Real Estate and Opportunities for Commercial Development: The interesting aspect of Andrew’s real estate career is that he was born and raised in Eastern Pennsylvania near Philadelphia (ask him if he grew up near Doylestown). While at Pitt Business, he started to see potential in Pittsburgh’s real estate market, which has led him to build a large portfolio of apartment buildings and commercial properties in the North Side, the South Hills, Moon Township (near the airport) and the West End (among others). Given what you know about local real estate in an area that you are familiar with, which specific neighborhoods would you target for your portfolio (i.e. what is the commercial potential?)
I would probably target the North side because, from what we’ve talked about, their economy is on the upswing with a lot of industry happening and it’s on the upswing, which means a lot of potential for personal and commercial real estate. Another large market would be in the South hills. I grew up there, and I can speak to the great school systems that are present there, which drives in a lot of wealthy families. It’s very competitive environment which leads to a lot happening in the real estate market because so many people want to be a part of the communities, driving prices even higher.
The Social Impact of Real Estate: In addition to the commercial opportunities in the Pittsburgh real estate market, Andrew also emphasizes that real estate has tremendous potential to generate a positive social impact by supporting a stock of good quality apartments at affordable prices – with an emphasis on supporting financial literacy among his tenants. Based on the area you wrote about above, which neighborhoods that you know of could benefit from this combination of good quality apartments with reasonable rent (plus an attention to financial literacy)?
Somewhere like Homestead, that is suffering with a poorer economy and considered a “bad neighborhood”, they could use affordable apartments that are in good shape. That combination will promote social morale if they see their area improving. The financial literacy part of Andrew’s mission is a unique, top notch program he’s initiating because some of the people out there that contribute to Homestead’s bad reputation could use that information to make smarter economic decisions to help themselves and the community.
Other Examples Like This?: Based on your review of real estate as an area for opportunities in commercial development and social impact, how do you see real estate being relevant in the work you want to do in the future?
I want to major in finance, so they are two very compatible fields. Finance is all about making smart investments and acquisitions, so having an understanding of the real estate market wherever I am working is going to be very beneficial. Whether it be expansions into new buildings, or just having a knowledge of an area to better a company, keeping in touch with the real estate market will be very helpful.