SLAR 2013 Annual Report

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St. Louis Association of REALTORS速 2013 Annual Report

12777 Olive Blvd. | St. Louis, MO 63141 | www.stlrealtors.com


What Has SLAR Done For You? “In the fast paced world of real estate, we are so thankful that SLAR recognized our need for copious amounts of tools and resources to be at our fingertips.” - Amanda C., Keller Williams Realty – Chesterfield

Table of Contents 2013 Leadership Finance & Membership Professional Development Government & Public Affairs Marketing & Communications

“SLAR has been key to my first year success in real estate. I became acquainted with other agents as well as developed knowledge on other matters that concern the industry.” - Lucy H., Jacobsmeyer Realty

Commercial Division

St. Louis Association of REALTORS® 12777 Olive Blvd. St. Louis, MO 63141 314.576.0033

“I do not believe my business would be as successful as it has been without the tools that I receive from being a member of SLAR, MAR, and NAR.” - Fae M., Marion-Estelle Associates

web: www.stlrealtors.com Commercial web: www.stlcr.com email: communications@stlrealtors.com facebook.com/stlouisrealtors twitter.com/STLREALTORS

“By providing market statistics, information about latest events, classes, and more…SLAR keeps us REALTORS® organized and productive!” - Mala B., Coldwell Banker Gundaker Corporate Center


2013 Board of Directors

Executive Officers Donna Zerega, President Barb Keathley, Vice President/Treasurer Bob Bax, Member-At Large Adam Glosier, Commercial President

Beth Braznell, President-Elect Sandy Hancock, Secretary Glenn Vatterott, Immediate Past President Dawn Kennedy, Chief Executive Officer

REALTOR速 Directors Term Ends 2014 Term Ends 2015 Term Ends 2013 Bob Bax Mike Carter Gail Brown Sue Middendorf Eric Friedman Kimberly Cameron Carole Mulina Tiffany Hamilton Sandy Hancock David Townsend Pat Malloy Jan Thomas John D. Williams Mike Travaglini REALTOR速 Associate Directors LaWanda Elgin Janet Judd Marc Levinson Affiliate Directors Terra Ritchie

Vivian McBride

National Association of REALTORS速 Directors Donna Zerega Beth Braznell Nate Johnson Large Firm Representative Glenn Vatterott 2013 Annual Report

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A Word From Leadership By Dawn Kennedy Chief Executive Officer

W

ow! What a whirlwind year 2013 was! From the start, armed with a strategic plan, 2013 President, Donna Zerega went to work! Here are just a few of the items delivered: more things went online, our communications became more proactive, we have a new welcome video that plays in the SLAR office lobby (part of the store remodel that was begun in President Vatterott’s term), we hosted a REALTOR® appreciation day, and we launched online voting during the Board of Directors election. In addition, we updated our policy manual, launched online CE courses, started negotiations of a new Supra lockbox program, completed an overhaul of the conference center, and launched a mobile app for our commercial members along with a commercial magazine and monthly broker bytes.

“Lastly, we launched two innovative programs during 2014 that were built under Donna’s presidency, Real Agent Rewards (our new online orientation program) and SLAR 360, a video outreach program crafted for a new REALTORS®’s first year in business.” In addition we continued our economic forecast series, which in the 2013 year featured the Federal Reserve and the RCGA. We reached our RPAC goal as well as defeated or prevented local legislation regarding signage and registration of business properties. In 2013, per the strategic objectives of enhanced advocacy we hired a second lobbyist. At the printing of this report, our Senior GAD, Celeste Rueter, said goodbye to SLAR to work for a pre-eminent charity while at the same time, Missouri REALTORS® hired a Regional Advocacy Coordinator to assist local associations. This means exciting times are ahead for SLAR in designing our advocacy programming.

“It is hard for me to believe that at the end of April I am reaching the end of my first two years at SLAR. I am thrilled beyond belief at the progress we have made in such a short time. I cannot thank President Donna Zerega enough for her outstanding leadership in 2013.” We all owe her a debt of gratitude not just for her service but for her vision. As always, I am so incredibly honored to serve all of you and look forward to a continued and successful partnership.

