A historic Pennsylvania town that’s changed with the times
As its name may suggest, Bethlehem was founded with the Bible in mind. In 1741, land along the Lehigh River in the heart of the Lehigh Valley was deeded to the Moravian Church to establish a mission. On Christmas Day of that year, church leaders named the settlement after the birthplace of Jesus, and that moniker has influenced the city ever since.
One of Bethlehem’s defining characteristics, for example, is how it celebrates the holidays. In 1747, the city became the first in the United States to feature a decorated Christmas tree, and in 1937, Bethlehem adopted the nickname “Christmas City USA.” Meg Leadbetter, a Realtor and member of the Eric Leadbetter Team of Acre and Estate, says, “Bethlehem has a star that gets lit during the holidays. No matter where you are in the city, you can look up and see the star shining on South Mountain."
Bethlehem Steel, once the city’s main employer, was an industrial giant in the late 19th century and for most of the 20th century. The second-largest steel producer in the U.S., the company pioneered the use of “I-beam” in constructing steel-framed skyscrapers, like New York’s Chrysler Building, and national landmarks like the Golden Gate Bridge. Today, the site has become a lively arts and entertainment district. City industries have shifted from manufacturing to knowledge- and service-based industries, with organizations like St. Luke’s Hospital and Health Network, B. Braun Medical and Lehigh University taking the top three employer spots.
Between 2020 and 2024, the private sector invested $1.1 billion in Bethlehem, from new housing to new building and long-term commercial leases. The city has committed to several new projects, including redesigning West Broad Street and East Broad Street to improve pedestrian safety and create bike lanes. City planners are also working toward building an affordable housing community on land donated by the Lehigh Valley Industrial Park. Essential infrastructure updates are in the works, too, such as replacing lead water pipes, upgrading meters and repaving roads citywide.
A 25 foot wooden star overlooks the city of Bethlehem.
Third Street in Southside Bethlehem includes a variety of shopping and dining opportunities.
Lehigh University sits just outside the Fountain Hill neighborhood.
The Steelstacks in Bethlehem is the largest revitalized brownfield site in the country.
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Shopping, dining and entertainment in Christmas City USA
Bethlehem’s downtown shopping district features dozens of shops, such as Moravian Book Shop, the nation's oldest bookstore. Often referred to as “Restaurant Row,” Main Street is loaded with restaurants serving Italian, Thai, Mexican and other international foods. Main Street Commons is an indoor mall with 17 retail units housed in the former Orr’s Department Store building. One of Bethlehem’s landmark properties, the Orr’s building is over 175 years old.
The Southside Arts District along 3rd and 4th streets is rich with locally owned stores, eateries and art galleries, including the Banana Factory, a former banana warehouse that now houses art exhibition spaces, studios and classrooms. Businesses in the area stay open late on the first Friday of the month for gallery openings. The arts district grew from the influence of Lehigh University and the entertainment and arts centers built on the grounds of the former Bethlehem Steel plant, such as Wind Creek Bethlehem, a casino hotel, and Steel Stacks, a 10-acre event space where festivals, educational programming and concerts are held. Lehigh University’s Zoellner Arts Center is another place where residents can see performances at the center’s three theaters.
During the holidays, Bethlehem lives up to its nickname, “Christmas City USA.” The Historic Hotel Bethlehem, built in 1922, and other historic buildings on Main Street are decked with wreaths and white lights. Freshly cut and decorated Christmas trees are at every major intersection. "The city is known for its Main Street lighting,” says 10-year real estate veteran Eric Leadbetter, team leader and broker of Acre and Estate. “Every year, the holiday decorations bring people downtown.” The city also lights a replica of the Star of Bethlehem, 81 feet high by 53 feet wide, atop South Mountain near the Lehigh University campus. From mid-November to Christmas, shoppers can also find artisan and handmade holiday gifts at Christkindlmarkt, a German-inspired holiday market held at the Steel Stacks event center.
