IBR Square Feet January 2016

7/25/2019 IBR Square Feet January 2016

1/24

VOLUME 2 IDAHO BUSINESS REVIEW 2016

PROPERTY

Management

INSIDEProperty managementnews and trends in Idaho

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2/24

January: Economic Updatewith Brian Gerber

Thursday, January 14th,11:301:00 at the Stonehouse

February: Commercial Updatewith Angie Emmons

Wednesday, February 10th,11:301:00 at the Stonehouse

March: Multi-Family Updatewith Moe Therrien

Wednesday, March 9th,11:301:00 at the Stonehouse

March: Investment Real Estate:Financial Tools (FIN402)

Tues & Wed, March 15th& 16th

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Andy Haskell CPM American Property Management, Inc.Dianne Hunt CPM Syringa Property Management, Inc.Joe Iglesias CPM Thornton Oliver KellerVictoria Johnson CPM Hawkins Companies LLCDavid Johnson CPM The Boston Group, Inc.Melani Moore CPM Hawkins Companies LLCAndrew Propst CPM Park Place Property ManagementCathleen Rosera CPM Perrine InvestmentsJeff Shaffer CPM Thornton Oliver KellerBen Shalz CPM Thornton Oliver KellerKaren Thomas CPM Thornton Oliver KellerJustin Vogel CPM Colliers International

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J a n u a r y 1 5 , 2 0 1 6 | w w w . i d a h o b us i n e s s r e v i e w . c o m | S Q U A R E F E E T q u a r t e r l y I D A H O B U S I N E S S R E V I E W p u b l i c a t i o n | 3

For property managers, time

for a customer service tune-upBYANNEWALLACEALLEN

Idaho Business Review

If the recent economic recovery has had a

clear impact on one professional group, its

property managers.

In December, the U.S. Commerce De-

partment reported that construction spend-

ing was at its highest level since 2007. The

construction of single-family homes and

apartments also reached its highest level

since 2007. That was also the case in Idaho,

where Boise saw record levels of multi-hous-

ing construction that started in 2014 and

continued through 2015. Ada County issued

only two permits for apartments in 2010. In

2014, it was 1,675, according to Mountain

States Appraisal and Consulting.

The same activity that is sparking eco-nomic growth for managers is also changing

the landscape for them. New property devel-

opers are arriving

from out of stateto build multi-family housing inthe Treasure Val-ley and beyond.Often, they bringtheir own manage-ment companieswith them, wholook for other

properties to add to their portfolios.Meanwhile, many of the people moving

into these apartments are coming for jobsfrom out of state.

The new competition, and the new mixof tenants, means property managers needto be better at their jobs than ever. They needto stay on top of whats happening in their

industry and use current technology, for ex-ample, mobile payment systems for tenants.It means being flexible with renters who

expect their needs for pets, storage space or

other amenities to be accommodated. If cus-tomer service isnt up to par, a newly mobilelarge generation of renters will just move toanother spot when the lease is up.

Another change on the horizon is licens-ing. Idaho is one of only five states with noreal estate broker or property managementlicensing requirements for property man-agement companies, and some managerswould like to see that change.

Read about the changing rental marketand savvy managers responses about licens-ing, and about other shifts underway in theworld of property management in this edi-tion of Square Feet, Idaho Business Reviewsquarterly publication on residential andcommercial real estate.

Anne Wallace Allen is editor of the Idaho

Business Review and of Square Feet, IBRsquarterly publication on Idaho real estate andconstruction.

IDAHOBUSINESSREVIEW

Volume 2 Number 1 January 15, 2016

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ROTIDE

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ON THE COVER:The ofce of Fahlgren & Mortine, a Boise marketing and communications rm. Photo by Pete Grady.

Idaho BOMA looks ahead . . . . . . . . . . . .4

Millennials drive workplace design . . . . . . 10

Group pushes property manager licensing . . 11

Parking faces new expectations . . . . . . . . 12

Meeting the obligations of the FHA . . . . . . . . 13

Short-term rentals need long-range planning . 14

Standards separate pros from amateurs . . . . . 15

Property management takes sensitivity . . . . . . 16

Water efciency is cr it ical . . . . . . . . . . . . . . . . 18

People . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 20

Offices offer new looks . . . . . . . . . . . . . . 5

New construction adds office space . . . . . 6

Continuing ed is a priority for managers . . 7

Economy spurs demand for short-term space . .8

Animals enter the workplace . . . . . . . . . . . 9


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4 | S Q U A R E F E E T q u a r t e r l y I D A H O B U S I N E S S R E V I E W p u b l i c a t i o n | J a n u a r y 1 5 , 2 0 1 6 | w w w . i d a h o b u s i n e s s r e v i e w . c o m

Idaho BOMA looks aheadBYANNEWALLACEALLEN


You cant make everyone happy, but thisyear, the members of BOMA Idaho are goingto give it a try.

BOMA, the Building and Managers Asso-ciation, has a long list of issues to watch inthe coming year. Among them: city impactfees for developers, energy costs, flood insur-ance, and security. With a busy constructionseason underway, the group is examiningways to keep tenants content when theyrebeing inconvenienced by heavy constructionat the building next door. With homelessnessa visible problem in Boise, BOMA is keep-ing an eye on the visitors who are spendingtime in the warmth of their building lobbies.And there are also the ever-constant consider-ations in any building such as property taxes,landscaping, service animals, Internet access,snow and ice removal, and bicycle parking.

Any matter that could affect buildings,were on the lookout, said Krisjan Hiner,BOMAs president. Were constantly fo-cused on educating our members on how tomore effectively manage their properties.

BOMA rolled out a new identity for itselfin February 2015. The 30-year-old group,part of a federation of 92 U.S. associations,had previously focused on the Treasure Val-ley, but last year it changed its charter toinclude the state of Idaho. BOMAs interna-tional network of building managers meansthat BOMA members can find an answer toalmost any problem by asking around.

There are very few issues that a buildingowner manager will face that someone in adifferent market hasnt faced, Hiner said.

BOMAs leaders expect to keep their fo-

cus on the southern half of the state, as thenorthern Idaho communities have an alle-giance to BOMA in Spokane, Wash.

One of those issues is the flood plain, saidJustin Cranney, areal estate lawyerat Hawley Troxellwho is chairmanof government af-fairs for BOMA.The Federal Emer-gency Manage-ment Agency isin the process ofupdating and ex-panding its flood-plain map, and itwill affect a lot of

property owners in Idaho, Cranney said.Anyone who falls within the federalfloodplain, residential or commercial, willhave to get flood insurance if they have afederally backed mortgage, Cranney said.

The groups leaders expect other issues tocome up mid-session.

There are always concerns from a prop-erty management standpoint that we dontknow about until later, said Ryan Cleverley

of Gardner Company, BOMAs vice-president.Security is another big issue for property

managers, and one that affects Cleverleyscompany directly, because its working close-ly with Boise State University as Gardner Co.develops the computer science building inthe heart of downtown, next to Gardnersheadquarters at the U.S. Bank Building. Boi-

se States security protocols add anotherlayer of complexity, Cleverley said. Mean-while, over the last year, BOMA has offeredits members several programs on how tohandle an active shooter in a building.

Guns themselves present a tricky scenariofor building managers.

With Idaho being an open carry state,you cant just kick people out of your build-ing because they have a gun, Cleverley said.

Landscape maintenance comes up fre-quently for building managers, partly be-cause maintenance is expensive, said Hiner,a co-founder of the Stack Rock Group, a Boi-se landscape design firm.

As a commercial property owner, the twolargest recurring costs are janitorial and land-scaping, he said. Some ways of mitigating

those costs are using less grass and watering itless, he said, but developers often leave land-scaping to the last minute and then choosewhatever is fastest and least expensive.

