HARRISBURG, PA — Governor Josh Shapiro’s administration is rolling out a sweeping series of investments in housing, infrastructure, manufacturing, and downtown redevelopment, betting billions of public and private dollars on a strategy to remake Pennsylvania’s economic landscape from Pittsburgh’s riverfronts to rural townships and small cities across the Commonwealth.
Over the course of last week, the Department of Community and Economic Development and its partners unveiled new funding packages for large-scale waterfront redevelopment in Pittsburgh, water and sewer upgrades in multiple counties, a new manufacturing plant in Lycoming County, low-interest loans for growing businesses, a key transportation project in Lancaster County, and fresh resources to expand affordable housing.
At the center of the push is The Esplanade, a high-profile, mixed-use development on Pittsburgh’s North Side, where Shapiro, Lieutenant Governor Austin Davis, and DCED Secretary Rick Siger joined local leaders Monday to break ground on a project projected to support 9,300 construction jobs, create 4,500 permanent jobs, and generate $1.5 billion in economic output when fully built.
“The Esplanade project is an incredible example of how we can remake abandoned spaces to create affordable housing, parks, entertainment spaces, and hotels ― all while creating thousands of jobs and boosting our economy,” Shapiro said, noting that the Commonwealth is investing $35 million to help make the project a reality.
Developed by family-owned Piatt Companies on 15 acres of post-industrial brownfield land, the Esplanade is slated for completion in 2029. Plans call for up to 750 rental apartments — with 20 percent affordable to families earning 80 percent of area median income — plus 126 condominiums, a hotel with 225 rooms, a Ferris wheel, splash park, marina, nearly 160,000 square feet of retail space, green space, dining, and entertainment venues along the riverfront.
Lt. Gov. Davis framed the project as a catalyst for long-neglected neighborhoods. “This is not just going to be a destination for visitors; it’s going to be a gathering place for this community,” he said, adding that the development will help reclaim Pittsburgh’s rivers and riverfronts as anchors for jobs and public life.
The state’s $35 million commitment includes $25 million through the Redevelopment Assistance Capital Program and $10 million through the Transportation Infrastructure Investment Fund, a blend of tools Shapiro has leaned on to drive site readiness and large-scale projects.
Siger said the administration views Pittsburgh’s resurgence as integral to Pennsylvania’s broader economic health. “The Esplanade will redevelop 15 acres of brownfield sites, create thousands of construction and permanent jobs, and provide new housing options,” he said. “This powerful economic development project will reinvigorate Pittsburgh neighborhoods and help the city compete in the global economy.”
Pittsburgh Revitalization Plan Takes Shape
The Esplanade is the latest piece of a 10-year revitalization blueprint for downtown Pittsburgh that Shapiro’s team launched just over a year ago, joining private-sector, philanthropic, and local government partners behind a plan to add housing, upgrade public spaces, and improve safety and cleanliness.
According to the administration, the effort has already attracted nearly $600 million in combined public and private investment, including $62.6 million from the Commonwealth, $27.1 million from local governments, and $376.9 million in private capital, with additional support from foundations and federal funding. Those dollars are expected to support more than 3,500 construction jobs over the next four years.
In October, officials celebrated the partial reopening of a modernized Market Square, one of several flagship public space projects. Improvements at Point State Park and Arts Landing are also on track to be completed ahead of next year’s NFL Draft, which Pittsburgh will host. Together, those three projects represent as much as $85 million in capital spending, fully funded by state and local governments, private companies, and local foundations.
The downtown plan also aims to add or preserve nearly 1,000 residential units, with about one-third designated as affordable for low- to moderate-income residents. The city has targeted cleanliness and safety as well, reporting a 93 percent reduction in encampments and the closure of all major encampments, alongside expanded services for people experiencing homelessness. The Pittsburgh Downtown Partnership has power washed more than three million square feet of sidewalks and alleyways and offered rent relief and pop-up storefronts to help small businesses.
With state support, the city has hired more than 50 new police officers and beefed up its public safety presence downtown. The Steelers and Pirates have each contributed $1 million to expand co-responder mental health teams, bolster youth outreach at the Jordan Miles Youth Center, add patrol officers, and support homelessness outreach.
Water, Sewer, and Infrastructure Upgrades Across Counties
The administration is paring marquee urban projects with less flashy but critical infrastructure work in smaller communities.
On Tuesday, Siger announced more than $6.2 million in Community Development Block Grant funding for water and sewer system improvements in Centre, Clarion, Northumberland, Snyder, and Somerset counties. The awards will support projects ranging from new force mains and gravity sewers to stormwater separation and water main replacement.
Centre County will receive $1,235,000 to connect the Eagle Creek Wastewater Treatment Plant to the Mid-Centre County Authority system in Unionville Borough. Clarion County is slated for $1,807,800 to connect the Lake Lucy Sewage Authority system, including pump station construction and replacement of an existing force main with new gravity lines along state Route 36.
In Northumberland County, the City of Sunbury will get $1,000,000 for phase two of the Susquehanna Avenue Stormwater and Sewer Separation Project, redirecting sewage to a main collector and rebuilding streets and sidewalks after underground work. Snyder County will receive $328,076 to upgrade the Penns Creek Municipal Authority Wastewater Treatment Plant, while Somerset County will use $1,842,654 to replace about 5,300 feet of water main, install meters and pits at each service connection, and tie systems in Hooversville Borough and Wilbur together through a new interconnect.
“These awards help make that vision a reality,” Siger said, calling CDBG and similar programs central to building safe and healthy communities where residents can live, work, and play.
