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The Basch Report: CSX sued in wake of flooding from Florence PAGE 8
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JACKSONVILLE
Record & Observer Hugh Greene retiring Record & Observer as Baptist Health CEO JACKSONVILLE
Karen Brune Mathis
Surge Adventure Park is coming to the Regency Court Shopping Center.
Saints QB bringing Surge to town
JACKSONVILLE
Record & Observer “I still love what I do, but I think it’s JACKSONVILLE the right time for a transition”
Record & Observer
Adventure park backed by Drew Brees will offer trampolines, zip lines, climbing walls, party areas and more.
HUGH GREENE
BY KAREN BRUNE MATHIS EDITOR
Greene said Wednesday. He said it would be impossible be most proud of just one of Baptist Health’s accomplishments that occurred during his time leading the organization. Greene cited Wolfson Children’s Hospital becoming nationally recognized and the second-largest pediatric hospital in Florida, the growth of Baptist’s primary and emergency care facilities throughout Northeast Florida and the Baptist MD Anderson
New Orleans Saints quarterback Drew Brees is the name behind the Surge Adventure Park opening in Regency Court Shopping Center in Jacksonville. “Surge is a place that brings families together and is fun for kids of all ages,” Brees said in a statement. “From zip lines to ninja courses to competitive climbing features, there is something here for everyone,” said Brees, an owner in the Louisiana-based venture. Brees said it is a site for birthday parties and celebrations. “My kids can’t get enough,” said the father of four. Surge says in its materials that it has connected trampolines, ninja course, zip lines, climbing walls, an arcade area, party room, parent lounges and concessions. It will offer party packages as well as “Battle Beam” and “Trampo-
SEE GREENE, PAGE 10
SEE BREES, PAGE 10
Special to the Daily Record
Baptist Health of Northeast Florida President and CEO Hugh Greene, 65, joined the organization in 1989 and served 18 years as its leader.
Leader of the region’s largest private employer will stay on until a successor is found in 2019.
BY MAX MARBUT ASSOCIATE EDITOR
H
ugh Greene announced Wednesday his retirement from Baptist Health of Northeast Florida. Greene, 65, joined the organization in 1989 as chief operating officer and has served for the past 18 years as president and CEO. “It has been a time of remarkable expansion and growth to meet the needs of the community,”
Economic Trends: Unemployment falls on strong jobs growth PAGE 3 Mathis Report: VanTrust has plans after buying land at Imeson PAGE 4 OBSERVER MEDIA GROUP
YOU SHOULD KNOW
Alex Sifakis turned home flips into investment business PAGE 11 VOLUME 1, NO. 17 • ONE SECTION
Page 2 • Thursday, September 27, 2018
Jacksonville Daily Record/Jacksonville Record & Observer
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WHAT’S TRENDING
He minds the (haunted) house, she handles the ax Above, Ashley Lallemand and John Steed in front of Class Axe Throwing – Jacksonville at the Regency Court Shopping Center. Lallemand is general manager of Class Axe while Steed is general manager of the adjoining seasonal 13th Floor Haunted House – Jacksonville. The couple are engaged. Both businesses are owned by Denver-based Thirteenth Floor Entertainment Group and are scheduled to open at 7 p.m. Friday at the 9230 Arlington Expressway shopping center. Lallemand demonstrates how to throw the axes, which are hatchets. The space offers three ranges of two lanes each. Participants are trained before they throw and are separated by heavy metal fencing. For more information, visit classaxethrowing.com/Jacksonville and 13thfloorjacksonville.com.
Roller rink in development at Regency Court Ax throwing and a haunted house aren’t the only entertainment activities planned for Regency Court. The shopping center also is in line for a skate park. Terry Harris represents Sk8CityJax, which wants to open a 29,700-square-foot roller rink at 9244 Arlington Expressway. He said the venue will include roller-skating, rollerblading, bumper cars, bounce houses, an arcade, four party rooms, a concession stand, skate rental and other areas. There also could be batting cages, a small movie theater, maybe a stage for stand-up comedy and other areas as he works through the space. A 7,000-square-foot roller rink will dominate the venue, which also will feature a nightly laser-light show and a DJ.
Established in 1912, the Financial News & Daily Record, now the Jacksonville Daily JACKSONVILLE Record, is published Monday-Friday and is the Official Court Newspaper of the Circuit Court and publisher of public notices in Duval County. Jacksonville Record & Observer is a free weekly business newspaper available in Downtown Jacksonville and key business nodes throughout Jacksonville. To find a location near you, visit jaxdailyrecord.com/rack-locations. Editorial content focuses on news and trends, with a concentration on development, law, companies, economic and industry trends and how local and state government affects business. Realty-Builder is a monthly publication connecting Northeast Florida’s real estate professionals and homebuilders. Content focuses on timely news, information and trends affecting residential real estate sales and construction, as well as events and legal issues impacting the industry. Visit Realty-Builder.com to request your free copy.