Third Street in Southside Bethlehem includes a variety of shopping and dining opportunities.
The Moravian Book Shop in Bethlehem is America's oldest bookstore.
The Nest Bar and Grille features an outdoor patio loved by Bethlehem locals.
Christkindlmarkt Bethlehem has been voted one of the top Christmas markets in the US.
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Musikfest and other events that bring Bethlehemites together
Bethlehem is a hub for community events and festivals. From summer to early fall, residents can shop for locally grown produce at the Bethlehem Rose Garden Farmers Market on the West Side of the city in Rose Garden Park. People also look forward to the Bach Festival in May on the campus of Lehigh University, with performances by the Bach Choir of Bethlehem. Celtic Fest, Oktoberfest and others celebrate the cultural traditions and religions of the city’s immigrant populations.
While these events are well attended, no festival draws crowds like Musikfest, a free 10-day event founded by the local nonprofit ArtsQuest. "Musikfest brings over a million people to Bethlehem and stretches throughout the city,” Eric Leadbetter says. “The event closes down all of Bethlehem City." The celebration, which began in 1984, is known as the largest free-admission festival in the country. "There are many big-name and local bands that play at the festival’s venues," Meg Leadbetter says. New additions like Spring Beer Fest in March, where attendees can sample craft beers and drinks from over 25 local breweries, have also been embraced by the city.
The Bethlehem Farmers Market runs every thursday.
There is always live entertainment at the Bethlehem Farmers Market.
ArtsQuest in Bethlehem is a performing art venue that draws a variety of acts.
You can find the freshest foods at the Bethlehem Farmers Market.
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Choosing where to live in Bethlehem
Blending history, culture and walkability, Bethlehem’s Historic Downtown or Center City is unlike other parts of the city. Historic rowhouses or twin homes and single-family houses built around 1900 share the neighborhood with bustling shops, hip restaurants and breweries along West Broad and Main streets. Downtown homes can run between $150,000 and $350,000; larger historic homes can list for as much as $1.6 million.
West Bethlehem is a popular family choice, with suburban split-levels, Cape Cods and ranch-style homes. Front yards go deep here, with city parks no farther than three or four blocks from most homes. Prices vary widely, from $110,000 for a two-bedroom fixer-upper to over $1 million for a spacious, colonial-style mansion set on an acre or more.
With more suburban homes available for $200,000 to $975,000 in Northeast Bethlehem and townhouses or twin homes selling from $130,000 to $975,000 in South Bethlehem, homebuyers can expect to pay an average of 20% less for a home here than in other Lehigh Valley cities and over 50% less than homes elsewhere in the country.
"Center City, Main Street and Historic Bethlehem are popular areas that give a city vibe,” Eric Leadbetter says. "People tend to flock to West Bethlehem as well. There's lots of diversity in both housing and population." Buyers looking at homes near the Lehigh River or any creeks that flow through the city will want to inquire about flood insurance. The risk of flooding in Bethlehem is high. With temperatures in January and February that can drop to 20 degrees, homeowners should also prepare for potentially severe snowfall and ice storms.
Rows of Vistorian homes adorn Delaware Ave in Fountain Hill.
Beautiful Victorian style homes line the streets of Downtown Bethlehem.
Picturesque creeks wind through many residential areas of Bethlehem.
Cape Cod style homes are great for growing families in Downtown Bethlehem.
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Miles of trails connect Bethlehem parks and recreation
Bethlehem offers dozens of parks and trails where residents can play a sport, walk, bike or simply enjoy the great outdoors. One of the most popular is Sand Island Park along the Lehigh River. In addition to water views, the park features tennis courts, basketball courts and a playground. The Delaware and Lehigh Trail comes through the park following the Lehigh Canal towpath, from which hikers can get a good view of the historic Bethlehem Steel plant.