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“As a new broker in 1987, SLAR nurtured me through the regulatory process. Since then their education programs have lifted me through shifts in our marketplace and guided me through these challenging times.” — John W., Equity Missouri, LLC

By Donna Zerega 2013 SLAR President

R

eal estate professionals experienced a turnaround year during 2013. We saw improvement in the real estate market as the number of sales and average sale prices increased, and days on market declined. Membership stabilized for the first time in several years and we celebrated the 100th anniversary of the REALTOR® Code of Ethics. It was also the first full year with Dawn Kennedy as our CEO and new staff on board to help us continue to follow our plan to reshape our Association for the future. “... Here we must run as fast as we can, just to stay in place. And if you wish to go anywhere, you must run twice as fast as that,” says Lewis Carroll in “Alice in Wonderland.” “If you don’t know where you’re going, how will you know when you get there?” In 2011 SLAR took a hard look at where we were and where we wanted to go. We did an audit and formulated an ongoing strategic plan to help take us into the future. So where are we on that road and what did we accomplish this past year? Our first goal was and continues to be to prepare the agent for their changing role in the industry. We have expanded our educational offerings, not only for CE but also in the areas of technology and industry news. As for our CE courses and new member orientation, they are now available online as well as in the classroom. We also held presentations in various local areas focused on local and national trends that affect our business. We hired a third staff member in our marketing and communications department to further support our commitment to monitor and deliver timely materials aimed at trend forecasting and response. We have also moved SLAR information and member processes online and leveraged technology to make communication with our members easier. We revised not only our residential website, but also our commercial website, and we’ve created an app and an online forms library for commercial REALTORS®. We now have better sales statistics available to our members and to members of the public, positioning us as a source of real estate information. We partnered with other community stakeholders to effect policy change and helped sponsor a successful Energy Efficient Housing Contest. We continued to overhaul our budget and to direct money towards reaching our targeted goals. In fact, it appears that we had a balanced budget for 2013, due to good stewardship and no decrease in membership. 2013 was both a year to remember and just another year along the way as we move into our future. Tomorrow starts today and as we move forward, we continue to adjust our course. As we do so, we will continue to deliver relevancy and real value to our members as they go about their business. Thanks to our Board of Directors, committee members, volunteers, affiliates, and staff members for making 2013 a success.

2013 Annual Report

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Finance & Membership By Rick Capelli

Senior VP of Finance & Membership

I

f you are looking for some good news, I’m happy to report the St. Louis Association of REALTORS® is on solid financial ground. With strong Executive Team leadership, an engaged Board of Directors, and a loyal staff, the Association has balanced its budget during this past fiscal year. As importantly, it continues to expand its offering of events, education programs, and services to our membership -highlighted by the recent introduction of the new SUPRA Bluetooth iBox system. The process of balancing a budget the size of SLAR’s is never simple. The ultimate responsibility rests with our Finance Committee and Board of Directors. That task was made a bit less daunting when the membership slide, ongoing since 2007, finally halted in 2013. Below are statistics for the past six years.

Paid Memberships by Year 2008 10,081

2009 8,900

2010 8,615

2011 7,919

2012 7,434

2013 7,442

12000 10000

10081 8900

8615

8000

7919

7434

7442

6000

Paid Memberships by Year

4000 2000 0 2008

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2009

2010

2011

2012

2013


“I love everything about SLAR. They are conveniently situated on Olive and near 270 for attending Continuing Ed. Going to SLAR is always a positive experience. What’s not to like?” — Donna T., Coldwell Banker Gundaker

Membership has dropped by 26% since 2008. This is not surprising to anyone working in our industry. The relatively gradual slide in membership, along with the financial reserves of the Association, has enabled us to make the adjustments necessary to balance the budget. Meanwhile, we have forged ahead with investments in new member services, needed building improvements, and technology and communication tools. Below is a summary of our gross revenues and expenses for our most recent fiscal year ending December 31, 2013. Note: We changed fiscal years at the end of 2012 so this is our first full calendar year fiscal period. Our two previous fiscal years ran deficits of $263,436 and $80,395 respectively so the numbers speak for themselves.