Its overlooked 98 percent of the time,Hiner said of sustainable landscape choices.The landscape is the last thing that goes inon a project.

Whatever the season, Cleverley said he

spends much of his time talking to tenants who

want different temperature levels in their offices.

Its a constant battle, and youre tryingto keep energy costs down, he said. Weare always trying to find technology thatwill help us decrease overall usage. You cantmake everyone happy, but you can changethe vents so youre getting different airflowin different offices.

Internet is a big issue for some propertymanagers in downtown Boise, whose ten-ants only have access to a few choices of ser-vice providers.

For us its been pretty good, Cleverleysaid. We bring in multiple providers to onespot in the basement, and we invite them tocome in early to the construction process.Were always being asked, what company isavailable in the building?

Medical office buildings present someslightly different concerns for building own-ers and managers, said Kari Davis, whosecompany, the Boise -based Ledger Commer-cial Property Management, handles severalin the Treasure Valley.

They have more visitors to their buildingsthan my other tenants, said Davis. So as a

property manager I have way more liability,because I have elderly people and patients.My doctors demand that the snow removalbe perfect. If I dont have the handicap rampscompletely clear by 6 a.m. and throughoutthe day, those are potential liabilities.

For downtown properties, parking is ahuge issue for cars, and, increasingly, forbicycles. Car parking is expensive to build,but the construction cost can be recovered

through parking fees. Not so with bicycleparking, said Cleverley. He said bike park-ing, while less expensive than car parking,still does carry a cost. And bicyclists arentused to paying for their parking.

With City Center Plaza, you have ayounger, more IT-based workgroup out ofClearwater, and bicycle parking is a bigger

issue to them than some of our other ten-ants, said Cleverley of the $75 millionproject Gardner is constructing downtownfor Clearwater Analytics and the Boise Statecomputer science department.

Yes, I can build a parking space, butunless you can get the tenant to lease thatwhole space, then its just an employeeamenity youre paying for, he said.

Justin Cranney

Photo by Pete Grady

Kari Davis of Ledger Commercial Property Management at one of the medical buildings she manages in Meridian.

Photo by Patrick Sweeney

Krisjan Hiner (left) of Stack Rock Groupis the president of the Idaho BuildingOwners and Management Association,or BOMA, this year. Ryan Cleverley(right) is the vice-president.


5/24


BYERICHAYES

Special to the IBR

Offices are taking down their walls andopening up the floor to discussion.

Meanwhile a decrease in per-person of-fice space ratios means co-workers are shar-ing tighter quarters than ever. Between theyears 2000 and 2010, the average per-personoffice space allotment in the U.S. droppedfrom 250 to 200 square feet. Today, thataverage has dropped to 185 square feet per

person, and some industry experts expectthat figure to drop beneath 135 by 2020.

Were seeing a shift to smaller officesand larger meeting rooms, said Gary Chris-tensen, the developer of the Banner Bankbuilding in downtown Boise.

Industry analysts agree that this shrink-age is at least in part an effect of cost-cut-ting measures that relocated many business-es from larger to smaller offices during theGreat Recession. But generational changes inoffice culture spurred largely by the techindustry may explain why the spaces areshrinking and the walls are coming down asthe underlying economy expands.

Most tech companies dont require thesame space ratios of professional offices ofthe past. Theyre looking for warehouse-style

space, with open floor plans and minimalwalls, said Ephraim Greenwall, a Bay Area

investor who owns buildings in Boises

BoDo and San Francisco.Cellphones and laptops make any area

with a chair and an electrical outlet a po-

tential workspace, and if an employee needs

privacy they can utilize a conference room

or a room set aside for privacy, he said.

Greenwall said that a shift in the goals of

younger professionals has also influenced

spatial needs.

Were seeing changes in the perception

of office hierarchies, and obtaining the icon-

ic corner office isnt a top priority for people

used to getting work done at home or the

coffee shop. Theyre often more interested

in office amenities like game rooms and en-

tertainment areas that can be shared by all

employees.

While the tech industry is largely respon-

sible for changing traditional office layoutsthat affect per-person spatial ratios, JeremyMalone of Oppenheimer Development Cor-poration is a building manager who hasnoticed the change in other professional in-dustries.

Everyones looking for smaller spaces to-day, said Malone. Attorneys seem to be es-pecially interested in creating smaller individ-ual offices with more conference rooms and

public areas, and computers have a huge im-pact on reducing the amount of storage spaceneeded for organizing physical documents.

The shift in office layouts has producedsome unexpected benefits in productivity, aswell.

Diminishing space ratios creates achange in communication that affects thewhole business, said Malone. What somepeople might consider a lack of privacy alsocauses a lot of good ideas to arise from coin-cidence. A junior employee might overhearsomething said by a senior employee thathelps them understand the business bet-ter, or the person whos been there longermight get a fresh idea from someone whojust showed up.

Some experts have also pointed out

that less individual space puts more eyeson employees, limiting their ability anddesire to surf the Internet or take personal

calls on-the-clock. In this way, reductions in

productivity created by ambient noise andconversing with co-workers can be offset bylimitations in a workers ability to get onFacebook or play games online.

But, as with so many things, many things,fluctuating markets have the most to do withthe use of available space. These ratios areoften a matter of timing. As the economyimproves a company might increase its em-ployee base by a significant percentage, andits difficult to find new space to accommo-date that growth when leases run three tofive years, said Bill Beck, of Tenant RealtyAdvisors. Becks reasoning is supported bystatistics from U.S. Department of Labor.They show a brief spike in the per-personsquare feet ratio in the year 2010, a result ofthe grey space created by the loss of em-

ployees during the recession. Companies

locked into long-term rental agreementscould not immediately find smaller quarterswhen their staffing was reduced.

DJ ThompsonChanges in space-per-person cause alter-

ations in maintenance and amenity needs.As office density increases, a ripple effect inplumbing, HVAC, janitorial, and (perhapsmost importantly) parking needs create

additional expenses for building managersthat are sure to affect tenant costs.

While city planners in areas like Boisehope to counteract limitations in parkingby creating high-density urban living space,D.J. Thompson of Cushman & WakefieldCommerce thinks nature will have a say inthe end.

We know that younger professionals likethe idea of walking or riding a bike to work,said Thompson. But the will to leave yourcar at home decreases when the tempera-

ture dips below freezing and the wind startsblowing.

Were seeing changes in the perception of ofce

hierarchies, and obtaining the iconic corner ofce isnt

a top priority for people used to getting work done at

home or the coffee shop. Ephraim Greenwall, owner of buildings in Boises BoDo and San Francisco

Office space has a new look and feel

Photo by Pete Grady.

Staff and visitors at the ofces of Fahlgren Mortine, a marketing and communications rm in Boise. Shown here are (l-r) Ben Hedrick, an event planner with TMNEvents, Shea Andersen, associate vice president at Fahlgren Mortine, Tom Steward of TMN Events, and John Curtis, Fahlgren Mortine's senior vice president andmanaging director.

208.287.5050 www.grou pone-p m.com | [email protected]

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BYERICHAYES

Special to the IBR

People who spend much time social-

izing in downtown Boise these days have

grown accustomed to conversational pauses

brought on by the grinding clack of jack-hammers and the buzz of electric saws from

nearby construction projects.

Two projects largely responsible for the

daytime cacophony of construction are the

nine-story City Center Plaza at Eighth and

Main streets, and the new Simplot head-

quarters at Jacks Urban Meeting Place, a

large block occupied by millions of dollars

worth of Simplot-related construction be-

tween Front, Myrtle, Ninth and 11th streets.

City Center Plaza will add 206,000

square feet of office space to the mix. The

Simplot headquarters will add 325,000. To-

gether, they contribute a significant block of

office space to downtown Boise.

