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Falbo switches to luxury housing

Sam Spatter
By Sam Spatter
5 Min Read Sept. 4, 2005 | 21 years Ago
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For about four decades, Ralph A. Falbo has been building or renovating housing for low-income families throughout Western Pennsylvania.

Now, he's trying his hand at building luxury condominiums.

"I've been a champion of the underdog (low-income families), but I see some positive things happening Downtown," Falbo said of his plans to build First Side, an 82-unit upscale condo project on a former parking lot site off First Avenue near Stanwix Street.

"I'm optimistic about the city because there's a lot going on," said Falbo, who is teamed with Zambrano Construction and EQA Landmark Communities in developing the condos.

With sales commitments for 23 of the units whose prices range from $200,000 to $1.3 million, he expects construction to start in mid-September.

The project is one of a number of new residential projects in or near Downtown.

Others include Lincoln Property Co.'s 18-story, 151-unit apartment complex at Fort Duquesne Boulevard and Seventh Street;

the Ferchill Group's 267-unit Heinz Lofts on the North Side; the 295-unit Cork Factory project being developed in the Strip District by McCaffery Interests Inc. of Chicago in conjunction with local businessmen Charles Hammel and Robert Beynon; and the E.V. Bishoff Co.'s 61-unit condo development, known as the Caryle, planned in the Union Bank Building on Fourth Avenue.

The Golden Triangle isn't the only area that has attracted Falbo's interest. He teamed with Pennrose Properties, of Philadelphia, to build a number of projects, including a 40-unit rental apartment complex at Summerset at Frick Park, an upscale 244-acre development in Squirrel Hill-Swisshelm Park area.

Also at Summerset, he plans to start construction of a 36-unit "high-end" condominium project in conjunction with Pennrose in November.

Such luxury units are a relatively new pursuit for Falbo, who through most of his career has focused on low- and moderate-income housing.

The city native estimates he has helped produce 5,500 affordable housing units through either new construction or renovations of existing units since the late 1960s.

"He is probably the most experienced and knowledgeable developer of affordable housing in the region," said Dennis Davin, executive director of the Allegheny County Economic Development Department.

While serving as housing director for the Urban Redevelopment Authority of Pittsburgh, Davin often worked with Falbo on housing projects.

Others who have built that type housing in the region include Trek Development Group, Steve Cantranel Construction Inc., Community Builders Inc., McCormick Barron, and AM Rodriquez.

Falbo got involved in housing while serving as vice president of finance for Allegheny Housing Rehabilitation Corp., a Shadyside for-profit housing owner and manager.

AHRCO was formed in 1968 by Action-Housing Inc., a nonprofit housing organization, with financing provided initially by 40 Pittsburgh-based corporations to make available decent housing for low- and moderate-income families.

During his tenure, AHRCO spearheaded development of about 2,000 low-cost units on properties acquired by the organization. Total cost of acquisition, renovation and development was about $40 million, he said.

Also, he helped AHRCO increase the use of companies owned by women and blacks as subcontractors on renovations and new construction projects.

"Ralph intervened in helping my minority-owned company obtain the contract to work on projects where minority contractors were required," said Roy Butler of Butler Landscaping Co., Castle Shannon.

In 1975, Falbo formed his own company, Ralph A. Falbo Inc., but he continued to develop affordable housings, working closely with such nonprofit organizations as Christian Housing in Lawrenceville.

In all, he has been involved in 25 projects with Christian Housing, starting with St. Augustine's in Lawrenceville, which offered 88 units of independent living for the elderly.

Projects outside the city included the 50-unit Gilbert Straub Plaza in South Greensburg and the 86-unit Clairvaux Commons in Indiana County.

"Ralph Falbo has been one of the original members of the working team of Christian Housing since 1970, and his input on development and financial aspects have been invaluable," said Sister Coleman Conroy, the organization's executive director.

Separately, Falbo has worked with the former St. John's Lutheran Church (now known as Lutheran Affiliates Services) to develop housing in Mars, and with Goodwill Industries in Sheridan and in Bridgeville, and the United Methodist Church Union in Brighton Heights.

He also has been involved in housing projects with Mental Health/Mental Retardation organizations such as the Verland Foundation of Sewickley, Transitional Services Inc. of Homestead, and the McGuire Home in Beaver County.

In 1996, Falbo teamed with Pennrose Properties in a number of local projects, most of them involving use of low-income housing tax credits. The companies also used the federal government's Hope VI program, which is designed to decentralize public housing.

Hope VI provides built-in support services so individuals can get help while undergoing training and education for jobs. Falbo wants to see more of this in the development of housing for low- and moderate-income families.

"This is essential because bricks and mortar only is not the answer," he said.

Last year, the Allegheny County Housing Authority asked Falbo-Pennrose to dismantle the existing 250-unit Ohioview Acres public housing complex in Stowe.

In its place, the developers are building 196 townhomes, of which 15 are available for purchase, in a community that has been rechristened Pleasant Ridge.

The $50 million project, which integrates public and market-rate housing in mixed-income community, involves the use of Hope VI and low-income housing tax credits.

A recent project with Pennrose is the rehabilitation of 57 units of housing known as Renaissance in Pittsburgh's Central North Side and Manchester.

The Falbo-Pennrose team also is working with the Rubinoff Co. to convert the former Gage Co. headquarters building on Liberty Avenue in the Strip District into a 120-unit rental apartment. It will be geared toward graduate students at universities and young professionals.

Outside Pittsburgh, the developers are working with the Fayette County Housing Authority to build new housing and renovate units under the HOPE VI program. Initial work will be on housing near Uniontown Hospital, developed over a three- to four-year period.

Other Falbo-Pennrose developments are found on the North Side and Hill District, and in Clairton and Monroeville, Allegheny County, and in areas of Mercer County and Youngstown, Ohio.

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