Fiscal Year Ending Dec. 31, 2013 Revenues $2,083,621 Expenses $2,022,052 Surplus $61,569

Please review the accompanying pie charts, which show a breakdown of the above numbers by Association program area. It is interesting to note that while we are a dues supported organization, nearly 47% of our revenues come from ancillary and program related sources, a healthy mix for an entity of our size. Thank you for belonging to this great organization. The management and staff take the responsibility of day-to-day fiscal oversight of the Association with the utmost seriousness. We take pride in our work and consider it a privilege to serve each of you.

Analysis of Revenues

2013 Revenues = $2,083,621

SUPRA Operations 9% Administrative Fees 8%

Membership Dues and Fees 53%

Other 4% Membership Dues - Building 8%

Contracts And Forms/REALTOR® Store 10%

Interest and Building Rental Education And 6% Meeting Programs 2%

2013 Annual Report

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Analysis of Expenses by Program 2013 Expenses= $2,022,052

General And Administrative 15%

Building Rental 3%

SUPRA Operations 8% RHAF 2% REALTOR Shoppe 9%

Legislative 12% Education And Meeting Programs 4% REALTOR Governance and Policy Compliance 10%

Member Services 26% Commercial Division 11%

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Our Mission: Provide an orderly marketplace that facilitates cooperation and compensation for participants through a common database of real estate information.

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Live Market Data At Your Fingertips

View a live market snapshot or build a custom report to view active listings, pending sales, closed sales, and more!

To View Live Market Data, Simply Visit: www.stlrealtors.com → Market Data Button


Professional Development By Karen Dunn

Director of Professional Development

T

he Professional Developement Department turned a corner in several ways during 2013. Not the least of which is the physical appearance of the lower-level lobby and classrooms – newly branded and renamed as the SLAR Conference Center. Visual transformations included new outdoor signage above the entrance, upgrades to both restrooms, and a fresh, vibrant paint scheme throughout the lobby and classrooms. The unattractive and often malfunctioning vending machines were removed and replaced with a snack/beverage kiosk stocked with fresh choices based on member suggestions. Beautiful and highly functional cabinetry and consoles completed the visual transformation. Member response has been extremely positive.

Further enhancements include an AV upgrade in the classrooms to 100% digital and replacing dated HVAC units to a much needed energy efficient system – resulting in significant utility cost savings. Kitchen and electrical upgrades will accommodate catering requirements to support an expanded room rental program. As quickly as these projects were completed, the space was in full-blown use for member and non-member rentals for workshops, office meetings, and more! Rental income is expected to increase decidedly in the coming years as a result of this investment. In the educational offering category, we launched a new tech series (Tech Thursdays) that ran for 10 months and focused on app training for tablets and smartphones. The series provided valuable instruction and tips for the beginner as well as the advanced user. Since 2013 was not a license renewal year, the Education Committee agreed it was a great time to offer the CRB Designation, SFR Certification, and SRES Designation to the members. Of the three, SFR and SRES were true standouts – each generating enough buzz to make return engagements in 2014/2015. The Professional Development Department also took a proactive stance to prepare the membership for changes to the Residential Sale Contract by offering eight in-house and offsite training sessions. This proved to be exactly what was needed to get the information disseminated quickly, concisely, and with minimal impact to conducting business. The 2013 W.I.N. (What’s Important Now) series garnered the highest attendance to date with panels on Appraising and Tax Assessment. Panelists provided fascinating fact-based presentations that sparked lively discussion and friendly debate!

