March 2014 Business in Calgary

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Exclusive location overlooking ravine! 5600+ SF with 4 bedrooms (all ensuite), fabulous backyard & ravine views. Inspired by Frank Lloyd Wright’s “Prairie School” & featuring refined built-ins, rift oak hardwood, formal dining room with silver leaf adorned ceiling, gourmet’s kitchen with glass eating bar, granite counters, amazing appliance package & a butler’s pantry. A smart home control system lets you manage lighting, climate control, music & security. Upstairs there are 4 bedrooms including a lavish master with deck, views, sumptuous ensuite & walk-in closet. Basement has wet bar, games/media room and 5th bedroom.

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Contents

volume 24 • number 3

PUBLISHERS

Pat Ottmann & Tim Ottmann

EDITOR

John Hardy

COPY EDITORS

Lisa Johnston & Nikki Mullett

ART DIRECTOR

Cher Compton cher@businessincalgary.com

On our cover…

Barry Ehlert, owner and managing partner of golf courses in Calgary, Edmonton, and Montana.

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Jessi Evetts

REGULAR CONTRIBUTORS Richard Bronstein Frank Atkins David Parker Lonnie Tate Mary Savage

THIS ISSUE’S CONTRIBUTORS

Dynamic Calgary Entrepreneur

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COVER 44 • the Hectic but Gung-ho Life of a Dynamic Calgary Entrepreneur Golf courses are an asset-based business, and they’re not making any more land

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Contents

volume 24 • number 3

THIS MONTH’S FEATURES

57

53 • alberta: Upgraded

Everything you wanted to know about the North West Redwater Partnership’s refinery in Sturgeon County

By Nerissa McNaughton

57 • sOLiD: Calgary’s Commercial real Estate Market

Calgary is well on its way to earning the ranking of an international market

By Parker Grant

62 • Condominiums are on the rise Real estate in our city continues to be robust and tightening inventory in the single-family resale market is good news for condominium owners and developers

By Heather Ramsay

62

66 • renos as a solid investment From dazzling kitchens and hardwood to energy-efficient plumbing and lighting, renos have a solid ROI

By John Hardy

74 • 2014 Calgary international auto and Truck Show

BOMA 79 • spring 2014 COMPANY PROFILES 89 • Pinnacle Group

Drawing on three decades of experience

REGULAR COLUMNS 10 • train à Grande Vitesse

By Richard Bronstein 12 • How Mainstream Became Extreme

By Frank Atkins

93 • sunik roofing Continues Legacy of Leadership at 25th Anniversary

97 • kahane Law Not Your Average Law Firm…

14 • Looking Back on (and Forward to) retirement

By Lonnie Tate 101 • Leading Business 105 • the Calgary report Current developments for Calgary Telus Convention Centre, Tourism Calgary, Calgary Economic Development, and Innovate Calgary

110 • Marketing Matters

By David Parker

8 • March 2014 BUSINESS IN CALGARY | businessincalgary.com

74

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train à grande vitesse • Richard Bronstein

By RICHARD BRONSTEIN

train à Grande Vitesse

Y

ears ago I rode France’s excellent fast train, the TGV, from Lyon to Paris. It was an amazing ride – fast, smooth, comfortable and competitively priced. This is a train that actually does 300 kilometres per hour. What is remarkable is that when you go into a curve, you can still walk down the aisle of the train without feeling like you are being thrown against the side. I think this has something to do with the suspension system and track design.

It would be my fervent wish that we could duplicate something like that in Alberta. If we did, I would even take a trip to Edmonton just for the ride.

But…the current discussion we are having about the costs and benefits of a fast train in Alberta seem more about smoke and mirrors than hard-headed analysis.

The TGV is very successful and profitable in France because it serves a population of 60 million people in a country that is 100,000 square kilometres smaller than Alberta, with a population of four million. There are about 12 cities in France with a population between 500,000 and 200,000 in addition to Paris (three million) and Marseille (one million). There are another 20 cities with populations between 100,000 and 200,000.

Bless the Van Horne Institute at the University of Calgary for doing its part to keep hammering for an Alberta bullet train. I think the institute should be commended for trying to make us think big and there may be merit in its argument that a high-speed train link between Edmonton and Calgary would open new and creative development synergies in the province.

Unfortunately, given our lack of critical mass, such a project could also be a huge train wreck. I don’t know. Let one thousand consultants rule, as Chairman Mao might have said if he were a capitalist.

The real thing that is wrong about this discussion is that it is too closed. We should not be talking about whether Alberta needs a bullet train or not. What we should be asking is for public input to develop an Alberta transportation plan for the future. The bullet train guys can come and talk. The city mayors can pitch the need for urban transit. The municipality of Crowsnest Pass can argue to relocate Highway 3. Cyclists 10 • March 2014 BUSINESS IN CALGARY | businessincalgary.com

can talk about bike paths. Ranchers can vent about hikers not closing fences. And we still haven’t finished with Highway 63 yet.

Instead we get a government committee responding to a particular interest group that wants to refloat the fast train balloon.

This really shows the lack of wit and leadership in the Alberta government.

There is absolutely no point in considering rapid rail as a single item in Alberta’s transportation mix. This is dull thinking.

What the Alberta government should have done when it came under pressure to revive the idea of a bullet train is to say, “OK. Let’s talk about the train and everything else at the same time.”

By having a broad public hearing process about future transportation needs in general, it would have given the fast train people a fair opportunity to make their case. It also would have given others the opportunity to make their case.

At the end of the day the government would not have to make a commitment to anything. It can say, “There are some wonderful ideas here but sorry, we don’t have the money for any of this now.”

That might disappoint some people, but at least the government would have a better baseline of knowledge about Alberta’s future transportation needs.

What are the estimated vehicular volumes on the QE2 in five, 10 and 20 years from now? What is the impact of technological change such as the driverless car? What is a fair way to finance urban transit needs? The list goes on and on.

To hold government hearings only on the bullet train, without considering the whole field of transportation needs, is rather shabby.

If Richard Branson happens to go to an Oilers game and bumps into an Alberta cabinet minister, are we going to have government hearings about building a spaceport in Red Deer?

That’s what this bullet train hearing is like. Completely irrelevant to the lives of most Albertans.

C’mon government. Surely you can do better than this? BiC

WOOD

AUTOMOTIVE

WOOD

Wood Automotive Group:

All Makes Collision Centre

AUTOMOTIVE

When accidents happen, Woodridge All Makes Collision Centre is the team you want working with you

N

o one ever wants to be involved in an automotive accident, but unfortunately they do happen. Especially on snowy and icy roads in and around Calgary. Unexpected and unintentional vehicle Cailean Wood, manager at All Makes Collision Centre, and Gerry Wood, president of Wood Automotive Group. incidents are a reality for drivers and the team at Woodridge All Makes Collision calibration centre with advanced colour matching, and a Centre has seen the damage, and are thankfully able to great team. In fact the team includes dedicated estimators, make the repairs. administrative staff, body technicians, preppers, painters, For over 30 years, the Wood Automotive Group has been detailers and porters. providing quality products and services to Calgarians. Part Safety and environmental consciousness are always top of that service includes auto body repairs for all makes priority and that’s why all staff are adequately trained, and models of vehicles, completed at their location just water-based paints have replaced toxic solvents, and proper off of Barlow Trail and 46th Street SE. “This state-of-theventilation and breathing apparatus are standard in the art facility enables us to deliver even more services to our shop. Furthermore, the Wood Group is always reassuring customers. Our passions are people and vehicles, and someemployee development and training. Licensed body technitimes those vehicles need repairs. We have the team, talent cians and painters are encouraged to mentor apprentices, and logistical aptitude that helps make that process smooth and some, due to the RAP (registered apprenticeship proand convenient for every customer we see,” explains Gerry gram), can start as early as high school, giving the students Wood, president of Wood Automotive Group. an opportunity to understudy in the auto body industry.

The Collision Centre offers some of the most advanced “Auto body repairs and painting are an art all unto technologies, techniques and experienced trades in the themselves. The training, hands-on experience and probindustry. It is the responsibility of the technicians and the lem-solving approach of our entire team is what makes the shop to provide quality repairs, and to bring the vehicle customer experience something positive after an oftentimes back to same condition as prior to the collision. This is no catastrophic event. We always aim to put ourselves in our small feat when a vehicle has experienced varying degrees customer’s position and offer empathy for their situation. of impact and decimation.

Our dedication is to help customers through every step As changes in the industry continue and new processes of the process, from dealing with the towing, insurance and standards are introduced, the Woodridge Collision agency, rental car company and beyond. We’re here and Centre prides itself on being ahead of the curve. Their we’ll do everything we can to complete a quality repair in a dedication to customer compassion, finite detail and envitimely fashion, to put your vehicle back on the road as soon ronmental stewardship, sets them apart from the rest. The as we can,” says Cailean Wood, collision centre manager 28,000-square-foot shop features numerous computers and with All Makes Collision Centre. diagnostic tools, leading-edge equipment, on-site paint “Don’t find fault, find a remedy.” ~ Henry Ford

For more information, please visit www.woodauto.ca and www.allmakescollision.ca, or call 403.536.0518

WOOD

AUTOMOTIVE

WOOD

AUTOMOTIVE

How Mainstream Became Extreme • Frank Atkins

I

consider myself to be a moderate conservative economist. I advocate market solutions where viable, I do not like chronic deficits and debt and I believe that smaller government allows the private sector to flourish.

Ten years ago these were considered to be mainstream ideas. I do not have any solid evidence of this, but I am willing to bet that if someone had polled the economics profession 10 years ago and asked, what do you think of this Keynesian idea that without government intervention the economy will collapse into chaos, the overwhelming majority of economists would have said that this is an outdated idea.

Then came the downturn in 2008, which appears to have revived the Keynesians, who now call themselves progressives.

The interesting feature of the 2008 downturn in Canada is that it was not as bad as the downturns of the early 1980s or the early 1990s. If you are interested in this, you should read Statistics Canada’s publication, How did the 2008-2010 recession and recovery compare with previous cycles? by Philip Cross, published in January 2011.

The new progressives do not want to read articles such as this, as it takes away their belief that big government is the only counter to the economic chaos created by the 2008 downturn.

It gets worse. These new progressives then tell us that they are open to hearing all opinions, but then they are shocked to learn that some people may disagree with them. Their answer to this is to dismiss their critics as sadly misinformed individuals who cannot see the truth. This is much the same tactic that is used by the man-made global warming catastrophe crowd.

Here in Alberta we have (at least) two perfect examples of this new breed of progressives. First we have our minister of finance, Doug Horner, who believes in deficit spending and accumulation of debt. Mr. Horner appears to believe that the whole budgeting process is just a bit too difficult for us to understand, as we (the taxpayers of Alberta) do not seem to be able to grasp that debt is not really debt in the traditional sense, as we are issuing debt to pay for infrastructure.

Apparently, if we ever get into serious financial difficulty we could always sell a road or two. Further, Mr. Horner has made the whole budgeting process so convoluted that it is difficult to tell the actual size of the deficit that the government is running. He dismisses his critics without ever really giving any indication that he understands that there may be problems associated with this type of fiscal policy. The idea of responsible fiscal policy advocated

12 • March 2014 BUSINESS IN CALGARY | businessincalgary.com

by the Wildrose, the Canadian Taxpayers Federation and the Canadian Federation of Independent Business is now considered to be extreme.

Second, we have Mayor Nenshi who has a long wish list of government projects, and an apparent unlimited desire to raise taxes to pay for these projects. Mr. Nenshi is perpetually exploring what he calls new ideas for raising revenue. Apparently, if city hall finds a new method of raising money, they will no longer have to raise property taxes every year. Mr. Nenshi calls this tax reform, and implies that somehow this is not the same as raising taxes. In response to criticism of this, Mr. Nenshi responded, “As politicians, we have to ignore those fringe elements and focus on what’s right for the community.” Mr. Nenshi does not entertain the notion that higher taxes may not be right for the community. Apparently, those of us who advocate low taxes and less government are now fringe elements and espouse extreme views. BiC

Frank atkins is an associatE proFEssor oF EconoMics at tHE UnivErsity oF calgary, a sEnior FEllow at tHE FrontiEr cEntrE For pUBlic policy and a MEMBEr oF tHE advisory Board oF tHE institUtE For pUBlic sEctor accoUntaBility.

© 2014 Ernst & Young LLP. All Rights Reserved.

By Frank atkins

How Mainstream Became Extreme

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looking Back on (and Forward to) retirement • Lonnie Tate

By LONNIE TATE

Looking Back on (and Forward to) retirement

F

orty-two columns ago, the publisher of BIC and I agreed that I would write a column to focus on issues from an old guy’s perspective. Somewhere back there is a column on retirement. This is another one. I am in my 15th year of retirement ... so I think I qualify as something of an expert.

I have learned that retirement is personal and entirely unique to the individual. I know you should retire at the first opportunity. In saying this, I assume you have some capacity to survive without employment income.

I know the question: “How much is enough?” has little relevance. I also know if you last as long as me, there will be little similarity between what you used to be (and did) and what you are today. If you have more than two clues, you will grow (or shrink) into a stable financial state where your lifestyle fits your means.

So if you know you are going to be different, why not start now? And if not right now, then develop a plan that will get you there in a short period of time. You can do stuff today that will start you on the trail to retirement without disrupting your working life.

I was lucky ... I loved work. And when I had enough, I was ready to branch out and do different things. And now, I like the things I do even better than the fun time at work.

There will be lots to do. The successfully retired people I know do not have enough hours in the day to do everything. Among other things, you will learn to do things on your own. I remember one of the first inconveniences after quitting work was figuring out how to get a copy made. The answer then was to go to the drugstore, stick a quarter in a machine and get a copy. Now you scan it in your (less than $200) multifunction printer.

You will not be missed at work! Honest!

While you may think that your clients, customers, business associates or whatever hang on your every word ... they

14 • March 2014 BUSINESS IN CALGARY | businessincalgary.com

do not. Incredibly, they will find a way to get by without you. Yes ... they will even flourish. I will never forget going to see one of my former partners at Ernst & Young after retiring. I gave the receptionist my (newly minted and prepared by me) CA card and she asked: “With what firm did you get your CA?” I had left just three months prior after 34 years with the firm.

If you have stayed with this column to this point, the majority of your life is likely behind you. Yes ... you are getting older. No one likes to dwell on it, but the amount of time we have on this planet is finite. My wife and I have a wide circle of friends as we live in two places. In the past year, we have lost eight. For the most part they went quickly and that is a blessing. Remember – the only sure things are death and taxes.

Finally, you will be one of the rare ones if your health remains consistent and you are completely robust until the end. All the things you would like to do may not be doable a few years down the road. So you should get on the retired road sooner than later.

In the first few years of my retirement, I continued to burn the candle at both ends. I was on a board or two and worked at some charitable fundraising in addition to trying to be retired. In a few words, I still was trying to be accepted as a working person. It didn’t work and five years ago, I ended up at Foothills Hospital where some really good folks in emergency and intensive care kept me alive. Now, with the help of some pills, I work on one candle at one end and lead a normal (and somewhat less frenetic) life. I proved no one is invincible; it can happen to you.

Hopefully this has got you thinking. Next month I’ll detail some of the steps for successful retirement and share some anecdotal experiences that can get you into really good golden years. BiC

Available exclusively at

Computer-friendly

Rush, Revamped

Full speed ahead for evolved upscale restaurant

T

he brains behind Rush know a thing or two about pleasing Calgarian palates. The restaurant is part of Vintage Group, an iconic collection of award-winning eateries including Vintage Chophouse and Tavern, Redwater Rustic Grille, Bookers BBQ and Crab Shack, and Rise Bakery and Café.

Vintage Group first opened Rush in 2008 as a true fine dining offering. Lance Hurtubise, the company’s president and CEO, travelled overseas to source out the best talent and trends in exquisite cuisine, which he brought back to launch the restaurant.

Rush opened to excellent reviews, but something was missing. “Rush could have fit in at any international dining hot spot, such as New York or Paris,” explains Patrick Soul, vice president, premium brands at Vintage Group. “We were the definition of fine dining, but we lacked Calgary flavour.”

Both born-and-raised Calgarians with ample experience in the dining business, Hurtubise and Soul understand the recipe for a truly successful eatery in Calgary – the ability to evolve to the city’s tastes.

After attempts to tweak small details at Rush over the years, Vintage Group began to conceptualize a larger-scale change for the restaurant. Rush planned a strategic evolution of its look and menu in the summer of 2013. But the unforeseen fallout of the flood caused delays for many non-emergency construction projects, including the work at Rush. The scheduled completion date of September 2013 moved to early 2014.

Now, Rush is back and better than ever. “We’re describing the new Rush as bold, brash, evolved,” says Soul. “Bold describes our new decor and menu, and we’re brash in a good way – not afraid to stand out.”

As for the “evolved” part, Rush’s new mission is to put the customer first with a down-to-earth, egoless downtown dining experience. “We really want to give Calgarians what they want,” says Soul. “In researching this project, I sat down with as many people as possible to find out their favourite food and dining must-haves.”

He learned one such necessity is accommodation for large dining groups. Thus, the new Rush has an expanded, customizable private dining area. The space can be set up boardroom-style for business presentations or configured banquetstyle for celebrations of up to 50 people.

The restaurant’s new look is chic, yet cosy, and modern, yet timeless. Soothing neutral colours and sleek fixtures enhance the layout. “In line with our ‘customer-first’ philosophy, we redesigned the restaurant to provide the most attentive service and comfortable experience,” explains Soul. “We concentrated on making the space functional before we made it look great.”

The functional details add up to what Soul describes as “practical fine dining. ”Through research, Soul and his team learned that diners want excellent food, but they also want to feel authenticity and a sense of welcoming at the restaurants they choose. “Just because you’re in a suit doesn’t mean you don’t want a burger and beer, and just because you’re in jeans and T-shirt doesn’t mean you don’t want a steak and red wine,” says Soul.

Authenticity is evident in the new menu items as well. As part of the rebrand, the moniker “Ocean Prime” now accompanies Rush’s name. “Ocean Prime speaks to our variety of land-to-sea menu items, but it’s also representative of the high quality of our food,” says Soul. “We source out the best possible ingredients – period – and we prepare everything in the most authentic way we know.”

For example, Rush Ocean Prime makes red velvet cake the old-fashioned way – using beets for rich colour, flavour and texture. Even the drinks are made using traditional recipes, such as whiskey sours with real frothy egg whites.

The menu is eclectic and inspired by conversations with Calgarians. “We have appies like half-inch thick bacon, grilled and served with our signature barbecue sauce,” says Soul. “We also have house-made sushi rolls such as smoked beef tartare, braised short rib, lobster and yellowfin tuna.”

In terms of entrées, the 32-ounce Canada Prime porterhouse is perhaps one of the most impressive dishes. “Canada Prime represents less than one per cent of graded beef; it’s the highest grade available in the country,” says Soul. “We also import our lamb from Colorado, which is arguably some of the best in the world.”

