Faced with limitations, we get creative.

With many sites in the area being considered for the building of the Penn National Insurance headquarters, Harrisburg’s mayor, was hopeful that Penn National would build in the city. The corner of Market and 2nd Streets was preferred, but the Penn National Insurance RFP presented what appeared to be an insurmountable demand that could take a downtown site out of the running. There was a requirement that 100,000 additional square feet would be available on the site for future expansion. We took that as a challenge, not a defeat. After several months of alternative plans, city planners and Penn National Insurance agreed with our solution. The expansion space would be the “air rights” over the adjacent Keystone Plaza Building.

Their agreement put into motion three years of work to obtain all permits and approvals, including the creation of a “Tax Increment Financing District (TIF)”, which provided twenty years of real estate tax abatement.

This six-year project included not only the Penn National Insurance building, but an adjacent 860-car parking garage, built after buying properties along 2nd street —a short walk away. As with our solution to the future expansion problem, we gained more square footage for the building by cantilevering part of it over City Hall. The garage footprint was too shallow. Here too, we gained the needed space by cantilevering over the government building.

Penn National loves their new home as do the other companies that leased four floors of space from them. The building has become an icon for Harrisburg’s now thriving downtown.

During the project, Penn National Insurance asked John Rhodes to have a seat on their board of directors. That eventually led to a position as chairman.