The BOMA Magazine - March/April 2010

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MARCH/APRIL 2010 Experience the Power of the BOMA Network Plus: Mixing Business with Politics—BOMA on Capitol Hill Made to Measure: BOMA Launches Suite of Standards Healthcare Innovation in MOBs Great Ideas from Best-in-Class Buildings

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The BOMA Magazine is the official publication of the Building Owners and Managers Association (BOMA) International

Transcript of The BOMA Magazine - March/April 2010

Page 1: The BOMA Magazine - March/April 2010

march/april 2010

Experience the Power of the BOMA Network

Plus:Mixing Business with Politics—BOMA on Capitol Hill

Made to Measure: BOMA Launches Suite of Standards

Healthcare Innovation in MOBs

Great Ideas from Best-in-Class

Buildings

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h o r i z o n t a l l i f e l i n e s

Q U A L I T Y FA L L P R O T E C T I O N

r o o f a n c h o r sw a l l a n c h o r s

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March/April 2010 BOMA 5

March/April 2010 Volume 6, No. 2

For advertising rates and information, contact Paul Hagen at Stamats Business Media 866-965-4205.

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18

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DEPARTMENTS

Volume 6, No. 2 The BOMA Magazine March/April 2010, (ISSN 1532-4346), Copyright 2010. The BOMA Magazine is published bimonthly in January/February; March/April; May/June; July/August; September/October; and Novem-ber/December by the Building Owners and Managers Association (BOMA) International, 1101 15th St., NW, Suite 800, Washington, D.C. 20005; Telephone 202-326-6300; Fax 202-326-6377; www.boma.org. Periodicals Postage paid at Washington, D.C. and addi-tional mailing offices.

POSTMASTER: Send address changes to: The BOMA Magazine, Attn: List Department, 1101 15th St., NW, Suite 800, Washington, D.C. 20005. Undeliverable U.S. copies should be sent to: The BOMA Magazine, Attn: List Department, 1101 15th St., NW, Suite 800, Washington, D.C. 20005. Return undeliverable Canadian addresses to: PO Box 875, STN A, Windsor, ON N9A 6P2.

Connect with BOMA

Join BOMA on Facebook

Join BOMA on LinkedIn

See BOMA on YouTube: www.youtube.com/bomainternational

Follow BOMA on Twitter:

BOMA Chair Jim Peck @ JimPeckBOMA

BOMA President Henry Chamberlain @ HenryBOMA

BOMA Vice President Lisa Prats @ LisaPratsBOMA

6 MESSAGE FROM THE CHAIRThe Power of “BOMA Traction.”

8 LEGISLATIVE UPDATEA role for vendors in the 7-Point Challenge, Board of Governors approves a new policy position and more.

10 STATE & LOCAL UPDATEFind out which BOMA local associations took home a “Govie” during the Winter Business Meeting.

12 CODES & STANDARDS UPDATEA new policy position on energy and green building codes, news from ASHRAE and the Department of Justice.

14 LEADING THE WAYLaura Ragans—learn more about this TOBY Awards advocate and rollerblading diva.

16 AROUND THE INDUSTRYBOMA International and BOMA Canada sign MOU, BOMA gets another ENERGY STAR nod, Job Barometer Report—is the worst behind us?

360 Best PracticesLaura HorsleyGreat ideas from best-in-class buildings.

Made to MeasureLindsay TiffanyThe BOMA family of standards keeps getting bigger as industry need expands.

Mixing Business with PoliticsLaura Horsley and Lindsay TiffanyBOMA members take to the halls of Capitol Hill.

28 TRENDS TRACKERBarbara Chance, Ph.D., and Clyde WilsonThe 14% tenant—why parking matters.

30 RESEARCH CORNERProven performance: BOMA’s EER helps industry pros optimize operations.

32 EYE ON EDUCATIONHealthcare real estate gains strength during recovery—a preview of the upcoming MOB Conference.

34 GREEN SCENEPeter LeahyRethinking recycling and adopting a life-cycle approach.

36 CONFERENCE CONNECTIONExhibitors bring green innovation and cost savings to The Every Building Show.

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6 BOMA March/April 2010

Message froM the Chair

Publisher: Lisa M. Prats, CAE

editor: Laura Horsley

associate editor: Lindsay Tiffany

Contributing editors: Karen W. Penafiel, CAE, Ronald Burton, James Cox, Lorie Damon, Ph.D

Designer: Amy Belice

Published by: Building Owners and Managers Association (BOMA) International

BOMA International OfficersChair and Chief elected officer James A. Peck, RPA, FMACB Richard Ellis Albuquerque, N.M.

Chair-electRay H. Mackey, Jr., RPA, CPM, CCIMStream Realty Partners, LP Dallas, Texas

Vice Chair Boyd R. Zoccola Hokanson Companies, Inc. Indianapolis, Ind.

secretary/treasurer Kent Gibson, CPMZions Securities Corporation Salt Lake City, Utah

President and Chief operating officer Henry H. Chamberlain, CAE, APRBOMA International Washington, D.C.

The cost for The BOMA Magazine is $75 a year for subscribers and $50 a year for BOMA International members.

Publication of advertising should not be deemed as endorsement by BOMA International. The publisher reserves the right in its sole and absolute discretion to reject any advertisement at any time submitted by any party. Material contained herein does not neces-sarily reflect the opinion of BOMA International, its members or its staff.

James A. Peck, RPA, FMA

Chair and Chief Elected Officer

The Power of BOMA ‘Traction’The Power of the BOMA Network was on full display in early February

when BOMA members from across the country gathered in Washington, D.C., got to work and brought commercial real estate’s message literally to the doorstep of lawmakers on Capitol Hill. The end result—BOMA members met with a record 250 Senate and House offices. (See pages 24-26 for a full recap.)

Call for Nominations: Vice Chair and Executive Committee MembersBOMA International’s Nominating Committee is seeking candidates for the position of vice chair and for five members of the Executive Committee to the Board of Gov-ernors. For further information, contact Ann Coslett at [email protected].

The success of BOMA’s day on the Hill is two-fold. First, face-to-face meetings with legis-lators and their staff on issues important to commercial real estate—the econ-omy, job creation, energy and taxes—are the best way to advance real recov-ery, not just for com-mercial real estate but for the economy

as a whole. Second, the energy and enthu-siasm generated during the Winter Busi-ness Meeting and National Issues Confer-ence have created real traction for BOMA’s mission and programs. We put together a comprehensive business plan for the months ahead that will help all of us do our jobs better as we work toward recov-ery. Whether it’s our new policy positions passed during the Board of Governors Meeting (see “Legislative Update,” pages 8-9, and “Codes & Standards Update,” pages 12-13), enhancements to existing programs like the 7-Point Challenge and the EER or opportunities to excel through new programs like BOMA 360, the stage is set for growth and innovation.

Expect to see that innovation in full force as we build on our “BOMA traction” going into the 2010 BOMA International Conference and The Every Building Show at the Long Beach Convention and Entertain-ment Center this June. The Every Building

Show will give you access to the best minds, best products and best services in the indus-try, helping you do your job better while sav-ing money in the process. Our BOMA Green Pavilion and ENERGY STAR® Showcase will be the place to meet with the top suppli-ers of green and energy-efficient solutions. Learn more about this year’s Green Pavilion on pages 36 and 38.

The conference education program we have scheduled is our best ever, with more than 35 sessions moderated by the indus-try’s most sought-after thought leaders. We have made sure that each session is targeted to arm you with the knowledge to under-stand the issues and challenges we are facing and the tools to tackle them. Session tracks will focus on “Achieving High Asset Value in a Down Market,” “Assessing Operational Efficiencies and Savings,” “Tackling Today’s Leadership Challenges” and “Equipping Building Engineers for Greater Operational Efficiency”; and, just like last year, building engineers attend for free if they accompany a paid full-registration delegate. A special edu-cation track will provide leadership and les-sons learned from the conference host state of California. Whatever market challenges arise—regulatory issues, energy mandates, foreclosures or complex workouts—Califor-nia has “been there, done that.”

Thank you all for your involvement. We are still fighting through some of the most difficult market conditions in memory, but your unceasing commitment to BOMA and commercial real estate means we have the collective will and talent to get through any-thing—and we will!

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legislative UPDate

AT THE RECENT WINTER BUSINESS MEETING in Washington, D.C., BOMA launched a challenge to its associate members to implement energy-effi-cient and sustainable policies within their corporate facilities and to work with their customers—commercial real estate owners and managers—to provide expertise and knowledge of the prod-ucts, equipment, services or programs they offer to help customers evaluate green strategies to facilitate market transformation. This vendor challenge is an “add-on” to BOMA’s 7-Point Chal-lenge that was first launched in 2008.

Specifically, we call on BOMA associ-ate members to:1. Continuously develop, enhance and

market new product and service offerings to the BOMA community, giving members innovative and cost-effective solutions to deploy in the reduction of energy use in existing buildings.

2. Demonstrate leadership by working towards a goal to decrease energy consumption by 30 percent by 2012 and implement sustainable strategies in your corporate facilities.

3. Actively participate in public-pri-vate partnerships (such as the DOE’s Energy Alliances) to identify volun-tary energy-efficiency strategies with proven results and application to existing buildings.

4. Share research and/or case studies on building operating and management practices, equipment replacement or building retrofit projects, etc., that achieve the goal of reducing energy consumption and result in a positive ROI.

5. Work with policymakers to enact vol-untary, incentive-based programs to accomplish their goals of implement-ing green strategies.

6. Work cooperatively within the con-sensus-model building codes proc-ess to develop responsible energy codes and green building standards that reduce energy consumption utilizing cost-effective and proven technologies.

7. Provide opportunities and support for company employees to partici-pate in education programs about energy conservation and sustainable practices.

To accept the challenge, e-mail [email protected].

BOMA Members Take Real Estate’s Message to Congress

On February 3, 300 BOMA members took to the Hill as part of BOMA Inter-national’s Winter Business Meeting and National Issues Conference. In addition to the top-notch speakers, such as Sen-ate Real Estate Caucus Co-Chairs Ben Cardin (D-Md.) and Johnny Isakson (R-Ga.), House Ways and Means Com-mittee member Rep. Danny Davis (D-Ill.) and political analyst Charlie Cook (see related article, page 24), attendees par-ticipated in “How to Lobby” workshops and met with their legislators and staff.

BOMA members represented the majority of the local BOMA associations across the United States and collectively

BOMA Launches Vendor 7-Point Challenge

John Scott, BOMA/Miami, announced the new 7-Point Challenge Vendor Challenge.

BOMA members from BOMA/Suburban Chicago meet with Illinois Representative Judy Biggers (second from right) during the National Issues Conference.

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met with about 250 Senate and House offices. The meetings focused on the economy and job creation, as well as our tax and energy agenda. Tax priori-ties included support for an extension of the 15-year depreciation period for leasehold improvements and opposition to changing current tax law on carried interest. Energy issues included support for incentives to promote energy-effi-cient retrofits to existing buildings and opposition to building code changes that would set arbitrary and overly aggressive energy-efficiency targets for building codes and change the process by which the codes are developed.

Many of these meetings resulted in requests for BOMA’s endorsement of bills, as well as requests for proactive ideas to meet our policy objectives, and the value of these meetings is truly unquantifiable. BOMA’s grassroots advo-cates were treated to some once in a life-time experiences, including tours of the Capitol by their representative and being escorted to the Capitol for a vote (as well as some not-as-fun meetings with some of the more grouchier members of Congress).

In addition to the BOMA members on Capitol Hill, NAIOP members were on the Hill the same day, also weighing in on tax and energy issues critical to the industry. All told, it must have been nearly impossible for our elected offi-cials to not hear our message!

Government Affairs Committee, Board of Governors Approve New Policy Positions

At BOMA International’s Winter Busi-ness Meeting and National Issues Confer-ence, the Board of Governors approved a new policy position on energy and green building codes (see “Codes & Standards,” page 12) and a revision of BOMA’s posi-tion statement on card check to more closely align it with the current debate on Capitol Hill.