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“There are always events, training sessions, speakers and more being offered to members at no charge. In short... assistance and support by SLAR is much appreciated.” — Gary W., Coldwell Banker Premier Group

The year culminated in one of the most special, proudest moments I’ve experienced here at SLAR. After uniting the Diversity Committee with the Education Committee earlier in the year – these two exceptional groups developed and implemented a new annual event called “It’s a Big, Big World”. Under the nurturing guide of Chairperson and 2014 President-Elect, Janet Judd – a contemporary idea evolved into a superlative event with panelists representing Veterans, LGTB, PARAQUAD and EHOC, along with moderator Reena Hajat Carroll, Director of the Diversity Awareness Partnership. The attendees were riveted by the compelling, and at times humorous, commentary each panelist shared from personal experience and insight. Food trucks with an international flare added to the party on the parking lot immediately following the diversity program. The food trucks drew large crowds from surrounding businesses and our membership. This event set a SLAR precedent in content and community outreach. The torch has been lit on this initiative – the future consumer demographic will benefit from this program as it becomes more far reaching every year. Change comes to us in many ways, sometimes by our own devices but often it slams into us unexpectedly – when we are least prepared to adjust to it. Winston Churchill said “To improve is to change, to be perfect is to change often.” Perfect doesn’t seem so unreachable when you look at it that way. The new goal for 2014: let’s all strive to be perfect.

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To Take Courses Online, Simply Visit:

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Governmental Affairs By Maureen McDonnell

Director of Government and Public Affairs

T

his year we have witnessed firsthand the ability of the REALTOR® Party to make quiet, singular voices into one booming, undeniable sound. This power can be broken down into three categories: act, invest, and make an impact.

act We started off 2013 with more than 300 REALTORS® traveling to Jefferson City to make the voice of the Party heard. While meeting with their legislators, REALTORS® discussed various tax proposals which would eliminate the state income tax and replace it with an additional tax on goods and services, historical and low income tax credits, and HB 146 which would have required real estate agents to disclose to the listing agent and owner if the buyer they were representing was a registered sex offender. It is a testament to the REALTORS® that the extremely controversial HB 146 was dead by the end of the day. On a local level, SLAR has been working with the city, county, and municipal governments on issues such as rental registrations, public nuisance, sign ordinances, and occupancy permits. These advocacy efforts protect property owners’ rights as well as the time and money of REALTORS®. Aside from legislative actions, the 2013 Urban Affairs forums provided members with information on St. Louis City. This year we heard from groups and people like St. Louis is a World Class City, the Superintendent of the St. Louis School District, and Paul McKee on the Northside Regeneration project. These events impart to our members’ knowledge of St. Louis, which allows them to act as ambassadors on its behalf.

invest

SLAR members invested over $113,000 in RPAC in 2013, including 39 SLAR members who invested $1,000 or more. In turn, SLAR works to support REALTOR® friendly candidates as well as its own members who decide to run for office. SLAR and its members work to seek out and support candidates who deeply believe that homeownership is the cornerstone of the American economy and culture.

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“SLAR provides fabulous training and networking opportunities. SLAR is there to provide the help and support necessary to grow our businesses and make them thrive.” — Dale W., Coldwell Banker Gundaker

make an impact St. Louis REALTORS® displayed compassion and an immense ability to serve and better the surrounding community during the 2013 REALTOR® Housing Assistance Fund Grant Allocation Ceremony. RHAF dispersed $25,000 to multiple charities that address homelessness in the area at this inspiring event. It has been a great year in the Government and Public Affairs Department at SLAR and we have our members to thank. Here is to a stellar 2014!

