A bright sunny morning set the tone for an announcement that would herald a new dawn for the Homewood-Brushton community. Community activists and leaders, elected officials, bankers and residents gathered in the parking lot of the PNC branch in Homewood to hear it firsthand.
Ninth District city council representative Rev. Ricky Burgess perhaps said it best: “This is the beginning of a new renaissance in Homewood.”
The announcement of PNC Bank’s $5 million investment marks the first investment in the Urban Economic Loan Fund administered by the Landmarks Community Capital Corporation. The fund is designed to provide below market rate, low interest loans to encourage community development, which, in Burgess’ words, will “spur social development.”
SIGNED AND DELIVERED—Holding the ceremonial check are, from left, state Rep. Joe Preston Jr., PNC Vice President Linda Morris, Councilman Ricky Burgess, Sarah Campbell, Mayor Luke Ravenstahl, Howard Slaughter and Lloyd Wright.
“We’re pleased to be the remaining bank in Homewood and the first bank to invest in the loan fund,” Linda Morris, senior vice president and Western PA market manager for PNC Bank, told the assembly.
It is hoped that the fund will serve as a catalyst to make the goal of a community-based, urban renaissance a reality.
“This kind of (financial) leverage has not been seen (in Homewood) in 40 to 50 years,” said State representative Joe Preston commenting on the significance of the PNC investment.
Loans from Landmarks’ Urban Economic Loan Fund are geared toward neighborhoods in communities throughout the Pittsburgh region, said Howard B. Slaughter Jr., chief executive officer of Landmarks, which has as its parent organization the Pittsburgh History & Landmarks Foundations. They have below-market rates and flexible terms, and can back more risky projects than banks would normally accept, Slaughter said.
“We actually have several requests in the pipeline,” Slaughter said. “We expect to have a good portion of the $5 million out in the next 60 days.”
The fund already has loaned money to Hosanna House in Wilkinsburg, East Liberty Development Inc. (for the purchase of dilapidated houses), the Bloomfield-Garfield Corp. (for the purchase of a nuisance bars) and Friendship Development Associates.
Slaughter said a hoped-for Hill District supermarket is the kind of project the fund could back, though it isn’t certain the fund will be needed. Landmarks has brought grocer Save-A-Lot to the area to consider the Hill.
“In the next three weeks you will definitely be hearing more” about the supermarket effort, Slaughter said.