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I also think its sad that people outside of the city have such a negative view of downtown. The people here are poor, not evil, and there are a number of high-end restaurants and businesses in the area that are a positive influence on the city. I do feel safer here now than I did 10 years ago, though I think some of that is a shift in my attitude and better understanding of the culture here.
@matt, I agree. I work right in downtown and spend my lunch breaks outsides - Thun trail, Mt. Penn, etc. In the past 3 years, I've never found myself in a threatening situation; I just keep to myself, am pleasant to others if spoken to, and keep an eye out for anything suspicious that I should avoid. People still should exercise caution, as they should in any city.
It's pretty simple. You play in dirt you get dirty. The majority of time violent crime stems from personal encounters. There are no more random murders. Go to the city of Reading. Keep your head up, and treat people with respect. You'll be just fine.