BOMA Greater Minneapolis • June 2013 • Page 1 Sign of the End Times 2 Cities Consider Merging 2 Doping Scandal 3 IDS Under New Ownership 4-5 Easy to Unseat BOMA Prez 6 Legislative Update 7 Minneapolis Transit 8-9 New Committee/Policy 10 Spring Social 11 June 2013 The B’ONION Edition L ike the humble Minnesotans we are, BOMA has long been reluctant to toot our own horn about our leadership on issues that affect commercial real estate. Through our Government Affairs Committee, our professional lobbying firm, our paid staff, and our dedicated members, BOMA Greater Minneapolis has helped to shape the business environment and the skyline of the Minneapolis area for over 100 years. It’s time we step into the public forum, claim credit for our accomplishments, and be recognized for our work on behalf of the industry. As a lasting tribute to our contribution to the community, we’ve succeeded in gaining naming rights and a revision to the stadium design recently introduced. The outside will feature a Mount Rushmore- like façade of BOMA Presidents towering over the main entrance, while pillars inside will be engraved with information about the tax and construction codes we were successful in helping to shape. Watch your email in 2016 for announcements about the grand opening gala at the new “BOMA Stadium!” Artwork by Jean Beaupre, Schafer Richardson, Member of the Communications Committee. President’s Message By Jon Kuskie BOMA Members and Friends: After many years of hard work developing and writing articles for the BOMA newsletter, the Communications Committee decided to have a little fun this month. We hope you’ll kick back for a few minutes and enjoy our BOMA B’Onion. Nominate your favorite BOMA president to be included on the stadium by sending a tweet to #FaveBOMAprez.
Transcript
BOMA Greater Minneapolis • June 2013 • Page 1
Sign of the End Times 2Cities Consider Merging 2Doping Scandal 3
IDS Under New Ownership 4-5Easy to Unseat BOMA Prez 6Legislative Update 7
Minneapolis Transit 8-9New Committee/Policy 10Spring Social 11
June 2013
The B’ONION Edition
Like the humble Minnesotans we are, BOMA has long
been reluctant to toot our own horn about our leadership on issues that affect commercial real estate. Through our Government Affairs Committee, our professional lobbying firm, our paid staff, and our dedicated members, BOMA Greater Minneapolis has helped to shape the business environment and the skyline of the Minneapolis area
for over 100 years. It’s time we step into the public forum, claim credit for our accomplishments, and be recognized for our work on behalf of the industry. As a lasting tribute to our contribution to the community, we’ve succeeded in gaining naming rights and a revision to the stadium design recently introduced. The outside will
feature a Mount Rushmore-like façade of BOMA Presidents towering over the main entrance, while pillars inside will be engraved with information about the tax and construction codes we were successful in helping to shape.
Watch your email in 2016 for announcements about the grand opening gala at the new “BOMA Stadium!”
Artwork by Jean Beaupre, Schafer Richardson, Member of the Communications Committee.
President’s MessageBy Jon Kuskie
BOMA Members and Friends:
After many years of hard work developing and writing articles for the BOMA newsletter, the Communications Committee decided to have a little fun this month. We hope you’ll kick back for a few minutes and enjoy our BOMA B’Onion.
Nominate your favorite BOMA president to be included on the stadium by sending a tweet to #FaveBOMAprez.
Page 2 • June 2013 • BOMA Greater Minneapolis
BOMA Greater Minneapolis
www.bomampls.org121 South 8th Street, Suite 610Minneapolis, MN 55402-2825
Phone: 612-338-8627Fax: 612-340-9744
The BOMA NewsletterSheila Miller, Editor and Publisher
Statements and opinions expressed herein do not necessarily represent the opinion of BOMA or its membership. Articles may be reprinted only by written authority of the editor.
DISCLAIMER: All advertisements are accepted and published by the publisher upon representation that the Agency and/or Advertiser is authorized to publish the entire contents and subject matter thereof. The Agency and/or Advertiser will indemnify and hold harmless the publishers, the employees and agents of the publisher from any loss or expense from claims or suits based upon contents of any advertisement including claims or suits for defamation, libel, violation of rights of privacy, plagiarism and copyright infringement.
Officers
President: Jon A. Kuskie, Zeller Realty Group
Vice President: David K. Wright, FMA, RPAUS Bank Corporate Real Estate
Secretary/Treasurer: Kimberly K. Ihle, CPM, RPA, CCIMCBRE
Directors
Kevin A. Connolly, CPM, RPACushman & Wakefield | NorthMarq
David R. Dabson, RPA, CCIMPiedmont Office Realty Trust, Inc.