With best-in-class cuisine and an authentic dining philosophy, Rush won’t be slowing down any time soon. “Our goal with the evolution of Rush Ocean Prime is longevity,” concludes Soul. “We want to satisfy and surprise the tastebuds of Calgarians for years to come.”

For more information, visit www.rushoceanprime.com.

100, 207 9 Ave. SW. • 403-271-7874 • rushoceanprime.com

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Trico Homes’ Wayne Chiu Donates $3 Million to Bow Valley College On January 22, 2014, Bow Valley College received an unprecedented donation in the amount of $3 million from Calgary businessman and philanthropist Wayne Chiu. Founder and owner of Calgary-based Trico Homes, Chiu was a board member with Bow Valley College for six years until November of 2013 and has long been a supporter of social enterprise and innovation.

In honour of Chiu’s donation, Bow Valley College’s School of Business has been officially renamed the Chiu School of Business. Although the community college has been offering business programming for several years, the School of Business officially opened in September of 2012 and offers Wayne Chiu, founder and owner of Calgary-based Trico Homes. Photo credit Bow Valley College. non-credit continuing education as well as one-year certificates and two-year diplomas in fields ranging from business administration to interior design. nessman that we are able to donate money to the school “I really believe in lifelong learning,” says Chiu. “Because where my passion lies, and at the same time, it makes me I am an entrepreneur and a businessman, I really believe extremely fortunate to be able to give back to the commufor anyone to advance their career or life, they need to be nity in this way.” continually learning.”

According to David Allwright, dean of the School of BusiChiu adds, “It makes me feel really proud as a local business, the donation will allow Bow Valley College to develop

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18 • March 2014 BUSINESS IN CALGARY | businessincalgary.com

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(Left to right): Eleanor Chiu, Wayne Chiu, Sharon Carry (president and CEO, Bow Valley College), David Allwright (dean, Chiu School of Business, Bow Valley College).

Photo credit: Bow Valley College.

some programs and initiatives that will help enrich the student experience.

“We will be able to provide mentorships with industry, providing opportunities to develop the soft skills that students need to be successful in the workplace,” says Allwright.

“It is easy to teach the hard skills and most post-secondary institutions do that well, but the things that allow the students to be successful in the workplace are those soft skills – the motivation, the attitude, the behaviours, the desire, the intuition – all of those things that employers value that are the hardest to teach. They cannot really be taught; they can only be experienced.”

Allwright says that in addition to enhancing the whole learning experience for students, the School of Business will also gain recognition and endorsement from receiving a $3 million donation from one of Calgary’s most respected businessmen.

“A lot of students do go on to other post-secondary insti-

20 • March 2014 BUSINESS IN CALGARY | businessincalgary.com

tutions for degree completion,” explains Allwright. “So this is recognition by somebody who the other post-secondary [institutions] know and respect. It says, ‘Yes, we are doing the kind of job the industry wants.’ Other post-secondary institutions view that endorsement very seriously.”

Established by Chiu in 1992, Trico Homes builds new single and multi-family homes, offering an extensive selection of starter, move-up and semi-estate models in Calgary, Okotoks, Cochrane and Airdrie. While Trico homes has been recognized as one of Calgary’s top builders, their chief executive and founder is also being recognized as a top philanthropist – and one that will be revered at Bow Valley College for years to come.

“This is a fairly major event in the life of any school of business so we are thrilled,” concludes Allwright. “This is a great celebration for us and something that will be cherished for quite some time.” BiC

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Game On – Road Hockey to Conquer Cancer The Alberta Cancer Foundation invests in things that matter to Albertans: earlier detection, better prevention strategies, improved treatment and enhanced quality of care. As part of their commitment to making a difference, they look for events and projects that will make an impact for cancer patients here in Alberta.

With that in mind, they are launching the Alberta Cancer Foundation’s inaugural Road Hockey to Conquer Cancer.

Taking place on Saturday, September 20, 2014 at WinSport’s Canada Olympic Park, Calgary’s first Road Hockey to Conquer Cancer kicks off. Imagine – five exciting games and more than 50 teams coming together for a cause that is so close to so many. With every player united by one common goal to redefine the future for Alberta cancer patients it is sure to make a difference.

Funds raised from this event will be invested in Photo courtesy of the Alberta Cancer Foundation research led by the most motivated scientists across the country – research teams that can accelerate breakthroughs and deliver transformative new treatments to appearances, interactive activities, food and beverages, and Alberta cancer patients through clinical trials. so much more. If you enjoy a challenge, being part of a team This dawn-to-dusk fundraising event features hundreds of and donating your time and effort to an amazing cause, this spirited road hockey games, as well as musical acts, celebrity is the perfect event to attend. BiC

22 • March 2014 BUSINESS IN CALGARY | businessincalgary.com

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3D Cityscapes Collection

30 x 48 The Past is Back - oil on linen

24 x 30 Olympic Plaza - oil on linen. Photos, these two pages, courtesy of Webster Galleries.

[Réal Fournier’s] larger-than-life paintings are sought around the world, yet he chooses to make Calgary home.

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Réal Fournier’s vision oscillates between two worlds: one is found in reality, the other is a blend of intuition and imagination. As an artist, there are few things Fournier is never without: a pair of 3D glasses, a bicycle and small sketchbook tucked into his pocket.

His larger-than-life paintings are sought around the world, yet Fournier chooses to make Calgary home. Last year, while working on a series of hockey portraits, Fournier had a vision and it resulted in a collection of paintings that are unmistakably “Calgary.”

Twenty years ago, Fournier captured Calgary’s homeless people through a series of paintings – feeling mythical, yet steeped in real people and their lives. The paintings came to life through his “Eyes Closed Sketch” method – a method that draws on pure imagination.

Today, Fournier has returned to the city’s core to capture 20 years of evolution. He has discovered a new layer of curves, colours and citizens – amidst the steel, glass and concrete. Fournier captures the details that many people miss.

This time, his eyes are wide open.

Much like the city, Fournier’s style has also evolved and all of his cityscapes are painted in 3D. But his style is still whimsical – even magical … it is his signature.

Young and old move about in the foreground while highrise towers soften and sway in the sunlight.

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24 • March 2014 BUSINESS IN CALGARY | businessincalgary.com

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48 x 30 Dancing on the ice - oil on linen

Fournier captures a movement that is youthful and vibrant. Animals blend into the layers with exacting precision – it’s only when you ‘dig deeper’ the depths start to surface.

“Justice is served at city hall yet there are horses running free in front of the building,” observes Fournier. “Someone plays music on a street corner, your eye catches an outdoor sculpture and there is activity all around – it all represents the city – and I want to be a part of the journey,” he continues.

“Seeing the city in 3D reveals an inner world … a new world,” he notes.

“It’s much harder to paint a city in 3D because you have to work with an existing environment. To paint authentic colours, you have to manipulate the colours – making them recede and advance – depending on the objects and position,” he says.

From the Centre Street Bridge to Olympic Plaza, Réal Fournier has created a new generation of images – preserving both the young and the old landmarks.

Fournier’s collection of 3D cityscapes are on display at Webster Galleries during the month of March. BiC

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ICON Business Park Transforms Foothills Neighbourhood into Bustling Business Centre

Business partners Andrew (left) and Michael Hungerford (right) took invited guests on a tour of the ICON Business Park.

For almost 20 years, the Haworth building was the heart of a thriving corporate campus in southeast Calgary, employing over 600 people in furniture manufacturing. But in 2009, the American company moved the base of its operations back to Michigan, leaving the area devoid of activity.

Then, last summer, Vancouver developer, Hungerford

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C

hange. It comes in all shapes and forms, for various In other words, the CRL creates a new tax base for the city. reasons and is often met with resistance and scepticism.

CMLC is not accessing current tax dollars or the City of Calgary Yet when dedicated and dynamic people champion an tax base to put infrastructure improvements in place within idea, adopt a solid methodology, and garner community and the community. Rather, for a defined period of time CMLC can municipal support, significant things can happen. access funds that are being generated from new development One particular area of Calgary has seen and endured much to put necessary critical infrastructure in place. change since its early beginnings. Once a thriving community The CRL encatchment area includes the Rivers District area that gave birth to downtown Calgary over a century ago, East of Calgary, a 309-acre region in Calgary’s east end; the East Village (EV) has since endured cycles of boom, erosion and Village community is 49 acres of that. unfortunate decline over the generations. Yet it has always told As part of the CRL formula, tax dollars would then continue an important story. to be allocated to CMLC for the duration of the 20-year EV In more recent years, private and grass-root efforts have been project, and would then flow back into the City of Calgary upon made to revitalize the area, but were unsuccessful. Thanks to the completion. vision of many and the fortitude of former mayor Dave Bronconnier With the CRL in place CMLC began the ultimate task of creating and city council, something significant and ingenious happened. a sought-after community, and igniting a movement to downtown In 2007, the Calgary Municipal Land Corporation (CMLC) was living and urban exploration. The project was developed to include created and formalized as a wholly-owned subsidiary of the city. a multitude of condominium buildings, high-end hotel, hybrid Lead by a board of directors (who are accountable to the city shopping experience (which includes both an urban shopping council), CMLC was mandated to execute the Rivers District complex on one site and niche service-oriented retail throughout Revitalization Plan (which includes East Village) by delivering a all other mixed use buildings), featuring restaurants and great Calgary strong. program.

And so East place where Calgary was and founded robust public is infrastructure Thisiswas to beVillage, no small the gathering spaces.

The new Central Library the National feat, given the state of the area, longstanding perceptions and Music Centre would also be showcased. and where the future of downtown living is being built today. the substantial capital investment required.

“The East Village is going to be an exceedingly vibrant and The plan was made possible by an innovative funding revered placeoftoEast live and visit year The forethought, Since 2006, Master Developer CMLC has led the transformation Village, and round. flood-proofing was mechanism called a Community Revitalization Levy (CRL) which considerations and planning that have gone into the entire an integral part of the master plan – in the past five years, we’ve raised the floodplain by up to four feet. required both municipal and provincial approvals. The first of project are unbelievable. An initiative of this size, using a funding That investment offknown this summer: two of major residential projects little the or its kindimportant in Canada, CRL is similar topaid what’s throughout ourmodel this nature is very powerful andsustained will complement no damage, and construction continues.

Our pride at the efforts of our neighbours and our community North America as ‘tax incremental financing’. It’s a mechanism city in ways we have yet to experience,” explains Lyle Edwards, by whichno property tax revenues – which resultto from increased the chairman of thevision board of “We are immensely proud of knows bounds.

Our commitment delivering master plan ofCMLC. the community is intact and assessment of property and development in the how theyou project is evolving andoldest, the accolades andwarmest awards it our resolvevalue is unwavering.

Wenew look forward to welcoming to the newest, coolest, area – are accessed by CMLC to put approved infrastructure has already received. How people see and experience the East neighbourhood in town. improvements in place.

Village will be forever changed for the better.”

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INSPIRING COMMUNITIES TO BUILD, GROW AND BELIEVE. FOR MORE INFORMATION, VISIT CALGARYMLC.CA OR CALL 403.718.0300. east village® is a trademark owned by Calgary Municipal Land Corporation.

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Properties, made headlines with the purchase of the Haworth building, Calgary’s largest manufacturing plant and one of the city’s largest buildings.

The 761,000-square-foot facility sits on 45 acres of land and has been called one of the most beautifully-created office environments in the country.

In February, Hungerford unveiled its plans to redevelop and redesign the building, transforming the site into a bustling business centre once again. At an exclusive media tour and open house at the facility on February 5, partners Michael and Andrew Hungerford took invited guests on a tour of the property, now called ICON Business Park, and discussed how the company plans to revive the area.

“This is considered one of the choicest commercial real estate properties in the city,” says partner, Michael Hungerford. “But it’s been a dormant shell for many years. We’re bringing back the trucks. We’re bringing back the people.

We’re bringing business back.”

New renderings revealed at the ICON open house showed how Hungerford plans to turn the current, state-of-the-art building into a multi-tenanted, commercial and industrial hub offering easy access to air, truck and rail transportation. The building’s strategic location will allow it to take advantage of Calgary’s growing reputation as a logistics hub for Western Canada, and will appeal to manufacturing and logistics enterprises and suburban office tenants. With an

investment of more than $10 million in refurbishment, the property will get a redesign including more than 60 new dock doors, exterior landscaping and customizing the interiors to meet the requirements of new tenants. The building will offer flexible workspace of up to 676,000 square feet in warehousing and 85,000 square feet in office space.

“Hungerford’s renovation repositions the largest block of underutilized industrial space in Calgary,” says Bruce Graham, president and CEO of Calgary Economic Development.

“This vibrant, reimagined space will be a welcoming home to a variety of new businesses in the heart of Calgary’s thriving industrial sector, thanks to the visionary shepherding of Hungerford Properties.”

“We’re excited about breathing new life back into the building and revitalizing what is already an award-winning property by investing in it and making it attractive to businesses who can then, in turn, revitalize the neighbourhood with jobs and business activity,” says partner, Andrew Hungerford. Dubbed “southeast Calgary’s most intelligent workspace,” the building will now offer an unprecedented opportunity to lease award-winning warehouse and class A office space with a unique mix of quality, flexibility and amenities with great transportation access. Former building owner, Haworth, will be the first office tenant and new leasing opportunities in both office and warehousing are available now. BiC

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28 • March 2014 BUSINESS IN CALGARY | businessincalgary.com

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Airdrie: The Booming City Genesis Land Development has been building communities across Alberta for more than 15 years. As the province continues to boom, they’ve focused on key areas, such as the city of Airdrie, to not only build homes but communities.

Airdrie is one of the fastest growing municipalities in Alberta and Canada, with an average annual growth rate of 7.78 per cent over the past five years. The city offers affordable home prices, good schools and easy access to major highways and Calgary’s downtown core. Airdrie is attracting first-time homebuyers looking to live in family-friendly communities with nearby access to goods and services, shops, restaurants and lifestyle amenities.

Reflecting the company’s vision of building a bright and vibrant community is Canals Landing, a residential community nestled into the canals in central Airdrie. This thriving neighbourhood features an abundance of green space with close proximity to golf courses, shopping malls and most importantly, an elementary and new junior high school.

To meet the growing need of affordable housing solutions, Genesis unveiled semi-detached homes that start in the low $300,000s. Buyers will enjoy the value of a semi without having to share common walls as the connections are only between the garages, delivering the benefits of a detached

Showhome in Genesis Land Development’s community of Canals Landing, in Airdrie.

home with the savings offered by smart design. The number of semi-detached homes is increasing in Calgary, but offered at high prices. In Airdrie, Genesis can offer these homes to consumers at affordable prices, not comprising on privacy, space or design. As the city continues to grow, housing options like these will continue to surge in popularity.

Also, contributing to this thriving neighbourhood is Crystal Creek Homes, Genesis Builders Group, McKee Homes and ReidBuilt Homes. BiC

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30 • March 2014 BUSINESS IN CALGARY | businessincalgary.com

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Competition Showcases Top Talent Emerging in the Energy Sector startups pitched for cash and in-kind prizes at inaugural Energy new venture competition Would-be energy sector entrepreneurs and emerging energy tech companies competed for a grand prize worth $25,000 at the inaugural Energy New Venture Competition on January 21, 2014. Finalists had 10 minutes to make their case, Dragons’ Den-style, to a panel of judges consisting of investors from Bluerock Ventures, Schlumberger Technology Corp, Fronterra Ventures, Collins Barrow and Altira Group.

Created by the Hunter Centre for Entrepreneurship and Innovation at the University of Calgary’s Haskayne School of Business and Innovate Calgary, and supported by Cenovus, the competition was designed as a platform to help advance emerging energy technology companies and concepts to the next level.

“We wanted to create an opportunity to help drive Calgary forward as a leader in energy technology and development, giving emerging companies a major hand-up with their ventures,” says Kim Neutens, director of the Hunter Centre for Entrepreneurship and Innovation. “We provided finalists with mentorship from experts in entrepreneurship, innovation, company creation and investment development leading up to the competition as well as the opportunity to pitch for cash prizes and network with potential investors.”

FREDsense Technologies secured the top prize, taking home $15,000 in cash, $10,000 of in-kind services and the

32 • March 2014 BUSINESS IN CALGARY | businessincalgary.com

opportunity to pitch at the PROPEL Energy Tech Forum to more than 100 investors. The company edged-out the competition with their Field-Ready Electrochemical Detector (FRED), a novel electrochemical biosensor allowing for on-site, rapid detection and quantification of toxins in the tailing ponds. Started by a team of University of Calgary students and alumni, FREDsense Technologies hopes their biosensor solutions will be used in water quality monitoring across the oil and gas sector.

“Winning this competition really starts to make things real in the whole process of the startup. We can start reaching our goals for the year, and that is huge,” explains David Lloyd, co-founder, FREDSense. “We’ll be using the money to help develop a prototype, establish connections to take the product forward and file for a full patent.”

Placing second in the competition and pocketing $12,500 in prizes was Luxmux, a company that has developed a technology that enables real-time and accurate steam-quality measurements for in-situ thermal heavy oil productions. ENVrecon took third place and $5,000 in prizes with its software application that automates the process of collecting data for environmental reports, reducing the processing time from a five- to 10-day process to one that takes only five to 10 seconds. BiC

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Entrepreneurship: more than a buzzword • Entrepreneurship

Entrepreneurship: more than a buzzword Entrepreneurship is an attitude and a mindset

By John hardy

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Buchanan Barry LLP is pleased to welcome Rick Laycock and Greg Hesla as new Partners for 2014. Rick returns to Buchanan Barry from another Calgary firm where he practiced for 12 years. Greg joins Buchanan Barry from that same firm and brings with him over 15 years of progressive experience.

Founded in 1960, Buchanan Barry LLP is an established presence in the Calgary business community. We offer audit and assurance, accounting, tax, valuation and advisory services to large and small enterprises, non-profit organizations and individuals. Our client relationships often span decades, reflecting the quality of our informed approach to the professional services we provide. www.buchananbarry.ca

34 • March 2014 BUSINESS IN CALGARY | businessincalgary.com

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ntrepreneurship is not only the latest business buzzword in conventional organizations and a wide range of startup businesses, entrepreneurship is a hot and exciting new business concept.

The newness is that entrepreneurship has caught on, gone mainstream and achieved bona fide legitimacy.

The business world and academia now embrace and value entrepreneurship.

“We may not have called it that until about 10 years ago, when most institutions were offering enterprise MBAs, but the concept has been around for generations,” explains the upbeat and plugged-in Kimberley Neutens, director of the Hunter Centre for Entrepreneurship and Innovation at the Haskayne School of Business.

“It’s basically the process of identifying an opportunity (innovation), what resources are available (human and financial) to bring the product or the service to market.”

No surprise that it has become a much-in-demand and vital component of the business school curriculum.

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new breed of slightly or dramatically different and even alternative business education, especially ones that teach the basics and specifics of entrepreneurship – education that is tapped into everything from startup ecosystems to accessing venture capitalists and startup incubators.