North of the river, the Monocacy Way Trail follows Monocacy Creek from Center City north to the Monocacy Park and Recreation Complex on Illick’s Mill Road. The complex features an off-leash dog park, a place to fish and picnic, a granite dam, a suspension bridge, and meadows and woodlands. Bethlehem Golf Club, the Lehigh Little League baseball complex, the Bethlehem Municipal Ice Rink and the Memorial Pool are all part of the complex. Burnside Plantation, a historic 6.5-acre farm established in 1748, is south of the park area along Monocacy Creek. The plantation hosts the Annual Blueberry Festival in July and the Historic Bethlehem Apple Days in September.
Not to be outdone, South Bethlehem Greenway follows the former Norfolk Southern rail line from Lehigh University to Saucon Park on the south side of town. Through a $500,000 state grant, the greenway will be linked to the Saucon Rail Trail south of the park, creating a continuous trail of more than 10 miles. Bethlehem has also received a $200,000 grant to renovate Saucon Park, which involves replacing playground equipment and updating the park’s flood-damaged stone and concrete retaining wall along Saucon Creek.
Families enjoy exercising together on the Saucon Rail Trail.
Four-legged friends play at the off-leash dog park in Monocacy Park.
Local youth baseball teams use the plentiful ball fields at Monocacy Park.
Bethlehem Municipal Golf Course is an 18 hole course founded in 1956.
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Public schools and colleges in Bethlehem
The Bethlehem Area School District, which receives a B from Niche, serves the city by managing 16 elementary schools, four middle schools and three high schools, including Lehigh Valley Charter High School for the Arts. The city also has a PK-12 private school, Moravian Academy, which earns an A-plus and is ranked the No. 1 best private high school in the Lehigh Valley area, and a parochial high school, Bethlehem Catholic High School, B-plus rated and highly ranked. The city is a college destination, too, with schools like Lehigh University, which encompasses over 2,000 acres on the south side of the city, and Moravian University, established in 1742, the sixth oldest university in the country, whose main campus is north of Center City.
Lehigh University sits just outside the Fountain Hill neighborhood.
Moravian Academy serves students in the Downtown Bethlehem community.
Moravian University in Downtown Bethlehem can trace its founding back to 1742.
Northeast Middle School serves 749 students in grades 6-8.
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Falling crime numbers and police programs enhance security
According to FBI crime data, violent and property crimes in Bethlehem have been on a downward slope over the past decade, from a little over 2,000 incidents in 2014 to half that number in 2020. In 2022, the director of the city’s health bureau released a community needs assessment that stated violent crimes had dropped dramatically over the past three years, from 376.31 per 100,000 residents in 2019 to 273.1 in 2022. In a 2021 survey, 90.6% of responders agreed or strongly agreed that, “Bethlehem is a safe place to live.”
Following Allentown’s lead, the Bethlehem Police Department will install new automated license plate readers that can gather vehicle information quickly and provide real-time alerts to help law enforcement during emergencies or track down and recover stolen property. A community camera program is also being launched through which businesses and residents can register their cameras or purchase new ones for surveillance purposes to help when investigating crime.
Highways, buses and airports that keep Bethlehem connected
To reach Allentown, commuters can take the Lehigh Valley Thruway or Highway 22. Drivers should expect heavy traffic on this road during rush hour. Route 378 cuts through the west side of Bethlehem, connecting Good Shepherd Specialty Hospital, a long-term facility for patients with acute illnesses, to the city’s downtown shopping district on Main Street. Interstate 78 is south of town and takes drivers east into New York City, an 80-mile trip. From I-78, drivers can also take Route 309 south into the Philadelphia area, 55 miles away.
Lehigh and Northampton Transportation Authority (LANTA) buses stop throughout the Lehigh Valley Region, connecting Bethlehem to Allentown and Easton. Residents can also catch a flight from Lehigh Valley International Airport, 4 miles from the city. It offers nonstop flights to 12 U.S. destinations on Allegiant, American, Delta and United. The other closest airports are Philadelphia International Airport and Newark Liberty International Airport, each about 70 miles away.
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