Lynette Dumalag, Nelson, Tietz & Hoye, Inc.
Susan J. Goldstein, Xcel Energy
Brett K. Greenfield, Colliers International
Michael A. Hagen, The 614 Company
Tanya J. Hemphill, RPA, CPM, CCIMInvestors Real Estate Trust
Tom W. Heuer, Aspen Waste Systems, Inc.
Pat McQuiston, Target Corporation
Jeffrey C. Steinke, RPA, Ryan Companies US, Inc.
Amy J. Wimmer, Hines
Kevin Lewis, Executive Director
Those of you who have ever served on a BOMA committee know that Sheila Miller, BOMA’s Member Services Director, has long said she will NEVER tweet in this lifetime. But two separate BOMA members spotted her recently at the Energy Innovation Awards in Minneapolis tweeting about BOMA’s Kilowatt Crackdown entry in the competition.
BOMA is not known for being “early adopters.” “We like to be sure these things are going to catch on before we engage,” said Miller, “but when the Pope started tweeting last year, we knew eventually we would have to join the Twits. Just for the record, though, I was learning HTML code for websites before some of our members were born!”
While Miller doesn’t claim to have invented the Internet, she did once attend a conference with Al Gore.
Sign of the End Times?
Drastic cuts in Local Government Aid (LGA) from the State have forced local governments to begin considering mergers to achieve efficiencies. While such mergers would be anticipated to provide savings for taxpayers if police forces were merged, fire departments combined, street services consolidated, and computer systems shared, one of the hurdles to be considered is name changes.
A study by the League of Minnesota Cities shows that most cities are reluctant to adopt the name of the city they’re merging with since they feel it leads to a loss of sense of identity. They’re also reluctant to hyphenate their names since most of the resulting names would become cumbersome when
printed on city vehicles and water towers. The League is recommending that cities negotiate merged names but sometimes that poses difficulties too.
Illustrating those difficulties, Bloomington wanted to merge with Eden Prairie to become Blooming Prairie, but since that name was already taken, they decided to include Savage to become the state’s largest city by total acreage and be called Savage Blooming Prairie because it sounds tougher. Minneapolis is considering annexing Richfield to become MineField.
In other austerity measures, Edina will be replacing the Perrier in their water towers with Aquafina.
Cities Consider Merging In the Face of Local Government Aid Cuts
BOMA Greater Minneapolis • June 2013 • Page 3
2012 BOMA Golf Champs Doping Scandal
The scandal that rocked the cycling world has found its way to the more placid sport of golf. More specifically, the 2012 BOMA golf champs were charged with doping last Friday by the Minneapolis Police Department. No arrests have been made, but several eyewitnesses have come forward claiming to have seen the accused getting a little too upset over that missed birdie opportunity on Hole 12.
In a stunning display of force, Minneapolis Police, clad in full
riot gear, raided the office of Andrew Twito last Friday, seeking banned substances. Andrew, who currently chairs the BOMA Communications Committee,
invoked his Fifth Amendment right to silence when asked to comment by his colleagues on the Communications Committee.
Another of his teammates – a broker by trade, so much more eager to talk – was not so reticent. “We’d been runners-up for years,” said Jason Butterfield, “and there’s a lot of peer pressure out there on the greens! This just seemed like the way to finally claim that trophy.”
As police conduct their investigation, it is worth noting that the accused
team members are upstanding BOMA members with no previous criminal records. Until the investigation is concluded, however, Andrew and his teammates will not be allowed to play in the July 29, 2013 BOMA Tournament. t
Andrew Twito & Jason Butterfield at the 2012 BOMA Golf Tournament.
IDS Center Under New Ownership.What’s next for this iconic property?
Now that the sale of IDS Center has become final, speculation is mounting about the new ownership’s plans for the property. Speaking on condition of anonymity, a representative from a local market research firm disclosed that during the due diligence phase of the purchasing process, her firm was contracted to conduct a “highest and best use analysis” for the property.
The study revealed that downtown has an adequate supply of office space, but the true market gap is in amusement parks. Seeking to re-brand the iconic property as a world-wide travel destination, leveraging the draw of the Mall of America for world travelers and pulling regional visitors into downtown, the new ownership company is rumored to be considering razing the IDS Center to begin construction of a ferris wheel on the scale of the London Eye.
Another feature of the park might be a stunning roller coaster swooping between buildings throughout downtown.