Class A office space rates in Boise have

gradually returned from a 2010 low of

$15.65 per foot to current asking prices

above $18 per foot. Those rates are still 20

percent to 40 percent lower than those in

neighboring markets such as Salt Lake City,

Portland and Seattle.

A surplus of space would lower rents and

make it more difficult for developers to find

the financing they need for new projects indowntown Boise, the largest office space

market in the state. But brokers say theres

enough demand to absorb the new space.

People who dont understand the down-

town market have worried about that, said

Gary Christensen, developer and manager

of the Banner Bank building. But a large

group of people are attracted to the amenities

of downtown. Were seeing tech companies

choosing to locate downtown rather than in

the suburbs, and I think it has a lot to do withthe impact of the 25-to-40-year old genera-tion. They dont want to drive cars, they liketo get together with friends easily, they want

to meet for coffee, they want to associate eas-ily, and they want to live in the North End.Theyre making an impact on businesses.

Christensens optimism is shared by oth-ers in the industry. A mid-year market reportfrom Thornton Oliver Keller (from whichthis article draws most of its statistics) pre-dicts lease rates for Class A office space inBoise will continue to moderately rise in2016, and absorption rates are expected toremain comparable to the last four years.

With over 6 million square feet, down-town represents the largest market for officespace in the Treasure Valley and the state. Yetit also claims the lowest regional vacancyrates for Class A office space. Overall vacancyrates for Class A office space in the TreasureValley recently dropped below 11 percent for

the first time since 2007, and downtownsvacancy rates dipped below 8 percent in Oc-tober 2015.

New construction is unlikely to disruptthese indicators, as most of City Center Pla-

zas space has already been leased to Clear-water Analytics and Boise State University,and less than 15,000 square feet were list-ed as available late last year in the Simplot

complex. Though a ripple effect of vacancieswill be created as tenants migrate to theirnew spaces, absorption rates are expectedto stay strong as downtowns desirability fornew businesses grows.

New construction is simply meetingcurrent needs, said Bill Beck of Tenant Re-alty Advisors, a firm exclusively representingthe interests of tenants. Weve been tellingclients that if theyre looking for space inBoise, theyll need to start looking early.

According to Beck, large companies look-ing to re-locate downtown (such as the techfirm Cradlepoint, which consolidated its of-fices to 50,600 square feet at the Boise PlazaBuilding) might even find it difficult to lo-cate downtown office space.

Businesses looking for 20,000 contigu-

ous square feet or more have limited choicesin the downtown market. Currently, onlyfour buildings are capable of providing thatkind of space and the timing must beright to make it possible, Beck said.

That timing willcertainly be right inAugust, when Sim-plot plans to move

out of the 100,000square feet it occu-pies at One CapitalCenter. Thoughfilling that spacerepresents a chal-lenge, the build-ings managers areoptimistic.

Weve already had potential tenants ex-amining layouts at One Capital Center, saidJeremy Malone of Oppenheimer Develop-ment Corporation.

Malone said the success of leasing theSimplot space will depend on making arange of options available.

Focusing on flexibility is important be-cause the needs of tenants change so rapid-

ly, he said. Were in a good position be-cause the buildings floor plates allow us towork between traditional office models andPlug-and-Play set-ups that the tech firmsare looking for.

New vacancies caused by the construc-tion will provide some opportunity for eco-nomic development, said Krisjan Hiner, thepresident of the Idaho Building Owners andManagers, or BOMA.

With Simplot vacating those corporateoffices, that leaves a lot of space for the(Boise Valley Economic Partnership) andother companies to bring some large corpo-rations that were looking for Class A spacethat previously wasnt there, Hiner said. Inthe past there were companies that wantedto come to Boise but couldnt find the right

space so they passed.

Brokers: Surge of new office space

wont dampen demand

A large group of people are attracted to the amenities

of downtown. Were seeing tech companies choosing

to locate downtown rather than in the suburbs, and I

think it has a lot to do with the impact of the 25-to-40-

year old generation. Gary Christensen, developer and manager of the Banner Bank building


The new headquarters of the J.R. Simplot Co. are going up along Front and 11th streets in downtown Boise. When completed, they will add 325,000 square feetof ofce space to the downtown market.

Bill Beck


7/24


BYANNEWALLACEALLEN


Southwestern Idahos professional groupfor residential property managers, NARPM,is readying its members for a changing rent-al landscape as apartment construction ac-

celerates and newcomers arrive to take jobsin the state.

Like so many people in business,NARPMs president, Cory Tanner, is watch-ing closely to see how the behavior ofmillennials will affect his own operation,Bolton Property Management. And hes po-sitioning his group, the southwestern Idahochapter of the National Association of Res-idential Property Managers, to respond toupcoming market changes professionally.

Idaho NARPM held a strategic planningsession in October to come up with prior-ities for the coming year. One priority wasprofessional development. NARPM will

hold sessions this year for its members on

issues such as fair housing law, account col-

lections, and tenant safety.

Another topic was licensing, which is not

now required for residential property man-

agers in Idaho. NARPM doesnt hold a posi-tion on the issue, but discussed it at the stra-

tegic planning session. Within the 60 or so

members of Idaho NARPM, there are those

who support licensing as a way to weed out

bad actors and bring more professionalism

to the industry, and those who oppose it as

a violation of their privacy.

Tanner, who falls into the former camp,

is licensed as a property manager in Utah,

where he also manages real estate.

The Division of Real Estate audits my

trust account, theyve audited my operat-

ing account, they do an annual evaluation

that some may look at as a hassle, Tanner

said. All theyre doing is making sure that

if were using a trust account were using it

appropriately. There is some value to it. But

there are other property managers who say,

I dont want somebody poking their nose in

my business.Apart from licensing, NARPM members

are also trying to increase their community

service activity.

Tanner, who has an MBA from Purdue

University and a BA in communications

from the University of Utah, worked for

Johnson & Johnson in New Jersey for a de-

cade before returning to Idaho and starting

his property management business. His

company manages about 250 properties

around the Treasure Valley. He has watched

local building trends closely and said he ex-

pects them to affect local property managers

eventually.

We have certainly seen an increase in

multi-housing complexes and units across

the valley, Tanner said. At the same time,

the vacancy rates have remained fairly low.

Weve been able to continue to fill those

vacancies. But at a certain point, thats go-ing to have to level off. You cant build in-

definitely.

Phyllis Barker,

the majority own-

er of Group One

Property Manage-

ment in Boise, said

property managers

at her company

are working with

professionals who

are moving from

out of state to take

jobs at companies

such as the St. Lukes and Saint Alphonsus

Health Systems, Micron, Hewlett-Packard,and Albertsons.

These renters are looking for mobility.

Most want to rent for 6-12 months to

study the valley and choose a neighborhood

that fits their desires before they buy, said

Barker. They prefer to be as close to down-

town as possible.

Like the professionals who work with

Barker, millennials tend to rent rather than

own, which is good news for property man-

agers. But Tanner said the millennials he

works with tends to demand mobility even

within the traditional structure of renting.

Even within lease terms, they want some

flexibility, he said. If they need to up and

leave for some service project in Africa, they

want to be able to do it.


Cory Tanner uses his smartphone to take a photograph. Like many property managers, Tanner uses an app that helps himcoordinate unit inspections.

Residential management group emphasizes continuing ed

Phyllis Barker

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8/24


BYOLIVERNEVIN

Special to the IBR

Short-term and virtual office services

are enjoying a run of popularity in thesepost-recession years, as entrepreneurs leave

their home offices behind for more profes-

sional surroundings.

The global short-term and virtual officeprovider Regus is opening new offices in the

Treasure Valley after operating for a decade

from a space in the Banner Bank building indowntown Boise. In the last year, Regus has ex-

panded to The Village at Meridian and Library

Square in Nampa, said Chris Beagley, whomanages the Banner location for Regus. He

doesnt see the trend slowing anytime soon.