The new policy states that BOMA International supports the ability of employees to have the right to choose whether to be represented by a labor organization by way of a secret ballot election conducted by the National La-bor Relations Board. A secret ballot elec-tion ensures a choice free of coercion, intimidation, irregularity or illegality.

BOMA International has concerns about the impact mandatory, binding arbitra-tion could have on the economy and, thus, opposes such changes as outlined in the Employee Free Choice Act.

Under the legislation currently pend-ing in both the House and Senate, a union would become the recognized bargaining agent after persuading a simple majority of the workers to pub-licly and openly sign a card indicat-ing support for the union. This would effectively eliminate workers’ ability to make the important decision over union recognition in the privacy of a voting booth—free of coercion, intimidation or inappropriate influence. The bill did not receive consideration in the first session of the 111th Congress and it is unclear how it may be addressed in 2010.

Fire Sprinkler Incentive Legislation Introduced in Senate

On January 22, Senator Tom Carper (D-Del.) and Senator Susan Collins (R–Maine) introduced S. 2947, the Fire Sprinkler Incentive Act of 2010. BOMA International supports the legisla-tion, which includes tax incentives for property owners to retrofit commercial buildings with automatic fire sprin-kler systems by reducing the depre-ciation schedule from 39 years to five years. Benefits of this legislation would include lower local fire department costs, increased loan activity, reduced insurance claims and premium costs and increased retrofitting and installa-tion jobs.

Last year, Congressman Jim Langevin

(D-R.I.) introduced the same bill in the House of Representatives. The House version, H.R. 1194, currently has 111 cosponsors but no action has been taken on the bill.

BOMA Supports Water Incentives in Letter to White House

BOMA International joined represen-tatives of a broad cross-section of groups to send a letter to President Obama and Congressional leaders to urge the inclu-sion of plumbing- and irrigation-effi-ciency retrofits in legislation to create green jobs and boost the economy. Co-signers on the letter included plumbing and irrigation contractors, equipment manufacturers and wholesalers, retail-ers, utilities, environmental groups and other real estate organizations.

“Not only will water-efficient retrofits create near-term jobs in the plumbing industry, but installation of WaterSense products will save consumers money, save billions of gallons of water, reduce energy consumption and reduce green-house gas emissions,” the letter stated. “A jobs bill should also include federal procurement of WaterSense products for new buildings and major renovations.”

Judy Purviance-Anderson with BOMA/Denver Metro announces BOMA’s two new policy positions.

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state & local update

BOMA LOCAL ASSOCIATIONS have a long track record of pro-tecting commercial real estate’s interests through grassroots advocacy and education. In February, BOMA International’s State Government Affairs Committee recognized BOMA/Seattle King County, Texas BOMA, BOMA/Chicago and BOMA/San Francisco for this dedication at the 2010 Winter Business Meeting and National Issues Conference in Washington, D.C.

BOMA/Seattle King County was honored in the Outstand-ing Government Affairs Committee Category for its members’ continued recognition that advocacy is the primary member benefit and the greatest membership value of its association. The importance of this committee to the association’s mission and strategic efforts can be seen in the commitment of its Board of Directors’ willingness to allocate resources to the advocacy program. The committee is comprised of 25 members from a broad spectrum of real estate companies. BOMA/Seattle King County employs three contract lobbyists to monitor state, city and county/suburban issues that arise. The association hosts an annual advocacy day in Olympia, which brings representatives from all BOMA local associations in the state. It is a founding member of the Washington Real Estate Coalition, an alliance of

BOMA/Seattle King County receives the State Government Affairs Award for the outstanding work of its Government Affairs Committee.

nearly 20 of the state’s real estate organizations. The commit-tee also works aggressively to raise funds for the BOMA Wash-ington State PAC. Over the past year, the committee tackled a wide range of issues, including job creation, sustainability and transportation. To illustrate the important work of this com-mittee, last year the association landed the Governor as one of its keynote speakers.

BOMA International recognized Texas BOMA in the Single Government Affairs Program or Seminar Category for its “Texas BOMA Statewide Advocacy Day.” Texas BOMA identifies advo-cacy as its primary mission to its members. As part of this mis-sion, the association holds an Advocacy Day during the years in which the Texas Legislature is in session. The Advocacy Day Committee began planning a year in advance and identified

state and local associations Recognized during Recent WBM and NIc

     

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several key elements to having a success-ful event. These included streamlining the agenda, early and frequent contact to legislators regarding the event and thorough education of Texas BOMA members on the state coalition’s pri-ority issues. The committee identified three priority issues to lobby: opposition to mandatory price disclosure, support of the elimination of flow-through pay-ments from the state’s margin tax under both gross rent and net rent leases and opposition to appraisal caps on real property. With close to 100 participants in the event, this was a state-wide effort that ensured that commercial real estate’s interests were heard.

BOMA/Chicago was recognized in the Single Government Affairs Issue Category for its work in coordinating security efforts and integrating those efforts into Chicago’s city-wide emer-gency preparedness plan on Election Night 2008. On that night, more than one million people gathered in Chicago for an evening of worldwide attention. With a long partnership already in place, the city reached out to BOMA/Chicago

for assistance. Recognizing its potential to communicate and coordinate with its member buildings, BOMA/Chicago became a full participant in the pre-paredness efforts for the event, tack-ling such challenges as crowd control, traffic congestion and potential terror-ist threats. With 270 member buildings located in the Central Business District, any disruption could have had a cata-strophic effect on their operation. Inter-nally, individual building members were looking to the association for informa-tion and direction. Questions surfaced about dismissing employees early, com-muting, public transit and road closures.

By the end of that evening, with BOMA/Chicago’s help, the city had successfully hosted the largest gathering to ever hear a President-Elect’s victory speech. Fol-lowing the event, the city asked BOMA/Chicago to critique its performance and recommend changes to policies and procedures.

BOMA International also opted to specifically recognize BOMA/San Fran-cisco with a special award for its work in emerging trends in technology and com-munication. In our fast-paced world, it’s important to keep members up-to-date on emerging legislative issues. To do that, BOMA/San Francisco launched its Advocacy Blog in March 2009. It enables the association to direct traffic to and from its existing Web site, and allows local media and political leaders instant access to BOMA/San Francisco’s issues, which has led to more immediate and effective collaboration. The association has seen readership increase tremen-dously, and the blog is now serving as a model for other BOMA local associa-tions’ communications efforts.

BOMA/San Francisco is presented with a special award for the success of its Advocacy Blog.

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Codes & standards update

DURING THE RECENT 2010 WINTER BUSINESS MEETING AND NATIONAL ISSUES CONFERENCE in Washington, D.C., the BOMA Board of Governors adopted a new policy on energy and green building codes.

The policy restates BOMA’s long-standing support for adoption and implementation of national model energy codes developed by the Inter-national Code Council (ICC) and the American Society of Heating, Refriger-ating and Air-Conditioning Engineers (ASHRAE).

As outlined in the new policy, BOMA now also supports adoption and imple-mentation of the first-ever green build-ing codes for both commercial and resi-dential construction recently completed and available for use by local, state and federal code authorities—ASHRAE Standard 189.1 for green commercial

buildings and ICC/NAHB Standard 700 covering green residential construction. BOMA was heavily involved in the devel-opment of these green building codes as a voting member of both the ICC and ASHRAE development committees and will continue to play a major role as updates are drafted for these docu-ments. BOMA policy supports the use of these green building codes “to apply only to those buildings or construction projects designated as ‘green’ by adopt-ing authorities, those participating in voluntary green building programs or those where the building owners and/or management have determined that compliance with these green/sustain-able building codes is advantageous.”

For more information, contact Ron Burton, [email protected]. In addi-tion, the new BOMA policy is available at www.boma.org.

New BOMA Floor Measurement Standards Available

BOMA has completed work on two new floor measurement standards for retail and multi-residential buildings and a major update to its standard for office buildings. All three publications are available for purchase and down-load on the BOMA Web site at www.boma.org.

The revised office building standard has been re-titled Office Buildings: Meth-ods of Measurement and Calculating Rentable Area. Major changes from the previous (1996) version include a com-plete reorganization of the sections for

BoMa International approves energy and Green Building Codes policy

[ i ]

o f f i c e b u i l d i n g s :

standard methods of measurement

and calculating rentable area

building owners and managers

association (boma) international

www.boma.org

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Healthy SchoolsHealthy Children

for

The Science of Comfort.

To learn more, visit www.insulstar.com/jmarshBOMA

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“We’re building experts, and we choose InsulBloc® high performance spray foam insulation. This evolutionary multi-functional insulation requires only one trade contractor on site — so it keeps our projects on schedule and profitable — and saves our clients up to 40% on energy costs.

“InsulBloc® means comfort behind the walls, and science behind the comfort.”

Jim Marsh, SVP/COOColumbia Construction CompanyNorth Reading, MA

Building: Coastal Medical, East Providence, RI

Coastal Med photo by n|e|m|d architects.

The Scienceof Comfort

greater clarity, a more user-friendly sec-tion outlining the various methods of measurement and an entirely new sec-tion of electronic graphic illustrations that follow a standard color format for specific space types.

Retail Buildings: Standard of Area and Multi-Unit Residential Buildings: Standard Measurement and Calcula-tion of Leasable Methods of Measure-ment were developed as a result of the industry need for methods for measur-ing specific spaces and to respond to the proliferation of mixed-use buildings. BOMA joined with industry partners to develop these standards, which are part of BOMA’s goal to provide industry measurement benchmarks for all types of facilities. These standards will serve as the third-party, common basis of under-standing between landlord and tenant in these spaces—just as the BOMA office measurement standard has done for many decades.

For more information, contact Dave Tyree at [email protected].

DOJ Resumes Effort to Issue Final ADA Rule

The U. S. Department of Justice (DOJ) is proceeding with the necessary steps to publish updated regulations under the Americans with Disabilities Act (ADA). The revised ADA Accessibility Guide-lines (ADAAG) have been in develop-ment by the U.S. Access Board for many years and were released to DOJ for final rulemaking early in 2009. DOJ was on track to issue the revised regulations last winter, but delayed publication in order to give incoming officials of the Obama Administration the opportunity to review the rule.

For more information, contact Ron Burton at [email protected].

ASHRAE Releases IAQ Guide and Advanced Energy Design Guide

ASHRAE recently released new guide-lines to assist building owners and man-agers, designers and the construction industry to incorporate advanced indoor air quality techniques in all buildings and energy-efficiency measures in exist-ing buildings. BOMA was a partner in both projects and served on the steering committees.

The Indoor Air Quality Guide: Best Practices for Design, Construction and

Commissioning is a collaboration between ASHRAE, BOMA, AIA, the Sheet Metal and Air Conditioning Contractors of North America, U.S. Green Building Council and EPA. It includes 40 strate-gies for achieving critical IAQ objectives on moisture management, ventilation, filtration and source control. A summary of this publication is available as a free downloaded at www.ashrae.org.

The Energy Efficiency Guide for Exist-ing Commercial Buildings: The Business

Case for Building Owners and Managers presents the business case for energy efficiency to building owners and man-agers. It includes color photographs, charts and graphs to provide the eco-nomic rationale for improving and sustaining energy efficiency in exist-ing buildings. It was developed through a collaboration, including ASHRAE, BOMA, the Illuminating Engineering Society of North America, GSA and the USGBC.

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leading the way

Laura RaganstOBy awards advocate and Rollerblading diva

LAURA RAGANS, RPA, is a property manager with Manulife Financial in Orlando, Fla., and an active BOMA member and volunteer for the past 10 years. As a member of BOMA Interna-tional’s Executive Committee, she has reached the top level of BOMA leader-ship, and her dedication and activity at every level—international, state and local—have made her one of the hard-est working and effective leaders within BOMA. She is a past president of BOMA/Orlando and BOMA Southern Region, and is vice chair of BOMA International’s Careers in Real Estate Task Force. She has served on nearly every awards commit-tee and is passionate about her work on the TOBY program.

how has your BOMa involvement enhanced your leadership skills?