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Jacksonville Daily Record/Jacksonville Record & Observer
Thursday, September 27, 2018 • Page 3
Unemployment rate falls to 3.5 percent Midyear look at regional workforce Looking at July numbers, the ranks of the Northeast Florida unemployed peaked at more than 74,400 in 2010 during the aftermath of the Great Recession. The unemployment rate reached 10.6 percent in July of 2010, falling since to 3.8 percent in July 2018.
BY MARK BASCH CONTRIBUTING WRITER
Jacksonville’s unemployment rate fell in August as Northeast Florida continued to add jobs at a strong pace. The unemployment rate in the Jacksonville metropolitan area of Baker, Clay, Duval, Nassau and St. Johns counties fell from 3.8 percent in July to 3.5 percent in August, the Florida Department of Economic Opportunity reported Friday. Nonfarm businesses in the Jacksonville area added 21,600 jobs to their payrolls from August 2017 through August 2018, a 3.1 percent growth rate. Jacksonville had one of the lowest unemployment rates in the state. Among large metropolitan areas, only the OrlandoKissimmee-Sanford area had a lower jobless rate at 3.4 percent in August. The Department of Economic Opportunity does not adjust the metro area data for seasonal factors and the summer months are affected by factors such as new Loh g ra d u a te s entering the labor force and workers leaving their jobs when schools shut down for the season. However, even when the data is seasonally adjusted, unemployment continued to drop last month, according to the University of North Florida’s Local Economic Indicators Project. On a seasonally adjusted basis, the Jacksonville area unemployment rate fell from 3.77 percent in July to 3.58 percent in August, it said. “It continues to suggest a strong labor market,” UNF economist Albert Loh said. Duval County’s unemployment rate, without seasonal adjustment, fell from 4.1 percent in July to 3.7 percent in August, the Department of Economic Opportunity said. When seasonally adjusted, the county’s jobless rate fell
10.6%
Northeast Florida employees by the numbers
5.2%
5.1%
3.8% 3.7%
3.6%
763,393
ECONOMIC TRENDS
Nonfarm businesses in the Jacksonville metropolitan area added 21,600 jobs over the past year, a growth rate of 3.1 percent.
The Northeast Florida employment level as of July 2018
3.2%
305,715
Employees gained in the past 28 years
1990
Year
1995
2000
Labor force*
2005
2010
2015
2018
Unemployment Employment Unemployment rate percent
1990 482,298 457,678
24,620
5.1%
1995 532,095 512,413
19.682
3.7%
2000 588,826 570,092
18,734
3.2%
2005 635,996 613,155
22,841
3.6%
2010 699,440 625,014
74,426
10.6%
2015 717,942 680,594
37,348
5.2%
2018 793,744 763,393
30,351
3.8%
66.8% The increase in the number of people employed in Northeast Florida over the past 28 years
10,918
Average number of employees added each year in Baker, Clay, Duval, Nassau and St. Johns counties
30 Average number of employees added daily over the past 28 years
*The labor force comprises people working and looking for work. Source: U.S. Department Bureau of Labor Statistics, Local Area Unemployment Statistics Program, with the Florida Department of Economic Opportunity, Bureau of Labor Statistics
from 4.02 percent in July to 3.72 percent last month, Loh said. St. Johns County’s unadjusted jobless rate, which edged 0.1 point lower to 2.9 percent last month, was tied with Okaloosa County for the lowest unemployment in the state. Florida’s statewide unemployment rate was unchanged in August at a seasonally adjusted 3.7 percent, the Department of Economic Opportunity said. Most industry sectors in the Jacksonville area are add-
ing jobs, according to business payroll data. But there are some notable exceptions. The category of management of companies and enterprises recorded a net loss of 100 jobs from August 2017 through August 2018, a 1.6 percent loss, indicating that businesses may be cutting their management ranks. Hospital employment also declined in the 12-month period with a net loss of 300 jobs, or 1 percent. The biggest job losses have
Robert A. Cole
come in wholesale trade, which declined by 800 jobs, or 3.1 percent. However, those job losses were more than offset by big gains in other industry sectors. The leisure and hospitality sector added 5,800 jobs in the past year, a 6.7 percent gain, and retail trade increased by 3,700, or 4.7 percent. Other service sector industries with big job gains were financial activities, up 3,300, or 4.9 percent, and administrative
and waste services, which added 4,800 jobs, or 8.7 percent. In the goods-producing side of the economy, construction continued to be strong with a net gain of 1,600 jobs, or 3.6 percent. Jacksonville’s 3.1 percent job growth rate was better than Florida’s statewide growth of 2.6 percent and the national growth rate of 1.6 percent. MBASCH@ JAXDAILYRECORD.COM