I take calls from prospective renters

nearly every day, Beagley said.Virtual and short-term office rentals pro-

vide an array of services and settings to help

the self-employed avoid the high cost of apermanent office lease, yet meet occasional

needs for professional meeting space. Many

offer answering services that will take mes-

sages and makeappointments.

Joseph Eiguren

opened his Intelli-gent Office branch

in the new Eighth

and Main build-ing in late 2014.

Intelligent Office,

an international

firm with dozens of

franchisees in theU.S. and Canada,

promotes its virtual and short-term services by

reminding would-be renters that the company

will help them avoid the tiresome details that

accompany leased space and hired staff. With

Intelligent Office, the company says, workers

dont need to worry about workers salaries,

bonuses, overtime, sick days, seminars and

training, lunch breaks, or web surfing.

There are lots of small law firms and

individual professionals that either work in

Boise but do so alone, or work all over the

region or country and need to save money on

having more than one office, said Eiguren.

For $150 per month, renters at Intelligent

Office get a mailbox with a downtown Boise

address, their business name listed on In-

telligent Offices building directory, and 16

hours a month in one of the companys two

rental conference rooms. Each room can ac-

commodate 12 to 16 people and four to five

people respectively. Janitorial services, kitch-

en amenities, and a range of administrative

services are also included in the package.

In addition to those virtual office solu-

tions, Intelligent Office also offers ten per-

manent offices that function much like a

traditional rental with lease terms of a year

or more. Lessees can secure a 120-square-

foot space for from $600 a month for a ful-

ly enclosed unit to $1,800 per month for a

corner office that looks out over downtown.

Each of those units is currently occupied.

Although Eiguren now keeps one office

available for virtual clients to rent for $15 an

hour, he anticipates a growth in the numberof virtual clients and plans to make more of

those permanently leased offices availablefor hourly rentals.

CPA and forensic accountant DeniseMcClure chose to use a virtual office at KeyBusiness Center after renting one of the 22permanent offices there and realizing it was

more than she needed.Im a one-person operation and I just

dont need traditional office space, she said.Still, I do need an address where I can secure-ly receive important documents and counton a highly skilled, professional administra-tive support staff to handle my calls and keepme connected with all of my clients.

As far as the virtual office industry is con-cerned, short-term space is here to stay. It re-flects a desire on the part of younger workersfor more flexiblity, customized space, andsustainability. Bringing your own device towork instead of using one provided by anemployer is a new workplace trend, accord-ing to a 2014 Cisco report that was cited byVirtual Strategy Magazine, an online publica-tion that covers the many realms of the vir-

tual business world.The popularity of short-term space is also

a response to the recent recession, said Fer-nando Ferreira, an associate professor of realestate, business economics and public policyat the Wharton School of the University ofPennsylvania. Ferreira said temporary officesolutions are a perfect example of what theGreat Recession did to businesses, as well asa stop on the road to full recovery. First, therecession tossed a lot of office workers out oftheir jobs and into their garages and sparebedrooms to create their own consultanciesand start-ups. Also, many businesses haveshown over the past few years of the gradualeconomic recovery that theyre still very leeryof making large investments.

With the economy gaining strength,

short-term office rentals will start to go away,Ferreira said.

Big established firms will feel moreconfident that they can invest in morepermanent office space, he said.

Idaho, and especially Boise, are a goodtest of Ferreiras thesis. Idaho experienced

the largest increase in employment growth

among states in the last 12 months, accord-

ing to the Idaho Department of Labor. As

workers and businesses fortunes improve,

some professionals may be able to choose

whether they hold on to the freedom of a

temporary office, or they return to the ex-

pense of the traditional office space.

Its well known that rising generations of

workers are demanding more comfortable,

accommodating, healthy and sustainable of-

fice space than prior generations dared to do.

Ferreira said that as employees feel more con-

fident about their positions, they will begin

to demand better workplace amenities. Com-

panies, accordingly, will build space that is

more attractive to workers than in past years.

He points to markets like San Francisco

as an example of that trend.

Silicon Valley recovered fast from the

downturn, Ferreira said. Now, really suc-

cessful businesses in the area, like Apple, are

building huge campuses with amenities likegyms, gourmet cafeterias, and transporta-

tion for employees to and from work.

Ferreira thinks of businesses like Intelli-

gent Office, Key Business Center, and Regus

as niche operations. They wont go away, he

said, but theyre currently taking outsize ad-

vantage of an economy that is still finding its

feet, especially among sole proprietors who

can work from anywhere and may not want

to make big expenditures quite yet. As the

economy continues to gain traction he said,

those people will likely want to go back to

work in more traditional settings.

McClure chose the virtual route for the

freedom and the cost savings and she plans

to continue using it. But here are aspects of

life in a traditional office that she misses.

I do miss some of the personal interac-

tion that comes with working in a tradition-

al office space, she lamented. For lack of a

better term, I just dont get that water cooler

talk and office camaraderie that I used to get.

Silicon Valley recovered fast from the downturn,

Ferreira said. Now, really successful businesses in

the area, like Apple, are building huge campuses

with amenities like gyms, gourmet cafeterias, and

transportation for employees to and from work. Fernando Ferreira, an associate professor of real estate, business economics and

public policy at the Wharton School of the University of Pennsylvania

Spread of short-term office rentalsis a sign of the times

Photo by Pete Grady

The reception area at Intelligent Ofce, a short-term ofce rental company inBoises Eighth and Main building.

Joe Eiguren

Maintenance | Design | Construction | 208.378.4588

Choosing a landscape contractoris an important decision.

Leading the way in innovation andelevating the client experience.


9/24


BYERICHAYES

Special to the IBR

If the trend of dogs in offices contin-ues on its present course, mason jars fullof bone-shaped biscuits may become ascommon as magnetic paperclip holders ondesktops.

In San Francisco, everyone wants tobring their dogs to work, said Ephraim Gre-enwall, who owns commercial property inIdaho and California.

Greenwall said a no pets policy canbe a deal-breaker because an employer canlose prospective talent when they dont al-low dogs.

These animals often play a surrogatefor young professionals that choose not tohave children, and having their dog at work

is important to them, he said. As Greenwallspoke by phone, he mentioned that a col-leagues dog was sitting in a chair across thedesk from him.

So maybe Im biased, said Greenwall.But I feel that dogs create a more humanworkspace, and psychological studies haveshown that animals in office environmentsincrease focus and decrease stress.

Greenwall is right; studies back up find-ings that say individuals who bring theirdogs to the office make happier workers.One, conducted by Virginia CommonwealthUniversitys School of Business, found thatemployees who brought their dogs to workreported lower levels of stress at the end ofthe workday than employees who didntbring dogs to work. While workers say they

feel less stress, scientific research hasnt

backed that up researchers observed nodifference between control groups in stresshormone levels when measured via salivasamples.

Though countless other studies have ver-ified the calming effect pets have on theirowners, little hard information is availableon the link between productivity and dogsat work. Although the VCU study foundthat workplace pets can serve as a low-costwellness intervention [that] may enhanceorganizational satisfaction and perceptionsof support, researchers ultimately deter-mined further research with larger samplesizes was needed to replicate the findings ofthe initial study.

Data probably wont affect the attitudesof people who already enjoy bringing theirdogs to work, though.

Cheryl Bloom, a Boise resident who isalso an advocate for users of service animals,said basic obedience training is necessary tominimize the fear and annoyance of non-dog lovers.

Some people who rely on their dogs foremotional security havent trained their petsto get along in public. Unfortunately, thiscan have a negative impact on peoples at-titudes toward service animals in general,she said.