For years, most business schools offered courses or student clubs on the vague and fringe topic of entrepreneurship although it was inevitably a small part of the courses which were designed to teach business students the basics in economics, finance, accounting, marketing and operations, usually getting qualified for specific management roles in existing, large organizations.

Schools had to make significant adjustments, in some cases re-invent themselves, to better serve a rapidly-growing base of gung-ho and aggressive entrepreneurs.

In the last decade or two, there has been a seismic shift in demand for a new breed of slightly or dramatically different and even alternative business education, especially ones that teach the basics and specifics of entrepreneurship – education that is tapped into everything from startup ecosystems to accessing venture capitalists and startup incubators.

Respected business schools – from Calgary’s Haskayne and Chiu School

of Business at Bow Valley College to Schulich, Harvard, Kellogg, Wharton and others – acknowledge the role and impact of entrepreneurship in today’s and tomorrow’s business world.

“Although entrepreneurial aspects are now a routine part of many business courses, we have emphasized ‘experiential learning,’” Neutens points out. “Not just reading about entrepreneurial skills but living them, live. We invite successful Calgary entrepreneurs to come into our classrooms, meet our students and talk openly about their successes and their failures.”

Various aspects of entrepreneurship are already entrenched and expanding as vital parts of contemporary MBA and other business programs. In fact, some business schools are so committed to the potential of entrepreneurship that they have actually begun to offer master of entrepreneurship (MEntr) degrees as an alternative to MBA. There is caution in tempering (not discouraging) the trend and excitement about entrepreneurship.

As some academics, conventional

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businessincalgary.com | BUSINESS IN CALGARY March 2014 • 35

Junior Achievement of Southern Alberta

is proud to recognize the Founding Members of the Economic Futures Council at a special luncheon on April 17, 2014 at the Hyatt Regency Calgary.

John and Cheryl Aldred David A. Bissett Jim Davidson Jack and Joan Donald N. Murray Edwards Richard F. Haskayne Wayne Henuset Sam Kolias Hal Kvisle Alvin Libin Ronald N. Mannix David O’Brien Todd Poland Clayton Riddell JR Shaw Guy Turcotte Mac Van Wielingen Anonymous

To reserve a spot at the luncheon or to join the Council, please contact Junior Achievement of Southern Alberta at 403 781 2582.

Members of the Economic Futures Council, through their participation and generous financial support, are committed to helping youth succeed in a global economy.

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Economic Futures Council 36 • March 2014 BUSINESS IN CALGARY | businessincalgary.com

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Entrepreneurship: more than a buzzword • Entrepreneurship

Kimberley Neutens. Photo by Kai Hochhausen.

There’s consensus that while entrepreneurship is appealing and (for some) the clichéd chance to ‘be your own boss,’ to be an original, to create and cash in on a revolutionary new idea has always been tempting and irresistible, it is not easy. business executives as well as solid, established and successful entrepreneurs point out: entrepreneurship is often misunderstood and misleading.

The stereotypical perception still lingers that entrepreneurs are mavericks, fringe players and gung-ho creative types who buck the system.

Despite celebrated stories about some high-profile examples, not all entrepreneurs can be Jeff Bezos (Amazon), Richard Branson (Virgin everything), Phil Knight (Nike), Clive Beddoe (WestJet) and Howard Schultz (Starbucks).

“TV reality shows like Dragons’ Den and Shark Tank can’t be underestimated,” she shrugs. “They showcase ingenuity, innovation and entrepreneurship.”

There’s consensus that while entrepreneurship is appealing and (for some) the clichéd chance to ‘be your own boss,’ to be an original, to create and cash in on a revolutionary new

idea has always been tempting and irresistible, it is not easy.

As iconic celebrity Dolly Parton consistently says about her stage persona appearance: “It takes a lot of money to look this cheap.”

Neutens cites a recent Haskayne new-student survey done by assistant professor Derek Hassay. “Misconceptions about being an entrepreneur can cause unrealistic expectations. Our survey showed that, at the start of our program, six out of 10 students wanted to open their own business. By graduation, it was one out of 20.

“Reality had set in. It’s challenging and the fact that being an entrepreneur often involves much risk.”

Track records indicate that the hot and current business term “startup” was hatched about 20 years ago, with the launch of the dot-com era. When the dot-com bubble burst, it took a lot of startup casualties, while the business

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Entrepreneurship: more than a buzzword • Entrepreneurship

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38 • March 2014 BUSINESS IN CALGARY | businessincalgary.com

More than a buzzword • Entrepreneurship

There’s so much more to it than launching a new service, developing new technology, a bright idea or what the pros call ‘the plan and

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pitch approach’: market research and writing a business plan to pitch to potential investors.

formula survived and continues, even though not all serious entrepreneurship dreams and plans necessarily involve independent startup businesses. And despite the myth, not all contemporary startups involve cutting-edge technology.

The business world has had an entrepreneurial reality check.

Academics do their practical best to design targeted curriculums and teach that entrepreneurship is “not” management.

There’s so much more to it than launching a new service, developing new technology, a bright idea or what the pros call ‘the plan and pitch approach’: market research and writing a business plan to pitch to potential investors.

“Every business still needs the trinity,” stresses Neutens.

“Technical, marketing and finance.”

Unlike during the hotter-than-hot dot-com craze, today entrepreneurial startups range from tech solutions to products, services and gadgets and the timing for true entrepreneurs couldn’t be better. The world is a now one seamless, single market. Entrepreneurs can (and do) think globally about the opportunity, even if they start ‘local.’

Regardless the trendiness of entrepreneurship, today’s startups are still in the first stages of operations and often (not always) bankrolled by their entrepreneurial founders, as they work hard to capitalize on developing a product or service they passionately believe in and trigger market demand.

Besides, North American startup stats show that about one per cent of all new startups use venture capital. About 90 per cent of today’s successful startups are bootstrap.

Business consultants and analysts warn that, due to limited revenue or high costs, most small-scale startups are not sustainable in the long term without additional funding, invariably from venture capitalists.

Entrepreneurship is conspicuously finding its way into conventional corporations. Large or well-established companies are doing whatever it takes to attract ‘intrapreneurs.’

Budding innovators and entrepreneurs are getting hired to focus on creativity, change management, new product

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Entrepreneurship: more than a buzzword • Entrepreneurship

Shashi Behl, Twisted Goods

Troy Sedgwick, REC Media

Susan & Holly Brattberg, Brattberg Group of Companies.

Photos, this page, by Ewan Nicholson Photography

Some still call it entrepreneurial spirit but many agree that entrepreneurship is an attitude and a mindset. development, entrepreneurial finance, customer-focused design and business development and setting up internal startups – new business divisions that harness the fresh approach of entrepreneurship but sometimes operate at arm’s length from the rest of the existing, structured company.

Entrepreneurship, while it’s being heard and used more and more often, is so very much more than a trendy buzzword.

It is not only transforming what is taught in business schools and impacting contemporary business. Some still call it entrepreneurial spirit but many agree that entrepreneurship is an attitude and a mindset.

“The current generation is not so focused on income as much as impact, making a change and making a difference,” Neutens says.

From legendary entrepreneurs who created Apple, Google and Facebook to closer-to-home – the popular Perogy Boyz,

Cheezy Bizness and other clever and delish Calgary food trucks and the gush of many other dynamic and determined Calgary entrepreneurs.

Like Shashi Behl, who took a chance on a retail store specializing in quirky, original, different but really neat stuff and now boasts five busy and successful Twisted Goods retail stores.

Or Troy Sedgwick and his unique, Calgary-based REC Media ad agency, specializing in selling advertising in community hockey rinks, ice surfaces, arenas, soccer and baseball fields and rec facilities throughout Canada.

Calgary sisters and innovative entrepreneurs Susan and Holly Brattberg, who continue to revolutionize global e-learning.

And the other gung-ho entrepreneurs who have or will soon parlay their entrepreneurial bright idea into a viable business. BiC businessincalgary.com | BUSINESS IN CALGARY March 2014 • 41

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dynamic calgary Entrepreneur • cover

The Hectic but Gung-ho

Life

of a

Dynamic Calgary Entrepreneur Golf courses are an asset-based business, and they’re not making any more land

BY JOHN HARDY Barry Ehlert at the Hamptons Golf Club. Photo by Ewan Nicholson Photography.

W

hile Calgary’s oil and gas industry vigorously tries to reduce its carbon footprint, gung-ho Calgary entrepreneur Barry Ehlert increases his golf shoe print.

After all, what’s more therapeutic in March than to think, talk and read about golf?

While wishful thinking and daydreaming is always good, especially in an area like Calgary with a four- to (maximum) five-month golf season, March is unfortunately too early and premature to think about fun stuff like tee times, new drivers, perfecting swings and hanging out at the 19th hole.

By all rights, browsing a definition of “dynamic” should have a picture of Calgary golf course entrepreneur, Barry Ehlert.

But Wikipedia only has words: “vigorously active or forceful; energetic; continuous change or activity; force of personality, ambition, energy, and new ideas.”

44 • March 2014 BUSINESS IN CALGARY | businessincalgary.com

All appropriate descriptions of Barry Ehlert.

In hard-core corporate detail, Ehlert is the president of Scratch Golf. He shrugs and chuckles that his company is neither high profile or well known. “In fact, it probably doesn’t ring any bells with most people.” Scratch Golf (and Ehlert) are in the business of the golf business and are much better known by their popular Calgary brands than a formal corporate name.

The high-energy and passionate 35-year-old Calgary entrepreneur is owner and managing partner of the Hamptons Golf Club, Springbank Links, Boulder Creek Golf Course, Harvest Hills Golf Course, Silverwing Links, the new 7,585-yard Copithorne Club (which will soon be breaking ground in Springbank), the Wilderness Club in Montana, also manages the Northern Bear Golf Club in Edmonton and he is busy working on a few possible deals he excitedly grins but refuses to talk about.

dynamic calgary Entrepreneur • cover

Top: the Wilderness Club in Montana Bottom left: Boulder Creek Golf Course in Calgary Bottom right: Northern Bear Golf Club in Edmonton

The stereotypes of manicured, rolling green hills dotted with glaring white bunkers, clusters of trees and sprawling, open countrysides spotted with foursomes of casually dressed people, relaxed, walking or bouncing along in a cart, enjoying summer days, good company and celebrating good putts camouflage the demanding, unpredictable and complicated business of golf.

As Canadian golf and golf course stats – and Barry Ehlert’s calendar – solidly prove, being a successful golf course owner and managing partner in the big business of golf is very much a year-round business.

Despite realities and quirky business factors like Canadian winters creating five to eight long months of down time and misleadingly uneventful off-season lulls, Canada still manages to impressively rate as a documented golf hot spot with more than 2,400 places (from driving ranges to public and

private courses) where the sacred seasonal game is played.

A remarkable business performance, considering that in just about six or so months of actual play, the business of golf accounts for some $12 billion of Canada’s gross domestic product (GDP) and – seasonal or not – Canadian golf operations are a major employer, involving some 342,000 jobs.

Last year, from balmy Victoria to cold and long-winter places like Newfoundland, Edmonton and Calgary, 5.7 million Canadians played over 70 million rounds of golf.

Detailed business data comparisons show that – even comparing to the mega-hyped popularity of golf in the U.S. – Canadian golfers are a determined bunch and the numbers show that Canada has (by far) the largest per capita golf participation rate in the world.

This time of year – at least a month or more before actually slipping into the shoes and stashing the bulky bag businessincalgary.com | BUSINESS IN CALGARY March 2014 • 45

dynamic calgary Entrepreneur • cover

Top: Springbank Links Bottom left: Silverwing Links Bottom right: Hamptons Golf Club

permanently in the trunk (just in case) or lining up tee shots and replacing divots – it’s all about the business of golf.

The negotiations, business plans, dealmaking, meetings, and prepping and more planning; yield management strategies for revenue expectations; sales strategies to optimize facility usage by pitching for Calgary banquets, seminars, team building and corporate days, and wedding receptions; and staff training on merchandise, retail selling and stock level management.

And before Barry Ehlert knows it, he will be crunching daily, weekly and monthly Hamptons, Springbank, Boulder Creek, Harvest Hills and Silverwing numbers, making visits in the mud as Copithorne takes shape this spring and crossing fingers and hoping for perfect sunny days and rain only at night.

By the time Calgary golfers are happily into the season, grunting about their swing and celebrating amazing putts, Ehlert will still be juggling 12-15 hour days of meetings, endless cellphone sessions, negotiations and managing the short- and long-term golf and non-golf business matters of his popular Calgary area golf properties.

“The golf business is a passion. I genuinely love it,” he says with infectious, trademark enthusiasm. “Sounds crazy but it’s kind of a sexy, exciting and fun business to be in. It’s a business that’s all about being with people, people enjoying themselves and having a good time. And there is a lot of business done on a golf course.

“If the goal is solely profit, golf is the wrong business.

46 • March 2014 BUSINESS IN CALGARY | businessincalgary.com

There are much higher profit-yield businesses. Golf courses are not cash-flow valued,” he explains. “Owning and managing golf courses is demanding but very, very rewarding.

“Golf courses are definitely niche businesses and assetbased businesses. If managed efficiently, owning and operating golf courses is a strong business and a great way to make a living, in the long run.

“Hey! Cliché or not,” Ehlert snaps with keen business savvy laced with a sharp wit, “they are NOT making any more land.”

Like CEOs of conventional businesses, golf course owner/ operators like Barry Ehlert are not likely to talk openly about budgets, revenues or expenses.

“It’s cheaper to buy a golf course than build one,” he grunts a laugh, without a hint of ongoing deals or divulging any property acquisition strategy. “One thing is for sure. It is getting much easier to acquire golf courses than it has been.”

Without Calgary specifics and strictly according to North American industry stats, the cost of owning and operating just one, 18-hole golf course facility depends on various key business factors like: location; seasonal or year-round; private, semi-private or public; number of staff/payroll; marketing; maintenance and capital expenses; membership or annual revenue figures; the viability of club facilities for non-golf event use (like weddings, meetings and conferences); and the extent of the club’s food and beverage operations can easily set operating costs from $600,000 into millions of dollars a year.

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dynamic calgary Entrepreneur • cover

Barry discusses upcoming plans with Kevin Heise, general manager of Springbank Links Golf Club. Photo by Ewan Nicholson Photography.

Professional groups like the National Golf Course Owners Association of Canada (NGCOA), a not-for-profit trade association providing business support to Canadian golf course operators, explains and underscores that no matter how complex or simple the business plan, balance sheets and actual performance – from six digits or into the doubledigit millions – the basics of the golf course business mostly (not exclusively) come down to rounds played.

Aside from the detailed business and operational plans and budgets, the simplified formula is straightforward: [# rounds played] X [$ per golfer] for greens fees, carts, food and beverage and merchandise.

It’s the make it or break it factor for the business of golf.

Any extras or bonuses, like facility rentals for special events, are additional revenues.

The golf business – from Calgary’s Hamptons or Springbank Links to Florida and Palm Springs – is vibrant but dealing with typical business factors like increasing costs, razor-thin margins and (unique to the business of golf) the weather and trend-reliant factors that impact total rounds played.

The industry is unanimous. Now more than ever, business savvy and efficient management of golf courses is the key.

And Barry Ehlert’s approach is proving to be a Calgary template and Midas touch.

“I have grown up in the golf course business and learning 48 • March 2014 BUSINESS IN CALGARY | businessincalgary.com

the golf course business. I am fortunate to be third generation, always in Calgary, working in the business.

“Things have changed and continue to change so quickly.

As crazy as it sounds,” he smiles and cringes, “our core business is not golf. It’s entertainment. We’re competing for people’s recreational spending with the Flames, the Stampeders, restaurants, movies and more.

“We have created a successful niche business here in Calgary and owning multiple courses actually makes the management potential more effective. We have a foundation, an infrastructure and it allows us to centralize many of our management functions, like marketing, accounting and bookkeeping systems, as well as developing good revenue streams and new concepts at all properties. Operations are, of course, specific and individual to each course,” Ehlert points out.

“It’s not only a matter of increasing revenues and cost savings but efficiency. Besides, owning a single course can have many unknowns. Owning and managing multiple courses can be challenging but definitely has its advantages.”

Barry Ehlert is supercharged, focused, bold (not brash) but also candid and introspective.

“At the beginning I had a tough time acknowledging one big obstacle to business success: thinking I can do everything and do it better than anyone else. I was reluctant to

dynamic calgary Entrepreneur • cover

Barry and his wife Kathy with their children (left to right) Macy, Myles, Tommy and Kyla. Photo by Ewan Nicholson Photography.

delegate and I didn’t trust people. In my mind I was sure I was doing things better. I was wrong. I was just doing things differently, not necessarily better.

“Now I have more than 400 staff and they are terrific. I trust them, I rely on them and I can only hope my energy and enthusiasm rubs off on them. It’s crucially important that they not only feel empowered but that they enjoy what they do.”

Despite admitting to “living out of a laptop” and being on his cellphone for most of his 12- to 15-hour Calgary workdays, Ehlert is a tireless, focused and self-confessed multi-tasker who also works hard at maintaining balance in his gung-ho life.

“I can’t fight it. I’m an entrepreneur at heart. I work hard at being strategic and creative but it rarely stops. I can’t turn it off so easily,” he says with mellow sentiment. “I’m definitely an evening type. It’s when the emails and phone calls stop – but I don’t.

“I think and make notes about deals I’m negotiating, about creative marketing possibilities or how we could utilize that 30,000-square-foot clubhouse asset smarter and better. Maybe pitch it at the upcoming bridal show.”

Ehlert good-naturedly bristles and abruptly denies being a workaholic.

“Of course we keep growing and building on our success.

There’s always more to be done and better ways to do it. Part

of the problem is that it’s really not work, it’s my life,” he says with conviction. “And I am determined to keep it prioritized, because there are four important aspects to my life.

“Family is absolutely number one. My immediate family is four terrific kids (one, three, five and 11) and a remarkable wife. Being home to put the kids to bed is unconditionally top priority. And my parents, my three sisters, one brother and 30 nieces and nephews are an extremely close family and we have such good times together.

“Then church,” he continues the short list. “Then the Dallas Cowboys” – a hobby/ passion Ehlert acquired early in his career, after getting his business degree in entrepreneurship and briefly working in the furniture business in Texas. “The Cowboys are a very important part of my life.

“And then the golf courses.”

So as Barry Ehlert keeps his hectic business-of-golf pace, readying to clinch more deals and, together with his 400 Calgary staffers, anxiously waits for the end of Calgary winter and the Hamptons, Springbank, Boulder Creek, Harvest Hills and Silverwing turf to properly dry out and be playable, waiting for the legals and the permits so the dozers can start on the new Copithorne course, he does have a dream: “To one day work for or volunteer for the Dallas Cowboys.