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Page 4 • Thursday, September 27, 2018
Jacksonville Daily Record/Jacksonville Record & Observer
THE MATHIS REPORT
VanTrust pays $18.4M for Imeson Park land
KAREN BRUNE MATHIS EDITOR
Developer plans to start work in October on a 500,000-squarefoot speculative industrial building. VanTrust Real Estate LLC closed Tuesday on its property purchase of 156 acres at Imeson International Industrial Park, initiating construction of a 500,000-square-foot speculative warehouse. Through JI Imeson Industrial LLC, VanTrust paid $18.44 million for the property from Imeson International Industrial Park Inc. VanTrust Real Estate LLC said previously it intended to buy the property and start construction of a 500,000-square-foot speculative building this fall for completion in fall 2019. That building can be expanded, said VanTrust Executive Vice President John Carey. Carey said there are prospective tenants in the market, but the structure will be built speculatively. VanTrust intends to develop up to 3 million square feet of space among three to six buildings at the property, which will be called Imeson Park. That indicates buildings of 500,000 to 1 million square feet. “We will start next month and will deliver the first building in September 2019,” Carey said in August. He estimated a total investment exceeding $180 million.
Work on Crossroads Distribution Center to start Miles River Partners LLC intends to break ground in October for the Crossroads Distribution Center Building 100 in Northwest Jacksonville and complete the speculative structure in the second quarter. Principal Michael Bradley said total hard construction costs for the first phase are anticipated at $12 million.
Special to Daily Record
The PARC Group wants to build a welcome center at eTown, the residential, commercial and retail project it is developing in Southside along Interstate 295 and Florida 9B.
The city is reviewing a permit application for Arco Design/Build Inc. to construct the 297,000-square-foot building on 11.52 acres at 6590 Pritchard Road at a job cost of almost $6 million. Plans show 22 bays, 65 dock doors, two drive-in doors and spaces for 199 cars and 62 trailers. Bradley said several prospective tenants have shown interest but none have signed. The building can accommodate up to four tenants, although Bradley said one or two would be optimal. “The Jacksonville market is strong and getting stronger,” Bradley said. “There are not a lot of options in the market currently for the 100,000- to 300,000-square-foot user.” Miles River Partners, the project developer, is based in Southport, Connecticut. Plans show that it is a partner in the venture with TriGate Capital of Dallas. They own about 100 acres at the park, of which 40 acres are usable. The total project will be up to 550,000 square feet, he said.
Permit sought for welcome center at eTown The eTown development along Interstate 295 and Florida 9B is starting to show concrete steps toward construction. The PARC Group developer recently announced that the first two neighborhoods in eTown will include Edison by Toll Brothers and Marconi by David Weekley Homes and ICI Homes. Both neighborhoods will feature one- and two-story home designs of 2,500 to more than 4,000 square feet. The proposed Village Center commercial project in eTown is in city zoning and site plan review. And PARC Group now has applied for a permit to build the foundation for its eTown welcome center at 11003
E-Town Parkway. Horizontal development for the 1.73-acre site was approved Sept. 11. The almost 4,800-squarefoot center will include an event lawn, according to plans filed with the Mobility Fee Calculation Certificate application. Carlton Construction Inc. is the contractor for the foundation. The city also is reviewing site plans for nonresidential parcels at eTown just east of Florida 9B. Updates are posted at eTownJax.com.
Circle K to build in East Arlington East Arlington could soon see a new Circle K gas station and convenience store. Circle K intends to replace an existing convenience store at northwest Atlantic Boulevard and Girvin Road with a 5,314-square-foot store and gas pumps. The 2.51-acre site is at 12743 Atlantic Blvd., bounded by Girvin Road to the east, Home Depot to the west and an entry drive to Home Depot to the north. Plans also show a proposed 1,469-square-foot car wash. Circle K’s Florida Division in Tampa is the applicant. Wolverton & Associates Inc. of Duluth, Georgia, is the agent. Plans show Circle K’s South Atlantic Division in Waycross, Georgia, as the developer and owner. The St. Johns River Water Management District is reviewing the plans. Circle K owns the existing site. That 2,640-square-foot store was built in 1979.