Bloom noted that a pet that helps anowner deal with mental health issues likeanxiety or depression cant be considered aService Animal unless its been trained toperform tasks for a person to help overcome

Indoor animal policies are

increasingly common and more

complex than ever


Downtown Boise real estate owner Clay Carley in his ofce with Buster. Carley,who allows dogs in the buildings he owns and manages, said he brings Buster

into work when his schedule allows. When hes here, hes a very popular guy,Carley said. SeeANIMAL POLICY, page 23


10/24

1 0 | S Q U A R E F E E T q u a r t e r l y I D A H O B U S I N E S S R E V I E W p u b l i c a t i o n | J a n u a r y 1 5 , 2 0 1 6 | w w w . i d a h o b u s i n e s s r e v i e w . c o m

Photo by Maxmilian Frank of the (Baltimore) Daily Record.

From left, Ellen & Tucker employees David Konapelsky, analyst; Zach Reichenbach, manager; and David Frankenberger, marketing coordinator, enjoy a game ofpool in the company dining and entertainment area on a recent Friday evening after work.

Millennials are not the only

workers driving new office designsBYADAMBEDNAR

Dolan Media Newswires

The popular narrative that companies are

moving to dense urban areas with a prefer-

ence for open, collaborative spaces in a bid

to placate and attract younger employees

may not be the full story.

Examining how millennials, technology

and e-commerce are shaping commercial

real estate, researchers, brokers and market-

ing professionals gathered at a recent con-

ference hosted by Saul Ewing LLP, agreed

changes in the office space attributed to

millennials wouldnt be happening if older

workers didnt like them, too.Moving to an open floor plan wasnt

something that only millennials like. It was

something everyone liked, said Sara B.

Queen, executive vice president of New York-

based Brookfield Property Partners said.

Edwin R. Brake, managing director for

accounting firm Ellin & Tucker, can speak

to the divide firsthand. The firms new office

space at 400 E. Pratt St. in Baltimore was ahuge departure from previous spaces andput a heavy emphasis on innovation, Brakesaid in an interview.

The new workspace features more openspace with lower work stations and few-er isolated offices. It even includes a funspace, a multimedia center with a bar andfridge stocked with beer.

Brake said he kept most employees inthe dark during the planning stages for fearthey would complain simply because of thechange.

Younger employees loved the space im-

mediately, he said, while some older em-ployees were not as thrilled. He asked skep-tics to give it 90 days. Now, some of thebiggest critics have embraced the new space,he said.

Theyre not opposed to it, Brake dead-panned.

Younger employees may drive changes inworking spaces, but older workers typical-

ly occupy the management positions thatmake decisions about the type of office andwhere a firm will be located. So if the olderworkers were not on board and embracingthe changes they wouldnt be happening.

Behaviors are changing, said BronwynE. LeGette, vice president at Cushman &Wakefield in Baltimore.

Some trends in commercial real estate,ostensibly being driven by technology-ob-sessed youth, range from smart buildingsaimed at making an office more efficientand comfortable to well buildings that arebuilt to promote health. Although some of

these changes could be viewed as catering tothe whims of millennials, some have bothpractical and performance impact.

A study published this summer in thejournal Nature Climate Change showedwomen often feel colder in an office thanmen. Thats often amplified because indoorclimate regulations were set on a modelfrom the 1960s, when offices were dominat-

ed by men. In the modern workforce, with

more female employees, a smart building

that allows for greater climate control can be

very attractive amenity.

But whether these modern workspaces

will continue to be located primarily in ur-

ban areas or will begin migrating to the sub-

urbs is up for debate.

People like living in cities, and were go-

ing to see that grow, and grow and grow,

Queen said.

But Adam Ducker, managing director

Bethesda, Maryland-based RCLCO, pointed

out that most corporate executives still pre-fer to live in the suburbs. Recent polls have

shown the majority of Americans still em-

brace the suburban idyll as their preferred

lifestyle. Theres also the fact that suburban

office space is often cheaper than city com-

petitors.

The price trade-up to me seems compel-

ling, but pick wisely, Ducker said.

With Ledger Commercial Property Management, you get more than the typical

property management company; We believe tenants are important to our

business and without them no one makes money. We will return your tenants

phone calls and build relationships that last longer than the lease term.Our team will work within your budgets, saving you thousands of lost dollars

during the leasing, design and construction process. We work diligently to

increase your NOI through proactive maintenance by actually going to your

property to see what is needed. We have 15 years in the Boise Valley successfully

managing Class A Medical/Ofce.

We are your property management services team

promising the solutions to having a thrivinginvestment.

Contact Kari Davisat208-869-8090 or

[email protected]

200 S. Cole Road, Boise, 83709 | www.ledgercpm.com

Building owners, do you have a propertythat is thriving or merely surviving?

Are your tenants feeling neglected andunimportant?

Have you lost tenants because of yourProperty Management company?

Does your building look sad and tired?

Is your rent roll a mess?


11/24

J a n u a r y 1 5 , 2 0 1 6 | w w w . i d a h o b u s i n e s s r e v i e w . c o m | S Q U A R E F E E T q u a r t e r l y I D A H O B U S I N E S S R E V I E W p u b l i c a t i o n | 1 1

When it comes to property

manager licensing,

Idaho is still the Wild West


Andy Propst (right), president of Park Place Property Management, with Tyler Hildebrand with Anderson Construction and Autumn Boulton with Park PlaceProperty Management. The three are shown at the Cantabria Apartments, a new complex that Park Place manages.

BYTEYAVITU


Barbers, beauticians, and shorthand re-

porters all need to obtain a license before

they can set up shop in Idaho. But for a

would-be real property manager, the process

is as easy as signing up a client.

Idaho is one of only five states with no

real estate broker or property management

licensing requirements for property man-

agement companies. Its the Wild West Bar-

bers, beauticians, and shorthand reporters

all need to obtain a license before they can

set up shop in Idaho. But for a would-be real

property manager, the process is as easy as

signing up a client.




agement companies. Its the Wild West Bar-

bers, beauticians, and shorthand reporters

all need to obtain a license before they can

set up shop in Idaho. But for a would-be real

property manager, the process is as easy as

signing up a client.




agement companies. Its the Wild West when

it comes to keeping track of rent payments

and security deposits, or keeping track of

those who collect them, said Andy Propst,the president of the National Association of

Residential Property Managers.If the property manager wants to take

the money and run, theres nothing (the

property owner) can do, said Propst, whois an Idaho property manager. It is a civil

matter, not a criminal matter.Idaho also has no requirements for

property managers to secure rents or secu-

rity deposits in trust or escrow accounts andno regulatory agency audits or monitoring

these funds, something that is common-place in nearly all other states.

Propst is president of Park Place Property

Management in Meridian, the Treasure Valleys

largest property management firm. Park Place

manages 2,500 units, including 900 single-fam-

ily homes and 12 apartment complexes.

Propst is crusading to bring Idaho along-side nearly all other states with property

management laws and licensing. But there is

no universal endorsement to license prop-

erty managers, even among other Treasure

Valley property managers who have beennational presidents of NARPM.

Im happy with the status quo, saidMarc Banner, owner of Realty Management

Associates in Garden City and the NARPM

president in 2005. Having a license doesnot solve the problems. Government creates

more problems than it solves.Tony Drost, president of First Rate Prop-

erty Management in Boise, wrestles with

positive aspects of free enterprise that he as-

sociates with Idahos tradition of relativelyminimal regulation. Its balanced by a lack

of accountability regarding what property

managers do or dont do.

Its tough, said Drost, NARPMs nation-al president in 2011. I do like that we have

small thriving businesses because we dont

have a lot of bureaucracy. (But) I think thebarrier of entry has got to be a little harder.

There have to be some kind of requirements.

The thing that concerns me is where do you

stop it (how much regulation).Propst, Banner and Drost, despite their

varying stances about property manager

regulations, are themselves all licensed realestate brokers.