Even as a water boy!” BiC

businessincalgary.com | BUSINESS IN CALGARY March 2014 • 49

alberta: Upgraded • Energy

3D Refinery Model

Alberta: Upgraded Everything you wanted to know about the north West redwater Partnership’s refinery in sturgeon County

BY NERISSA MCNAUGHTON

T

here is something big going on in Alberta’s heartland. Alberta has built several upgraders in the past, but the Surgeon refinery is the first in approximately 30 years.

With new technology and the introduction of several green processes, the refinery is poised to be a triumph in Alberta’s energy sector. Yet, this multi-year, multi-billion dollar project is not without its challenges, or its misconceptions. Following is what you should know about the project and its anticipated impact on a local and national scale.

Who is involved?

The North West Redwater Partnership (NWR) is comprised of North West Upgrading Inc. (NWU) and Canadian Natural Resources Limited (CNRL).

Both organizations have a 50 per cent stake in the partnership.

NWR has and will continue to employ a variety of contactors for the many different process areas of the first phase of the project. To date, most of the contracts have been for jobs related to mass earthworks, deep undergrounds, nonprocess buildings, pipelines, and site

infrastructure. Notable contractors for this work include Voice Construction, PCL, CCI, Willbros and Taurus Site Services. Contracts are currently being awarded for engineering, procurement and construction of the various process units.

Don’t Call it an Upgrader For many, the project is simply known as the “Redwater Upgrader.”

The term upgrader, however, is misleading. Doug Bertsch, vice president with the North West Redwater Partnership (NWR) explains, “An upgrader

businessincalgary.com | BUSINESS IN CALGARY March 2014 • 53

alberta: Upgraded • Energy

NWR will capture 1.2 million tonnes of CO2 per year from Phase 1 of the refinery, equivalent to taking approximately 300,000 cars off the road.

The refinery will also minimize its fresh water use with the use of leading water treatment technologies, allowing maximized water recycling within the process, and maximizing air cooling for process needs. converts bitumen into synthetic crude oil that in turn becomes the feedstock for a refinery which converts synthetic into diesel. The NWR Sturgeon Refinery converts bitumen directly into ultra-low sulfur diesel, which is the highest value product that can be made from bitumen.”

How Will the nWr sturgeon refinery impact albertans?

Ian MacGregor, chairman and CEO of North West Upgrading (NWU) explains the long-term economic impact, “A refinery like this lasts for 100 years.

You have to keep replacing and building new things, but the economic

activity lasts for a very long time. [We expect the facility to generate] more than $3 trillion of economic activity in Alberta over its life. One small example of why it’s good for Alberta to have these types of facilities here is property taxes; we will pay will pay about $2 billion in property taxes over its life.” Obviously, the economic benefits of converting bitumen are a lot more than property taxes.

As Bertsch points out, the value to Alberta extends deep into the landscape – literally. “By using the most environmentally conscious processes to minimize waste and emissions, NWR will set the environmental gold standard and demonstrate to the world that Albertans can be environmen-

54 • March 2014 BUSINESS IN CALGARY | businessincalgary.com

tally responsible stewards of the oil sands resource, ensuring its sustainable development. The single-step, bitumen-to-diesel process will move bitumen as high up the value chain as possible, significantly enhancing the economic return to Alberta’s economy.

To illustrate, if the NWR Sturgeon Refinery had been operational last year, the Government of Alberta would have benefited by an additional $500 million over shipping raw bitumen.

That additional economic activity keeps the value here and the taxes and additional revenue can help to pay for schools, health care, and other things that Albertans need. Transferring this economic activity down the pipe just doesn’t make sense for Alberta.

Alberta: Upgraded • Energy

“Although the Sturgeon Refinery is being constructed in Alberta, a significant amount of the project capital will be spent procuring materials and services from other provinces. The socio-economic benefits to Albertans and Canadians from the construction and expected long operational life of the Sturgeon Refinery will be many billions of dollars.”

The NWR Sturgeon Refinery Is Eco-Friendly “The single-step bitumen to diesel process being used by NWR maximizes the conversion of the bitumen resource and minimizes waste or low value products such as coke. The process produces a high-purity CO2 stream that is a feedstock for downstream industries,” explains Bertsch. “Because we capture high-purity CO2 stream from the gasifier (about two-thirds of the CO2 from the facility) the diesel fuel produced will meet low-carbon

fuel standards. NWR will capture 1.2 million tonnes of CO2 per year from Phase 1 of the refinery, equivalent to taking approximately 300,000 cars off the road. The refinery will also minimize its fresh water use with the use of leading water treatment technologies, allowing maximized water recycling within the process, and maximizing air cooling for process needs.”

MacGregor agrees, “Gasification means we don’t consume natural gas.

We convert the bottom of the barrel that is pretty much worthless into high-value hydrogen. Our process is a really environmentally friendly solution to bitumen production. If you do what we do, our bitumen feedstock goes from being one of the worst from CO2 to the best.” MacGregor continues, “Making diesel here in Alberta will avoid the annual shortages that have become a regular part of life. By them making 40,000 barrels a day in phase one, we will solve the problem.”

Money is an Issue Any project of this size runs the risk of overshooting the financial contingency, and the NWR Sturgeon Refinery is no exception. But as MacGregor states with a laugh, “Our costs have gone up a lot. We’ve been working on this for 10 years. There is always someone squawking somewhere!” What he means is that there is always opposition when the media breaks news about the increased costs of the refinery. However, these costs are not reported in line with the overall project scope.

In admitting the project is over budget, MacGregor continues, “Both CNRL and the province have provided more support, approximately $300 million each as a loan. That caused some squawking because it’s a big cost, but it is $300 million in an $8 billion project. People aren’t focusing on the margins. It’s easy to focus on costs and ignore revenues, but

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alberta: Upgraded • Energy

For MacGregor, the benefits that get overlooked include job creation.

There are 1,000 – 1,500 working on the project right now and when field construction starts, that number will approximate 5,000. it makes sense to look at both at the same time. [For example], we tendered on an Alberta Government initiative called bitumen-royalty-in-kind. We won the tender and that resulted in a contract to process 37,500 barrels/ day of royalty bitumen. When we tendered, the margin was about $10 per barrel. In the last year, it’s been averaging $50/barrel. The province receives that extra revenue.”

For MacGregor, the benefits that get overlooked include job creation.

There are 1,000 – 1,500 working on the project right now and when field construction starts, that number will approximate 5,000. “This project is close to Edmonton; you can work at this site and sleep in your own bed at night,” MacGregor explains that if the subsequent two phases of the project are built, jobs will be created that can run for more than 10 years. “It’s the

people in Edmonton who will do this.

We are not bringing in a big transitory work force and putting them in a camp. We’ll be working with people that can go home at night and see their kids in the morning.

albertans are Excited about the refinery Reg Curren, with media relations for Cenovus Energy Inc., states that despite Cenovus’ decision to invest in refineries closer to their main markets in the United States, “Overall we view the addition of upgrading capacity in Alberta as a positive move for the entire oil sands industry.”

Bertsch, who points out that NWR is an active participant in regional community advisory panels, economic development groups and multi-stakeholder environmental initiatives is pleased to say, “Our experience is that

56 • March 2014 BUSINESS IN CALGARY | businessincalgary.com

the general public welcomes NWR’s responsible approach to building this refinery. The consistent theme is one of welcome and excitement for the opportunities created by this project.”

the Decisions of today affect alberta’s Future The NWR Redwater Upgrader is a large part of Alberta’s future as an energy-centred economic powerhouse.

“It’s true, Alberta is an expensive to build it,” concludes MacGregor, “but it’s expensive because the revenue is here. It’s not smart to transfer benefits or jobs to other locations like the Gulf Coast. I really believe we shouldn’t be selling our raw materials of any sort to foreign nationals. We should be processing them here and selling finished products to whomever wants them. It’s difficult, but worthwhile.” BiC

solid: calgary’s Market • Commercial Real Estate

SOLID: Calgary’s Commercial Real Estate Market

Calgary is well on its way to earning the ranking of an international market

BY ParkEr Grant

C

ommercial real estate in Calgary isn’t exactly the cliché of apples and oranges but it’s close.

Commercial real estate in Calgary is virtually one industry with four distinctly different divisions. And the ups and downs, the highs and lows, the performance results, the impacting influences and the focus of the professionals, rarely, if ever, overlap.

Although most Calgary-based commercial real estate professionals have expertise in all aspects of the commercial real estate market, even they consider it as four distinctly different portfolios: industrial, office, retail and investment.

The situations are distinctly different. The supply and demand are different. The rates, terms and market factors are different. And, most importantly, the wants and needs of the clients are entirely different.

Calgary’s industrial clients have drastically different needs and space requirements than office tenants. Retail clients are in a special commercial real estate category of their own. And the strategy of Calgary real estate investors is also unique.

In any given period, in any of the four commercial real estate categories, it could be a weak market, a lull, a stable market or a growing, strong and boom market. Each specific market situation – at any given time – depends on many variables.

Photo courtesy of Colliers International

businessincalgary.com | BUSINESS IN CALGARY March 2014 • 57

solid: calgary’s Market • Commercial Real Estate

Photo courtesy of Colliers International

industry but oilfield services, warehouse, transportation and distribution businesses.

A strong leasing market keeps industrial vacancy levels low and the availability of large parcels of developable land in most areas continues to provide industrial real estate clients with plenty of availability and good choices.

Recent commercial real estate numbers show that Calgary has now officially surpassed Toronto as the biggest office development market in the country. Due primarily (no longer exclusively) to the oil and gas industry and the emergence of the city’s high-tech, financial, environmental and professional services sectors, Calgary has more head offices than any other Canadian city, except Toronto.

“Office space fluctuates the most,” Thompson says. “Absolute premium AA space vacancy, predominantly downtown, is below the Calgary average, under three per cent. Most of the downtown and suburban vacancy is A, B and C class space.”

“In some ways, 2013 was a soft year for Calgary office space. More space came on the market than is being absorbed. A big part of the problem is the oilpatch, still Calgary’s dominant sector. It has slowed considerably but there are high hopes for an upswing and a pipeline decision,” according the Greg Kwong, executive vice-president and regional managing director of CBRE in Calgary.

The crunched numbers show that the overall (AA, A and B) office vacancy rate in Calgary was 7.8 per cent at the end of 2013, up from 6.6 per cent at the end of last year.

The prime, downtown office market had a 6.1 per cent vacancy rate for year-end 2013, up from five per cent the year before.

“All indicators are that 2014 will be a stronger year. Nothing like the glory days of 2007 and 2012 but a good year,” Kwong Greg Kwong, executive vice-president and regional managing offers the positive and professional hunch. director of CBRE in Calgary

Overall, Canadian and Alberta stats and sources agree that Calgary’s commercial real estate market is solid, despite (from the 2008 jolt, the natural gas price crunch to anxiously waiting for a Keystone verdict) weathering a bumpy eight years of national, provincial and global economic challenges.

“In most of Calgary’s commercial real estate (industrial, office and retail) sectors, there is a consistent, five to eight per cent vacancy rate. The industry calls that a basically ‘balanced market’ and that’s a healthy place to be,” is the upbeat positivity from Susan Thompson, business development manager, real estate and location, with Calgary Economic Development.

“It gives the market space to breathe, grow and expand.

It’s kind of a golden zone for us.”

The industrial sector details tell a similar, encouraging and good story.

Calgary’s industrial real estate sector is hot and getting hotter (some are actually concerned about land shortages in certain locations) from not only Calgary’s oil and gas

Susan Thompson, Business Development Manager, Real Estate & Location with Calgary Economic Development

58 • March 2014 BUSINESS IN CALGARY | businessincalgary.com

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solid: calgary’s Market • Commercial Real Estate

Rendering (above) and current development site (below) for the Walmart at East Hills, along 17th Ave SE. Photo and rendering courtesy of Urban Systems.

“Industrial leasing factors are vitally important and give Calgary a significant edge…

It’s why Walmart and Target are strategically taking even more industrial real estate space in Calgary.” ~ Paul Marsden

As a generalized pattern, the downtown core office market tends to target and draw mainly ‘large tenants’ that need sprawling (100,000 - 200,000 square feet) office space, while prices and smaller square footage needs are keeping the suburban markets like Quarry Park and others, strong and growing.

“Calgary is still very much a downtown-centric office real estate market,” Kwong says from experience. As examples, he cites traditional office space areas like around Bankers Hall and good, new supply and demand in areas like Eau Claire.

There are some new and trendy office areas like Kensington and a few others populated by lawyers, ad agencies, architects and small high-tech startups but, aside from being nice and eclectic, Kwong explains, they simply don’t have the size of space many companies require.

In Calgary’s office real estate market, anything less than 100,000 square feet is often considered insignificant but Kwong touches on a quirky, generational aspect to the supply and demand of contemporary office space.

“When I started in the business, some 30 years ago, office 60 • March 2014 BUSINESS IN CALGARY | businessincalgary.com

staff measured success and rank by having a private office and the size of the office mattered. The current office generation is changing all that. Only presidents and CEO still expect 400- to 500-square-foot corner offices.

“Today’s office demographics don’t want to be enclosed in a confining little office. They are comfortable but space conscious. And more and more offices encourage and offer telecommuting with fewer people working ‘in the office.’

“The trend is definitely to cubicles,” he observes, “which ultimately factors out for the company to need less office space.”

Calgary continues to be a magnet for institutional investors like REITS, pension funds and public companies, as well as private investors who are attracted to Calgary’s commercial real estate products, often thanks to Alberta’s low corporate tax rates and the extra break of no provincial sales tax.

Although investors gravitate to Calgary’s office real estate sector, they also continue to show confidence and invest heavily in Calgary’s industrial and retail markets.

The city’s retail real estate market is in a category and league of its own.

solid: calgary’s Market • Commercial Real Estate

Professional Development

Paul Marsden, vice president / partner - industrial sales and leasing with Colliers International

Mostly as a result of Calgary’s enviably high employment and income levels, and the 36.6 average age being in the potent demographic range for retailers, the retail sector has grown steadily over the past 10 or so years.

The good (retail) news? Not only do many Canadian chains often have several Calgary locations but the city continues to draw more and more U.S. retailers.

The bad news? Calgary’s retail attractiveness is causing a slight retail real estate drought with a lack of desirable, suitable and good retail space, especially in the northwest and southwest.

Commercial real estate experts and clients agree. Calgary’s industrial real estate market is booming.

The positive momentum of Calgary’s industrial real estate situation is spurred primarily by stability and growth, especially among the key industrial real estate clients in the warehouse, transportation, distribution and manufacturing sectors, and most usually need expansive space.

A unique bonus is that, unlike most other Canadian cities, Calgary is not limited by a lack of industrial land. A strong leasing market keeps vacancy levels low while the availability of large parcels of developable land ensures a steady source of new supply.

“The Calgary numbers show that 2013 was a very good year for industrial space and activity for 2014 is

already strong. There’s about 2.5 million square feet of tenants looking for industrial space in Calgary,” says a confident and buoyant Paul Marsden, vice president and partner, industrial sales and leasing, with Colliers International.

“A key driver of industrial space is consumer confidence. When consumer confidence is strong, the demand for warehousing, distribution and manufacturing space increases,” Marsden explains.

“Calgary is already considered a major Canadian distribution centre.

The city’s geographic location is also a major factor for industrial real estate.

One of the industry’s criteria is the ability to reach a desired population base (by truck or rail) within a 10-hour range.”

Also, in industry lingo, Calgary is considered an “inland port,” with loads coming from a ship (in Vancouver) by rail, direct to the Calgary warehouse.

“Industrial leasing factors like that are vitally important and give Calgary a significant edge. It’s why businesses giants like Lowe’s and Nordstrom are consolidating warehouse facilities from other markets in Calgary and why Walmart and Target are strategically taking even more industrial real estate space in Calgary,” Marsden says with enthusiasm and a hint of pride.

The news is also good when it comes to “new space” for Calgary.

According to Statistics Canada, investment in non-residential building construction topped $973 million in the core area in the fourth quarter of 2013, and the positivity further shows that the amount was a 3.4 per cent year-over-year gain.

The national trend fares nearly as well as Calgary, with investment jumping to $12.9 billion in the fourth quarter, up by only 1.3 per cent from the same quarter the year before.

Calgary’s commercial (industrial, office, retail and investment) real estate numbers are the true indicators that Calgary is well on its way to earning the ranking of – an international market. BiC

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businessincalgary.com | BUSINESS IN CALGARY March 2014 • 61

Condominiums are on the Rise Real estate in our city continues to be robust and tightening inventory in the single-family resale market is good news for condominium owners and developers

BY HEATHER RAMSAY

The downtown condominium development of Keynote, located at 1st Street SE and 12th Avenue SE. Photo by Cher Compton.

62 • March 2014 BUSINESS IN CALGARY | businessincalgary.com

condominiums are on the rise • Real Estate

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esidential real estate in Calgary is big business and condominium living continues to gain popularity.

In addition to location and access to amenities, ease of maintenance and enhanced security, affordability is the primary factor as to why more Calgarians are moving into this market.

Overall housing sales and pricing in 2013 exceeded expectations, with stronger gains in the second half of the year. Ongoing net migration and improved economic outlook were direct contributors to the momentum that pushed sales volumes up by 11 per cent. That equated to a 7.9 per cent increase in the average benchmark price.

As pricing began to creep and inventory continued to tighten in the single-family market, more and more people turned to condominium apartments and town houses as they offered more affordable options and lifestyle choices.

In 2013 the combined condo sector contributed to 30.6 per cent of the resale housing market, totalling 7,187 units sold.

Ann-Marie Lurie, chief economist with CREB, says the trend is anticipated to continue, although not likely at the same rates as last year. “We have seen high net migration over the past two consecutive years as well as employment growth and overall improvement in the economy. There are a limited number of affordable single-family properties

As pricing began to creep and inventory continued to tighten in the single-family market, more and more people turned to condominium apartments and town houses as they offered more affordable options and lifestyle choices.

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businessincalgary.com | BUSINESS IN CALGARY March 2014 • 63

condominiums are on the rise • Real Estate

Revitalization in East Village will add dynamic living, shopping, dining and entertainment to the spirit of Calgary. Rendering courtesy of Calgary Municipal Land Corporation.Illustration of VERVE project by Fram+Slokker.