Neighboring buildings would need to provide easement agreements to permit the installation of anchors from their facades and roofs.
Diverting the Mississippi to Create Waterfront Green Space on Nicollet Mall
Tubing, canoeing, whitewater rafting, riverboat cruises, water skiing and paddleboat rides could be among the choices at the new park, following the recent announcement that the Minneapolis Park Board has succeeded in their effort to secure funding to create additional green space in Minneapolis by re-routing the Mississippi down Nicollet Mall. Downtown buildings that flank the Mall are celebrating the re-routing project for the anticipated added value it will bring when their properties are waterfront. Nicollet Mall restaurants are scrambling with plans to deliver “dockside” bar and restaurant service.
The Kmart store at the south end of Nicollet Mall is expected to be less enthusiastic when a river runs through it. Mayor Rybak has delivered on his promise to “bust right through the back of that Kmart.”
Artist’s rendering of proposed waterfront project by Jean Beaupre, Schafer Richardson, Member of the Communications Committee.
Continued on next page.
BOMA Greater Minneapolis • June 2013 • Page 5
Excavation around the IDS Center began last week.
While an IDS Center amusement park would be anticipated to provide excellent return on investment for its owners, it would also be expected to spur economic growth in the Minneapolis CBD, therefore a quest for public funding is sure to be on next year’s legislative agenda.
In the meantime, the Corps of Engineers has already begun excavation on Nicollet for the river re-routing.
Watch your email for updates! t
IDS Center Under New Ownership. What’s next for this iconic property?Continued from previous page.
Artwork by Jean Beaupre, Schafer Richardson, Member of the Communications Committee.
New Board Member Believes it Will be Easy to Unseat BOMA President
Last week Tom Heuer of Aspen Waste attended his first BOMA Board meeting as one of the newly elected board members. He had high expectations and was hoping that his bribe to Kevin Lewis for a seat on the board would pay off. “The first step in taking control of the board was easy. I made Kevin an offer he couldn’t refuse over a game of golf. He loves obsolete office equipment and dried-up pens which I have unlimited access to in my line of work!” said Tom while smiling.
Between Brett Greenfield’s fashion statement of green
suede shoes finished with a miniature top hat, and Mike Hagen bragging about his two dollar cuff links paired with his three dollar tie from Marshall’s, Tom said it was obvious that none of the other board members would be paying attention when he makes his swoop for power. “Plus, I have a lot of dirt and personal information on each of the board members so they know not to get in my way.”
Tom stated that “Unseating Jon Kuskie from the role of President is going to be much easier than expected. He’ll never see it coming because
he’s too busy bouncing off the walls with over-enthusiasm. We all thought he was lying when he told us he had two dozen cookies and four cans of Mountain Dew for breakfast, but he proved that he wasn’t when he got uncontrollably excited over discussions of archiving old property files.”
When asked what his ultimate goal is and his reason for wanting to take over the BOMA Board, Tom stated, “I need more storage room for the discarded treasures I’ve come across
over my years in the garbage world. I plan on helping myself to storage space at BOMA members’ managed buildings for things like
my vintage c o l l e c t i o n of 1988 printers and my Precious M o m e n t s m i n i a t u r e f i g u r i n e collection.”
“My first meeting was an overall
success,” Tom added. “I have high hopes that within the next year, I will be in each and every one of the BOMA members’ buildings.” t
By Tara Christensen, CWNMMember of the BOMA Communications Committee
Determined to deliver on their promise to repay the $850 million school funding that was borrowed from school districts in the past as a way to balance the budget, the House DFL pushed through a new strategy in the final moments of the 2013 Legislative session.
Recognizing that Minnesota consistently ranks at or near the top in golfer participation in the U.S., the House (who
are primarily bowlers), determined that by putting a tax not just on golf courses, but on rounds of golf, they could balance the budget while putting Minnesotans back to work – literally.
It’s estimated that with their sunshine mandate providing improved weather for golfers year-round, the payback should come easily in the next biennium. t
New Tax Imposed on GolfMinnesota Legislature mandates increased hours of sunlightAs a rider to legislation mandating increased energy production from solar, the Minnesota Legislature required the sun to shine at least 12 hours per day, year round. The House Speaker noted that it was time for the sun to contribute its fair share. “The people of Minnesota are tired of the short winter days and will no longer tolerate this
elitist position.” No word yet on what penalties will be assessed if the sun fails to cooperate. t
Page 8 • June 2013 • BOMA Greater Minneapolis
Unwilling to leave his legacy to chance, our outgoing mayor is organizing the world’s largest and longest celebration of environmental consciousness and multimodal transportation, ever. “Rybak to the Future!” will be a 12-year evolution in urban re-design that will transform downtown Minneapolis from the vibrant city that it is today into tomorrow’s paragon of sustainability. If Chicago was the twentieth century’s “City with Big Shoulders,” Minneapolis
will be the twenty- first century’s “City with Big Calves.”