In Lancaster County, DCED and PennDOT jointly announced a $1.56 million Transportation Infrastructure Investment Fund grant for intersection improvements at State Route 441 and State Route 743 in East Donegal Township. The money will fund turning lanes, new signals, and stormwater upgrades, supporting traffic flow and safety near GSK’s $800 million expansion in Marietta — the largest Commonwealth-backed economic development project in county history, expected to create at least 200 new, high-paying jobs.
“Strong communities are the foundation for new economic development,” Siger said, while PennDOT Secretary Mike Carroll said “meaningful investments like this one” help drive the economy and support local job growth.
Manufacturing and PIDA Loans Fuel Local Jobs
Shapiro’s team is also targeting industrial sites and rural communities through a mix of loans, grants, and site development funding.
On Wednesday, the governor announced an $8 million investment from Farm Plast, a manufacturer of sustainable injection-molded milk crates and other containers, to open its first Pennsylvania plant in Muncy, Lycoming County. The company will renovate a 200,000-square-foot vacant manufacturing building in Muncy Township, adding 69 jobs over three years and expanding production and product lines.
“Under my leadership, Pennsylvania is now one of the top states for business — and the only state in the Northeast with a growing economy,” Shapiro said, tying the project to a broader push to cut red tape, streamline permitting, and aggressively recruit companies. Farm Plast will receive a $3.5 million loan through the Pennsylvania Industrial Development Authority and a $500,000 Pennsylvania First grant as part of the deal.
Agriculture Secretary Russell Redding said the move will strengthen the supply chain for farm and food businesses and bring new opportunity to rural communities. Farm Plast, founded in 2007, recycles roughly 12 million pounds of plastic annually and says about 75 percent of its products are made with reused materials.
Separately, Siger announced nearly $10.5 million in new PIDA loans to support projects in Blair, Dauphin, Lancaster, and Snyder counties. Those loans will leverage more than $23.2 million in total investment, create 26 new full-time jobs, and retain 297 existing positions.
In Blair County, Eagle Eye entities will use a $1.5 million loan to acquire a 17,754-square-foot building in Duncansville as part of a broader acquisition and rebranding of the Laurel Eye Clinic and Surgery Center, creating three jobs and retaining 17. Mid Atlantic Machinery in Dauphin County will receive $2.25 million to buy a larger facility in Middletown, expand into robotics and advanced manufacturing, and add three jobs while retaining 50.
In Lancaster County, Weaver Companies’ real estate arm Gen 22 Partners will use a $2 million loan to purchase a new headquarters site in East Earl that will also host a Shady Maple RV facility, retaining 88 positions. U.S. Boiler Company and Thermal Solutions Products will receive a $2 million PIDA loan and a $689,072 machinery and equipment loan to build a 45,650-square-foot warehouse addition, establish a new assembly line, add 15 jobs, and retain 117 existing positions. Penn Dairy in Snyder County will receive $2 million to expand its Winfield facility with a 44,681-square-foot warehouse and loading dock, adding five jobs and retaining 33.
“These five approved PIDA loans will secure and create jobs, while also ensuring a dynamic and thriving economy for all Pennsylvanians,” Siger said.
Expanding Affordable Housing and Tackling Shortages
On Friday, DCED announced $6,077,776 in HOME Investment Partnerships Program funds to support affordable housing projects in 12 counties, part of a broader push to address Pennsylvania’s housing shortage and rising costs.
HOME, funded through the U.S. Department of Housing and Urban Development, helps municipalities build and preserve affordable housing for low- and very low-income residents. Funds can be used for new construction, rehabilitation of owner-occupied homes, first-time homebuyer assistance, and support for Community Housing Development Organizations.
Among the awards: Crawford County will receive $596,407 for the City of Meadville to construct six one-bedroom apartments for very low-income and disabled residents, including three accessible units built off-site by a modular home manufacturer. Luzerne County will receive $318,000 for the City of Pittston to build a three-bedroom modular lease-to-purchase home for a low-income household. Schuylkill County will get $400,000 for Pottsville to rehabilitate about eight owner-occupied homes, while Somerset County will receive $250,000 and Union County $400,000 for rehabilitation programs targeting owner-occupied homes in partnership with local organizations.
Siger called HOME “a crucial” tool for expanding safe, affordable housing and supporting a growing workforce. “We will continue to make investments like these that strengthen communities and create new opportunity for all Pennsylvanians,” he said.
Shapiro has ordered the creation of a comprehensive Housing Action Plan, raised the cap on the Pennsylvania Housing Affordability and Rehabilitation Enhancement Fund by $10 million, pushed out more than $120.3 million through the Whole-Home Repairs program, and invested in legal counsel for tenants facing eviction and in homelessness services and in-home supports for seniors.
Growing Economy and National Recognition
State officials say the latest round of announcements is part of a larger economic strategy that has attracted nearly $32.5 billion in private-sector investment and created more than 18,000 good-paying jobs since Shapiro took office — including Amazon’s initial $20 billion investment in AI and cloud computing campuses, billed as the largest private-sector investment in Pennsylvania history.
The administration has touted independent assessments to bolster its case. Pennsylvania is the only state in the Northeast with a growing economy, according to analysis by Moody’s Analytics cited by Axios. Area Development recently ranked the Commonwealth among the top 20 “Best States for Business” and in the top 10 for site readiness programs, while Site Selection Magazine placed Pennsylvania 11th in its 2025 business climate rankings, a seven-spot jump from the previous year.
Shapiro’s 2025–26 budget continues funding for permitting reforms, staff at key regulatory agencies, and investments in main streets, site development, and small-business support — steps his administration argues are necessary to keep the state competitive as it courts new employers, backs local entrepreneurs, and works to translate marquee projects and modest grants alike into long-term growth.
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