“There is certainly incentive to living in the core and on the market, which has prompted greater activity in the growing interest in higher-end condominiums. It is also condo markets. It has also prompted increased sales in comnoteworthy that loft living continues to be popular and more munities surrounding the city.” and more people are opting for nicer condos and foregoing This year, industry experts anticipate further gains in vehicles, and therefore parking spaces. When you live and condominiums, as the need for product continues to rise work in the core, everything is within walking distance, and and long-term lending rates increase. “Pricing has yet to Car2Go is there when needed,” says Gwillim. fully recover in the condo market, as we’re still six per cent As projects continue to develop and new buildings reach below the peak,” says Lurie. “Year to date, we have seen a up into the skyline, there are even more nine per cent price increase on a typioptions for great places to live. The cal property and it is likely pricing will downtown core has and will always continue to climb.” remain popular, the beltline offers a During the peak in July of 2007, different flavour, and revitalized centhe average benchmark price for a tres such as East Village add dynamic condo apartment hit $296,700 and living, shopping, dining and entertaina condo town house hit $331,800. In ment to the spirit of Calgary. contrast, the average benchmark price Another area to watch for in the of a condo apartment and a condo coming few years is 10th Avenue, as town house in December 2013 were plans for a new commercial tower, $278,600 and $307,100 respectively. high-end hotel and other retail locaIt is projected that key areas, espetions come on stream. “It is exciting to cially within the inner city, will see see Calgary start to make a thoughtful ongoing demand for quality residentransition from being ultra conservatial properties. Joel Gwillim, real estate tive to modestly contemporary. There is agent with CIR Realty, specializes in so much personality in this city. No condominium sales and explains that wonder it’s a destination for Calgarians the activity in resale as well as new as well as visitors,” says Gwillim. BiC properties is encouraging.

Joel Gwillim, real estate agent with CIR Realty 64 • March 2014 BUSINESS IN CALGARY | businessincalgary.com

condominiums are on the rise • Real Estate

Forecast Summary ~ 2013 vs. 2014 Forecasts Economic Indicators

2013 Forecast

2014 Forecast

Calgary GDP Growth . . . . . . . . . . . . 3.35% . . . . . . . . . . . . 3.68% Calgary Net Migration . . . . . . . . . . . 19,067 . . . . . . . . . . . 15,000 Calgary Employment Growth . . . . . 2.80% . . . . . . . . . . . . 3.12% Average Residential Mortgage Lending Rate 5 Year . . . . . . . . . . . . 4.07 . . . . . . . . . . . . . 4.88 MLS Resale Market

2013 Forecast

2014 Forecast

Change

Single Family Sales . . . . . . . . . . . . .16,302. . . . . . . . . . . . 16,693 . . . . . . . . . . .2.4% Price Growth . . . . . . . . . . . . . . .7.85% . . . . . . . . . . . . 3.8% Condo Apartment Sales . . . . . . . . .4,007. . . . . . . . . . . . . 4,207 . . . . . . . . . . . .5.0% Price Growth . . . . . . . . . . . . . . .8.72% . . . . . . . . . . . . 5.8% Condo Townhouse Sales . . . . . . . .3,180. . . . . . . . . . . . . 3,434 . . . . . . . . . . . .8.0% Price Growth . . . . . . . . . . . . . . .6.32% . . . . . . . . . . . . 4.75% crEB® 2014 EconoMic oUtlook & rEgional MarkEt ForEcast

businessincalgary.com | BUSINESS IN CALGARY March 2014 • 65

Renos as a Solid Investment • Construction/Renovation

RENOS AS A SOLID INVESTMENT From dazzling kitchens and hardwood to energy-efficient plumbing and lighting, renos have a solid ROI

BY JOHN HARDY

66 • March 2014 BUSINESS IN CALGARY | businessincalgary.com

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enos are a national trend. In Calgary, design, architectural and construction renos are hotter than hot.

From the cosmetic, ‘beauty stuff’ like ripping out worn carpets and installing dazzling hardwood floors, quartz counters and sinks, oversized and fancy stand-alone tubs, steam showers and other touches to transform a basic bathroom into a luxurious ensuite spa; gutting a tired, old kitchen and installing stunning cabinets, stainless steel appliances and a large granite countertop island; to knocking out walls to make small rooms bigger and transforming a cramped, 40-year-old living room, dining room and kitchen layout into one open family room area.

The recent Scotiabank Home Renovation Poll underscores that 2014 promises to be a good year for the remodelling and home improvement industries.

The surveys says: the most common reasons for renos are (45 per cent) adding comfort and enjoyment to a home, (22 per cent) increasing value and (19 per cent) due to necessary repairs.

In some Calgary areas, last year’s flood resulted in some renos that are still ongoing.

Other recent real estate and reno tracking suggests other reasons why people are opting for major home makeovers versus moving, such as sustainability factors

Renos as a Solid Investment • Construction/Renovation

– making the home energy-expense efficient or environmentally friendly both in terms of contemporary lifestyles and boosting resale values in an increasingly green-conscious real estate market.

There’s also the proven social trend of “aging in place” with the 60-plus baby boomer age group opting to live carefree and happily ever after in their 30- to 60-year-old, mortgage-free homes.

“Our national survey resoundingly shows that over 70 per cent of Canadians see their homes as a good investment,” says David Stafford, Scotiabank’s managing director of real estate secured lending.

“For the past three years, reno plans have been consistently trending upward. This year, 65 per cent of Canadian homeowners (63 per cent of Alberta homeowners) say they plan to renovate.”

He points out that although the report is detailed facts and information about current reno trends, the bank is also in the savings and lending business and it comes as very good news that a majority of Canadians are investing in their homes.

According to the most recent Central Mortgage and Housing Corporation (CMHC) stats, renovation spending in Alberta is about $6.5 billion.

Whatever the reason for the reno momentum, Calgary area architectural and interior designers and contractors are busier than ever.

“The rough times of 2008 are more and more a distant memory and people again have faith in the economy,” is the positivity from respected Calgary designer-builder Lynn Donaldson at Lynn Donaldson Associates. “There is a definite increase in business and especially homeowners choosing major renovations.”

The volume of the demand for renos and the kinds of things people want are a telltale reflection of changing times and different priorities.

Calgary designer-builder Lynn Donaldson of Lynn Donaldson Associates

“Now, more than ever, reno decisions are lifestyle driven,” she cites from 25 years of Calgary design, construction and reno experience. “From the start of a reno construction project, we assess both the physical structure of the house and the family’s individual lifestyle. Then we design and reallocate space to suit their lifestyle.

“The traditional house layouts of the 1950s and 1960s, with choppy, small rooms are long gone. Today, people want to live in homes with fewer but larger open spaces and rooms. Opening up the space of the living room, dining room and the kitchen and creating one large and open family room is very popular.”

Aside from individual motivation for choosing a major reno or construction project and despite dazzling pictures in magazines, experts agree that people thinking about renos and additions have varying degrees of carefully thought out, Internet-researched or sometimes just impulsive ideas and wish lists.

“Some people have great intentions and they are gung-ho – not practical or realistic – about what they want and what

“For the past three years, reno plans have been consistently trending upward.

This year, 65 per cent of Canadian homeowners (63 per cent of Alberta homeowners) say they plan to renovate.” ~ David Stafford

David Stafford, Scotiabank’s managing director of real estate secured lending

businessincalgary.com | BUSINESS IN CALGARY March 2014 • 67

WORKFORCE WHIZZES

Matrix Labour Leasing Ltd. the source for skilled staff

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orn and raised in Rexton, New Brunswick, Shannon Warren moved to Vancouver in the late 1990s to work as a house framer. A few years later, in the early 2000s, he relocated to Calgary for something the city is famous for – job opportunities. Today, job opportunities form the framework of Warren’s business, Matrix Labour Leasing Ltd., a full-service human resource company.

Founded in 2002, Matrix grew from the ground up. Warren was working on the Southern Alberta Institute of Technology (SAIT) Heritage Hall project when his employer asked him to source more local carpenters. “Having lived in Calgary for a couple of years at that time, I knew a few guys,” says Warren. “When the workers I recruited came on to the project, the company asked me to handle the billing for their hours.” It was a new experience for Warren, but it didn’t take him long to recognize the need for such a service for other construction companies. “It just made sense to turn the concept into a business,” he adds.

Nearly 12 years later, Matrix is a trusted source of skilled trades for firms across Canada. The company has connected workers and contractors for iconic projects such as the West LRT Calgary transit line, the southeast leg of the Calgary Ring Road, and the BHP Jansen potash project in Saskatchewan.

Matrix takes care of human resource matters from end to end, including payroll, workers compensation management, wage negotiation and benefits. “Our business model is very appealing to clients,” says Warren. “They may not have time to worry about HR details for large or concurrent projects.”

While Matrix primarily focuses on the construction industry, the company plans to expand into the prolific Alberta oil and gas sector. “We are fully set up to service oil and gas clients,” Warren explains. “We have tried-and-true quality controls in place to ensure the employees we send to clients meet their exact needs.”

Matrix’s internal database includes more than 10,000 skilled tradespeople. For new workers, Matrix handles background checks, safety training, and whatever else employees need to perfectly match clients’ requirements. “We are big on safety, training and technology,” says Warren. “Workers can come to us and find job opportunities and education in one place.” Matrix is innovative in its approach to attracting and retaining the very best staff, offering incentives such as RRSP programs and tuition reimbursements through Merit Contractors Association.

The company celebrated a milestone year in 2013, ranking on both The Fast Growth 50 and PROFIT 500 lists of fastest-growing companies. To top it off, Warren was named one of Business in Calgary’s Leaders of Tomorrow for 2013. Even the company’s office space grew, with a move to brand new headquarters.

Matrix has stayed true to its Calgary roots, hosting an annual Stampede party for 11 years running. In 2013, the company turned the soiree into a fundraiser for the Children’s Wish Foundation, raising more than $10,000. “Ten thousand dollars is about the cost of granting one child a wish through the foundation, so we set that as our goal,” says Warren. The company also hosts regular fundraisers during the winter holiday season.

“It’s our corporate culture I’m most proud of,” concludes Warren. “We look after our clients and our workers, and we give back to our city too.”

For more information, please visit www.matrixlabourleasing.com or contact Shannon Warren, President & CEO, at 403.201.9520 x 202.

Renos as a Solid Investment • Construction/Renovation [title] • [section]

“Some people have great intentions and they are gung-ho – not practical or realistic – about what they want and what is possible in terms of the work, the materials and how much it will cost. Sometimes they are misled and deluded

by American reality TV. Their expectations are way off about what’s doable and especially about real timeframes and actual costs.” ~ John Haddon John Haddon of John Haddon Design

is possible in terms of the work, the materials and how much it will cost,” according to Calgary’s John Haddon of John Haddon Design, who has been creating spectacular Calgary custom homes, renovations and additions for 30 years.

“Sometimes they are misled and deluded by American reality TV. Their expectations are way off about what’s doable and especially about real timeframes and actual costs.

Photo courtesy of RDM Interiors Ltd.

70 • March 2014 BUSINESS IN CALGARY | businessincalgary.com

“I try to politely explain that we get jaded because so much of the work and materials shown on those TV shows is promotional or donated,” he explains.

“I’m an architectural designer and I know ‘the bones’ of a house. Whether it’s knocking down bearing walls to create a fabulous grand room or changing the style and size of windows – some choices make sense and some don’t.”

Although many Calgary makeovers and renos are major projects that involve transforming roof lines, elaborate additions, window retrofits and precast concrete trimmed entranceways, Calgary’s reno wish list is mostly consistent with the national trend.

According to the Scotiabank report, bathroom makeovers top the wish list of home renos (38 per cent), then kitchens (33 per cent), structural and outdoor renos (26 per cent) and basements (24 per cent).

The report also notes that 84 per cent of those planning renovations in the next 12 months will hire a professional.

And the survey results echo John Haddon’s opinion about reno expectations. More than 35 per cent of the inspiration for real-life home renos is from TV programs. The rest from family, friends, magazines and big reno supply stores.

Whether a complex exterior or structural reno – involving trusses, studding, build-outs or even a solarium, interior designs and renos like creating spacious open areas or decor touches like showcase kitchens and spa-like bathrooms – specific Calgary reno projects, details, specs and style preferences can also be interesting reflections of what’s in, what’s out, contemporary trends and even demographics.

“Continuous and one type of flooring is popular,” says experienced interior designer and seasoned Calgary real estate professional Rod MacDonald at RDM Interiors. “Everybody is moving away from wall-to-wall carpeting and wants hardwood, even throughout the kitchen and engineered floors in the basement. It makes the area look bigger.”

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Renos as a Solid Investment • Construction/Renovation

Most architectural, construction and interior design experts share a resounding consensus about the definite and undisputable ‘green factor’ impacting many contemporary reno projects. walls. There’s a long-term payback, not MacDonald and other Calgary-based only for resale value but in energy cost interior design professionals agree savings and lowering the operating about other contemporary decor trends. costs of their home.”

Consumer choices and demand indiCalgary’s Lynn Donaldson agrees. cates that closet renos are hot. Whether a “Green has become a bit of an overused reno or buying a house, people want more buzzword. We prefer energy efficiency spacious closets. For walls, taupes and or sustainability. When the reno is greys are still vogue but lighter shades being done anyway, it only makes sense than a few years ago. The raised panel to include options like R-factors and cabinet doors of stunning kitchens are upgraded insulation, water conservation giving way to simple but luxurious slab with low-volume toilets, energy-efficabinet doors with modern hardware. cient light fixtures and appliances.

The granite countertop rage may be “It’s not necessarily more expensive. cooling off a bit because granite has Besides, the payback is guaranteed!” become so common and it’s no longer From major additions, creating a special. There may be a shift to the new Interior designer and Calgary real estate professional Rod Macdonald at RDM Interiors spacious, open grand room to luxucaesarstone, occasionally (pricey and riously decadent spa ensuites, the fragile) quartz and even some new arborites. balance of the year will have many Calgary renos on the go.

“Age groups are definitely a factor when it comes to For various reasons, mostly the terrifically Internet-informed interior design and decor,” MacDonald explains. “Espeand savvy homeowner and consumer, it’s no longer about cially when it comes to furniture, lighting and accessories. matching throw cushions and paint colours.

Younger clients tend to be more trend-conscious but they Today’s informed-consumer research reinforces the point are also from a more disposable society. They don’t care if it that a contemporary house is more than just four walls and will be out of style in five years. They will just go out and a roof. It’s a complex system of different components that get a new one.” interact and impact overall home performance, the longevMost architectural, construction and interior design ity of materials (from roof shingles and windows to flooring experts share a resounding consensus about the definite and and faucets), energy costs and the health, safety and enjoyundisputable ‘green factor’ impacting many contemporary ment of the people living in it. reno projects.

The building industry has long recognized the imporThe Scotiabank poll finds that 65 per cent of reno clients tance of “the house as a system” domino concept – that are likely to consider green renos and 70 per cent are likely changes to one part of the system will affect other systems to consider them even if they are more costly than nonand eventually the entire house. green renos.

That temperature distribution, ventilation, humidity and Surveying Alberta homeowners also charts that 55 per moisture levels (mould and mildew), rate of deterioration of cent are convinced that green reno choices will lower the building materials, the building envelope air-tightness, the operating costs of their home in the long run, 53 per cent efficiency of heating and air conditioning (HVAC) equipment, agree that it will increase the value of their home and 82 per structural integrity, drainage patterns and more, matters. cent are likely to go green with major reno details such as Calgary reno and construction professionals work with an solar heating and insulation and would also choose green integrated, house-as-a-system (HAAS) approach, so renovaproducts – like ultra-low flush toilets and LED lighting – for tions in one area won’t create problems somewhere else. smaller reno jobs.

New high-efficiency windows won’t prevent condensation Scotiabank’s Stafford underscores the popularity of green problems if your furnace airflow is inadequate, the humidireno choices. “If you’re doing a reno anyway, consider varifier is adjusted incorrectly or your kitchen’s range vent was ous aspects behind the walls – energy-saving options like not installed correctly. Proper drainage and run-off has been lighting, heating and ventilation systems. altered by renos like additions and decks and is not keep“Replacing windows used to be the biggest energy saver. ing outside moisture away from the house. Just two random Today it’s ventilation, insulation, lighting, heating and water.” examples of the intricate HAAS logic.

He also makes a case for proven and legit renovation ROI. When it comes to Calgary renos 2014... it’s the new normal. BiC “People are paying more attention to what’s behind the 72 • March 2014 BUSINESS IN CALGARY | businessincalgary.com

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2014 • Calgary Auto and Truck Show

2014 CALGARY INTERNATIONAL AUTO AND TRUCK SHOW ALL PHOTOS COURTESY OF CALGARY MOTOR DEALERS ASSOCIATION

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popular annual event, the Calgary International Auto and Truck Show is being held March 12-16, 2014 at the BMO Centre, Stampede Park.

The year 2013 saw a record 1.74 million in Canadian auto sales. Forecasts for Alberta 2014 automotive sales see this trend continuing and that translates to a competitive automotive buying climate for consumers.

The Calgary International Auto and Truck Show is one of the largest exhibitions of new cars and trucks in Western Canada and it gives consumers the perfect opportunity to check out the absolute latest in automotive technology.

74 • March 2014 BUSINESS IN CALGARY | businessincalgary.com

Highlights from the 2013 Calgary International Auto and Truck Show.

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2014 • Calgary Auto and Truck Show

Highlights from the 2013 Calgary International Auto and Truck Show.

This year marks the 34th year for this event and promises to offer something for any automotive enthusiast. More than 300 vehicles of new domestic and imported cars and trucks will be on display.

For those leaning towards the luxurious, come down and see the 2014 Bentley GT V8 S that just debuted in North America at the Detroit Auto Show or the Lincoln MKZ. For those looking to see something more exotic, visit the IP Lotus Evora, the Ferrari F12 or check out the 2014 Aston Martin Vanquish Coupe that was used on Top Gear and Jay Leno’s Garage. For those interested in the ultimate in speed, be sure to see the Red Bull Infiniti F1. The all-new 2015 Ford F-150 with its nearly all aluminum construction will also be on display. There really will be something for everyone, no matter what automotive taste.

The Calgary International Auto and Truck Show has partnered once again with the Calgary Herald and Calgary Sun 76 • March 2014 BUSINESS IN CALGARY | businessincalgary.com

for two new car giveaways. Mazda and Toyota are the generous sponsors for this year’s contest.

In addition to the countless hours and funds that Calgary dealers put toward different charities throughout the year, the Calgary International Auto and Truck Show donates the majority of all proceeds from the show to local charities.

As well, the funds raised at the Vehicles and Violins Gala are awarded to committee-selected charities that this year includes the Canadian Cancer Society, Inn from the Cold and KidSport Calgary. This year marks the 15th anniversary of the gala – an event that has raised over $2.5 million since its inception.

Tickets for the Auto Show can be purchased at the door, through kiosks at the BMO Centre, online or at local Safeway stores. Follow the Calgary International Auto and Truck Show on Twitter, Facebook or their website for more details and exciting announcements. BiC

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Official Nomination Form

Go Online to www.businessinCalgary.com/lot Submissions Directions: Please complete the application in its entirety. Send the form via fax to 403.264.3276; or scan and email to leaders@businessincalgary.com Eligibility: All nominees must own, be a partner, CEO, or President of a private or public company, and be

a primary stakeholder responsible for the recent performance of the company. In addition, the nominee’s company must be Calgary and area based and have been in existence for a minimum of three years.

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Page 1 - Will Calgary’s Office Markets Land Softly or Continue to Push Ahead?

Page 4 - What is Work Anyway?

