The district heating in Brno here in Czech Republic is in the process of converting from steam to hot water, mainly due to cost savings. Modern isolated hot water pipes loose a negligible ammount of heat in transfer while there was green grass growing on top of the old buried steam pipes even in winter.
That and the old textile industry that directly used steam no longer exists.
Downtown Ottawa has a similar steam system too, although I think it's mostly government buildings instead of private, commercial buildings that are hooked up to it.