BOMA has given me the tools and resources to be successful in many ways. From education to networking, it helps all of us excel and become better in what we do. It has also been a platform to strengthen and develop my leadership skills. I’ve also been inspired by other BOMA leaders that have become friends and mentors and share the same passion to serve BOMA and the industry.

who has been a mentor to you?

John Scott [BOMA/Miami] really stands out. Early on, he encouraged me to take on leadership opportunities and has always been there to give me feedback and direction. I have a high level of respect for him because he is knowledgeable and involved and adds so much value to BOMA. And now I do the same when I see leadership potential and passion in others.

we’re looking at another tough year. what are some challenges you’re facing?

One challenge is working with tenants in financial distress. One of my largest tenants just went through a tremendous amount of downsizing and lay-offs and the mood is very gloomy. Our manage-ment team is very focused on customer satisfaction and tenant retention. Our tenant events—ice cream socials, holi-day parties, etc.—are better attended than ever, and tenants are more appre-ciative because their companies have cut back in this area. We have also been more flexible on the financial side as we focus on getting through the tough times with tenants.

Bringing the next generation into commercial real estate has been one of the industry’s biggest challenges. do you think this issue is getting less attention because of the recession?

Because of market conditions, recruit-ing and retaining tomorrow’s workforce has not been the biggest priority, but, through the Careers in Real Estate Task Force, we’re reaching out to locals to make sure they’re developing programs to address this issue. We’re finding that, although there aren’t jobs on the bro-kerage and financial side, there are still jobs in property management, allowing young professionals the opportunity to get a feel for the management side as they begin their careers. In Orlando, we’re building relationships with local colleges and they are very receptive and involved.

Committee member, judge, mentor and winner: your experience with the tOBy awards is vast. what do the tOBys mean to you?

Getting involved in the TOBYs is where my BOMA involvement started. It served as a best-practice exercise for me to find areas for improvement in our management operations. My first TOBY building was in D.C. and I also won a prestigious company award resulting from this effort. I think it’s the best pro-gram that any property management team can go through.

When I moved to Orlando, I imme-diately started getting involved with BOMA. They were just starting their TOBY program, and, as soon as they found out I had experience, they pulled me in and my involvement just grew from there. This year, we’re celebrating the 10th anniversary of the TOBY pro-gram in Orlando, and we’ve already had five international winners.

Now we have the BOMA 360 Perfor-mance Program, which serves as an even better platform for best practices. I’ll be submitting my property for that recogni-tion soon, and I’m going to recommend that we submit our entire U.S. portfolio.

what’s life like outside of BOMa?

I’m a very outdoorsy type, which is one reason I moved to Florida. I’m a big believer in exercise and use it to reen-ergize. I love to rollerblade and get out almost daily with my two dogs to roller-blade, run or walk. I’m known around my neighborhood as the rollerblad-ing lady with the dogs. I’m also an avid wakeboarder, which is kind of a cross between snowboarding and water ski-ing. You’re pulled behind a boat that cre-ates a big wake so you can actually jump from one wake to the other, getting up to eight-foot heights. It’s a lot of fun!

Page 15: The BOMA Magazine - March/April 2010

KEEP GROWINGYOUR LEED CREDENTIAL SETS THE COURSE FOR

LEADING YOUR INDUSTRY.

www.gbci.org

AS A LEED GREEN ASSOCIATE OR AP WITH A SPECIALTY, YOU CAN DISTINGUISH YOURSELF AND TRANSFORM YOUR CAREER.

BOmA.indd 1 10/20/2009 11:32:52 AM

Page 16: The BOMA Magazine - March/April 2010

16 BOMA March/April 2010

Around the industry

BOMA Honored by ENERGY STAR®

BOMA International received the 2010 ENERGY STAR Award for Sustained Excellence. This is the fourth consecutive year that BOMA International has been honored by ENERGY STAR for excellence in energy manage-ment. Several BOMA member companies were also recognized: Jones Lang LaSalle and Kennedy Associates received the Partner of the Year Award; USAA Real Estate Company, Transwestern, TIAA-CREF, Hines and CB Richard Ellis were honored with the Sustained Excellence Award.

BOMA is still the only commercial real estate association to receive this honor.

BOMA International and BOMA Canada Sign MOUBOMA INTERNATIONAL RECENTLY HOSTED A MEETING with the Board of Directors of BOMA Canada to discuss comple-mentary programs, joint interests and future opportunities to work together. Issues discussed included green initiatives and programs, benchmarking building performance and bringing leadership and owner groups together on a regular basis. A highlight of the meeting was the signing of a Memorandum of Understanding (MOU).

Watch and Learn: Check out the video from the MOU sign-ing at BOMA International’s YouTube Channel, www.youtube.com/bomainternational.

Pictured from left: BOMA International President Henry Chamberlain, BOMA Canada Chairman Michael Miceli and BOMA Canada President Diana Osler-Zortea.

In Memoriam— Frederick D. Schaaf

Former BOMA International Board Member and Vice President of the

North Central Region Fredrick D. Schaaf died on January 25 in Powell, Ohio. He was 89. A realtor, developer and former vice president of Nationwide Insurance Companies, he was a diversified real estate developer owning and operat-ing office buildings, shopping centers and residential properties. He was co-founder and past president of BOMA/Columbus. Schaaf was active in Colum-bus civic affairs and is survived by four children and 10 grandchildren. Contri-butions can be made to: The Anna Gene and Fredrick Schaaf Endowed Scholar-ship at Capital University, attn: Develop-ment Office, 1 College and Main, Bexley, Ohio 43209. Condolences may be for-warded to the family at www.rutherford funeralhomes.com.

Get the Down Low on Underwriting Sustainable Properties

The Green Building Finance Consortium (GBFC) recently released its latest book: Value Beyond Cost Savings: How to Underwrite Sustainable Properties. Due to its unique combi-nation of capital markets and sustainability knowledge, the book provides those with money the methods and practices necessary to assess the value and risk of sustainable property investment, while providing those seeking money an insider’s view on how capital providers value property and make invest-ment decisions. The book and complementary resources are available on the GBFC Web site as a free public service of the Consortium. Learn more at www.greenbuildingfc.com.

Job Barometer report: september 2009 Will stand as Low Point

The most recent SelectLeaders/Cornell Job Barometer Report exhibits a steep decline in commercial real estate hiring activity from a year ago, with September 2009 being the lowest point in commercial real estate opportunities since the inception of the Job Barometer. From the peak in June 2007 to the low in September 2009, there has been a decline of 83 percent in the number of commercial real estate job opportunities. On the upside, there were 40 percent more commercial real estate job postings in October 2009 than there were in September 2009. Nonetheless, the volume of maturing com-mercial mortgages will be highest during 2010 and 2011, and the ability of borrowers and lenders to make it through that time period is the one variable that is substantially affecting the real estate job market (see chart). This uncertainty is a cause for employers to delay hiring new employees until they see how the loan maturities play out.

According to the report, the only job function that grew was property manage-ment, which experienced a 44-percent increase from 2008 as owners seek talent that

can maximize their assets. On the other end, development job opportunities decreased by a stag-gering 42 percent.

Read the entire SelectLeaders/Cor-nell Job Barometer Report at BOMA’s Online Career Cen-ter, http://boma.selectleaders.com.

Volume of Maturing Commercial Mortgages vs. Originations ($ bil)

$800

$700

$600

$500

$400

$300

$200

$100

$02001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013

SOURCE: Federal Reserve; PREI Research

Total maturing loans (annual)

Total annual originations

Page 17: The BOMA Magazine - March/April 2010
Page 18: The BOMA Magazine - March/April 2010

By Laura Horsley

Call them best practices, great ideas or just smart ways to run a building: The owners and management teams who run the BOMA 360 Performance Program-designated buildings are constructing an impressive repertoire of strategies for the management and operations of best-in-class buildings.

The BOMA 360 program is unique because it validates and recognizes commercial prop-erties that demonstrate best practices in all major areas of building operations and man-agement, not just a single area like other designation and cer-tification programs. A building does not receive the BOMA 360 designation unless it meets the rigorous criteria of the online self-assessment that evaluates six major areas: Building Oper-ations and Management; Life Safety/Security/Risk Manage-ment; Training and Education; Energy; Environmental/Sustain-ability; and Tenant Relations and Community Involvement.

Following is a selection of best practices in use by BOMA 360 buildings.

Life Safety/Security/Risk Management

Each new tenant at 125 East John Car-penter Freeway in Irving, Texas, is pro-vided with an Emergency Procedures pamphlet to gain an overview of what to do in case of an emergency, ranging from fires to confrontational persons. An annual Fire Warden training is held by the Transwestern building management team for all tenant wardens to ensure they have a full understanding of how to properly and safely evacuate their fellow employees from the building.

Greenway Plaza in Houston, Texas, has a comprehensive Emergency Prepared-ness Response Plan (EPRP), high-level security standards and several unique programs, including:• ACommunityEmergencyResponse

Team, a first-responder team trained to FEMA standards.

• ApartnershipwiththeHoustonFireDepartment (HFD), which provides an on-site training venue for high-rise firefighting techniques.

• Alifesafetyequipmenttrainingroomcontaining a full mock-up of high-rise building equipment where HFD and Greenway Plaza personnel receive hands-on training on the types and uses of life safety equipment.

• Anonline,building-specificfirewar-den training program.

• ACodeAdamalertprogramenactedwhen a report of a missing child is received on property or in the local area.

Building Operations and Management

At One Gateway Center in Newark, N.J., Advance Realty has enhanced building operations and management a number ways, including:• Installationofa$50,000opticalturn-

stile and a glass curtain wall, resulting inareductionof145man-hoursofsecurity personnel.

• Installationofanonlinevisitorreg-istration system, allowing tenants to quickly pre-authorize visitors.

• InitiationofaWeb-basedoperationsmanagement platform called Build-ing Engines, which allows for track-ing of preventive maintenance on mechanical equipment. The plat-form provides management staff the ability to delegate, check and close out tasks quickly and efficiently. The platform also allows tenants to make service requests that get routed to the appropriate staff member via a mobile device.

Each employee at Granite Tower in Denver, Colo., works with their manager to establish a three-year career devel-opment plan. This plan assures that the entire staff, both engineering and management, are up to date on current trends and technology. The plan allows employees to enhance their customer service and management skills.

Smart Strategies from Best-in-Class Buildings

360 Best Practices

One Gateway Center, Newark, N.J., managed by Advance Realty Management Inc., owned by Advance at One Gateway, LLC.

Greenway Plaza, Houston, Texas, managed by Crescent Real Estate Equities Limited Partnership, owned by MS Crescent Greenway Plaza SPV, LLC.

18 BOMA March/April 2010

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March/April 2010 BOMA 19

EnergyThe engineering team at Granite Tower

records and “trends” the numerous data points monitored by the energy manage-mentsystemin15-minuteintervals.Graphsare configured that plot the performance of each of the building systems in relation to the changes in outside air temperature. These graphs enable the engineering team to continually develop the most efficient ways to operate, whether for that day or the entire season. The engineering team also has developed a “Red Zone” operational clock that highlights in red the current peak energy use times. When large equipment needs to be started by the operating engineer, this clock is referenced to avoid performing the start-up during a “red” peak usage time. This is a major part of the rigorous functional analy-sis that allows retro-commissioning on an ongoing basis.

Granite Tower, Denver Colo., managed by Granite Proper-ties, Inc., owned by Cumberland Office Park, LLC.

Training and EducationThe Security Officer Training Program

at Wachovia Financial Center in Miami, Fla., is an instructor-led course designed to provide security officers with a well-rounded foundation of the technical and communicative skills required to succeed as service-oriented security professionals. Course topics focus on the technical aspects of security officer duties while addressing the problem-solving skills and attitudinal require-ments to earn customer loyalty. At the completion of the course, an examina-tion is administered. All attendees must achieve a passing score of 80 percent to be selected.

