Tom Frank, Executive Director, NAIOP Pittsburgh

In an interview with Invest:, Tom Frank, Executive Director of NAIOP Pittsburgh, pointed to State and Local policy as the catalyst for Economic Growth saying “If we continue to see incentive and investment related policy develop from the Governor’s office and State Level, apply smart policy at the County Level and remove red tape at the local level, sky is the limit for Pittsburgh.”

What have been some of the most significant commercial real estate developments in Pittsburgh recently?

The most significant project would be the First National Bank Financial Center — the first multitenant office building in our central business district in 40 years. They reinvested into the community, securing funding from various sources. It was a strategic partnership between F.N.B. Corporation, the Buccini Pollin Group, the Pittsburgh Penguins, and Clay Cove Capital. It kicked off development on the former Civic Arena site.

First National Bank occupies most of the building, but the first floor is a great retail space that highlights their cutting-edge banking tech. The tower, designed by Gensler, is gorgeous and a fantastic addition to our skyline.

RIDC has another major project in New Kensington Park. It came together through support from the WCIDC, The Governor, and multiple elected officials. What’s significant isn’t just the facility — it’s the creation of skilled manufacturing jobs and training. Pittsburgh is known for manufacturing, but we have a shortage of skilled workers — some estimates put the gap at around 1,000 jobs.

RIDC is also working on Neighborhood 91 near the airport, which focuses on advanced manufacturing. It’s a different level from what people usually think of as manufacturing.

The airport authority has also done a lot — new solar farms, new energy systems, and a revamped terminal. Even the parking garage is high-tech. They own about 800 acres and are developing business parks that support everything from offices to heavy manufacturing.

Lastly, the Elmhurst Group developed the new Allegheny County Health Department Laboratory. It’s designed to grow and will eventually serve the greater region with advanced lab services.

What makes Pittsburgh an ideal location for real estate investment?

We have a governor focused on statewide competitiveness. He’s pushing for more pad-ready sites and infrastructure investment, including energy. With PA Sites, RACP, and the SPEED Program, it positions us to compete against neighboring states.

Thanks to our natural gas, Pittsburgh is uniquely positioned to lead in data centers — if we align state strategy and marketing effectively. We’re also one of the most livable cities in the U.S. From a multifamily perspective, we still have a housing shortage. Demand remains strong, especially in the Strip District, where over 1,000 units are expected in the next few years.

On the manufacturing side, in conjunction with our tech ecosystem — companies like Duolingo, Argo AI, Gecko Robotics — want to produce locally, which drives real estate needs, especially in advanced manufacturing.

What trends are you seeing in multifamily development and adaptive reuse projects?

In multifamily, demand depends on location. In city limits, like with The Parks by SomeraRoad, the focus is on live-work-play. Tenants want access to amenities — gyms, nightlife, walkability.

Outside the city, projects are simpler, less amenitized, but still in demand. 

Attracting different demographics — millennials, Gen Z, and eventually Gen Alpha — means developers need to be strategic in design, location and amenities.

Multi-family conversions can be tricky and expensive. I used to work at an architecture firm and saw the challenges first-hand. Tall buildings limit rooftop HVAC space, and deep floor plates create interior rooms without light. Newer or smaller buildings are easier to convert.

Brett Walsh at Hewitt Properties has done great work on conversions here. We’ve even explored federal legislation to help close capital gaps due to high conversion costs.

In the office market, we’re seeing a “flight to quality.” People want newer buildings — high ceilings, natural light, and amenities. Older Class B & C buildings are being left behind, and that’s a national issue, not just here.

Where do you see the biggest real estate growth opportunities for the next two to three years?

Data centers are the hot topic and potentially the biggest opportunity, thanks to our energy assets. If we attract them, they’ll help spur business parks that can support advanced manufacturing, jobs, and housing demand. Pittsburgh’s facing population decline, unlike other Midwest metros. But if we build data centers near energy sources and support them with smart policy, we can drive growth faster. Everything else like manufacturing, multifamily, and workforce will follow. 

Focusing on downtown, housing is crucial. More city residents means attracting large, national brands to some of our vacant retail spaces. Their metrics for site selections rely on population numbers that we currently fall short of. If we see housing projects continue to increase, we will be able to build a stronger tax base to tackle other critical city issues.

How has NAIOP Pittsburgh evolved this past year?

Brandon Mendoza laid a strong foundation — growing membership, advancing advocacy, and shaping great events. I was on the Board of Directors during his tenure and have immense respect for what he built.

Since becoming Executive Director, we’ve expanded our advocacy. We now have committees for both state and local issues. We’re working with the Allegheny Conference, PA Chamber and C&G Strategies on introducing energy legislation for rural industrial projects. We have also partnered with BAMP to reverse a DEP coal definition that negatively impacts our industry.  We have also recently played a key role in defeating Mayor Ed Gainey’s mandatory Inclusionary Zoning legislation, which we believed would depress development and construction. 

We finalized our PAC and hosted our first several events, one of which was in support of Corey O’Conner, the predicted next Mayor of Pittsburgh. Our PAC will continue to support candidates who promote economic development. 

We have around 500 members, which makes us the largest commercial real estate group in the region. Our awards banquet draws close to 1,000 people, and we’re bringing back our summer camp next year. We also partner with local universities like Pitt and CMU to build a pipeline of talent. There’s no degree in commercial real estate, so we help students discover it as a career path.

What’s your outlook for the Pittsburgh commercial real estate market?

If you remove national uncertainties — like tariffs or inflation — I’d say we have a strong outlook. Our governor is investing in making the state competitive. Locally, we have engaged leaders who want to make Pittsburgh the best it can be.

The NFL Draft coming to Pittsburgh will be huge from an economic standpoint. 

Overall, if political outcomes go in the right direction and we stay focused on smart growth, I’m optimistic.