The local NARPM is all over the board

(about licensing), Propst said.Their contrasting viewpoints mirror the

for-and-against dynamic across the proper-

ty management and real estate community.The lack of consensus has stifled any action

from Idaho Real Estate Commission, said

that groups executive director, Jeanne Jack-

son-Heim.Its one of those things some people re-

ally want it, some people really dont want

See PROPERTY MANAGEMENT, page 23

If the property manager wants to take the money and

run, theres nothing (the property owner) can do. It is a

civil matter, not a criminal matter. Andy Propst, president of the National Association of Residential Property Managers


12/24


BYGARRETTANDREWS

Special to the IBR

They occupy massive amounts of land

and are seen as enablers of fossil fuel con-sumption. But now parking garages and lots often considered antithetical to sustain-

ability are being recognized for their greenaspects.

Weve had a lot of interest from peo-ple looking for recognition for the things

theyve done, said Trevyr Meade, program

manager for the Green Parking Council inNew Haven, Conn.

The council was formed five years ago bya group of parking operators and real estate

professionals after the U.S. Green BuildingCouncil stopped doling out Leadership in

Energy & Environmental Design ratings todevelopments with more than 75 percent of

their space dedicated to parking.

They saw an opportunity to create a cer-

tification standard in the industry, and alsoto educate, Meade said.

The GPC spent four years developing

version 1.0 of its Green Garage Certificationsystem, and last year launched the beta ver-

sion. And in October, the GPC announcedthat seven sites around the country were the

first to earn Green Garage status. Four arelocated at office buildings, one is at Cor-

nell University in Ithaca, N.Y., one is at the

Charles Hotel in Cambridge, Mass., and theother is at Denver International Airport.

As with LEED, GPC certification is award-ed via a points-based rating system; the cate-

gories are management practices, programs,structure and design. Points are awarded,

for instance, to owners that institute recy-IBR file photo.

Myrtle Street Parking Garage in Boise. A New Haven, Conn. group is setting up guidelines for green parking certication.

Group seeks green parking garages

See GREEN PARKING, page 22

Learn and Network at

IBR Breakfast Series

Our panels bring together experts who

discuss timely, business-focused topics.

To register for an upcoming Breakfast

Series, visit idahobusinessreview.com

and click on Events.

For more information, please contact

IBR Editor Anne Wallace Allen at

[email protected]

For advertising or sponsorship

opportunities, contact the advertising dept.

at [email protected]

IDAHOBUSINESSREVIEW

2016schedule

FEB. 9

Compensation: Idahos

rate of pay

APRIL 5 Public Transit inIdaho

JUNE 7 Idahos travel industry

AUG. 9 Commercial real estateand urban renewal

DEC. 6 The future:what 2017 holds

OCT. 11 Technology companies


13/24


Meeting the obligations of the Fair Housing ActBYZOEANNOLSON

Special to the IBR

Disability discrimination is the No. 1 fairhousing issue were asked about at the Inter-mountain Fair Housing Council.

The council is a nonprofit organizationwhose mission is to ensure open and in-clusive housing for all people. Most of therequests for technical assistance we get arefrom housing providers, consumers, govern-mental employees, and advocates. Service

animal and accessibility issues are the ma-jority of requests for assistance. In the pastthree years, IFHC has conducted over 20 de-sign and construction assessments. Of thoseassessments, only two buildings were fair

housing-compliant. Many of the same hous-ing providers also had noncompliant serviceanimal policies, practices and forms.

Recent systemic design andconstruction settlement

To illustrate this point, recently, the Na-

tional Fair Housing Alliance, IntermountainFair Housing Council, and Northwest Fair

Housing Alliance have settled a housing ac-cessibility lawsuit against Rudeen Develop-ment, LLC and several co-defendants. Thelawsuit alleged violations of accessibilityrequirements at River View Apartments andVillas at River View Apartments in Coeur

dAlene, Mountain View Apartments inPonderay, Bentley Apartments in Spokane,

Wash., and Mirabolante Apartments in Spo-kane Valley, Wash.

The agreement settles claims that Rudeen

and other defendants designed or construct-ed multifamily dwellings, and common-and public-use areas, without the accessibil-ity features required under the federal FairHousing Act.

The Defendants agreed to make improve-ments and modifications at the five apart-ment complexes identified above which willenhance the accessibility of apartments andcommon areas for persons with disabilities.

The Defendants also agreed to pay the fairhousing centers $225,000 in damages, costs,and attorneys fees.

Design and construction violations costhousing providers money. And they deny or

limit access to housing to persons with dis-abilities.

Communities

can do a better job

of addressing con-

cerns by providingdesign and con-

struction educa-tion, by reviewingdevelopers design

plans to make sure

they comply with

state and federalbuilding acces-

sibility require-

ments, and as a last resort, by withholdingbuilding, occupancy and amenity permits

until buildings are in compliance with FHA

design and construction requirements foraccessible housing.

These three steps will reduce costly fair

housing violations and limit the need to

retrofit buildings after they are built. Thesesteps will also help reduce the number and

cost of reasonable modifications that prop-erty managers and landlords must grantwhen dwellings are built inaccessibly under

the design and construction standards. If thedwelling was built for first occupancy after

March 13, 1991, but does not meet the Fair

Housing Acts design and construction re-quirements provided at 42 U.S.C. 3604(f)

(3)(C), the housing provider must pay for

the costs of any structural changes that wererequired to be included at the time of con-

struction.

Fair housing basicsUnder the Fair Housing Act, seven basic

design and construction requirements must

be met. HUD has explained these require-ments in the Guidelines with a Supplemen-

tal Notice: Questions and Answers About

the Guidelines published in 1994.In 2013,the U.S. Department of Housing and Urban

Development and the U.S. Department of

Justice issued a joint statement on multi-

family accessibility requirements under theFair Housing Act.

Under the Fair Housing Act, design

and construction requirements apply tocovered multifamily dwellings designed

and constructed for first occupancy after

March 13, 1991. However, buildings where

the last building permit was issued on orbefore June 15, 1990 are not covered by

the design and construction requirements.HUD regulations define first occupancy as

a building that has never before been used

for any purpose. Design and constructionrequirements do not cover buildings that

are rehabilitated even if the rehabilitationoccurs after March 13, 1991 and even if thereis substantial rehabilitation.

Design and construction violations cost housing

providers money. And they deny or limit access to

housing to persons with disabilities.

Zoe Ann Olson

SEVEN BASIC DESIGN AND

CONSTRUCTION REQUIREMENTS

1. An accessible building entrance on an accessible route;

2. Accessible common and public use areas;

3. Usable doors (usable by a person in a wheelchair);

4. Accessible route into and through the dwelling unit;

5. Light switches, electrical outlets, thermostats and other

environmental controls in accessible locations;

6. Reinforced walls in bathrooms for later installation of grab bars;

7. Usable kitchens and bathrooms.These seven requirements are usually where IFHC nds the most

design violations such as inaccessible routes and community rooms or

bathrooms, narrow door openings, light switches that are too high or

outlets that are too low. HUD recognizes ten safe harbors for compliance

with the Fair Housing Acts design and construction requirements.

Education and a good expert are the best medicine for fair housing

design and construction compliance.

Under the Fair Housing Act, seven basic requirements

must be met to comply with the access requirements of

the Act:

See HOUSING, page 23

1. Attend fair housing and

diversity training annually.

Prejudice in a housing program

may translate into treating

people differently based on aprotected class.

2. Dont assume the Fair Hous-

ing Act doesnt apply to you.When in doubt, research the fair

housing issue. When housing

providers incorrectly assume the

law does not apply to them, the

conversation about a fair housing

issue gets off to a difcult start.