Greenway Plaza, managed by Crescent Real Estate Equities Limited Partnership (CRE), in Houston, Texas, encourages employees to pursue professional and personal development by attending cer-tification and licensing programs, con-tinuing education classes, training pro-grams and seminars. Professional devel-opment goals are assigned to employ-ees as part of the annual performance review, and current designations, certifi-cations and special licenses must be kept active. The company assists employees by paying dues and fees for seminars, training and licensing. Employees taking courses toward a degree in higher edu-cation receive financial reimbursement according to final grades.

At the Hurt Building (pictured on this issue’s front cover) in Atlanta, Ga., security officers enter daily logs in real time, which are continuously archived in a secure searchable database. Offi-cers monitor alarm systems and have multiple methods of communication, including participation in COMNET, a radio net directly linking police and pri-vate security. Tenants participate in the Safety Coordinators program, through which they receive emergency proce-dures manuals and regular training from staff. The Safety Coordinators also incorporate duties as fire wardens dur-ing annual fire evacuation drills.

Emergency management plans were put to the test at the Marathon Oil Tower in Houston, Texas, when Hurricane Ike struck Houston in 2008. The entire building team was in place and ready to secure the property before the storm even came to shore. During and after the storm, the team remained on-site to pro-tect the property and update the owner on any issues or property damage. Ten-ants were also updated on power out-ages and possible damage, as many of them were unable to travel to the build-ing for several days after the hurricane due to widespread flooding and downed power lines.

Marathon Oil Tower, Houston, Texas, managed by Transwestern, owned by Hanover Real Estate Partners.

Wachovia Financial Center, Miami, Fla., managed by Cushman & Wakefield of Florida, Inc., owned by 200 South Biscayne TIC I & II, LLC.

At One Gateway Center, new thermostatic controls on the perimeter terminal air condi-tioning units allow the system to cycle on and off when necessary, reducing energy usage. The new controls helped the building receive a rebate from the New Jersey Clean Energy Program. A complete lighting retrofit in the building’s parking garage yields better qual-ity light while using less energy, equating to 186,553KWHhoursannually.Inaddition,allof the lamps in the building were replaced with newer, more energy-efficient models. To help reduce the heat load and decrease demand for electrical power, window film was installed on every exterior window.

Continued on page 20

Page 20: The BOMA Magazine - March/April 2010

20 BOMA March/April 2010

The sustainability best practices at 17901 Von Karman helped the building achieve 2009 LEED Gold certification. These prac-tices include a recycling program with a diversionrateof45percentofongoingcon-sumable waste (mixed recyclables, paper, e-waste and lamps), and all construction contractors, vendors and activities must meet a minimum of 50-percent diver-sion or greater. The building also features 0.5-gallonaeratorsonalllavatorysinks,resultingina75-percentreductioninlava-tory sink water consumption. All urinals aresetto0.5gallonsperflush(halfoftheplumbing code standard), and water clos-ets are set to the current code of 1.6 gallons per flush. An Environmentally Preferable Purchasing (EPP) policy is used to reduce the environmental impacts from mate-rials acquired for use in the operations, maintenance and upgrades of buildings. The building also maintains a toxic mate-rial source reduction program to reduce the amount of mercury brought into the building.

Stream Realty Partners, L.P., manages three buildings in Dallas, Texas, that have achieved the BOMA 360 designation: 3811 Turtle Creek; Rosewood Court; and The Tower at Cityplace. Sustainability is a priority at all the buildings. Special areas in the parking garages are set aside for hybrid vehicles to foster traffic reduction and encourage use of energy-efficient vehicles. The buildings also provide bike racks to encourage ten-ants to ride their bikes to work. Showers in the on-site fitness center are made avail-able for bike riders.

Rosewood Court, Dallas, Texas, managed by Stream Realty Partners, L.P., owned by Rosewood Court, LLC.

17901 Von Karman in Irvine, Calif., has an ENERGY STAR rating of 92 and is LEED Gold certified. The building combines high-efficiency cooling and heating systems with state-of-the-art management practices to reduce strains on utilities and reduce operating costs. A variable air volume (VAV) system increases energy efficiency, saving up to 40 percent in energy consumption, and the Building Operating Plan is adjusted systematically to minimize energy con-sumption while maximizing comfort. The engineering team uses fluorescent lamps with minimal mercury for greater energy efficiency and to maintain high environmental standards. These lamps are replaced and recycled to keep mer-cury out of landfills. All internal lights are programmed to shut off automati-cally at the end of each day and require a manual override for after-hours work. The property’s seating guidelines maxi-mize natural light, and low-level office partitions further reduce required arti-ficial light.

Environmental/Sustainability

Building management at One Newport Place 1301 Dove Street in Newport Beach, Calif., uses Earth Week as a platform to promote green practices; programs include holding E-Waste recycling drives and having service providers set up a mini tradeshow in the building lobby to promote their sustainability practices.

Water efficiency was perhaps the most significant physical change made at the Hurt Building in pursuing LEED certifica-tion. A water reclamation system that captures rainwater run-off from the roof was already in place to irrigate the indoor landscape. A new condensate reclamation system was installed on the chilled water coils to pull free water from the humidity in the air and deliver it into the cooling tower basin, reduc-ing the amount of city water needed. Restroom fixtures were also replaced or retrofitted, converting many of the 4.5-gallons-per-flush(GPF) toilets to1.6 GPF, urinals to 1.0 GPF and lavatory faucetsto0.5gallonsperminute.Thisproject reduced water usage almost 40 percent, and upgrades paid for them-selves in less than six months.

Hurt Building, Atlanta, Ga., managed by Harbor Group Management Co., owned by Hurt Financial Associates, LLC.

17901 Von Karman, Irvine, Calif., managed by LBA Realty, owned by Von Karman Associates, LLC.

Page 21: The BOMA Magazine - March/April 2010

March/April 2010 BOMA 21

Tenant Relations and Community Involvement

The Transwestern Green Team at 125 East John Carpenter Freeway in Irving, Texas, initiated a region-wide e-waste recycle drive on Earth Day. Other activ-ities included handing out free seed packets and sharing a green car demon-stration with the neighboring building.

In partnership with GSH Group, build-ing management at One Gateway Center hosts seminars at the building to educate tenants on how to save energy at their office and in their homes. They also part-nered with the New Jersey Clean Energy Program to offer tenants a reduced rate on energy-efficient products. In addi-tion, a semi-annual Book Fair is held for all building tenants where 10 percent of gross sales are donated to Newark Now to improve safety, economic indepen-dence and civic participation within the city of Newark. Building space is also donated to host a variety of events that assist in fund-raising for the organiza-tion. During the holiday season, One Gateway Center partners with a local middle school to host a holiday music concert in the building concourse for the enjoyment of all the tenants in the building. In lieu of payment, a donation is made to the school’s music program.

Special Announcement: Renewal Requirement Change

The BOMA 360 Performance Program Council has approved a change in designation renewal requirements from annually to every three years. This change is effective immediately for all current designees and new applicants.

The BOMA 360 designation is conferred quarterly and applications are accepted any time. Learn more at www.boma.org/getinvolved/boma360.

Tenant communication and com-munity involvement are paramount at One Newport Place 1301 Dove Street. A building portal allows for constant communication between the manage-ment team and tenants for e-mail blasts, electronic handbooks, upcoming events, weather, training and more. To support the community, building management hosts food and toy drives, blood drives and Cell Phones for Soldiers events and partners with tenants to co-sponsor community and charity events.

125 East John Carpenter Freeway, Irving, Texas, managed by Transwestern, owned by Equastone.

At the Stream 360 buildings in Dal-las, Texas, tenant survey are conducted to benchmark quality and a tenant is taken to lunch each month to help building management keep their fin-ger on the pulse of tenant business and satisfaction.

The Wachovia Financial Center hosts the annual “Miami Climb” to help fight lungcancer.Participantsclimb55flights(1,210 steps) of the Wachovia Financial Center, the second tallest building in Florida(at765feet).Lastyear,morethan$80,000wascollectedforlungcancerresearch from this event.

One Newport Place, Newport Beach, Calif., man-aged by Cushman of CA, Inc., owned by Met Life Insurance Company.

3811 Turtle Creek, Dallas, Texas, managed by Stream Realty Partners, L.P., owned by Metropoli-tan Life Insurance Co.

Page 22: The BOMA Magazine - March/April 2010

22 BOMA March/April 2010

The New Office Measurement Standard is Here

BOMA is ushering in a new era of office building measurement with the long-awaited release of Office Buildings: Standard Methods of Measurement and Calculating Rentable Area (2010), available now. Get yours at the BOMA Store: http://shop.boma.org.

By Lindsay Tiffany

Over the last decade, mixed-use

developments have cropped up all

over the country, enticing an automo-

bile-dependent nation to work, live and

play under one roof. These mixed-use

buildings have presented new obstacles

for their owners and managers; namely,

the challenge of turning several distinct

asset types into one well-oiled machine.

They also pose a more technical prob-

lem for the people who design and man-

age them: How do you measure these

buildings?

That question will soon be answered.

As the long-time industry leader in

office building measurement stan-

dards, BOMA International’s Standard

Method of Floor Measurement Commit-

tee recently set out to develop a com-

plete suite of space measurement stan-

dards that apply to a wide range of asset

types. In 2009, BOMA released the Gross

Areas of a Building: Methods of Measure-

ment and Office Buildings: Methods of

Measurement and Calculating Rentable

Area (2010) (see box). This spring, BOMA

Inc., and chair of the Standard Method

of Floor Measurement Committee,

explains why developing the new stan-

dards was a natural step for BOMA.

“BOMA is responding to requests from

our membership and from the industry

as a whole for information on standards

relating to these product types. Histori-

cally, people have tried to utilize certain

segments of the office standard to try

and apply them out in the field to these

other product types, but it just didn’t fit.”

An important aspect in the develop-

ment process of the new standards was

collaborating with key industry partners

and other stakeholders. For the devel-

opment of the Multi-Unit Residential

Standard, the Task Force worked with

the Institute of Real Estate Management,

the National Association of Home Build-

ers and the National Multi-Housing

Council. The Retail Floor Measurement

Task Force worked with members of the

International Council of Shopping Cen-

ters. For the Industrial Standard devel-

oped in 2005, BOMA worked with the

Society of Industrial and Office Realtors.

“Our first step in developing these

standards was to identify the parties

interested in working on them and

inviting them to participate,” explains

Rebecca Hanner, vice president, Colliers

Pinkard, and co-chair of the Multi-Unit

Residential Floor Measurement Task

Force.

Hanner believes that a wide cross-

section of real estate practitioners will

benefit from the new standards. “Our

goal is to provide a uniform method of

measurement that can be used by real

estate professionals, including archi-

tects, space planners, interior designers,

engineers, building owners and manag-

ers, leasing professionals, asset manag-

ers, appraisers and others.”

Connelly adds that the new standards’

cohesion and accuracy will be a boon to

real estate professionals of all stripes.

“The industry now has a valuable new

tool that will ensure transparency and

accuracy. People can now verify the

space measurements of a building—

whether for a building acquisition or

leasing or determining common area

maintenance allocations. Prior to this

suite of standards, there was no defini-

tive standard in the industry that could

do that for them.”

The entire suite of standards has a

cohesive new look and interactive fea-

tures that will make the standards even

easier to understand and use, including

color illustrations, charts and hyperlinks

to detailed definitions. “The new stan-

dards come as electronic downloadable

PDFs and include hyperlinks for ease of

reference to term definitions. Each defi-

nition has discussion points to further

describe the intention of the term in its

application and use,” says Hanner.

The culmination of the new standard

development process will be a mixed-

use standard, which will define how the

individual standards for each asset type

work together in mixed-use or campus-

style settings. The final result will be a

comprehensive suite of standards that

will provide a definitive method for

measuring almost all types of commer-

cial building space. Users can refer to

the suite for use in single-occupancy

asset types or in mixed-use settings. All

of the new standards will go through the

process for ANSI certification.