Page 6 - BOMA Insider Page 8 - On the Ground at YYC

NEWS SPRING 2014

Sandy McNair

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Will Calgary’s Office Markets Land Softly or Continue to Push Ahead?

ooking at the history of Calgary’s real estate markets provides valuable perspective as we anticipate our future. Calgary’s office markets experienced a hard landing in 1982. On a single Friday afternoon, the architectural firm I worked for received news from four different clients that each of their 50-storey office towers were now cancelled. But by then it was already too late for a soft landing. As the 60-year completions

chart shows (Figure 1), more than 20 million square feet of office space had been completed in the previous five years (1978-1982). This compares to a very similar amount, 22.6 million square feet of office space that had been, or will be, completed in the much longer 11-year period from 2007-2018.

Unlike today, the office inventory in the late ’70s and early ’80s was growing faster than the economy

1

BOMA Calgary News

BOMA Calgary News is a co-publication of BOMA Calgary and Business in Calgary.

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Communications Committee Chair - Leah Stewart, Sizeland Evans Interior Design Bobbi Joan O’Neil, Business in Calgary Giovanni Worsley, MNP LLP Jay de Nance, Fairfield Commercial Real Estate Kim Bogner, 20 Vic Management Rita Reid, First Capital Realty Roger Hanks, Skyline Roofing Lia Robinson, BOMA Calgary

Board of Directors

CHAIR Ken Dixon, ATCO Group SECRETARY TREASURER Chris Nasim, GWL Realty Advisors PAST CHAIR Chris Howard, Avison Young Real Estate PRESIDENT & CSO William G. R. Partridge, CAE, BOMA Calgary

or the population of office workers could grow. As the inventory growth chart shows (Figure 2), inventory growth rates in the late ’70s ranged from 10 to 20 per cent or more. The economy, the population and the pool of office workers could not grow that fast and, as a result, the Calgary office markets experienced a very hard landing. Interest rates that spiked at 21 per cent, oil prices that failed to reach the anticipated $60 and bad energy policy from Ottawa made matters worse.

The office inventory growth rate in the current cycle of roughly 2.5 to 3.5 per cent is very close to actual economic growth rates, actual population growth rates and the office worker growth rates that Calgary has experienced during the past decade.

The outlook, however, is less clear. The wind is no longer at our collective backs. Even though the longer-term outlook for energy is positive, the global declines and subsequent muted rebounds in business and consumer confidence, economic activity and access to capital are being felt in Calgary’s office markets, too. Leasing activity has slowed as some energy firms’ plans to grow and invest are delayed or scaled back. Yet, some energy firms are continuing to invest billions in expansion projects.

Calgary’s energy firms and their suppliers have assembled and invested in uniquely talented people, so letting huge numbers of them go would be both painful and expensive.

Looking ahead, many different scenarios are possible. As only a reference point we have generated one scenario focused on downtown Calgary. This scenario assumes no incremental demand: that all the commitments to lease that are in place are honoured; the buildings that are currently under construction are completed; that the tenants respect the forward leasing commitments they have made and move out of their existing space and into new space; and that there is no new growth or reduction in demand for space, effectively everyone simply trades places. Figure 3 shows the total vacant rate for the downtown

Directors

Fred Edwards, Servpro Cleaning Steve Weston, Brookfield Properties Marjorie Cone, H & R Property Management Ltd. Robert Brazzell, Altus Group Corrine Jackman, Hopewell Real Estate Services Cam Gresko, Cadillac Fairview Dustin Engel, Alberta Infrastructure Richard Morden, Bentall Kennedy (Canada) LP Lee Thiessen, MNP LLP Loy Sullivan, 20 VIC Management Jay de Nance, Fairfield Commercial Real Estate Pearl Madryga, Sun Life Assurance Company

The Building Owners and Managers Association of Calgary publishes BOMA Calgary News quarterly. For advertising rates and information contact Business in Calgary.

Publication of advertising should not be deemed as endorsement by BOMA Calgary. The publisher reserves the right in its sole and absolute discretion to reject any advertising at any time submitted by any party. Material contained herein does not necessarily reflect the opinion of BOMA Calgary, its members or its staff. © 2014 by BOMA Calgary.

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Calgary office market rising from its current level of 4.5 to 6.4 per cent by the end of 2014, increasing again to 9.4 per cent in 2015 and 2016, and continuing to rise to 12.6 per cent in 2017 and then to 15.3 per cent in 2018.

While the overall vacancy rate is important there are other factors to consider. First, there are several different office markets within Calgary.

Downtown, beltline and suburbs all have distinct features and drivers.

However, within downtown the options for tenants vary by size of space – small, mid-size, large and very large tenants have very different choices.

The number of appropriate choices matters. Second, the velocity in the leasing market can affect pricing as much, or more than, the vacancy rate.

A market that completes a lease transaction each week will have different pricing than a market that completes only one leasing transaction a quarter.

While most landlords benefit from a tight market, as it softens, the pain will not be felt equally.

When we compare today to the mid-1980s a few key differences add perspective: a) inventory growth rates are more modest and closer to actual growth in demand for space; b) better market information leading to better decisions; c) lower vacancy and availability rates today; d) stronger landlords and in many cases stronger tenants; e) capital budgets are in many cases being scaled back, not eliminated; f) the energy industry is now better able to focus on production and technology efficiencies rather than exploration risks; g) better alignment of goals nationally and internationally and an apparent willingness for government and industry to take positive action.

So while there are still lots of risks and room for significant positive and negative surprises, I see an environment where better managers, better strategies and better buildings will outperform the rest of the market. •

Figure 1

Figure 2

Figure 3

SANDY MCNAIR IS PRESIDENT OF ALTUS INSITE, CANADA’S LEADING PROVIDER OF MARKET DATA AND PERSPECTIVE TO THE COMMERCIAL REAL ESTATE INDUSTRY. FOR MORE INFORMATION VISIT WWW.ALTUSINSITE.COM.

3

President’s Report

By William G.R. Partridge, CAE

What is Work Anyway?

President & Chief Staff Officer

A

s a business person who travels a reasonable amount, I am sometimes amazed at how we have progressed with our communications tools.

And having just returned from our national governance meetings, I am still fresh with the realization that I could do just about everything I needed to do work-wise with my portable technology devices. And then I reminded myself how technology changes our world – how we work, where we work and quite possibly what work is

4

– and how this dynamic might influence the commercial real estate sector in the years ahead.

As I see it, there are two principal drivers of this change: the evolution of technology itself and of its capabilities; and secondly, the generational influence that determines how people use the technology.

The Swedish technology firm Ericsson has completed a survey that suggests by the year 2020 – that is six years from now – there will be 50 billion connected devices in the world. So how do we come to terms with how these connected devices will change the way we work, learn and communicate?

Such a degree of connectivity suggests that the future focus of IT, human resources and real estate must collaborate and create a shared vision for the corporate workspace to address the desire of people from multiple generations and their ability to work when and where they need to work.

This is important as the trends reported in multiple surveys strongly suggest that workplace flexibility will evolve from a simple perk to a norm and a corporate culture imperative. Those companies that have made a decision to embrace workplace flexibility have seen tangible business results from making workspace innovation a strategic priority. Improved worker productivity and reduced real estate costs – $10 to $15 million annually for American Express – are clear advantages. Another company, Aetna, has 47 per cent of its workforce employed remotely and shed 2.7 million square feet of office space, realizing $78 million in savings. It is significant for them and significant for the real estate sector.

In the hospitality sector, Marriott’s Workspace on Demand allows anyone to book “office” space in the hotel lobby as easily as they can book a room for overnight stays not only increasing the place where work can be done, but virtually eliminating “downtime” associated with business travel.

As I see it, there are two principal drivers of this change: the evolution of technology itself and of its capabilities; and secondly, the

generational influence that

Soon airlines will have Wi-Fi as a standard amenity (some U.S. airlines already provide it) and it will be possible to utilize that time in the air in more productive ways.

Our industry, just as our corporate culture, is evolving quickly and in significant ways that will force the industry to adapt to these changes. Now is the time for us to have the discussion and to consider the ways to adapt to the future industry drivers. •

determines how people use the technology.

Real estate investment expertise for every possible future As fiduciaries, we safeguard our clients’ interests and assets through every turn of the real estate cycle by leveraging our extensive build-to-core capability and our transaction volume capacity.

From 2004 to 2013, Bentall Kennedy has:

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View our most recent developments and transactions at bentallkennedy.com

5

BOMA Insider Excellence Awards Co-Title Sponsor

Ken Dixon, chair-elect and Bill Partridge, president, present the BOMA BESt Level 3 Recertification for Western Canadian Place to Suzy Mah, David Middleton and Robin Needham, all GWL Realty Advisors.

Ken Dixon, presents Dundee Realty Management Corp. team with their BOMA BESt Certificates for 606 Fourth, Level 3 and 441 5 Ave SW at Level 2.

Caroline Newton, Cadillac Fairview accepts the BOMA BESt Level 2 Certificate for Market Mall

The GWL Realty Advisors team for First Canadian Centre receive their BOMA BESt Level 3 Certificate.

The Arcturus Realty team accepts their BOMA BESt Level 3 Certificate for 639 5 Ave SW.

The Dundee Realty Management Corp. team accepts the BOMA BESt Level 3 Certificate for 444 Seventh, Level 2 Certificate for Northland Building & Park at Fish Creek and Level 1 for Westview Building and Horton Park A, B & C

The GWL Realty Advisors team accepts the Level 4 Recertification for Gulf Canada Square.

6

Golf Classic Co-Title Sponsor

Carmel Smetschka and Steve Walton, Golf Committee co-chairs present the ENMAX BOMA Golf Classic donation to The BOMA Calgary Foundation.

Ken Dixon, ATCO Group and Bill Partridge thank Boaz Shilmover, ARTE Group for his three years as BOMA Calgary Corporate Partner.

The BOMA Calgary Foundation presents a $15,000 donation to Canadian Red Cross for Alberta Flood Relief.

Western Canada’s leading janitorial and maintenance service provider Preston Manning addresses BOMA Calgary members at the January 49th Annual General Meeting

Everyday

We’re doing it right...

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The BOMA team (L-R) Bill Partridge, Aydan Aslan, Lloyd Suchet, Lia Robinson, Ashley Grennier and Liz Krill at the BOMA Christmas Luncheon

www.SerVantage.ca 7

On the Ground at YYC

By David Parker

T

hose who can remember just what our international airport looked like when the Calgary Airport Authority assumed responsibility for its operations and expansion in July of 1992 must be amazed at its growth. To those of us who remember walking out onto the tarmac to climb the steps into a plane at the old terminal located at the end of Aviation Blvd., it’s just a big “WOW – who’d a thought.”

Like Topsy it seems to never stop growing and there is a lot more to come; the 10-year plan calls for another 700 acres of aviation, industry and recreational development.

The authority has done a magnificent job in managing the controlled, physical growth of the airport lands, but what is just as exciting to me is the economic impact – and the prestige – it has brought to this city.

YYC is busy.

Consider that 14 million passengers per year use the facility and it employs more than 24,000 people, helping to provide an economic impact in the area of $6 billion annually.

There’s lots of construction going on today with the two big ones being the new north/south runway and the new International Facilities Project.

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The $620-million runway – that is 14,000 feet long and 200 feet wide and capable of handling the world’s largest aircraft – will be operational in June. A huge job that required some 260,000 cubic metres of concrete, 500,000 square metres of gravel and required the installation of over 5,000 runway and taxiway lights.

An easier construction project to follow by passengers has been the new international terminal that will rise five levels above the ground to the south of the current airport terminal.

Scheduled to be in service by the fall of next year, its peak on-site workforce sits at 1,600. As a green building it can boast of 660 kilometres of in-floor radiant heating tubes, cogeneration will save almost 5,000 tonnes of CO2 per year and 10 million litres of rainwater will be harvested and recycled annually.

It will provide 22 additional aircraft gates and 300 more airport hotel rooms on its north end.

But there’s lots more development underway within airport lands.

A new 125,000-square-foot air cargo facility has been built and is already fully leased in the Deerfoot north area and plans are to replicate it on an adjacent site.

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Construction at the Calgary Airport. Photo by Ewan Nicholson Photography.

The northwest is also where Sunwest Aviation opened its new Aero Court location with three contemporary departure lounges and

parking for over 600 vehicles. Next door is the home of Million Air with plans for three hangars and a classy FBO (Fixed-Base Operations)

Thank you Wayne Chiu Wayne Chiu brings a brand of leadership in the business sector and community that is equal parts 21st century innovation and classic Calgary.

Along with wife and business partner Eleanor, Wayne has grown Trico Homes and the Trico Charitable Foundation into major successes for both their business and community achievements.

We thank them for their longtime and generous support of Bow Valley College.

In honour of this record of leadership we are proud to introduce the newly named Bow Valley College Chiu School of Business.

Chiu School of Business

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building. Two 40,000-square-foot hangars are built and fully leased.

North West Geomatics is in an adjoining free-standing building and a new Acclaim Hotel on the far northwest corner of the airport overlooking Deerfoot Trail is to be built offering 105 rooms and a restaurant in Phase 1.

Over on the south side fronting onto McKnight Blvd., at Aviation Blvd., Atlas Development is well underway with its commercial developments where the drive-thru portion of a McDonald’s is open.

And to the east of the Art Smith Aero Centre, Norcal Group is building Airways Crossing; an 88,000-squarefoot facility to accommodate 18 bay units.

I see as much activity at the airport as I see in many cities, but there is much more happening on lands surrounding YYC. Oxford, Melcor, Hopewell, Enright, Trinity, and WAM are some of the developers that will benefit in being close to the airport, the Queen Elizabeth II Highway and Stoney Trail.

And with 96th Avenue NE now open over the Deerfoot to Airport Trail, I expect the city to begin looking at its stalled Aurora Business Park in Harvest Hills again. •

Drawing on three decades of experience Written by Mary Savage

The Pinnacle Group team at the design studio in Calgary, with their fleet of company vehicles.

Photo by Mary Savage.

P

aul Klassen grew up swinging a hammer; something he’d learned from his father. In fact, by the age of nine, he landed his first construction job under his father’s tutelage – reroofing his grandfather’s house.

Klassen could have pursued another field, but he found his passion in construction and by the time he was 23, he had his journeyman’s ticket in one hand and a newly established custom home company in the other. He was full of ambition and drive, and he knew he could achieve whatever he desired.

Fast-forward three decades later, Klassen is still in the business, running the highly successful Pinnacle Group of Companies. However, he has traded in his tools for a tablet and now focuses his time on marketing and business development.

Pinnacle’s progress has been a combination of many influences: insight gained from the honest feedback gathered from every client upon project completion by a third-party survey firm; Klassen’s involvement founding the Calgary chapter of RenoMark™ – dedicated to providing Calgary consumers with honest and ethical renovation companies; establishing long-term trade partnerships that share in Pinnacle’s goal of providing an unparalleled cus-

tomer experience; and Klassen’s own personal growth that has most certainly influenced Pinnacle’s vision.

It was Klassen’s quintessential ‘aha’ moment on New Year’s Eve 2000 that definitively redefined Pinnacle’s design process and validated Klassen’s own motivation for continuing the business. It was the realization that he could actually change the way a family lives and interacts within their home and ultimately support and encourage healthy family relationships.

Enter Pinnacle’s DNA process.

The Pinnacle Group has a very distinct approach when it comes to renovating or building a custom home; their philosophy is based on the principle of “creating homes for life.” This ideology is rooted in the concept that each space in a home should be an authentic representation of the client family, designed to complement each family member’s unique present and future lifestyle needs.

This methodology begins with an in-depth dialogue to reveal how the client family wants to use their home, what’s important to them and evaluates their present and future needs.

The result is the uncovering of the family’s DNA: their Design requirements and their Needs both in Alignment.

Pinnacle Group of Companies | 30th Anniversary | 1

222 -35 Ave N.E. Calgary,Alberta t2e 2k4 222 -35 Ave N.E. Calgary,Alberta t2e 2k4

“When you think about the home being the favourite place for a family, surprisingly for many it’s not. It’s simply not set up that way and in order to change that, you need to understand the family’s ‘DNA,’� expresses Paul Klassen, City Pinnacle Group of Companies, founder and CEO. to complete “The DNA means really understanding your customer’s needs,� asserts Klassen. “We focus on the family first: what they need and how they interact, both today and in the future. We affect people’s lives and support the family nucleus by building better spaces, and in doing so, we create HONOURS & AWARDS homes that foster a sense of wholeness, safety, relaxation and support.�

Pinnacle continues to raise the bar and is the only RenoMark™ Renovator to guarantee their clients start date,

completion date and cost, known as the Pinnacle SCC Guarantee™. In 2011, their efforts were recognized when they won the BBB Ethics Award; the only renovator to ever receive this accreditation.

Today when Klassen looks at the company that he has spent his entire life building, shaping and growing, a few adjectives come to mind, “Pinnacle Group is passionate, an industry leader, intuitive and original,� he notes.

Ave N.E. Calgary,Alberta t2e 2k4 After spending a lifetime222in-35 the industry, there is one thing Klassen still enjoys tremendously: turning over the keys upon project completion. “If we can impact one family, in one neighbourhood, in one community, what kind of ripple effect will that have in the long run?â€? he asks with a hint of excitement. •

YEAR-ROUND YEAR-ROUND LANDSCAPING LANDSCAPING INC. INC. YEAR-ROUND YEAR-ROUND LANDSCAPING LANDSCAPING INC. INC.

YEAR-ROUND YEAR-ROUND LANDSCAPING LANDSCAPING INC. INC.

Congratulations to Pinnacle Group!

Wishing you many more decades of success.

Congratulations to Paul and the Pinnacle Group!

We wish you continued success.

CALGARY,CALGARY, AB T2E 2K4 AB T2E 2K4 CALGARY, AB T2E 2K4

www.digilife.ca CMYK CMYK CMYK CMYK CMYK CMYK

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10510 46 Street SE

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Calgary, AB 403-238-1100

www.pacificstone.ca

Congratulations to the team at Pinnacle!

Congratulations, Pinnacle Group!

Proud to be working with you, and we wish you continued success in the years ahead.

403.620.6542 %D\ 6W 6 ( &DOJDU\ $OEHUWD 7 & * Van Go Artisans (Calgary) Inc. congratulates 3KRQH &HOO )D[

Paul and THE PINNACLE GROUP www.prestigerailings.com 2777 Hopewell Place, NE Calgary | sales@prestigerailings.com 403.250.1020 | Toll free: 1.800.382.8502

on many successful years in business, fulfilling the home renovation dreams of many Calgarians. It has been a pleasure working with you making those dreams come true.

As always, your high standards and ethical approach to the home renovation industry has set the standard. We wish you continued success.

Pinnacle Group of Companies | 30th Anniversary | 2

It started with a conversation …

A glimpse inside two case studies uncover smart, insightful and highly functional solutions.

Case Study: Spec Home Turned Spectacular Overview This client family bought the house because of its location within the estate community of Bearspaw and their desire for an acreage lifestyle.

However, they wanted to transform what was originally a builder spec house into a contemporary, tailored home that enriches their family’s lifestyle for years to come.