3. Make sure that ads, social me-

dia, public statements, policies,

procedures dont discriminate

based on a protected class.

4. Address tenant/neighbor fair

housing disputes in a timely

mannerand interview all par-

ties to provide due process and

prevent or minimize allegationsof discrimination.

5. Address reasonable accommo-

dation and modifcation requestsfrom persons with disabilitiesin

a timely, interactive fashion.

6. Monitor and review your poli-

cies, procedures, and practices

to make sure they are compliant

with the Fair Housing Act and

other civil rights laws.

7. Get help from people or agen-

cies in the know such as HUDsFair Housing and Equal Opportu-nity Ofce, IFHC and/or a knowl-edgeable fair housing attorney.

TIPS FOR AVOIDING VIOLATIONS OF THE FAIR HOUSING ACT


14/24


Short-term rentals need

long-range planningBYTIMTYREE

Special to the IBR

We hear from clients excited to placetheir homes into the short-term rental mar-ket, and we hear from home owner associa-tions ranting about the problems associatedwith short-term rentals.

A myriad of regulations need to be con-sidered before placing a home into the res-idential rental market, be it short-term orlong-term. Home owner associations mayhave recourse depending on the terms ofthe covenants, conditions and restrictionsgoverning the subdivision. Regardless, oneof the most important decisions is wheth-er or not the rental will be managed by thehomeowner or by a property managementcompany.

Effective property management is key tothe rentals financial success, or lack there-of. Its also key to whether the property willdraw the ire of the home owner association.There are many factors to consider. Theymay differ in importance depending on theproperty, but lets consider a few of the mostcommon decisions.

Promoting the property on a variety ofwebsites will lead to more rental use andhigher revenue. If you employ a proper-ty manager, does that manager advertise

available rentalsonly on its web-

site or does italso advertise on

VRBO, AirBnB,Homeaway andsimilar sites? How

effective is theadvertising? Are

there multiple pic-tures of the homethat make it look

inviting and pro-mote the best aspects of the home, or is the

listing not much more than the fill-in-the-blank Craigslist advertisement?

What is the customer service level? When

you call the property manager, does some-one pick up the phone? Can you contact

the same person consistently and is thatperson familiar with your home? If you arestruggling to reach a live person, your ten-

ants are likely to have the same problem. Irecently cancelled my property management

relationship with an Oregon-based compa-ny that focuses on short-term rental man-agement for this very reason. I spent hours

trying to correct their accounting errors andrarely spoke to the same person twice. The

accounting problems are still not resolved.

Ive since listed my property with a localwell-established real estate company withfar greater success and service.

Will the property manager collect and re-mit all taxes and fees associated with short

term rental use? Rentals of less than 30 daysare subject to a tax collected by the Great-er Boise Auditorium District. The Districts

boundaries are wide-reaching, encompass-ing more than just downtown Boise. The

failure to pay to the tax can result in penal-

ties and interest and may ultimately lead toa lien on your property. Even if your proper-

ty is outside the boundaries of the GreaterBoise Auditorium District, there may be oth-

er taxes and fees applicable to your property.Understanding what taxes and fees applyand how to properly and timely remits those

costs are important considerations.Finally, can your property be used as a

short-term rental? Do not rely on your prop-erty manager to make this assessment. Lo-cal laws differ from city to city and change

over time. Some cities and towns, especiallyresort communities, may actively promote

short-term rental use as an economic driv-er, while bedroom communities are morelikely to restrict short-term rental use. As the

prevalence of short-term rental use grows,

we are expecting more cities and towns to

implement regulations concerning short-

term rentals. And, we know more and more

homeowner associations are addressing

short-term rental use. If properly drafted,

the covenants, conditions and restrictions

governing the subdivision can restrict and

out-right prohibit short term rental use.

Whatever your decision, whether to go

it alone or hire a property manager, there

are many issues to address before enteringyour home into the short-term rental mar-

ket. Undoubtedly the market is growing, if

only based on the number of calls we receive

both for and against short-term rentals. So

making your short-term rental a financial

success will depend greatly on your ability

to stand out in a crowded market.

Tim Tyree is a partner at Hawley Troxell in

Boise. He handles all types of commercial trans-

actions, including business formations, mergers,acquisitions, sales, leases, development, franchis-

ing, permitting, and financing. He is the chair

of the business group and a member of the real

estate group and renewable energy group withextensive experience in renewable energy project,

permitting, and financing.

Tim Tyree

Join us as we celebrate these women and their accomplishments

2016

Women of the Year

Karen Appelgren

Renee Avram

Nora J. Carpenter

Erin Cave

Karen Echeverria

Colleen Asumendi Fillmore

Charlotte G. Borst

Catherine Chertudi

Winnie Christensen

Julie M. Fogerson

Ashley Ford-Squyres

Janice E. Fulkerson

Brandie Garlitz

Erin Guerricabeitia

Johanna (Joey) C. L. Hale

Carolyn Holly

Beth Ineck

Sarah (Xiaoye) Jin

Katherine Johnson

Autumn Kersey

Dana Boothe Kirkham

Diana Lachiondo

Marcia T. Liebich

Brooke Linville

Barbara Zanzig LockCorinne (Cori) Mantle-Bromley

Deneen May

Molly Mettler

Amy J. Moll

Terri Muse

Nancy K. Napier

Mary (M.C.) Niland

Rebecca L. Noah Casper

Patricia M. Olsson

Julia Rundberg

SeAnne Safaii-Waite

Carole Skinner

Stacie States

Shannon Stoeger

Ann Swanson

Olga Tijerina-Menchaca

Gloria Totoricagena

Jill Shelton Wagers

Shawna Walz

Amanda Watson

Carrie Westergard

Jennifer Wheeler

Cheryl A. Wright

Mary York

America Yorita-Carrion

February 25, 2016

5:30-9 PM at the Boise CentreRegister at idahobusinessreview.com/events/woy/

Publication date: February 26

A night to remember

Presented by Sponsored by


15/24


Separating the pros

from the amateursBYSENECAHULL

Special to the IBR

Adherence to national standards for best

practices is what separates the pros from the

amateurs.

Professionalism is very important to

the landscape industry. When youre hiring

someone to do landscape work, it can be

difficult to wade through the choices to find

a service that can be trusted. Some people

believe that if you mowed lawns as a teenag-

er or helped your uncle put in his sprinkler

system, youre an expert!However, there is a lot to know and there

are a lot of mistakes that can cost people

money. Safety hazards, such as incorrectly

built retaining walls, or improper grading

and drainage practices are just a few reasons

to make sure you are using a professional.

But how do you know if you are hiring a

professional? One of the ways our industry is

trying to raise the quality and professional-

ism of its members is through certification.

Earning a Landscape Industry Certified desig-

nation provides a benchmark of profession-

alism and sends a message that the job is be-

ing done with experience that can be trusted.

The National Association of Landscape

Professionals, orNALP, has a num-ber of certificationprograms that pro-vide members withtraining and also away of measuringtheir knowledge.Certification en-tails completinga rigorous train-ing regimen that

includes the verylatest techniques for design, installation andmanagement of landscapes.

Each state association holds tests usingtheir strict guidelines and testing materials.Idaho started doing this in 2001. To datethere are 142 Landscape Industry Certifiedindividuals in the state. The goal for the Ida-ho Nursery and Landscape Associates whenit began administering the program was tonot only raise the knowledge and profes-sionalism of the industry but to provide theend user with a way to be able to measurethat as well. Whether it is a homeownerhiring a landscaper or a general contractorqualifying bidders, certifications can help

level out the playing field and give everyonewho is interested in raising the bar a way toshow it.