LOOk fOr iT. read the full length article about BOMA’s new suite of standards at www.boma.org

BOMA Launches a Definitive Suite of Building Measurement Standards

Made to Measure

will release two more standards, one for

use in multi-unit residential spaces and

one for retail spaces. The committee is

also working on a standard for mixed-

use and campus-style buildings, which

will outline how all of the individual

standards interplay in a mixed-use

environment.

Patrick Connelly, vice president

of asset management, Matrix Realty,

“The industry now has a valuable new tool that will ensure transparency and accuracy.”

—Patrick Connelly, Matrix

Realty, Inc.

Page 23: The BOMA Magazine - March/April 2010

Look who hired ThyssenKrupp Elevator.

There are a few reasons we maintain more elevators than anyone else in the Americas.

Quick response times. A 94% renewal rate. An International Technology Services (ITS)

facility that helps us maintain our elevators as well as our competitor’s products. And not

to mention, with us watching your elevators, you’re free to keep an eye on other things.

www.thyssenkruppelevator.com

ThyssenKrupp ElevatorAmericas Business Unit

ThyssenKrupp

visit us at booth #816

TKES_Fishing_BOM_02-10.indd 1 2/9/10 1:46 PM

Page 24: The BOMA Magazine - March/April 2010

24 BOMA March/April 2010

BOMA members throughout the United States came to Washington, D.C., in early February to take commercial real estate’s message straight to legislators on Capitol Hill during the 2010 Winter Business Meeting and National Issues Conference. A record number of meetings on the Hill took place, as members met with lawmakers to discuss how such issues as energy, carried interest and leasehold depreciation have a tremendous impact on commercial real estate and the broader economy. Here are a few highlights:

BOMA 360 Performance Program Council Chair Dan Chancey honored representatives from BOMA 360 Perfor-

mance Buildings during the General Session. Said Chancey,

“BOMA 360 is exactly the kind of program the industry has

been asking for and designees are telling us it is the best way

to position their buildings as best in class.”

During the General Session sponsored by AlliedBarton

Security Services, keynote speaker Charlie Cook, publisher

of Cook Political Report and columnist for National Journal,

offered insight into the tumultuous political climate in Wash-

ington. Cook referred to independents as the largest and most

influential political group, coining independents as “purple

America” and suggesting they look to sway heavily Republican

in the 2010 elections.

Senator Ben Cardin (D-Md.), co-chair of the Senate Real

Estate Caucus, addressed BOMA members during the “How to

Take our Message to Capitol Hill” session, telling attendees that

job creation and a strong commercial real estate industry go

hand-in-hand. Cardin also spoke about the current tax deduc-

tions for energy improvements, saying they are important, but

noted, “We need to improve [the deduction] and make it more

realistic with actual costs.”

Mixing Business with PoliticsBOMA Members Take to the Halls of Capitol Hill By Laura Horsley

From left: BOMA President Henry Chamberlain with Mary-land Senator Ben Cardin and BOMA Chair Jim Peck.

Charlie Cook peers into his crystal ball to discuss the upcoming 2010 elections.

Representatives from BOMA 360 Performance Buildings are recognized during the General Session.

Page 25: The BOMA Magazine - March/April 2010

Continued on page 26

March/April 2010 BOMA 25

To read the full recap from the Winter Business Meeting and National Issues Conference, visit www.boma.org.

LOOk FOr iT. Check out what BOMA members had to say about their visits to Capitol Hill on BOMA’s YouTube Channel: www.youtube.com/bomainternational

Winter Business Meeting and National Issues Conference

attendees had a chance to network during the Opening Recep-

tion, sponsored by Naylor, and swap Capitol Hill stories at the

Networking Reception, sponsored by ThyssenKrupp. A very

fitting BOMAPAC fundraiser during the Networking Reception

had attendees posing for photos with Washington’s political

elite—even if the politicians seemed a bit stiff.

When it came time to take to the halls of Capitol Hill, BOMA

members came out in record numbers to discuss energy

and tax issues and the importance of a healthy commercial

real estate industry to boost economic recovery.

Attendees also heard from Senator Johnny Isakson

(R-Ga.), co-chair of the Senate Real Estate Caucus, and Rep-resentative Danny Davis (D-Ill.). Isakson told attendees

that cap and trade is essentially dead in the U.S. Senate and

that “tax treatments that incentivize business are needed.”

Top photo: Senator Isakson (R-Ga.)

Bottom photo: Representative Danny Davis (D-Ill.).

BOMA Vice Chair Boyd Zoc-cola (left), BOMA/Indianapo-lis President Any Banister (second from left) and Jeff Wright with Genea meet with Congressman Brad Ellsworth (D-Ind.) (right) on Capitol Hill.

BOMA Chair-Elect Ray Mackey finds himself trapped between political superstars of opposite parties.

Page 26: The BOMA Magazine - March/April 2010

26 BOMA March/April 2010

BOMA International Chair Jim Peck

kicked off the business meeting with the

approval of the general consent, min-

utes and new members. Peck told the

Board of Governors that the “power of

the BOMA business network is stron-

ger than ever” and that we’re “creating

a platform for high-performance build-

ings as we interface with other groups.”

Bob Peck, commissioner of pub-

lic buildings, U.S. General Services

Administration (GSA), was among the

guest speakers at the Board of Gover-

nors meeting. Peck remarked that GSA

appreciates its strong relationship with

BOMA and derives value out of BOMA’s

meetings, education and the Experi-

ence Exchange Report (EER), which the

federal government uses to benchmark

against the private sector.

Peck briefed the crowd on how GSA is

using its $5.5 billion in stimulus money

to green the U.S. building stock and cre-

ate green jobs. Said Peck, “I think GSA

has a responsibility to be a green proving

ground—to beta test new advances and

share our information with you.”

The U. S. Environmental Protection

Agency’s Director of ENERGY STAR®

Commercial and Industrial Branch

Jean Lupinacci also addressed the

Board of Governors, praising BOMA and

its members for their commitment to

energy efficiency. Lupinacci credited the

success of the ENERGY STAR program

in part to BOMA’s market reach and the

synergy between the two organizations.

BOMA Canada Chairman Michael Miceli briefed attendees on programs

and news from BOMA members in

Canada. Miceli reported that the annual

BOMEX conference, held this past Sep-

tember in Quebec, saw an increase in

attendance, and that BOMA Canada

continues to bring pandemic prepared-

ness resources to the industry. Miceli

also discussed the success of “BOMA

BESt,” an industry standard for environ-

mental certification, with 1,400 build-

ings certified since 2005.

BOMA International Chair-Elect Ray Mackey and Vice Chair Boyd Zoccola

presented the Year in Review address,

where they stressed the important role

BOMA has played over the past year in

helping the industry through the eco-

nomic downturn. Despite current chal-

lenges, membership and attendance at

events remained strong, and BOMA

filled critical industry needs by intro-

ducing the BOMA 360 Performance Pro-

gram, the new online EER and two new

building measurement standards.

They also noted that BOMA contin-

ues to lead in all things green. In 2009,

BOMA was recognized by the EPA with

a 2009 Climate Protection Award and a

2009 ENERGY STAR Award for Sustained

Excellence, receiving the ENERGY STAR

award for the third straight year. Mackey

also cited BOMA’s work with the U.S.

Department of Energy to launch the

Commercial Real Estate Energy Alli-

ance and the adoption of the 7-Point

Challenge by several cities. Zoccola

also delivered the report on the Medi-

cal Office Buildings Committee, which

is preparing for its first stand-alone con-

ference in Chicago, May 5-7. See more

about the MOB Conference on page 32.

In his financial report, BOMA Interna-

tional Secretary/Treasurer Kent Gib-son explained that, while 2009 was a

tough year for the industry, BOMA Inter-

national remains on solid financial foot-

ing and ended the year with a positive

bottom line.

Dan Chancey, chair of the BOMA 360

Council, reported on the new BOMA

360 Performance Program. In the first

six months of the program, close to 50

buildings have been designated and 40

more are in the pipeline. He added that

the council has decided to change the

renewal schedule from annual to every

three years, though designees will still

need to participate in the EER and

benchmark with ENERGY STAR every

year. Chancey also announced that the

Council has developed a guidebook on

how to develop a Standard Operating

Procedure manual.

Judy Purviance-Anderson with

BOMA/Denver Metro delivered reports

on the activities of the Government

Affairs Committee, the Preparedness

Committee and the BOMAPAC Coun-

cil, during which the Board of Gover-

nors passed two new policy positions.

See “Legislative Update” and “Codes &

Standards Update” in this issue for more

information on the new policies.

John Scott, BOMA/Miami, briefed

attendees on the Sustainability Task

Force’s new addition to the 7-Point

Challenge, which provides guidelines

for vendors who want to adopt the chal-

lenge by delivering innovative and cost-

saving solutions to BOMA members.

BOMA International President Henry Chamberlain ended the program with

“the BOMA Pulse,” a snapshot of cur-

rent conditions in the commercial real

estate industry and a look at opportu-

nities and challenges ahead. Chamber-

lain cited stable membership, strong

fund balances and a strong financial

base as the keys to BOMA local associa-

tions’ continued success and noted that

some stabilization in office sector jobs

will boost recovery for the commercial

real estate market.

Board of Governors Highlights

BOMA International Secretary/Treasurer Kent Gibson uses the “Easy” button to dem-onstrate a point.

GSA Public Buildings Commissioner Bob Peck discusses how GSA will use stimulus money to green federal buildings.

By Lindsay Tiffany

Page 27: The BOMA Magazine - March/April 2010

Brought to you by theNational Electrical Contractors AssociationA NECA Contractor is your single source for all electrical and integrated building systems—alocal professional who understands what your facility needs and provides innovative solutionsbased on the latest technologies. A NECA Contractor delivers results you can rely on.

A brief from NECA’s Electrical Design LibraryIssue 1, 2010

What “The Smart Grid” MeansFor You & Your Building

“T he Smart Grid”—just three words, abbreviated in this piece as TSG—hasbecome an increasingly important element in discussions of how we canimprove energy efficiency and reduce global warming. But many building

owners may be left scratching their heads, wondering what, exactly TSG will meanfor their operations—and bottom lines.

Decades may pass before TSG’s real impact is understood, but utilities andequipment manufacturers are beginning to get a clearer picture. Real-worldinstallations are now underway. A number of pilot programs now comingonline are beginning to provide some answers to these questions.

What does “smart” really mean?Of course, understanding what TSG might accomplish first requires an

understanding of the many meanings attached to the phrase actually mean.

In essence, electric utilities and their partners want to turn what isnow a “dumb” one-way flow of electricity—from the generating sta-tion to end-use devices—into a two-way stream. With more intelligence inthe system, the electric-supply contributions of renewable resources can moreeasily be accommodated by the local/regional grid.

Keep reading or download this FREE report atwww.ElectricalDesignLibrary.com

Smart Grid 2/10:Layout 1 2/16/10 1:44 PM Page 1

Page 28: The BOMA Magazine - March/April 2010

28 BOMA March/April 2010

trends tracker

By Barbara Chance, Ph.D., and Clyde Wilson

MANY BUILDING OWNERS AND MAN-AGERS literally sit atop one of their best revenue sources. Commercial parking facilities are hidden assets that often receive minimal attention until a main-tenance crisis hits or someone wants to increase fees.

Parking facilities typically supply 10 to 14 percent of a building’s total annual revenue if there is paid park-ing, but building owners and manag-ers can lose up to 28 percent of this revenue due to deficient contracts with

Managing Your Parking Asset to Boost Revenue, Save Money and Serve Your Customers

private operators, inefficient operations, maintenance lapses, employee theft and financial irregularities. Beyond its revenue benefits, a well-run parking operation can significantly enhance your building’s appeal to current and prospective tenants.

What can you do to maximize both revenue and customer service?

Review and Update Contracts with Private Operators

If you contract with a private com-pany for parking operations and man-agement, perhaps the single most important step is to review and update

your contracts with your private opera-tor. Far too often, contracts consist of a single-page agreement that fails to specify performance standards, respon-sibilities for each party, penalty clauses for non-performance, maintenance and capital improvement requirements and reporting and audit obligations.