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Marketing & Communications By Laura DeVries

Director of Communications & Marketing

T

his has been a pivotal year for SLAR and the Marketing & Communications department. We have been aggressive in launching multiple programs and new member benefits over the past twelve months. We understand that in order to continue to serve our members to the best of our abilities, we must be forward thinking and have a clear vision and understanding of our strategic goals while maintaining realistic expectations. In June, we launched the new SLAR website. If you have not visited the site yet, I encourage you to go to www.stlrealtors.com to navigate around and discover our new features and tools. Our most recent feature is the live market data page where you can create custom reports for you and your clients. Would you like to quickly and easily forward a new St. Louis resident or relocated client information about a neighborhood or community? If so, click on the community tab and see all of the resources available. We also have an extensive media center and easy to locate links to SLAR’s many affiliate and affinity business partners. We designed the site to maintain and grow our brand identity, and to make member benefits easy to access. We have also aggressively expanded our marketing and communication reach to our commercial members. This included creating a new and improved website, introducing a mobile app, and developing monthly enewsletters with rich content, all designed to educate and update the needs of our commercial members. I’m pleased to report that we have significantly increased the overall communication with members. In this year’s member value and satisfaction survey, 76.6% of SLAR members were satisfied to very satisfied with communication from the Association, while the level of knowledge and effort in meeting our members needs increased from 49% in 2012 to 61% in 2013. We continue to offer new and improved platforms for our affiliate and REALTOR® members to network, grow, and develop partnerships. It is very positive to see that our affiliate membership has increased in 2013 by 12.4%. One of the outstanding programs that both SLAR affiliate and REALTOR® members offered to the community this year was Backpacks for Education. This program supplied over 2,000 school supplies for children in need in the Ferguson/Florissant school district. Children in grades K through 12 were able to return to school prepared and excited for the school year thanks to our members’ generosity.

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“SLAR offers some wonderful training opportunities for agents and brokers. I really appreciate the quality of speakers and the breadth of topics.” — Janet H., Keller Williams Realty — Chesterfield

What is the old saying? Successful communication is a two way street. The Association will continue to offer programs and new member benefits, but the best way for us to provide the programs and benefits that you want is by receiving feedback.

“We now send a member survey after every major event. This helps clarify what we need to keep, modify, and eliminate from programs going forward.” I encourage you to take a few minutes and provide your feedback the next time you receive one of our surveys because your voice matters! It’s been a great 2013 and we look forward to serving you and making 2014 even bigger and better for all SLAR members!

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2013 Annual Report

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Commercial Division By Adam Glosier

2013 SLAR Commercial President

T

his was a monumental year for the Commercial Division as we created and implemented several new services for the commercial member. The primary concern was that our ability to provide the Commercial Information Exchange (CIE) was ending. After years of negotiation, our service provider (Xceligent) was going to be entering the market as an independent alternative. This meant that we had several major decisions to make: 1) how do we leverage our relationship with Xceligent to continue providing the services offered by the CIE, and 2) how do we continue to deliver substantial (quantitative) value to our members. Fortunately, SLAR leadership and our board members were up to the challenge.

Regarding Xceligent & CIE – after years of work and strategizing, we were able to negotiate long term discounts for all REALTORS® interested in the revamped product offered by Xceligent. By doing so, we continue to provide monetary value to our members and allow Xceligent to instantly deliver accurate and comprehensive information. Regarding value to our members – I took this initiative very seriously during my term. I knew that there would be major changes to CIE, and I wanted to increase what the Association was able to offer the commercial practitioner. In 2013, we created and implemented several new items:

1. Broker Luncheons:

A networking/deal making event held once per month. This has been a tremendous success and we average 60-90 attendees at each event.

2. Commercial App:

Designed to provide a central point of communication for all commercial related organizations to post event information among many other useful tools. The success of this free app has received national attention. Search for “STLCR” in the app store.

3. Commercial Website:

We launched a new website designed to make member navigation easier. We want our members to find continuous value in the content found at www.stlcr.com.

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“Being a newer agent I have attended as many classes as possible to absorb as much information as I can. I also appreciate the accessibility of the online forms and its compatibility with Docusign.” — Dana H., RE/MAX Results

4. Broker Bytes:

Implemented in 2012, our goal was to create a publication with relevant content. Thus far the “click-rate” is well above industry average.

5. Forms:

This multi-year project is slated for a 2014 implementation. Our forms initiative took major steps forward in 2013. Stay tuned for exciting news regarding the forms offered by the Association.