Criteria • Convert a builder spec house into a custom home with curb appeal appropriate for an estate Visit Gallery 30 at PinnacleRenovations.ca for the entire Before/After Gallery acreage community. a raised ceiling and unique accent ceiling tray and grid, • Increase the square footage to support this famintegrating the previously purchased light fixture. The ily’s present and future needs. second storey is now a dedicated space for their sons’ bed• Move the master bedroom to the main floor to enable a rooms, bathrooms and study-loft, offering both a retreat lifetime of living. and future study space through high school and beyond.

• Designate a separate floor and study area for their two An expansive mud room was developed to support acrepreteen sons. age living from the yard and garage entrances and a • Create a ceiling enhancement inspired by the dining room uniquely designed and beautifully furnished front foyer light fixture purchased by the client three years prior. welcomes visiting guests and family alike. As well, the How was The Criteria Met? previously detached single-car garage was torn down and Through the intensive Design Discovery process, The K C M Y K C M Y K C M Y K C M Y K C M Y K C M Y K C M Y K C M Y K C M Y K C M Y K C M Y K C M Y K C M Y K C M Y K C M Y K C M Y K C M Y K C M Y K replaced C M Y K C M Y K Cwith M Y K C MaY Kthree-car C M Y K C M Y K C attached M Y K C M Y K C Mgarage.

YK CMYK CM Y K C Muniversal YK CMYK CMYK CMYK CMYK MYK CMYK CMYK CMYK CMYK CMYK CMYK CMYK CMYK CMYK CMYK CMYK CMYK CMYK CMYK CMYK CMYK CMYK CMYK CMYK CMYK CMYK CMYK CMYK CMYK CMYK CMYK CMYK CMYK CMYK CMYK CMYK they were able to determine this client family’s specific design initiative with the location of the master bedroom requirements of their renovation. This two-storey home on the main floor ensures this is a ‘forever home.’ Every was gutted to the studs adding 800 sq. ft. to the main design detail in this stunning makeover perfectly complefloor; this accommodated the main-level master bedroom ments this client family’s lifestyle and truly accomplished as well as a larger open-concept kitchen. The additional their wish to have a home designed to evolve with the square footage also afforded a dining alcove that features family’s changing needs for a lifetime of living!

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403.477.3810 www.DistinctHVAC.ca

Congratulations to Paul and the Pinnacle Group!

Pinnacle Group of Companies | 30th Anniversary | 3

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CMYK

Case Study: Second-Generation Home Gets Revitalized Overview This second-generation walkout bungalow held many fond memories for the client family who desired to modernize the home and create an open-concept floor plan that would support the integration of future lifestyle requirements. Aging-in-place was identified as a priority during the Design Discovery process. The result was a total transformation that required a complete “gut to the studs” makeover with every wall relocated.

Criteria • Create a design rooted in timeless tradition with a hint of vintage.

• Incorporate aging-in-place design initiatives.

• Open up site lines.

• Reduce the carbon footprint of the home.

How Was the Criteria Met? Essential to this universal design was an open-concept main floor plan that would accommodate all future living needs. The sunken foyer was raised to one level and various features were incorporated: widened doorways, curbless showers, wiring for future intercoms and rough-ins for wheelchair lifts. The kitchen was doubled in size providing full sight lines from the dining area into the kitchen. The stairwell to the lower level was

Visit Gallery 24 at PinnacleRenovations.ca for the entire Before/After Gallery

opened up with an open railing system and a doublesided fireplace was added in the master and living room.

The carbon footprint of this aged home was reduced by thickening outside walls and replacing windows, attic insulation, and the furnace and hot-water tanks. The end result was an innovative, custom-designed living space that better reflects the client’s current and future lifestyle needs, at the same time preserving the exterior integrity found in homes located in the esteemed neighbourhood of Willow Park.

www.pinnaclerenovations.ca | 403.720.8789

Congratulations to Pinnacle Group!

403-248-0037 | service@4starelectric.com

www.4starelectric.com

Pinnacle Group of Companies | 30th Anniversary | 4

Sunik Roofing Continues Legacy of Leadership

25

th

at Anniversary

By Shelly Brimble

C

algary-based Sunik Roofing has been building a business based on introducing innovations and becoming a leader in the slope-roofing sector which is a formula for success as they celebrate their 25th anniversary.

Founder and president, Nick Sims, began roofing in the 1970s in the United States where he learned and developed innovations that were years ahead of practices used in Calgary. There he built his skill foundation by running roofing crews and learning the operational tools for success.

Upon returning to Calgary, Nick envisioned a new career path, but his background soon drew him back to roofing. So in 1987 he opened Sunik Enterprises with his wife, Sue Sims, creating a name that combined theirs. Together they subcontracted work from other contractors until they changed the name to Sunik Construction Incorporated in 1989.

Above: the team at Sunik Roofing.

Below: the company fleet and office in Calgary.

Sunik Roofing | 25th Anniversary | 1

A founding principle of Sunik is to build the team from the ground up. They look for young ambitious candidates and spend the time to train them and develop their career.

This philosophy led to the addition of co-owner Lowell McNichol, who came on board in 1990 as a labourer and later a partner in 1996.

Since then, Nick’s sons (Nicholas Sims and Nathan Sims) have also joined the Sunik team and become an integral part of the company. “We have created a legacy that will continue to grow through the next generation,” adds Nick.

Sue has taken the reins in the office, implementing innovative operational solutions while Nick and Lowell manage the crews, introducing groundbreaking practices that continue to impact the slope-roofing industry.

Throughout the last 25 years, Sunik has serviced almost 15,000 customers throughout Calgary and surrounding

areas. The company now operates a fleet of vehicles from a 10,000-square-foot combined office and shop on a half acre with a fenced yard.

A majority of their business is reroofing through customer referral. “We pride ourselves on providing exceptional customer service,” Nick says. This focus on customer satisfaction is reflected in the fact that they are a four-time recipient of the Consumer Choice Awards.

Sunik ensures each job, sending qualified journeymen to inspect the final product. This double-checking continues to reduce leak ratios year over year while further enhancing the customer satisfaction.

“Anybody can do a great job, but when there is a screw up, that is when you find out how great a company is,” adds Nick.

Sunik goes the extra mile with their warranties ensuring that when they are at fault, the customer’s house is put back

403.291.1013 | www.shoemakerdrywall.com

Congratulations to Sunik Roofing on their

403.560.4024 | tritonext@shaw.ca

25th

Congratulations to Sunik on 25 great years of business! Wishing you many great years to come.

Anniversary!

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Sunik Roofing | 25th Anniversary | 2

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to its original condition. Most roofing contractors will only repair the roof, but Sunik repairs all of the damage, including replacing damaged personal belongings.

Innovations

When they began their partnership they had a unified vision of becoming a leader in the slope-roofing industry.

Throughout the years, they continued to strive to not only enhance their business, but also volunteer in positions that would also impact their entire sector.

“When I started here, I introduced pneumatic nailers into roofing installations that significantly impacted the workflow of roofing crews,” says Nick. At that time, crews were manually nailing each shingle, so it would take them several days to complete each house. This technique has

Sunik Roofing is four-time recipient of the Consumer Choice Awards

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www.sunik.com | 403.280.2803 optimized roofing crews that can now complete up to 1.5 to two houses per day.

Lowell also developed a specialized spreadsheet program to simplify the estimate process. “This enabled us to become one of the first companies to be able to provide a professional bid with a wide product selection printed in the trucks on site,” says Lowell.

Throughout the years Sunik has specialized in residential roofing, however, they have done many commercial projects with slope-roofing architecture. In addition, Sunik has become a preferred cedar shingle roofer and are an active member of the Cedar Shake and Shingle Bureau ensuring they keep pace with industry innovations and practices.

Leadership

Throughout the years, the Sunik partners have also become leaders in training, safety and education throughout the industry.

Nick served three years as president of the Alberta Allied Roofing Association (AARA). He then served six years on the provincial apprenticeship committee (PAC) where he played an important role in the development and implementation of slope-roofing content for the apprenticeship program for roofers. Lowell continued the tradition serving on the PAC for six years and as a director for the AARA for three years. Nicholas Jr. is starting his first term on the PAC. Nick has also served as a Better Business Bureau (BBB) executive director for more than 13 years and in his role encourages other roofing companies to join the BBB. “I welcome new members because I also believe it makes our industries better as BBB members must adhere to a strict code of ethics,” Nick adds. Sunik has also been a recipient of the 2000 BBB Ethics Award for small business.

Safety

Sunik has always had a focus on safety. Nick has served on several government safety committees, they have implemented a formal safety program and are members of the Alberta Construction Safety Association. Lowell says, “This means that all of our crews must comply to strict safety practices.”

Each crew must have at least one member of their roofing crew certified with St. John’s first aid training and all must have fall protection certification. But they also take this one step further making sure any subtrades are properly trained and have a safety officer. “We have even coordinated this training for others because we believe in making this a safer industry,” adds Lowell.

Expanding

Sunik continues to broaden its service zone around Calgary and now serves from as far north to Airdrie, east to Strathmore, west to Banff and south to High River.

Their service region expanded further south in 2013, when Sunik began their goal of expanding throughout Alberta by opening their first regional office in Lethbridge where they also service Pincher Creek and Fort Macleod.

The new location, headed by co-owner Ruben Guimond, is growing rapidly serving surrounding areas that are in an area prone to strong wind and hailstorms. This led to the use of new innovations such as asphalt-based shingles that have rubber content to help them stand up to hail and wind.

“They can also be installed in cold weather and actually last in Alberta’s unique weather system,” says Lowell.

“This is our first move into another market outside Calgary and it will not be our last,” adds Nick. •

Congratulations Sunik on 25 Years!

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Sunik Roofing | 25th Anniversary | 4

Not Your Average Law Firm…

Written by Mary Savage Photos by Bookstrucker Photography

I

“I love taking something cognitive - like systems - and pulling it apart to make it more efficient, and that’s what law is all about. You have to figure out how to best represent your client within the framework of the legal system and rules.”

- Jeff Kahane, Kahane Law Office, founder and managing partner

nside Kahane Law Office, there are no false airs – nothing pretentious – just ordinary people who have chosen a career in the legal field and take great pride in helping other ordinary people build or rebuild a better life.

Ten years ago, Jeff Kahane started with a paralegal, a small rented space and 30 files a month. Over the past decade, he has grown the firm with a mix of precision and passion. Kahane’s goals are simple: to provide the best legal guidance possible while cultivating an environment that makes clients feel welcome and at ease.

“You have to know the ‘rules’ and case law to understand the framework you’re operating within. I’m always amazed at the number of lawyers who don’t know the rules, so when someone comes along and tells you what the rules are – that you’re not aware of – you’ve just lost,” he adds.

Not surprisingly, the majority of Kahane’s business is referral-driven and today, the thriving firm has a staff of 22 people. They have a loyal following among social media and post a new video on ‘YouTube’ every week. At last count, they had in excess of 16,000 ‘YouTube’ followers.

Kahane Law Office | 10th Anniversary | 1

The Right Fit Along the west wall of their building sits an empty office; they have room to hire one more lawyer, but according to Kahane it has to be the right fit.

Credentials aside, one of Kahane’s favourite questions asks the following, “If you were a cheese, what kind of cheese would you be?”

Don’t be fooled, it cuts to the chase.

“The question tells us a lot about the candidate’s personality, sense of humour, logic and like traits. Some people laugh and refuse to answer it, others tell us what kind of cheese they like to eat and some give us a very logical, detailed description. My staff now understand the value in asking the question,” adds Kahane with a twinkle in his eye.

And Kahane’s business practices have not gone unnoticed. In year’s prior, the firm was selected among the Calgary Choice Awards and recognized by Calgary Inc. magazine as one of the ‘best places to work.’

As Kahane has observed, there are two things he truly enjoys about law: the people and the intellectual component. “I am motived – 100 per cent – by internal drivers and if I’m passionate about something, I simply run with it,” notes Kahane.

He has become one of the most sought-after lawyers when it comes to real estate transactions – fielding calls from across the country because he is so well-versed. “On any given month, we touch about 10-15 per cent of the total real estate transactions in the city – up significantly from the real estate boom in 2007,” adds Kahane.

Congratulations Kranq Courier is proud to congratulate Kahane Law on 10 years of excellence.

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The firm has also established itself as a formidable team when handling commercial and corporate matters, family law and guardianship orders, probate, wills and estates, immigration, litigation and labour employment – they are a full-service firm.

“In an industry that’s notorious for unreturned phone calls, I return every call and try to do so by the close of every day – that alone contributes to a significant part of our growth,” asserts Kahane. “We provide a very personalized level of service, so when my phone rings, I answer the call and the same applies for email. Our mandate is to keep our clients happy and we maintain those relationships for a long time, but I couldn’t have built this firm without the exceptional people that are around me.” •

FCT is proud to partner with the Kahane Law Office And congratulates them on 10 years of excellence

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Supporting Calgary’s Mid-Market Companies

O

ver the past five years Alberta has held the highhigh est rate of business growth per capita throughout the country. Mid-market companies (companies with 50-500 employees) play a very significant role in Alberta’s economy with over 6,600 mid-size businesses in Alberta.

Stemming from our entrepreneurial culture, Calgary has a special breed of mid-market companies that don’t always receive the recognition they deserve. This is a place where family run businesses can turn into 100 million dollar companies. These are the companies that through hard work and determination, have risen from the ranks of small business.

Increasingly, Calgary based businesses in industries like technology, natural resource extraction, biotechnology and software are discovering that they are among the best in the world in their respective area, and that they can and must compete on a global scale. To do this they need to grow.

Statistics show that mid-sized firms are declining in Canada: 17 per cent between 2006 and 2010. We have to stop this. To stop this we need to address some critical issues facing mid-sized companies – primarily access to capital and availability of human resources according to BDC. These issues result in far too many mid-market companies shrinking back into small businesses, or getting stuck at a mid-size rather than turning into the large world-competing companies they should be.

Mid-market companies often need substantial capital to move their business forward. Access to capital can be a challenge for companies of all sizes, but mid-sized companies are affected even more. There are a variety of capital pools exclusive to small businesses, and large companies have the reach to access larger capital markets due to their size, balance sheets and covenants. This leaves mid-sized companies feeling in need of help. This past year has been particularity difficult for mid-sized companies as investment in Alberta

has been slow, and the bar to be considered keeps rising.

Solutions to this might be the establishment of innovative capital funds, pooled from a variety of investors and sources that target highly qualified mid-sized firms. Midsized companies can often be less risky than start-ups, and may therefore be a more attractive investment. Pooled funds that invest in a variety of sectors can spread the risk across different economic drivers.

Finding and retaining quality employees is particularly concerning for mid-sized firms looking to grow quickly and expand their expertise. When growing a mid-sized company you need to add top-notch employees quickly; high performers that can function right away with limited onboarding time. In addition, many mid-sized businesses are often fundamentally changing and there is a need to develop new expertise in running a larger company: maintaining margins, ensuring regulatory compliance and managing risks at scale.

We must continue our efforts to train and educate Canadians in the necessary roles and occupations, as well as tapping into overlooked pools of labour, such as Aboriginal people and mature workers. We also need to ensure skilled immigrants are able to get to work quickly in their trained field.

We, as a city need to support and empower our industry, especially our essential mid-size companies. In light of this, the Calgary Chamber has developed programing specifically to assist mid-market companies in the coming year. The Chamber is conducting research, hosting roundtable sessions, and networking events to allow leaders in Calgary’s mid-market the opportunity to grow the segment and support each other’s development into new markets.

For more information on the Chamber’s mid-market initiatives visit: CalgaryChamber.com businessincalgary.com | BUSINESS IN CALGARY March 2014 • 101

2014 Board of

Directors

Chamber Member Spotlights

Executive Chair: Leah Lawrence, President, Clean Energy Capitalists Inc. Immediate Past Chair: Joe Lougheed, Partner, Dentons Canada LLP Chair Elect: Rob Hawley, Partner, PricewaterhouseCoopers LLP

The Calgary Chamber is proud to represent many Calgary businesses large and small; this month we are highlighting some of our industry leading members.

Second Vice Chair: Denis Painchaud, Director, International Government Relations, Nexen Inc. Vice Chair, Finance: Bill Brunton, President, Stratus Marketing Inc. CEO: Adam Legge, President and CEO, Calgary Chamber

Directors David Allen, President, Calgary Land, Brookfield Residential Properties Inc. Carlos Alvarez, Audit Partner, KPMG Lorenzo DeCicco, Vice-President, TELUS Business Solutions Rob Hawley, Partner, PricewaterhouseCoopers LLP Wellington Holbrook, Executive Vice-President, ATB Financial

ConocoPhillips Canada ConocoPhillips Canada (CPC) is one of the country’s largest oil and natural gas production and exploration companies. Headquartered in Calgary, the company is a leading producer of natural gas and liquids, with a world-class portfolio of assets in Western Canada, the Arctic, and oilsands interests near Fort McMurray.

ConocoPhillips Canada began over 100 years ago. Today, the company has 2,400 full-time employees and contractors. With a talented workforce, an integrated asset base and a proven record of production success, the company is poised to become Canada’s leader in the discovery and responsible development of oil and gas assets.

For more information visit ConocoPhillips.ca.

Guy Huntingford, Chief Executive Officer, Urban Development Institute Bruce Okabe, Chief Executive Officer, Travel Alberta Phil Roberts, Vice-President, Axia NetMedia Corp Linda Shea, Senior Vice-President, AltaLink Mike Williams, Executive Vice-President, Tervita Corporation

Management Adam Legge – President and CEO Michael Andriescu – Director of Finance and Administration Kim Koss – Vice President, Business Development Scott Crockatt – Director of Marketing and Communications Rebecca Wood – Director of Member Services Justin Smith – Director of Policy, Research and Government Relations

Leading Business magazine is a co-publication of the Calgary Chamber and Business in Calgary Calgary Chamber 600, 237 8th Avenue S.E. Calgary, Alberta T2G 5C3 Phone: (403) 750-0400 Fax: (403) 266-3413 calgarychamber.com

Saipem Canada Saipem Canada Inc. is a leader in turnkey engineering, procurement and construction (EPC) projects with a particular focus in the oil and gas industry. With its headquarters located in Calgary, Saipem Canada is focused on becoming the principal source for refinery and gas plants, chemical, petrochemical, fertilizer plants, onshore pipeline systems, infrastructure, power and environmental plants. Saipem Canada has been operating nationwide for over 20 years.

With innovations in research and development, a diverse and expanding workforce, a commitment to health and safety, and with the goal of reducing their environmental footprint, the future of Saipem Canada is bright.

For more information visit Snamprogetti.ca.

SPECTACLE Bureau for Architecture and Urbanism

SPECTACLE SPECTACLE is an internationally oriented architecture office working across the fields of architecture, urbanism, landscape and object design. The company approaches diverse project types and scales with a balance of expert knowledge and innovational thinking, constantly re-evaluating the potential and manifestation of architectural types and hybridizations.