Deficient contracts provide an oppor-tunity for operational inefficiencies, theft and lost revenue. In one multi-building complex, each owner’s agent had a different agreement with each tenant for parking spaces. There was no consistency to the agreements, nor was there accounting for the number of contract parking leases or a record of how many parking cards were issued. In another facility, the contract with the operator lacked terms covering how often the facility had to be cleaned (it never was) or how the operator was to handle abandoned vehicles left on-site (more than 100 discarded vehicles occu-pied parking stalls that could have been producing revenue). New contracts rem-edied the deficiencies and resulted in an instant increase in revenue.

Parking Matters:the 14% tenant

“ The NJSSA show has performed above our expectations again. It is a nice mix between the U.S. ISSA show and the ISSA Interclean show for us as suppliers to the jan/san market.”

— Scott Jarden, Jarden Enterprises

“ The NJSSA staff is to be congratulated for running a well organized show. The traffi c on Wednesday was outstanding and all the events were very well coordinated.”

— Randy Starr, Golden Star

is Moving to the Etess Arena in the Taj Mahal in Atlantic City , NJ • May 5 and 6, 2010

You don’t want to miss exhibiting at the only East Coast Trade Show for Cleaning Supplies.

Here’s what exhibitors and attendees say about Supply Line:

“ Supply Line is becoming known as one of the best, if not the best regional jan/san supply show. It drew attendees from well beyond the New Jersey corridor.”

— Fred Schimanski, Jr. Clean Smart

“ I feel I have so much more knowledge to train a sales rep than I did yesterday.”

—Fran DiManno, Crest Paper Products

“ Excellent show and seminar. Great distributor attendance.”—Jim Chittom, Athens Janitor Supply Company

Supply Line 2010 is the most effi cient and effective way for you to reach distributors and cleaning professionals from Maine to Florida and every state in between. Over 2,000 owners, managers, and decision-makers attended the 2008 event.

For additional information on exhibiting or attending Supply Line 2010, call the NJSSA offi ce at

973-283-1400 or visit www.njssa.net

Page 29: The BOMA Magazine - March/April 2010

March/April 2010 BOMA 29

Consider a Comprehensive Parking Audit

Periodic audits, which should be included in all contracts with private operators, are designed to reveal irregu-larities and inefficiencies in operations and financial management. These audits also provide important revenue control information, such as an accounting of the number of spaces given out “free” and the number of paid monthly parking leases. Audits also determine whether the operator is complying with Payment Card Industry (PCI) regulations, includ-ing staff access to credit card informa- tion. Once, a parking operator kept cus-tomer credit card numbers on index cards in a small box—a clear PCI viola-tion and an invitation to theft.

When you consider the value of a well-run parking operation to your bot-tom line, you may want to re-evaluate the expertise and pay scale of your park-ing operations manager. Should a multi-million dollar asset be the responsibility of a $30,000-a-year employee with no parking experience?

Take Advantage of New Technologies

Parking technologies are advancing rapidly, with several offering new effi-ciencies, better revenue control, energy savings and improved customer service. Radio Frequency Identification (RFID) tags or key cards used for entrance to parking facilities, Smart cards and other e-payment devices, high-speed doors and self-service payment are all ways to improve customer service and opera-tional efficiencies. Energy-efficient light-ing, such as LED or fluorescent lights, has the potential to lower operating costs and provide tax credits. Fluores-cent lighting consumes between 30- to 85-percent less energy than incandes-cent and high-intensity discharge (HID) lighting at equal or greater light levels.

Add a Parking Professional to Your Team

Parking professionals have the skills and expertise to consult on the designs for exits, entries, circulation patterns

and parking capacity. They can also pro-vide advice on facility lighting, energy efficiencies, parking rates, new tech-nologies and PCI regulations. Finally, they are able to assist in developing Requests for Proposals and contracts with private operators. Their services are a smart investment that can boost revenue through new efficiencies and reduced expenses. And, best of all, this investment usually more than pays for itself, turning the “14-percent tenant” into a consistent profit center.

about the authors: Barbara Chance, Ph.D., is a member of the International Parking Institute’s Alliance for Advancing the Parking Profession and IPI’s Advisory Council. She is president of CHANCE Management Advisors, Inc., which provides consulting services for owners in the areas of transportation, parking and access man-agement. Clyde Wilson is president and CEO of The Parking Network, Inc., a company that audits millions of dollars in parking income for owners each year. Visit the International Parking Institute’s Web site at www.parking.org to learn more.

Page 30: The BOMA Magazine - March/April 2010

30 BOMA March/April 2010

ReseaRch coRneR

FOR NEARLY A CENTURY, BOMA’s Expe-rience Exchange Report (EER) has helped property professionals evaluate how their buildings stack up to the competi-tion. From small suburban office parks to bustling urban towers, building man-agers have turned to the EER to bench-mark their properties and identify key industry trends. The 2009 EER contained data on nearly 4,000 buildings in close to 300 markets, and the new online sys-tem allows users to process more than 15 million data points, making it an indis-pensable tool for property managers.

What makes the EER the industry’s leading benchmarking resource is the thousands of income and expense sub-missions by property professionals from around the country. What prompts them to submit their building information? As Wade W. Lange, CPM, FMA, RPA, vice president of property management, Ash-forth Pacific, Inc., explains, reciprocity is key: “We participate in the EER sur-vey because we use the information in the report. It just wouldn’t make sense if we were holding back our information.

Proven PerformanceBoMa’s eeR helps Industry Pros optimize operations

The strength of the EER lies in the num-ber of buildings that participate … that gives you a truer reflection of operating expenses. We submit because we don’t want to be hypocritical.”

Many companies have even synced their internal benchmarking systems with the categories in the EER to sim-plify the survey submittal process. “We have set up a system, a way to accumu-late all our costs for each building—with our contracts, our utilities, our labor—by modifying our work order system to feed to the same categories as used in the BOMA EER reporting system,” notes Ralph W. Linne, MBA, BOC, director of county facilities, Hamilton County, Ohio. “We decided to work backwards from what was required by BOMA and to streamline it so we would have very little manipulation of the data. Usually if we have to do any of that now, it’s because something new has been added during the previous calendar year and we then modify our software to capture that.”

The EER is widely used to evaluate how a building’s income and operating

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Page 31: The BOMA Magazine - March/April 2010

March/April 2010 BOMA 31

expenses compare to local and national averages, and to perform budget pre-dictions. Linne also uses it as a key per-formance indicator for new property managers. “If we have a new person come on board, we watch to see how well he or she is managing the building’s costs. If we have an increase in costs, we know that we need additional training in building systems operations to help get our costs back in line with our projec-tions and our historical cost data.”

Many also use the EER as a tool to prove to their owners, investors and other stakeholders that they are opti-mizing efficiency and controlling costs relative to the rest of the industry. “Tak-ing part in the EER allows me to explain to the county commissioner why the costs of each of our buildings differ,” says Linne. “For example, if we see a big drop in energy usage for one year, we go back and look to see if we made any modifications. Did we install some new chillers or cooling towers, or do a light-ing retrofit? We can then explain to the Board of County Commissioners why our costs have gone down and how that equipment investment has helped.”

When it comes to benchmarking per-formance, industry professionals turn to the EER for data that is more compre-hensive than other sources in the mar-ketplace. While many property managers rely on peers in the industry for bench-marking information, the EER contains market-level data across a wide range of cities, companies and building types. Lange finds that the EER allows him to

“The EER has become really helpful for us in establishing where our expectations should be going into a new market. It is step one in our evaluation process.”

–Wade W. Lange, CPM, FMA,

RPA, Ashforth Pacific, Inc.

paint a picture of what income and expense figures look like in unfamiliar markets. “While I do share benchmark-ing information with a group of industry peers, the downside is that I don’t have those connections in other cities. The EER has become really helpful for us in establishing where our expectations should be going into a new market. It is step one in our evaluation process. That’s why a large population of partici-pants is really helpful when you start looking at the data. It’s our responsibility to make sure we’re part of that.”

Performance MattersBe a top performer and share your data—it’s easy, fast and free. By submitting, you will get a free ex-pense performance comparison, priority access to 2010 EER reports and save 25 percent or more on all EER product purchases. To learn more, visit www.bomaeer.org.

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Page 32: The BOMA Magazine - March/April 2010

32 BOMA March/April 2010

eYe on eDUcaTIon

LIKE MOST SECTORS OF COMMER-CIAL REAL ESTATE, medical office and healthcare facilities ailed throughout much of 2009. The frozen capital mar-kets curtailed transaction activities and new construction starts on most hospital campuses slowed or stopped altogether. Increasing healthcare delivery costs fur-ther complicated matters, as physician tenants also struggled financially and healthcare systems worked to meet the demands of increased numbers of uninsured and underinsured patients and tackle other rising costs to provide healthcare service. What’s the prognosis for this sector in 2010? Happily, it’s much healthier.

The prognosis for 2010 and the path back to healthy market growth will be the focus of BOMA’s 2010 Medical Office and Healthcare Facilities Conference, May 5-7, 2010, at the Hyatt Regency Chi-cago. This year’s conference features an extensive education program that will examine opportunities for growth and potential challenges that may compli-cate a full recovery.

The conference will feature general sessions that address the health of the healthcare industry—from a variety of perspectives, including hospital sys-tem CFOs and capital markets experts, healthcare reform and the emerging trends in healthcare delivery, technol-ogy and regulations.

Education TracksBreakout sessions will allow attend-

ees to explore industry issues in greater depth. The Capital Markets track will offer sessions dedicated to gaining healthy access to capital. Sessions will examine the equity and debt markets, perspectives from developers and the latest case studies of monetization in the wake of limited access to capital through 2009.

The Provider Strategies track will fea-ture four sessions, each led by repre-sentatives of different healthcare sys-tems. These sessions will examine new models for healthcare delivery in new

Healthcare Real Estate: Gaining Strength During RecoveryA Look at the Upcoming Medical Office and Healthcare Facilities Conference

By Lorie Damon, Ph.D.

venues. Topics to be addressed include: delivering healthcare in rural markets; creating mobile, modular healthcare delivery systems, even for acute care; equipping MOBs for electronic medical records (EMRs); and new design trends for MOBs that are built around models of patient-centered care.

While the Capital Markets track is focused on establishing a healthy “appetite” for capital, the Leasing and Management track will focus on build-ing strength and trimming “fat” in these key operations. One of the four sessions in this track will focus on adapting “lean” principles of management from man-ufacturing to real estate management environments. The other sessions will focus on leasing strategies, specifically fortifying hospital relations by partner-ing with hospitals on the leasing and management of third-party-owned, on-campus MOBs; fending off compe-tition for MOB tenancies in other general multi-tenant office and retail space; and handling physician tenant workouts.

Keynote Karlgaard to Speak on Innovation in Healthcare

This year’s keynote session will feature Rich Karlgaard, publisher of Forbes mag-azine. Entrepreneur-turned-publisher, columnist and television commentator Karlgaard has a unique vantage point on the trends driving the business and investment climates. His insights help audiences see the global marketplace with new eyes. More than just a busi-ness journalist, Karlgaard understands firsthand the difficulties of navigating in today’s business climate and the opportunities available to those who have the courage to reach out for them. His keynote address, “Twelve Types of Innovation To Save Your Company and Your Career” will offer insights into how innovation—both technological and cul-tural—may help to reshape the health-care industry in the coming decades. Innovation has long been the lifeblood of healthcare, and Karlgaard will explore ways in which that innovation will affect

For more information and to register, please visit www.one-stop-registration.com/bomam2010/OSR.index.

View BOMA International’s Education Cal-endar and Event Calendar at www.boma.org, just click on “education” or “events.”

not only how healthcare is delivered, but also where it’s provided.

