everyone involved will have to deal with the consequences of any difficulty and I do not have to tell you how costly that will be."

The Broadway corridor is a dismal stretch that riders of the Port Authority's Light Rail Transit system pass through each day. A Foodland grocery store and a handful of other businesses are joined by empty storefronts that used to house a pharmacy and hardware store.

Through his Phoenix Properties, Katz has posted "For Lease" signs on some of the vacant storefronts.

Katz said he hopes to move Il Pizzaiolo, a restaurant, into the vacant Big Dawg's, and also plans to move a Mexican restaurant, a juice bar and a coffee shop to the neighborhood.

Ron Molinaro of Il Pizzaiolo in Mt. Lebanon said he would only be interested if "a lot of things come together."

"I hope it works out. I would love to be a part of it. But frankly, it is like a 1 percent chance," he said.

Brent Bowen, owner of The Market Place, an upscale market in Peters, said he has signed a letter of interest with Katz, but not a lease.

"We have a lot of interest, but it depends on some of the monies. A lot of rebuilding needs to be done there," Bowen said.

"It will depend on redevelopment money and a commitment by the city and county."

Mulugetta Birru, the URA's executive director, said the $540,000 loan was for site assembly and control. Work will now begin on a master plan for the neighborhood, he said, praising Katz for his "energy and enthusiasm."

Katz said he used to own residential rental properties in Beechview, sold most of them, but decided to give the neighborhood a second look.

"I saw what I had to do. I had to buy the bars out," he said.

In Mt. Lebanon, where he has developed commercial properties on Washington and Beverly roads, Katz is well-regarded. Whether he will meet similar success in Beechview remains to be seen.

Phyllis DiDiano, president of Beechview Area Concerned Citizens, said what Katz is planning, even if moderately successful, would be a vast improvement.

"His plan is bigger than we are," she said.

"Even if he doesn't succeed, he may set something in motion," said Bell.

"I look at it as a positive," said Daniel Mitchell, branch manager of the National City bank in Beechview and treasurer of the merchants association.

"It really cannot get worse."

Tony Tye, Post-Gazette
Bernardo Katz, right, of Phoenix Properties talks with Fred Lin, owner of Little Tokyo restaurant, on Washington Road in Mt. Lebanon. Katz owns the Ellison Building in which the restaurant is located. He has been buying properties on Broadway in Beechview.
Click photo for larger image.

First Published: May 24, 2004, 4:00 a.m.

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