Rybak to the Future will kick off with the Greatest of the Greatest Days of Summer, organizing the world’s largest street dance. 100,000 fully k r a u s e n e d celebrants will be sporting solar powered light sticks while parading down
Hennepin Avenue, doing The Electric Slide between Loring Park and Nicollet Island. Fireworks over the Mississippi will spell out: Yield! while Pink belts out “Get The Party Started!”
Thereafter, all automobile traffic will be banned from downtown. Rumor has it that the only internal combustion vehicles to be allowed downtown will be buses and food trucks.
With no cars allowed in the CBD, conventional
Enhancing Minneapolis Transit
Mayor Rybak Enjoys a “Nice Ride.”Continued on next page.
status rides for the business commuter will be replaced with new ones: The “Nice Ride” program will be expanded to offer “Really Nice Rides” for elite pedal pushers.
Bike Lanes will be painted on EVERY street, and traffic spikes will be installed between traffic and bike lanes to puncture the tires of food trucks and buses carelessly crossing into bike territory.
Parking ramps will be converted to the MinneApple’s version of the Hanging Gardens of Babylon. Street cars will return to Minneapolis for the first time since 1954. And, after decades of trying, Minneapolis will finally have its Downtown Circulators — Pedal Pubs and Rickshaws! t
BOMA is seeking six volunteers who have delicate palates but very thick skin. These connoisseurs will represent the BOMA membership in choosing the menus for each BOMA function. BOMA members demand a fine dining experience including* “big buns,” a delicious salad (the definition of which varies from member to member), a dessert, coffee, and a main course that is hot and hearty while also being low calorie and healthy. The main
course may not include fish, (“it makes people gag”), pork, (violates people’s religious dietary restrictions), chicken (people are sick of it), or beef (too heavy for lunch).* Menu choices must come in under a price of $26.50 per person, which must equal $31 or less after tax and service charges.
Following each BOMA event, the Food Committee will review attendees’ evaluations of the meal before
determining the menu for the next event.
Food Committee members will be rewarded with a large button that says, “I choose the food for BOMA events.”
Volunteers must make a one-year commitment. Resignation after a single meeting will not be permitted. t
I choose the food for BOMA Events!
Food Committee
* Feedback taken from actual member surveys.
BOMA Office Introduces New Registration PolicyThose who have ever planned a party know how difficult it is to buy groceries, do the cooking, and arrange the table if guests do not RSVP. Without a guest count, a best guess is nerve-wracking and can sometimes prove horribly inaccurate, leading to
awkward food shortages or terrible food waste.
UNLESS you’re planning a pot luck!
In recent years, BOMA staff has found it increasingly difficult to contract for the correct number of meals for
events since the number of attendees who arrive without pre-registration has been growing.
In a compromise suggested by one of the hotels at which we host events, BOMA will be discontinuing hot meal service at some of our
meetings and events, and instead will ask all attendees to bring a dish to pass.
The new Food Committee will provide guidelines on what to bring, so please watch your email for announcements.
BOMA Greater Minneapolis • June 2013 • Page 11
springsocialThe BOMA spring social at Cowboy Jack’s presented a great opportunity to network in a more informal setting. As a first timer at the social, however, I was surprised to discover that the social also serves as an initiation ritual for the incoming President.
With the venue being Cowboy Jack’s this year, Jon Kuskie was given
the option of proving his merit by riding the mechanical bull, barrel throwing, or cow tipping. He chose bull riding and managed to hang on for a few seconds amid raucous cheers from the crowd, but it wasn’t long enough for our camera to focus for a photo.
In keeping with tradition, the BOMA staff serenaded Jon and the
new Board members with a moving a capella rendition of “Don’t Cry On My Shoulders ‘Cause You’re Rustin’ My Spurs” from a table top.
I will not soon forget the networking bonds that were forged that day through blood, sweat, and beers. t
BOMA Member Denise Mazone bested Jon Kuskie at the bull riding competition, setting a
new record by hanging on for 45 seconds.
By Andrew Twito, RMRChair of the BOMA Communications Committee