A Building Tour Built on Innovation

Innovation will be on display dur-ing the conference’s kick-off building tour of Midwest Orthopaedics at Rush Orthopedic Building. Scheduled for Wednesday, May 5, 2010, from 3:30 to 5:30pm, the private tour will showcase the 220,000-square-foot Orthopedic Center of Excellence, which is part of the first phase of a $1 billion transfor-mation of the Rush University Medical Center campus. The building opened in late 2009 and is jointly owned by Mid-west Orthopaedics at Rush (MOR) and Rush University Medical Center (RUMC) under an air rights lease structure. This state-of-the-art facility has been designed to achieve LEED Gold certifi-cation and includes clinical and admin-istrative offices for MOR that were con-solidated from five other locations; an advanced imaging center; GAIT lab, bio-mechanics lab; physical therapy; learn-ing center; orthotics lab; and research library. Attendees will learn how MOR and RUMC worked through highly com-plex strategic, financial, operational and regulatory issues to create a “win-win” partnership.

The conference also includes ample opportunities to network, both formally and informally, and a tradeshow featur-ing exhibitors who work across the spec-trum of the industry.

Page 33: The BOMA Magazine - March/April 2010

5 Reasons Why... you need to be at the most important commercial real estate event in 2010.

Register for BOMA 2010 today! www.bomaconvention.org

1. Learn More, Spend Less. The 2010 conference has been streamlined to eliminate one night’s hotel and travel expenses without reducing programming time.

2. Questions Answered, Solutions Provided. The solution providers at The Every Building ShowTM will show you how to reduce operating costs, identify cost-saving, energy-efficient solutions and enhance property value–without the hard sell.

3. Knowledge. The conference offers cutting-edge education led by the industry’s top performers on issues that range from optimizing asset values during market turndown to cultivating next generation talent.

4. The Power of the Network. When times are tough, networking and sharing ideas with peers is more critical than ever. If two heads are better than one, just imagine what a few thousand can accomplish.

5. Register on Your Terms. We’ve added and expanded registration options, making the conference and tradeshow available to you on your budget, your schedule and your terms. And you don’t even have to be a BOMA member to attend.

“The BOMA conference was an incredible experience for me. I had the chance to network with other commercial real estate professionals from all over the world. The tradeshow was perfect for one-on-ones with product and service providers in a more relaxed atmosphere than everyday property management.”

Alisa MolyneauxReal Estate ManagerCB Richard EllisWashington, DC

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Page 34: The BOMA Magazine - March/April 2010

34 BOMA March/April 2010

eYe on eDUcaTIon

LIKE MOST SECTORS OF COMMER-CIAL REAL ESTATE, medical office and healthcare facilities ailed throughout much of 2009. The frozen capital mar-kets curtailed transaction activities and new construction starts on most hospital campuses slowed or stopped altogether. Increasing healthcare delivery costs fur-ther complicated matters, as physician tenants also struggled financially and healthcare systems worked to meet the demands of increased numbers of uninsured and underinsured patients and tackle other rising costs to provide healthcare service. What’s the prognosis for this sector in 2010? Happily, it’s much healthier.

The prognosis for 2010 and the path back to healthy market growth will be the focus of BOMA’s 2010 Medical Office and Healthcare Facilities Conference, May 5-7, 2010, at the Hyatt Regency Chi-cago. This year’s conference features an extensive education program that will examine opportunities for growth and potential challenges that may compli-cate a full recovery.

The conference will feature general sessions that address the health of the healthcare industry—from a variety of perspectives, including hospital sys-tem CFOs and capital markets experts, healthcare reform and the emerging trends in healthcare delivery, technol-ogy and regulations.

Education TracksBreakout sessions will allow attend-

ees to explore industry issues in greater depth. The Capital Markets track will offer sessions dedicated to gaining healthy access to capital. Sessions will examine the equity and debt markets, perspectives from developers and the latest case studies of monetization in the wake of limited access to capital through 2009.

The Provider Strategies track will feature four sessions, each led by

Healthcare Real Estate: Gaining Strength During RecoveryA Look at the Upcoming Medical Office and Healthcare Facilities Conference

By Lorie Damon, Ph.D.

representatives of different healthcare systems. These sessions will examine new models for healthcare delivery in new venues. Topics to be addressed include: delivering healthcare in rural markets; creating mobile, modular healthcare delivery systems, even for acute care; equipping MOBs for elec-tronic medical records (EMRs); and new design trends for MOBs that are built around models of patient-centered care.

While the Capital Markets track is focused on establishing a healthy “appetite” for capital, the Leasing and Management track will focus on build-ing strength and trimming “fat” in these key operations. One of the four sessions in this track will focus on adapting “lean” principles of management from man-ufacturing to real estate management environments. The other sessions will focus on leasing strategies, specifically fortifying hospital relations by partner-ing with hospitals on the leasing and management of third-party-owned, on-campus MOBs ; fending off compe-tition for MOB tenancies in other general multi-tenant office and retail space; and handling physician tenant workouts.

Keynote Karlgaard to Speak on Innovation in Healthcare

This year’s keynote session will feature Rich Karlgaard, publisher of Forbes mag-azine. Entrepreneur-turned-publisher, columnist and television commentator Karlgaard has a unique vantage point on the trends driving the business and investment climates. His insights help audiences see the global marketplace with new eyes. More than just a busi-ness journalist, Karlgaard understands firsthand the difficulties of navigating in today’s business climate and the opportunities available to those who have the courage to reach out for them. His keynote address, “Twelve Types of Innovation To Save Your Company and Your Career” will offer insights into how innovation—both technological and cul-tural—may help to reshape the health-care industry in the coming decades.

For more information and to register, please visit www.one-stop-registration.com/bomam2010/OSR.index.

View BOMA International’s Education Cal-endar and Event Calendar at www.boma.org , just click on “education” or “events.”

Innovation has long been the lifeblood of healthcare, and Karlgaard will explore ways in which that innovation will affect not only how healthcare is delivered, but also where it’s provided.

A Building Tour Built on Innovation

Innovation will be on display dur-ing the conference’s kick-off building tour of Midwest Orthopaedics at Rush Orthopedic Building. Scheduled for Wednesday, May 5, 2010, from 3:30 to 5:30pm, the private tour will showcase the 220,000-square-foot Orthopedic Center of Excellence, which is part of the first phase of a $1 billion transfor-mation of the Rush University Medical Center campus. The building opened in late 2009 and is jointly owned by Midwest Orthopaedics at Rush (MOR) and Rush University Medical Center (RUMC) under an air rights lease struc-ture. This state-of-the-art facility has been designed to achieve LEED Gold certification and includes clinical and administrative offices for MOR that were consolidated from five other loca-tions; an advanced imaging center; GAIT lab, bio-mechanics lab; physical ther-apy; learning center; orthotics lab; and research library. Attendees will learn how MOR and RUMC worked through highly complex strategic, financial, operational and regulatory issues to create a ‘win-win’ partnership.

The conference also includes ample opportunities to network, both formally and informally, and a tradeshow featur-ing exhibitors who work across the spec-trum of the industry.

Page 35: The BOMA Magazine - March/April 2010

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� < �� *7*5�� *&-< �� �� .1' *50< �� 0&5/�� 53+ *66 .32&0�

FOR BUILDING OWNERS AND MANAG-ERS looking for ways to be more envi-ronmentally sustainable, it’s always good to recycle. But it’s time to reduce what we use in the first place. That’s the philosophy behind Reduce Today, Respect Tomorrow, a global program recently launched by Kimberly-Clark Professional*.

As tenants and end-users increase their desire for green products, the emerging question has been: What defines green?

The central premise of Reduce Today, Respect Tomorrow is that focusing only on 100-percent recycled fiber content does not address the total picture and

that the entire life-cycle of the prod-uct must be considered. Reducing the impact on the environment is much broader and more nuanced than mea-suring the recycled content of a prod-uct. Other considerations—such as water and energy consumption during manufacturing, fiber sourcing and waste generation and management—are also important factors.

Focusing on 100-percent recycled alone does not look at 100 percent of the picture. It only looks at the fibers from which the tissue is made. It does not look at the process used to make the product, the water consumed, the elec-tricity required, from where the fiber is sourced or how the products are pack-aged and used.

It’s clearly good to recycle and use appropriate amounts of recycled

material when manufacturing products, but the more comprehensive approach is to look at the bigger picture and to understand the many ways product design can reduce impact on the envi-ronment. That means striving to reduce environmental impact at every stage of a product’s life-cycle.

This strategy starts with product designs that strive to reduce how much a user consumes overall—through usage, as well as through waste—an approach that is based on source reduction. Source reduction is essentially waste preven-tion, or designing products to elimi-nate waste at the start—before it ever becomes waste. Source-reduced prod-ucts are designed so that users actually consume less, either through improved performance, more reliable dispensing methods or both. And, if less is con-sumed in the first place, it often means there is less packaging waste, which further reduces the amount of waste to recycle or send to the landfill.

Products made with a combination

Rethinking RecyclingA Life-Cycle Approach to Product Development

R

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�� � � � � � � � � � vs i � � � � � Do� D� � � � � D� D� i � � � �� � � s� � v� � � � � � s� � i �   � s� i � � � D� � � � � s� D� i � s� � v� �

�       � � � � � vs   � s� �� � � �

Page 36: The BOMA Magazine - March/April 2010

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� /= 3� � 3' *0� � 3&7.2, 6 � � 2( � > �� � 0.) ) *2� � 53� � � � � � � � � � � � � � � � � � � � � 39*5� � � �� 1 *5.( &2� � 2( - 35� � � � � � � � � � � � � � � � � � � � � � � � � � � � � � �� &570*77� " 5**� � ; 4*576 � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � 70&27&�� � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � �� � � � � � 27*52&7.32&0� � � � � � � � � � � � � � � � � � � � � � � �� 5*&7.9*� � 0335.2, � � 32( *476 � � 2( � > �� � 53+ 351 � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � 350*2� � 53) 8( 76 � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � �� &1 *6 73: 2� " *( - 2303, .*6 � � � � � � � � � � � � � � � � � �� � � � ' *0.6 /� � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � �� � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � �� *: � � *56 *< � ! &2.7&5< � ! 8440< � �� � 6 6 3( .&7.32� � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � �� *; 86 � $ &09*� � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � 8" *( - � � &7.32&0� � � � � � � � � � � � � � � � � � � � � � � � � � � � � �� 53� � *0� � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � 2, .2**5.2, � � � � � � � � � � � � � � � � � � � � � � � � � � � � � 33+ 734� � 2( - 35� � 2( � � � � � � � � � � � � � � � � � � 39*5� �! *&0� &6 7*5� � 354� > " - 35: 35/6 � � � � � � � � � � � �! - 3575.) , *� � 26 7581 *276 � � 2( � � � � � � � � � � � � � � � � �" - < 6 6 *2� 5844� � 0*9&735� � � � � � � � � � � � � � � � � � � � �# � ! � � � 5**2� � 8.0) .2, � � 382( .0> �� # ! � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � 39*5� �# � ! � � � &: 26 � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � �

of virgin and recycled material can reduce consumption when compared to products made simply with 100-percent recycled material. Our research shows that high-quality, better-perform-ing products can allow users to use less.

Yet, reduced consumption is only part of the solution. Here are other ways to reduce environmental impact at every stage of a product’s life-cycle, including:

the amount of fiber needed to make tissue, towel and wiper products.

more fits into every case.

so truck space can be used more effectively, reducing the total number of deliveries needed to fill orders.

These product solutions can also help buildings and facili-ties earn points toward LEED EB:OM certification. We have also developed some simple Web-based tools to help building own-ers and managers compare environmental impacts between different alternatives, and we recommend the solutions with the lowest total impact, not just those with the most recycled fiber content.

Responsible forestry management practices are also a key component of this bigger-picture environmental approach. Kimberly-Clark requires its wood fiber suppliers to be certi-

Kimberly-Clark Professional* became the first away-from-home tissue products provider in North America to receive Forest Stewardship Council (FSC) chain-of-custody certification for a broad range of tissue and towel products.

When selecting a supplier for a building’s washroom and wiper products, consider what a company is doing to reduce environmental impact overall, not just the amount of recycled fiber in its products. That means looking at the bigger picture and making purchasing decisions based on what will result in the most sustainable conditions long term.