6. Heavy Hitters Awards:

An awards program to reward the most successful practitioners in our industry. While the awards have not been presented (yet), the results we received are amazing.

I am also VERY pleased to announce that in recognition of all of the achievements by the staff and our board, the Commercial Division was presented the “Ace Award” by NAR. St. Louis has never received this award and I can honestly say that we earned it. The time and effort given to our division from Dawn Kennedy, Susan Wagner, Tina Luehrmann, our Board of Directors, and many others was amazing. We faced major challenges and our team went above and beyond what was required to make the division stronger than ever.

Search for Commercial Properties with Xceligent

The Commercial Division underwent a significant transformation from the member loaded exchange to a fully researched platform! To Access Xceligent, Simply Visit: www.stlcr.com → CDX Log-In Tab

For additional information regarding the CIE transition please contact: Steig Seaward sseaward@xceligent.com 303-888-3177

OR

Bonnie Devine bonnie@xceligent.com 636-230-6243


Commercial Division By Susan Wagner

Vice President of Professional Specialties & Standards

T

here was a whirlwind of changes, growth, and expanded membership services for the commercial REALTOR® this year! The 2013 Commercial Board of Directors worked hard to meet two specific goals established during a Strategic Planning meeting at the end of 2012: 1) to deliver and communicate value to members and non-members of SLAR’s Commercial Division, and 2) to develop communications that improve the feelings of value within SLAR commercial membership. April 2013 brought about the first of six Commercial Broker Luncheons. These luncheons were held at a members’ vacant commercial property and were paid for by sponsorships. These luncheons averaged 60-90 attendees and resulted in several closed deals. SLAR’s Government & Public Affairs Department kept a close eye on legislative issues that could have affected commercial real estate. This included participating in the revision of the Complete Streets legislation in St. Louis County, blocking a new Surcharge on Mechanical, Electrical, and Plumbing Permits in St. Louis City, and a partnership with the St. Louis Regional Permitting Collaborative. This partnership will help streamline the permitting process in St. Louis County, with St. Louis City to be added later. The first success of this partnership happened in the Fall of 2013 when the Metropolitan Sewer District agreed to use the same permitting software as St. Louis County. In partnership with Missouri REALTORS®, the Commercial Division launched Commercial Real Estate Day, held successfully and independently of any other conferences or events. The day included Continuing Education for commercial practitioners, a commercial economic forecast by NAR Sr. Economist Lawrence Yun, and many other presentations for the commercial broker to build their business. When Xceligent announced in 2012 that they would not be renewing the service contract, the Commercial Board of Directors and CIE Board of Directors worked hard to research other options. The best deal possible was a negotiated rate with Xceligent for SLAR Commercial REALTORS® going forward. Although we were saddened to lose our Commercial Information Exchange, Bonnie Devine and the CIE and Commercial Boards of Directors left behind a multi-year deal that will help the Commercial REALTORS®. As 2013 ended, the Commercial REALTOR® Board of Directors felt on target to achieve the Strategic Plan. Are you ready for the big changes and improved member services to continue? As we kick off 2014 look for more networking, Commercial CE, training, and business development opportunities!

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“I always knew SLAR was “there”, in the background. As I was encouraged to get more involved with the Association the past 4 years, I’ve grown as a REALTOR® and am better informed at serving my clients as a result.” — Kimberly C., RE/MAX Properties West

Everything Commercial At Your Fingertips Download the FREE Commercial App and keep up-to-date on all Commercial Division news. 9 View upcoming events easily. 9 Take photos of available properties and send the photo and exact GPS location to your client. 9 Access Contracts & Forms from your phone. 9 Receive automatic push notifications updating you on events and other commercial news.

To Download This App:

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12777 Olive Blvd. St. Louis, MO 63141 Phone: 314.576.0033 Fax: 314.576.7143 Websites: www.stlrealtors.com | www.stlcr.com


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