As an employer, certification helps sep-arate out individuals who are interested intheir education and future in the industry.Someone who is just going to do this untilsomething better comes along isnt goingto invest the time and energy is takes to passthis test. It is not only a written Q&A, butalso a hands-on test where you go throughstations and do things like plant a tree, wire

a controller and run a skid steer. The com-pletion of the testing process is indicative ofthe ability to perform under pressure andmeet deadlines which is necessary in thisbusiness. It is also required that the certifica-tion-holders recertify with continuing edu-cation that keeps them current in new issuesand trends in the industry. Certifications in-clude certified manager, technician (exteriorand interior landscape), horticulture techni-cian and lawn care rechnician.

We have additional Idaho certificationprograms, including the Certified NurseryProfessional and the Certified Plant Diag-nostician. These certifications relate moreto the retail segment of the green industry.

The College of Western Idaho horticultureprogram uses the CNP as part of their grad-uation requirements, which means studentscome out of the program with a solid baseof knowledge that employers can use to basewhere they start in the industry.

With the shortage of skilled workers inthe industry, it is important for us to sup-port these programs and the elevation ofbeing a skilled professional. We must over-come the stigma that if you have a pickuptruck, a dog and a wheelbarrow you can be a

landscaper. We create beautiful and sustain-able projects, we provide shade and oxygen.There is so much more to it than meets theeye. Next time youre talking to a landscapeprofessional, ask them about certificationand their experience in the industry. If theyare certified, you will find a qualified, proudand creative individual who can be distin-guished from the rest of the competition.

Seneca Hull is President of Franz WitteLandscape Contracting, Inc., a 45-year-oldcompany providing landscape, maintenance andnursery services with locations in Boise and Mc-Call. She has spent many years involved in stateand national landscape associations promotingthe industry and the people in it.

Seneca Hull

SYNCHRONIZINGYOUR SPACES

PROPERTY MANAGEMENT

208 345 9000 | colliers.com/boise


16/24


Commercial property managementtakes skill and sensitivity

BYTIMREIDANDTAMMYCOX

Special to the IBR

Commercial property management isnot for the faint of heart. A good propertymanager has to be equipped with a numberof skillsets. They are part construction man-ager, part accountant, part engineer, partpsychiatrist, part interior designer, and partlandscape architect the list goes on andon. For this reason, most owners opt to hirea property management company to servicetheir real estate assets. Throughout the se-lection process, property owners must knowwhat questions to ask and how to know ifthey are receiving a fair deal.

Certication and licensurePerhaps one of the most important fac-

tors in choosing a property manager is

whether or not they are a Certified Proper-ty Manager (CPM). Through this and oth-er credentials (such as licensing, which isnot currently required in Idaho) a propertymanager demonstrates a level of education,dedication and expertise to the industry that

a lay person wouldnot have. Further-more, it is not anendeavor that canbe achieved quick-ly or easily. Muchlike the CertifiedCommercial In-vestment Member(CCIM) designa-tion, the processtakes roughly two

years, and the ap-

plicant must take a number of classes andpass a rigorous final exam to even be consid-ered to earn the designation.

When a property manager has one or nu-merous forms of certification or licensure, itshows that they are in the business for thelong haul rather than just punching a timecard. In many states, being licensed in realestate is a requirement to work in the prop-erty management field. Keeping up withregulation is much easier when you hold alicense, certification, or are involved in somesort of professional organization.

Involvement in concurrent professionalorganizations such as Commercial Real Es-tate Women (CREW), the Building Own-ers and Managers Association (BOMA),and so on is also a mark of a competent

property management professional. Hav-ing a consistent source of knowledge andresources to pull from sets experiencedprofessionals apart from those who maynot be the best fit.

CommunicationIt is no secret that tenants appreciate a

property manager who is a good communi-cator, responsive to concerns, and proactivein building maintenance. A good propertymanager is able to quickly provide assistancefor any need that may arise, as well as antic-ipate issues before they become problems.Knowledgeable managers who provide time-ly assistance build trust and rapport with thetenants. Satisfied tenants typically remain,unhappy tenants relocate. Establishing a

presence and familiarity with each property

is extremely im-portant, as tenantsand owners wantto know that prop-erty managers canrespond quickly totenant and build-ing needs.

When proper-ty management isquick to respondit speaks leaguesto the tenants and

owners. Nothing shows care to those beingserved more than dedication and a fast solu-tion to whatever problem they may have.That is the heart of why they are paying forproperty management services, after all.

TrustAbove all, owners must be able to trust

the property management company theyemploy. They need to know that the proper-ty manager will do everything in their powerto keep the building up to par and keep itfrom falling into disrepair. They also mustknow that they are going to be treated fairlyfrom a monetary standpoint as well.

An owner may expect to pay around fourpercent on gross collections. Anything exor-bitantly higher should raise an eyebrow andsome deeper investigation on the part of theproperty owner.

Every step should be taken to ensure thata property manager is legitimate, dedicated,competent, and above all else, honest. When

looking for a property manager, ask for ref-

erences and dont be afraid to call on thosereferences to get the facts. Reputation shouldbe a guiding factor in the decision.

Trusting a real estate asset, specifically acommercial real estate asset, to a propertymanagement company is akin to trustingsomeone with their child. It is important toknow the ins and outs of how business isconducted on the property managers partas well as how qualified and productive theyare at carrying out necessary tasks (e.g. snowremoval and HVAC fixes).

By asking a few simple questions andcomparing notes, commercial owners canguard against incompetence and dishonestyand trust that their assets are in good hands.

For more information on the propertymanagement industry, what is entailed in

credentialing and for other resources, vis-it the Institute of Real Estate Management(IREM) website at www.irem.org.

Tammy Cox is the Senior Property Manag-er / Asset Services Specialist with Cushman &Wakefield | Commerce focusing on property andasset management in the greater Boise area. Shehas more than 18 years of experience and ex-tensive knowledge of commercial property man-agement for various types of commercial, retailand office. [email protected]. Tim Reidis Market Leader of the Idaho region of Cush-man & Wakefield | Commerce where he leadsbrokerage services, drives business development,oversees recruitment and client relationships,and supports the brokers in assisting cl ients withtransactions. He has more than 20 years of expe-rience in the Idaho commercial real estate mar-

ket. [email protected]

Tim Reid

Tammy Cox

19THANNUAL

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REAL ESTATE SYMPOSIUM

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February 9, 2016

Stueckle Sky Center,

Boise State University

Breakfast & Program

6:30am - 9:30am

BOMAIdahoSymposium.org


17/24

892

4,460

46INSIDE LISTSLOCAL

COMPANIES

CONTACTS

892

4,460

46

Dont forget, all the information on the TOPLISTs

can be sorted! Get the files in Excel format and

import directly into your own list.

Just call 208-639-3528 to purchase the electronic

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2016 IDAHOBUSINESSREVIEWBook of Lists

sponsored by

CALL FOR NOMINATIONSThe IBR Money Makers program celebrates financial professionals

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18/24


Water efficiency means cost savings in multifamily housingBYKLAUSREICHARDT

Special to the IBR

Developers of multi-housing develop-ments in the U.S. are becoming increasing-ly aware of the need for these developments

to use water much more efficiently. Unlikewater conservation, which is usually a short-term solution to address a temporary watershortage or drought condition, water efficien-cy refers to long-term measures to reduce wa-ter consumption over years to come duringwet and dry periods. Much of this awarenessis due to the four-plus years of severe droughtin California. And even though the state ex-pects considerably large rainfall events nextyear, that state has already put into place anumber of rather significant water restric-tions that are likely to stay in place no matterwhat water conditions are in the future.

However, water concerns are not just a Cal-ifornia issue. Drought conditions have surfac-es in most all parts of the country over thepast decade often in areas that traditionally

due not have water concerns and more areexpected. Plus, the U.S. Environmental Pro-tection Agency estimates U.S. consumers useabout 30 billion gallons of water every dayan

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