About the Author: � *7*5� � *&-< � .6 � 7-*� 3!( *� ' 8.0) .2, � &2) � 03) , .2, � 6 *, 1 *27�1 &2&,*5� + 35� � .1 ' *50< �� 0&5/�� 53+ *6 6 .32&0��� ' &6*) � .2� 36 : *00�� � &�� � 35� 1 35*�.2+ 351 &7.32� &' 387� � .1 ' *50< �� 0&5/�� 53+ *6 6 .32&0��� .76 � 453) 8( 76 � &2) � .76 � 6 86 7&.2�&' .0.7< �4 53, 5&1 ��9 .6 .7� �� � � �� � � � ��� � �� �� �

ADVERTISING INDEX

� � � � � � % � � � � � � � � �

Page 37: The BOMA Magazine - March/April 2010

36 BOMA March/April 2010

conference connection

Advanced Modern Technologies CorporationAdvanced Modern Technologies Corpo-ration is an innovative manufacturer of commercial washroom automation and water conservation systems. Product line includes HYBRIDFLUSH automatic flush valves for urinals and toilets, HYBRID-FLO automatic faucets and DUALFLUSH/HALF-FLUSH water-saving flush handles. Visit www.amtcorporation.com.

Cosentino North America Cosentino’s entrepreneur-ial dynamic has allowed it to become a dominating player

in the stone industry. In 2009, Cosentino expanded its product line to include a revolutionary recycled surface, ECO™ by Cosentino, which joins its flagship surface, Silestone™ Natural Quartz by Cosentino. Visit www.cosentinonorthamerica.com.

DDM Metering Systems Inc. Founded in 1996, DDM Metering Systems Inc. is a full-service submetering firm with a national client list. DDM’s mission is to help commercial property owners and managers control energy usage as well as allocate those costs to tenants in the fairest possible way. DDM is one of only a handful of service providers of com-plete and fully integrated custom turnkey submetering systems, and specializes in calculating after-business usage and time-of-use over standard billing. Visit www.ddmmeter.com.

E-Mon, LLCE-Mon is an industry leader in submeters and manufactures a complete portfolio of energy monitoring products. E-Mon D-Mon meters have been installed for more than 25 years in a variety of com-mercial buildings for energy management, tenant billing, usage analysis, metering and verification, load control and cost allocation. Whether the goal is to reduce costs, increase efficiency or meet spe-cific energy targets, E-Mon can provide the ideal solution for the application. Visit www.emon.com.

EFT Energy, Inc. EFT Energy is a leading provider of energy management solutions to major enterprises in business and government. EFT’s technology empowers customers to monitor and manage real-time energy consumption and carbon emissions. Its Energy Manager software provides com-prehensive reporting with intuitive drill- down functionality and important features like instant alarm notification and auto-matic report distribution. Visit www.eft energy.com.

Encelium Technologies Encelium manufactures the Energy Con-trol System™ (ECS), an advanced light-ing control solution for commercial build-ings. The system reduces lighting use and energy costs at a fast rate and has an average payback of two to five years. Since the company was founded in 2001, ECS has been installed in more than 20 million square feet of commercial space. ECS utilizes six distinct energy manage-ment strategies, and also counts toward LEED credits. Visit www.encelium.com.

EnerNOC, Inc.EnerNOC, Inc.

is a leading developer and provider of clean and intelligent energy solutions. EnerNOC’s technology-enabled demand response and energy management solu-tions help optimize the balance of elec-tric supply and demand in commercial buildings. Its total energy management solutions help customers operate more efficiently, track their carbon footprints and leverage competitive market dynam-ics for cost-effective energy procurement. Visit www.enernoc.com.

EnovityEnovity is a leading

energy engineering and facility manage-ment firm that provides consulting for commercial, institutional and industrial facilities in the Western United States. Enovity’s services include design, com-missioning and facility operations and maintenance. Enovity also offers expertise in advanced building controls, monitoring-based persistence and retro-commission-ing, systems troubleshooting, whole build-ing metering and tenant submetering and more. Visit www.enovity.com.

eSight Energy, Inc. eSight Energy, Inc.’s eSight is a sophisti-cated energy management suite that pro-vides powerful techniques for targeting specific areas of energy usage to identify cost savings. eSight is an intuitive, Web-based solution that easily integrates with other building systems. eSight is suitable for use across organizations of virtually any size or industry sector and has been designed to be scalable in functionality and size of system. Visit www.esight energy.com.

Best in ShowExhibitors Bring Green Innovation and Cost Savings to The Every Building Show

“Green” has gone from a buzzword to a best practice for operating com-mercial properties over the last several years. Property professionals know that, to gain a competitive edge in today’s market, they’ll need to employ innovative green products and services that will improve efficiency and boost the bottom line. This year’s Green Pavilion and ENERGY STAR® Showcase at BOMA’s The Every Building Show, June 27-29 in Los Angeles County, Calif., will feature exhibitors offering a diverse mix of energy- efficient and sustainable solutions. Here are just some of the leading companies that will be exhibiting in the Green Pavillion:

Continued on page 38

Page 38: The BOMA Magazine - March/April 2010

March/April 2010 BOMA 37

NEW FEATURES INCLUDE:• A new Single Load Factor Method. This new calculation, “Method B,” applies

to the occupant area of each fl oor to determine the rentable area and is the same for all fl oors of a building, i.e., all tenants are allocated the same percentage for calculation of amenities and service areas.

• More options. Choose either the new Method B or the measurement methodology of the 1996 standard, referred to as “Legacy Method A.”

• Regional leasing practices. Allows for enclosure requirements and limited unenclosed circulation; i.e., walkways and outdoor lobbies. Great for tropical climates.

• Measurement clarity. Introduction of new terms to simplify and clarify the process of measurement, including a step-by-step sequence that includes boundary line defi nitions.

There’s a reason everyone calls it “The BOMA Standard.” In 1915 it was the fi rst fl oor measurement standard and today it still sets the standard for measuring offi ce space. Now BOMA International introduces the latest version of this landmark standard, Offi ce Buildings: Methods of Measurement and Calculating Rentable Area (2010).

THE BOMA STANDARD THE NEW OFFICE MEASUREMENT STANDARD IS HERE

O F F I C E B U I L D I N G S : S T A N D A R D M E T H O D S O F M E A S U R E M E N T A N D C A L C U L A T I N G R E N T A B L E A R E A ( 2 0 1 0 )

BOMA Sets the Standard. Order BOMA’s fl oor measurement standard, Offi ce Buildings: Methods of Measurement and Calculating Rentable Area (2010), or the other measurement standards from the BOMA family of standards–Gross Areas of a Building: Methods of Measurement (2009); Standard Methods for Measuring Floor Area in Industrial Buildings; and Unifi ed Approach for Measuring Offi ce Space: For Use in Facility and Property Management.

The interactive downloadable format includes hyperlinks, expanded defi nitions, and 45 full-color illustrations.

GET INTERACTIVE!

ORDER THE NEW OFFICE STANDARD TODAY AT

HTTP://SHOP.BOMA.ORG

NEW FEATURES INCLUDE:• A new Single Load Factor Method.

to the occupant area of each fl oor to determine the rentable area and is the same for all fl oors of a building, i.e., all tenants are allocated the same percentage for calculation of amenities and service areas.

• More options.of the 1996 standard, referred to as “Legacy Method A.”

• Regional leasing practices.unenclosed circulation; i.e., walkways and outdoor lobbies. Great for tropical climates.

• Measurement clarity.of measurement, including a step-by-step sequence that includes boundary line defi nitions.

Page 39: The BOMA Magazine - March/April 2010

38 BOMA March/April 2010

conference connection

GeneaGenea is a clean tech company with a com-prehensive energy

services platform for commercial office buildings. Genea’s Building Optimization Platform is a portfolio-wide application that empowers every stakeholder in the commercial property value chain and changes the daily operating paradigm for office buildings. Visit www.geneaenergy.com.

Georgia-Pacific ProfessionalGeorgia-Pacific Professional is a provider of hygienic and environmentally respon-sible dispensing systems and paper prod-ucts for commercial buildings. Georgia-Pacific is committed to better hygiene, greater efficiencies and richer knowledge that create significant business advan-tages. With a heritage of creating inno-vative solutions, GP Professional offers unique brands such as enMotion®, Com-pact®, Dixie® and Brawny Industrial®. Visit www.gppro.com.

Jaco Construction Roofing ContractorsJaco Construction Roofing Contractors understands how energy, the environment and roofing can work together to provide a sustainable, energy-efficient and LEED-qualifying roofing system. Jaco helps its customers to qualify for energy rebates, tax deductions, reduce energy bills and lower maintenance costs. Visit www.jaco-const.com.

Landscape Concepts Management, Inc. Landscape Concepts Management, Inc. is a commercial landscape contractor that provides a complete spectrum of outdoor services. Certified Green Roof and Smart Irrigation System installers are part of an integrated landscape management pro-gram, which also includes tree care, hard-scape installation, water features, irriga-tion system management, seasonal color and comprehensive landscape mainte-nance. Visit www.landscapeconcepts.com.

Nalco CompanyNalco provides proven expertise in water, energy and air systems in commercial properties. Nalco programs include func-tionalities like cooling water, steam or closed loop heating, AHU maintenance and air quality improvements, with a focus on reducing water and airborne pathogens. Nalco water treatment pro-grams extend the useful life of their utili-ties equipment assets, reduce energy and water consumption, cut solid waste vol-ume and reduce the total cost of opera-tions. Visit www.nalco.com.

National Fenestration Rating CouncilThe National Fenestration Rating Council develops and administers energy-related rating and certifi-cation programs that serve

the public by providing fair, accurate and credible information on fenestration per-formance. Visit www.nfrc.org.

Nu Flow Nu Flow renovates and extends the useful life of pipes in buildings using trenchless epoxy coatings and CIPP structural liners. Patented epoxy is used to line potable water pipes, service lines, chiller, heating, HVAC and fire suppression systems. Addi-tional technologies are available enabling Nu Flow to select the optimal solution to renovate existing pipes, increase their durability and prevent future problems. Visit www.nuflowtech.com.

Pacific Building Care Pacific Building Care is a leading com-mercial janitorial services company in the Western United States, delivering green cleaning and lighting solutions to com-mercial buildings. PBC services more than 110 million square feet, employing a com-prehensive green cleaning approach that includes LEED certification consulting and related environmental best practices. Visit www.pbcare.com.

RetroCom Energy Strategies Inc. RetroCom is a premier provider of energy engineering and green building services. RetroCom has more than 20 years of experience with evaluating, designing and implementing advanced energy and operational improvements in facilities throughout the United States. Visit www.retrostrategies.com.

Sika SarnafilSika Sarnafil is an international supplier of high-quality, long-lasting thermoplastic roofing and waterproofing membranes. Sika Sarnafil produces a range of systems that include green roofs, solar roofing and vinyl systems that simulate the appear-ance of metal roofs. Sika Sarnafil also established the first recycling program for single-ply roofing systems. Visit www.SustainabilityThatPays.com.

Spartan Chemical Company, Inc. Spartan Chemical manufac-tures specialty maintenance products for cleaning and

maintenance in commercial buildings. Spartan Chemical’s product offerings include all purpose cleaners, disinfectants, floor care programs, industrial degreasers, hand-restroom cleaners, deodorants and more. Visit www.spartanchemical.com.

r

Attendees walk the green carpet at the 2009 ENERGY STAR Showcase and Green Pavilion.

Page 40: The BOMA Magazine - March/April 2010

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Whether your commercial building project is new construction or retro-fit, Rooftop Anchor, Inc. offers a complete line of products and services to make your building “code compliant” in providing rooftop safety for window cleaners, roofing contractors and other trades requiring suspended access.

We are determined to take your roofop workers from high-rise work sites to their homes, safely.

Call us for a free presentationon the latest safety standards

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Page 41: The BOMA Magazine - March/April 2010