SPECTACLE enthusiastically seeks out the ambiguous gaps between the sublime and the everyday, strategic tactics and intuitive reactions, theory and execution, high and low culture, opportunistic maximization and long-term strategies, the study of history and the pursuit of progress, and the discipline of architecture and its professional practice. The founding partners have worked with notable offices in Calgary, Montreal, Barcelona and Rotterdam.

For more information visit Spectacle-Bureau.com.

102 • March 2014 BUSINESS IN CALGARY | businessincalgary.com

Upcoming Events Wednesday, March 26, 2014 PeerSpectives™ 7am - 11am | meets monthly For more information, and to apply to this session, or another PeerSpectives™ roundtable group, please contact ericajago@calgarychamber.com.

Are you a business leader struggling with the unique challenges of a fast-growing company? Are you looking for a high value/low cost way to learn to run your business more successfully in order to take it to the next level? Are you encountering decisions that you have never had to face before? As a leader of an organization you may wonder where to turn for help. Our new PeerSpectives™ roundtable program may just be the thing you need.

This month, the Calgary Chamber has introduced a unique, world class CEO roundtable program called PeerSpective™ to assist companies in their growth stage.

PeerSpectives™ developed by the Edward Lowe Foundation, and based on the principles of peer learning is a roundtable format that is designed particularly for leaders of second-stage companies (companies that have moved beyond the startup phase and are focused on steady, sustainable growth).

PeerSpectives™ is delivered by a certified facilitator that ensures a balanced discussion that is not dominated by any one issue or individual. In a trusted and confidential environment, participants gain real-time feedback on sensitive business issues from their peers who are facing, or might have faced a similar issue.

A key element that sets PeerSpectives™ apart from other roundtable programs is the no advice rule, where participants share experiences rather than give advice, which dramatically changes the dynamics of the discussion.

Issue topics include:

Criteria for Program

• Company culture • Personnel decisions • Customers • Direction of the organization • Marketing • Product development • Succession planning • Finances

• A Calgary Chamber member in good standing • A second-stage business owner, CEO, president or partner of a high growth company • Have 10 – 99 employees • Yearly revenue is between $1 million and $5 million • Committed to being available for 4 hours once a month

Annual investment is $825 plus GST (depending on membership level you may qualify for an additional discount).

• Includes eight four-hour sessions and a hot breakfast

Roundtable Information The Calgary Chamber plans to run PeerSpectives roundtable groups throughout the year.

The first roundtable group will commence on March 26, 2014, and will take place on the last Wednesday of each month from 7:00am - 11:00am with breakfast included.

If you or someone you know would like to participate in one of the PeerSpectives Roundtable groups, please contact Erica Jago at ejago@calgarychamber.com or 403-750-0440.

For details and to purchase tickets for any of the Calgary Chamber’s events please visit CalgaryChamber.com.

104 • March 2014 BUSINESS IN CALGARY | businessincalgary.com

Calgarians support Convention Centre expansion In December 2013, The Calgary TELUS Convention Centre (CTCC) conducted a public perception study. The aim of the study was to assess public opinion related to the proposed expansion of the facility.

Highlights of the study include:

• The CTCC is well used and liked by Calgarians. Almost 40% of research participants have attended at least one event at the Convention Centre within the last year. This is a high percentage for a city the size of Calgary and demonstrates the importance of the Centre to Calgarians and visitors to our city.

• Calgarians continue to appreciate the value the Convention Centre brings to the city’s vibrancy and economic prosperity.

• Calgarians believe our convention centre should be able to compete with convention facilities located in cities of similar or larger size.

Calgarians also recognize our competitiveness is eroding due to the size limitations of our current Convention Centre.

• Almost two thirds of those interviewed believe that the CTCC will be too small for Calgary’s needs within the next decade.

The survey questions focused on a number of different areas of interest and perception. Support for expansion remains high with 71% of participants agreeing that expansion of the existing facility is a good idea. The inclusion of a Canadian Energy Centre into an expanded Convention Centre is well regarded by Calgarians, and 80% of survey participants support its inclusion.

Interest in an Energy Centre aligns with Calgary’s brand as an Energy city.

The Convention Centre is celebrating its 40th Anniversary in 2014 and continues its role as a centre for social and business activity in our city.

Calgary has more than tripled in size since the original Convention facility was built in 1974 and the Centre has not kept pace with the city’s growth.

The CTCC expanded in 2000, but no longer meets the needs of our dynamic and growing city.

Calgary continues to thrive and the city’s managed growth continues to be recognized by a variety of media organizations. In 2013, MoneySense magazine ranked Calgary as the top Canadian city to live in and the best place to raise a family in Canada. The Economist Livability Survey has ranked Calgary as number five on the best places to live in the world for the last four years. Maintaining Calgary’s dynamic growth and prosperity requires a vibrant and energetic downtown environment. The support and interest for an expanded convention facility reflected in our most recent survey demonstrates the CTCC’s importance to Calgarians as an economic driver and a place to bring people together in our city. calgary-convention.com expandthecentre.ca businessincalgary.com | BUSINESS IN CALGARY March 2014 • 105

NEXT - Turning Business Ideas into Scalable Startups

BY ANDREA MENDIZABAL

“N

EXT is a foundation program that aims to help early-stage entrepreneurs turn their ideas into full-fledged startups by validating the market, acquiring customers and building minimum viable products through a series of hands-on workshops and mentor feedback,” says Steven McIlvenna, director, entrepreneur development, Innovate Calgary.

An international program developed by Startup Weekend, Techstars, Google for Entrepreneurs and Steve Blank – a serial entrepreneur from Silicon Valley who pioneered the Lean Startup movement – NEXT is uniquely built around face-to-face interactions with potential customers and is driven by mentorship from experienced entrepreneurs.

The program offers participants a valuable opportunity to undergo face-to-face customer situations with a group of peers who are tackling similar entrepreneurial challenges.

“While developing new programming for entrepreneurs we found we already had a great alignment with Steve Blank’s approach and thought leadership, and Innovate Calgary has been fortunate for his direct support and endorsement in the past,” says McIlvenna. “However while listening to our entrepreneur customers we realized a program like NEXT was also needed. With this program in Calgary, and great collaboration with Startup Calgary, the power of this alignment can benefit the Calgary startup community.”

The Calgary NEXT program is delivered in partnership between Innovate Calgary and Startup Calgary. NEXT spring 2014 is comprised of intensive three-hour weekly sessions, running Wednesdays beginning March 19 to April 16.

Customer Discovery – March 19, 2014 Customer Discovery is an ongoing learning process. The series starts with an overview of the theory and tactics for customer development and will introduce the power, art and tactics of customer interviews. You will validate your ideas through in-person customer interviews using Steve Blank’s Customer Development methodology and tactics from customer development practitioners.

Big Markets, Big Ideas – March 26, 2014 All entrepreneurs imagine building the next billion-dollar company. Good ideas are not always targeting huge markets, but if your ambition is attacking a huge market, learn 106 • March 2014 BUSINESS IN CALGARY | businessincalgary.com

the entrepreneurial mindset you need to build a good idea into a great company. This week will help determine if you should be dedicating the next seven years of your life to your idea. Start to think like great entrepreneurs such as Steve Jobs, Bill Gates or Mark Zuckerberg; they all understood their idea was changing the world.

Fundability – April 2, 2014 This session will show entrepreneurs how investors think about deals and how they evaluate what they are looking for. Investors place a heavy weight on major areas like team, traction and scalability. Begin to understand an investor’s thought process and the milestones you need to hit for them to pay attention. Gain insights on why thinking about money too early (or at all) can be detrimental to your company.

Pitching your Idea – April 9, 2014 Communication of ideas is an often overlooked area by entrepreneurs. Every bad pitch is a lost opportunity. Don’t be like other entrepreneurs; value the communication of your idea. Your ability to communicate your idea effectively will help you sell your vision. This session will provide entrepreneurs with the valuable tactics of pitching or communicating an idea. Communication matters whether you are recruiting a co-founder, selling to your customers, applying to an accelerator or pitching an investor.

Go to Market – April 16, 2014 Getting a startup to market is challenging. There are many strategies and approaches you can follow, but do they all provide a high ROI? Once a startup gets to market, it needs to capitalize on that opportunity. Entrepreneurs need to always be delivering tremendous value to customers, businesses and their stakeholders. The final week will cover strategies and tactics that entrepreneurs can implement to reach more customers and sales. Before launching your product, you should have a basic understanding of models and what go to market tactics work and don’t work with each model.

For more information about the Calgary NEXT program or to apply, contact: Steven McIlvenna, director, entrepreneur development, Innovate Calgary at smcilvenna@ innovatecalgary.com, (403) 284-6419 or visit innovatecalgary. com/growing-a-company/NEXT.

Spotlight shines on Calgary with the announcement of $5 million grant funding for the Calgary Film Studio

A

s Canada’s fourth-largest film jurisdiction, Calgary boasts award-winning crews and locations. The Calgary region benefits from an average of $100 million in film, television and digital production each year and is responsible for 80 per cent of all filming in Alberta. In addition, the Calgary region has garnered more Oscar, Golden Globe and Emmy® Award nominations than any other jurisdiction in Canada.

In response to this ever-growing industry, four years ago, Calgary Economic Development established the Alberta Creative Hub Corporation – a unique non-profit and non-partisan organization established for the specific purpose of growing the local film, television and creative industries through the development of state-of-the-art, purpose-built facilities.

On February 4, 2014, after an in-depth submission and evaluation process, the Alberta Government, through the Ministry of Culture, announced that Calgary Economic Development was the successful proponent of a one-time, $5-million grant towards building the Calgary Film Studio.

“We are very pleased to have been selected as the proponent for the Calgary Film Studio,” says Bruce Graham, president and CEO, Calgary Economic Development. “By working with industry and post-secondary partners to develop purpose-built facilities, we envision the studio will allow the creative industries sector to realize significant growth potential, increase the retention of local talent and support the diversification of our economy.”

Here are some of the details of the plan: • The total projected cost is approximately $22.8 million.

• The studio will feature two purpose-built sound stages (20,000 sq. ft. and 30,000 sq. ft.) with the ability to subdivide the larger studio.

• The studio will also include 18,000 sq. ft. of warehouse space with an additional 10–15,000 sq. ft. for workshop/ production, props, sets, wardrobes, etc.

• It will be governed by a board of directors.

• William F. White International will be the anchor tenant.

The creative industries sector has reached a critical tipping point…

The creative industries employ 60,000 Albertans who work in industries that generate billions of dollars into the provincial economy on an annual basis. Of that 60,000, approximately 3,000 of them work in film and television production. With some adjustments and enhancements to incentives, there is the opportunity to grow this sector to a half-billion dollars in the next five to seven years. The creative industries sector has reached a critical tipping point, with terrific growth opportunities driving the need for purpose-built, permanent facilities.

“It’s an incredible opportunity to diversify our provincial economy with a one-time capital investment in an industry that we have already proven to be very successful in,” says Luke Azevedo, commissioner of film, television and creative industries. “The Calgary Film Studio will help ensure our industries remain viable and provide jobs for Albertans.”

Moving forward, Calgary Economic Development and the Alberta Creative Hub Corporation are entering the planning phase, and will be working swiftly to determine next steps, with plans to secure land and break ground in the spring of 2014.

Alberta has vistas, award-winning crews and now the infrastructure to support both international and indigenous creative projects.

businessincalgary.com | BUSINESS IN CALGARY March 2014 • 107

Calgary’s Path to Ultimate sports City

BY STEWART MCDONOUGH

I

n January of this year, Calgary was added to the SportBusiness International 2014 Ultimate Sports Cities short list. The Ultimate Sports Cities awards are the de facto benchmark of sports cities around the world with acknowledgment on the list influencing decisions taken by sports federations, tour organizers and multi-sport event rights holders.

The rankings of the 30 cities will be announced at the SportAccord Convention in Antalya/Belek, Turkey in April.

Calgary has a variety of strengths that have been recognized by event rights holders over the years and, more recently, by SportBusiness International.

Sport is at our core, it’s in our DNA, and we care about it for the right reasons. We see sport as a way to build community, inspire youth to action and create social, facility and cultural legacies to last for generations. We have a focused strategy and the support of the public and private sectors. We are a pre-eminent winter sport city with the rare ability to host a diversity of major events year-round.

WE ARE A SPORT CITY Sport is part of our city’s identity, our history, our source of pride and at the centre of our vision for the future.

Calgarians love to participate, spectate, support and engage in sport at all levels.

We show up in record numbers to revel in major events: • Spruce Meadows’ two main events draw a combined 180,000 spectators • Calgary Stampede welcomes 1.1 million visitors every year • 100,000 people lined Calgary streets to watch the final leg of the UCI 2.1 Tour of Alberta • 40,000 spectators witnessed golf’s legends at the Shaw Charity Classic PGA Champions Tour

WE ARE WINTER Calgary is at the heart of Canada’s Olympic Winter Games ambitions. One hundred and twenty of Canada’s 221 member 2014 Olympic team trained or competed at WinSport Canada facilities. At the 2010 Olympic Winter Games in Vancouver

108 • March 2014 BUSINESS IN CALGARY | businessincalgary.com

20 of 26 Canadian medals were won by athletes who honed their skills at WinSport. The path to Canadian Winter Olympic gold runs through Calgary. Canada holds the record for most gold medals in a single Winter Olympics.

We have hosted 32 World Cup or international winter sport events from 2010 to 2013. Few cities in the world, if any, can host freestyle aerials, moguls, halfpipe, skeleton, luge, bobsleigh, speed skating, hockey, sledge hockey and curling World Cups or major international events within city limits and Nordic and alpine World Cups within an hour from those same city limits.

SPORT 365 We claim winter as our domain, and yet our energy is boundless. We are the world’s horse capital with new events every year, Spruce Meadows, the Calgary Stampede, major ranches in close proximity and herds of wild horses still roaming the surrounding prairies. New major anchored summer events with the UCI 2.1 Tour of Alberta and Shaw Charity Classic PGA Champions Tour join Spruce Meadows, the Calgary Stampede and a host of incredibly well-attended summer festivals as Calgarians quench their thirst for action.

strategy, purpose and looking forward We attract events for the right reasons. We care about sport, we care about what it can do for children, how it can break down barriers and how it unites and lifts. It’s our experience that sport organizations care about their sport, the growth of their sport, the reputation of their sport, and yes the financial viability of their sport.

We have established a national best-practice model in the Calgary Sport Tourism Authority for attracting major events.

The CSTA strategy has proven successful with more than 250 events supported since 2007 resulting in far-reaching community, grassroots sport, economic and legacy.

The CSTA strategy is founded in collaboration; it is passionate, progressive and selective; and devoted to the delivery of the broad range of benefits derived from hosting major sport events.

WE SERVE CANADA’S FOURTH-LARGEST CITY, BUT THE CALGARY TELUS CONVENTION CENTRE RANKS TENTH IN SIZE

HOW DO WE CATCH UP? WHAT’S NEXT AT THE CENTRE OF ENERGY? –

calgary-convention.com

MarketingMatters • David Parker

MarketingMatters

By DaViD ParkEr

T

he chance to respond to an RFP for a major client is always an exciting opportunity for advertising agencies and it says something for the importance the industry holds in Travel Alberta in that the organization received over 100 downloads to the request it sent out last October.

It was by necessity a lengthy process but the new agency of record for Travel Alberta for the next three-year period is a consortium pitched together

by Critical Mass and Copithorne and Blakely Advertising.

Royce Chwin, Travel Alberta’s chief marketing officer, says agencies had to adhere to strict criteria which cut down the number of real submissions to 10. After responding to a business case and in-person presentations in which much strength was put on the ability of the respondents to fit as a partner with the marketing organization the consortium was chosen to take over from incumbent Venture Communications.

A focus will be in the growth of the international market and Critical Mass has years of experience in the worldwide digital arena while Copithorne and Blakely were both involved in the very successful Remember to Breathe campaign and understand the local, regional and Canadian market.

They have an interesting challenge: 2013 brought $7.8 billion tourism dollars into the province and the target set for 2020 is $10.3 billion.

•••••••••••••• We are fortunate to have a facility like The Beach in this city where

owner/producer Lanny Williamson constantly upgrades his equipment to ensure locals have the best available.

Latest addition to his advanced audio production house along 11th Avenue SE is the installation of a 7.1 surround sound system that is compatible with Blu-ray video systems and theatrical, HDTV and TV audio production.

Williamson consulted with the Dolby Labs designer to customize his purpose-built new system to the latest and best standards available so that the Beach can handle any production in-city. His 7.1 is the only one available between Vancouver and Toronto, complementing his three studios that are kept busy with some excellent productions including post-production and sound for a current feature film and a travelogue bound for U.S. audiences for Calgary singer/producer Jewelle Colwell.

•••••••••••••• The 10th Sara Scouts are celebrating its centennial year and are looking forward to holding the event in its Rideau Park Scout Hall.

Kevin Mullen of Empire Homes and Empire Kitchen and Bath is a neighbour and came to the rescue of the historic 1927 landmark building that was in dire need of fixing up. It had served eight decades of use by countless youth but was showing its age.

Plans were well underway when the flood made matters much worse and the decision was made to rebuild it on a new foundation. Mullen was able to count on his architect, DeJong Design Associates, and his suppliers who donated materials and labour but he also called on the creativity of his agency, Tandem, to help with additional fundraising.

The result was a Be Prepared invitation to be part of Calgary’s history designed as a booklet after the Boy Scouts badge book.

•••••••••••••• Since joining the two-year-old Calgary office of Edelman – the world’s largest PR company – last September, general manager Laurie Stretch has doubled the staff to 10 and continues to grow its list of clients here.

One of the newcomers is Mathew Hayes who relocated from the Toronto office to launch Edelman Canada Digital in Calgary.

•••••••••••••• I was delighted to catch up with Luiza Campos over coffee and find out what was new with her Marca Strategy. Marca is the Spanish name for trademark and Campos has been busy with branding strategies for a number of her clients that include the Calgary Counselling Centre that has reacted to the heartaches due to last year’s flooding in opening a counselling centre in High River.

She likes working for non-profits and has been helping Alberta Theatre Projects to focus on a new vision, but has also been a big help to companies like Highlander Wines and Spirits that opened its third Calgary location in the new district Seton, just to the west of South Health Campus.

Parker’s Pick: Love the AMA TV commercial with the family in the pickup truck.

110 • March 2014 BUSINESS IN CALGARY | businessincalgary.com

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Thank you Wayne Chiu Wayne Chiu brings a brand of leadership in the business sector and community that is equal parts 21st century innovation, and classic Calgary. Along with wife and business partner Eleanor, Wayne has grown Trico Homes and the Trico Charitable Foundation into major successes for both their business and community achievements.

We thank them for their longtime and generous support of Bow Valley College.

In honour of this record of leadership we are proud to introduce the newly named Bow Valley College Chiu School of Business.

Chiu School of Business