The regional focus of Greater Philadelphia was demonstrated in the Milken Institute's recently issued "Best Performing Cities Index," which ranks metros on their ability to create and retain jobs. Philadelphia had the largest percentage increase for new and sustained jobs among the 10 largest U.S. metro areas. And Trenton, N.J., within the Philly MSA, ranked 19th overall.
      Like Atlanta, the Philly region faces some funding challenges for its mass transit system. At a January 2005 economic outlook presentation, Anthony Santomero, president of the Federal Reserve Bank of Philadelphia, said attracting the people who occupy those trains should be a big focus for the region, as some firms have begun to look outside the metro for labor.
      Sometimes it's not all that far outside. With its relatively affordable labor and land, and proximity to money-center banks, northeastern Pennsylvania and the Lehigh Valley have assembled an impressive list of customer service and support operations for financial firms. A recent study by Moran, Stahl & Boyer suggests more growth may be coming.
      Some 20 colleges and universities provide the region's financial firms with IT and accounting graduates, explains Jim Cummings, president of Penn's Northeast, a regional organization. Those skills complement an unbeatable work ethic found in local residents, he says.
      Such assets plus enviable railroad and highway networks have yielded one of America's hottest logistics hubs. In October 2004, Kia Motors America added 41,000 sq. ft. (3,809 sq. m.) to its northeast distribution hub in Allentown, for instance. But quality space is in short supply, and some private developers have begun erecting speculative logistics sites.
      "We're running out of product," says Michael Treacy, a senior vice president at Binswanger/CBB in Philadelphia. "Large blocks of high-quality distribution space will have to be built." Adding fuel to the fire, Treacy says, has been the success of the state's Keystone Opportunity Zones, a tax-free zone program begun in 1998.
      An eclectic array of manufacturing projects is also finding its way into Pennsylvania. In the town of Leesport, Wis.-based Ashley Furniture has acquired a 1.2 million-sq.-ft. (111,480-sq.-m.) industrial building that will accommodate distribution and assembly operations. The building, formerly owned by now-bankrupt Ames Merchandising Corp., will house 100 Ashley workers. Ashley paid $26.75 million for the property, which was constructed in 1991 at a cost of $50 million.
      MDL Manufacturing Industries, a maker of precision-cut metal parts for military vehicles, is relocating its headquarters from southern Maryland to an existing building at Bedford County Business Park. Seventy positions are moving to Bedford with MDL, which is spending $4 million on the 64,350-sq.-ft. (5,978-sq.-m.) facility.
      As Pittsburgh braces itself for the likely loss of jobs and air service in the wake of turmoil at US Airways, the city's fourth largest employer, growth of a fledgling robotics cluster is taking shape. RedZone Robotics is upgrading technologies at its site in Allegheny County and adding as many as 100 jobs.
      The company, which makes robots that inspect and scour sewer and water pipes, plans a major boost in production and is exploring options for added space.
      In Philadelphia, ground has finally been broken on Comcast Center, set to be the city's tallest building when it is occupied in late 2007. The cable and media giant intends to lease 534,000 sq. ft. (49,609 sq. m.) at the 57-story building — about 44 percent of it. Legendary New York architect Robert A.M. Stern has designed the glass structure, which will be owned by Liberty Property Trust.
      The project, on the drawing board for nearly two years, had been awaiting finalization of state incentives. When Pennsylvania legislators balked at Governor Ed Rendell's request for an aid package, he unilaterally cobbled together a $42.75-million plan without them.
      "We appreciate the cooperation, responsiveness and creativity of Governor Rendell, Mayor [John] Street and their respective economic development teams," says Tim Fitzpatrick, a spokesman for Comcast. The company never seriously considered location options outside downtown Philadelphia, Fitzpatrick says. "Philadelphia is integral to our corporate identity, and we've always considered ourselves part of its community."