Gateway Village: Apartments and retail on the way
Atlanta-based Davis Development applied to the city for a permit to build the foundation for the 289-unit Satori apartments in Gateway Village at Town Center.
Special to the Daily Record
Miles River Partners plans to break ground soon on Crossroads Distribution Center Building 100 at 6590 Pritchard Road in Northwest Jacksonville.
RETAIL NOTES n Rack Room Shoes is remodeling its Riverplace Shopping Center store at 11111 San Jose Blvd. at a cost of $155,053. n Walmart is installing its online grocery pickup service at 11900 Atlantic Blvd. in Kernan Village at a construction cost of $126,400. n Planet Fitness plans a 27,000-square-foot building on 2 acres at 2114 Florida 207 in St. Augustine, according to a St. Johns County application.
RESTAURANT NOTES Panda Express proposes to build a restaurant in the Atlantic North Shopping Center at northwest Atlantic and Kernan boulevards. The restaurant wants to develop a 2,200-square-foot building on 1.08 acres at 11929 Atlantic Blvd. Atlantic North is anchored by Belk and LA Fitness and is developed by Property Management Support Inc., part of Sleiman Enterprises. Mark Dowst & Associates Inc. is the agent. The site is on an outparcel. The St. Johns River Water Management District is reviewing the project. A purchase and sale agreement included with the filing shows CFT NV Developments LLC will buy the property.
The four-story project at 10640 Satori Lane comprises 171 one-bedroom, 102 twobedroom and 16 three-bedroom units, the permit application shows. Cantrell & Morgan is the developer of the 18.5-acre Gateway Village at southwest Gate Parkway and Deerwood Park Boulevard. Gateway Village developers recently paid more than $1.1 million for a 1.5-acre outparcel at the site to build a 9,000-square-foot retail building. Commercial real estate services company Cantrell & Morgan, through Jacksonville Gateway Village LLC, is developing the property. CEO Chris Morgan said the building will include Tropical Smoothie with a drive-thru, a radiology group and another tenant. Developers already are developing two retail buildings to include Sushi House, Bellezza Nails Spa, CycleBar, MyDry Blowout Bar, Burrito Gallery and M Hospitality Restaurant & Catering Group, among other tenants. In addition to Satori and the three retail buildings, Gateway Village will include the RaceTrac in development. Morgan said another 2 acres remain for development.
management team. The role is responsible for complete dayto-day administration of the leave programs for the homefurnishings online retailer’s field locations. Wayfair does not have a Jacksonville location but has been posting jobs for the city.
J&J lands $5.9M permit to install equipment
Johnson & Johnson Vision will install manufacturing equipment at a job cost of $5.86 million at 7500 Centurion Parkway. The city approved two permits for Turner Construction Co. to facilitate installation of manufacturing equipment at a cost of $2.34 million and to put new equipment into existing space at a cost of $3.52 million. One of the permits explains the equipment is for the company’s Phase 7, Line 61. Johnson & Johnson Vision makes the Acuvue brand of disposable contact lenses. It has about 1,800 employees in Jacksonville and intends to add space and employees. Johnson & Johnson Vision, known well by its former name, Vistakon, developed the manufacturing, distribution and research and development campus on about 69 acres.
Wayfair hiring ‘Leave Specialist’
Pet Paradise relocating HQ
The Wayfair Inc. job postings continue for Jacksonville. Among the latest is a “Leave Specialist” as a member of the field HR team reporting to Boston headquarters. Initial responsibilities include creating a leaveof-absence administration process and training the talent
The city approved a permit for Tenant Contractors Inc. to build-out headquarters space for Pet Paradise at 1551 Atlantic Blvd. at a cost of $765,542. Pet Paradise will lease about 7,424 square feet of space on the second floor of the San Marco building. Jacksonville-based Pet Para-
Jacksonville Daily Record/Jacksonville Record & Observer
Thursday, September 27, 2018 • Page 5
DEVELOPMENT NOTES n Amazon.com applied to the city for a permit to install conveyor supports at its 12900 Pecan Park Road fulfillment center at a $1.33 million job cost. n Becknell Services LLC seeks a permit to build the foundation for its speculative warehouse planned at 12075 Pritchard Road in Westlake Industrial Park. The city also is reviewing a permit application for the proposed 185,696-square-foot speculative building at a job cost of $7 million.
File image
Pet Paradise is moving its headquarters to 1551 Atlantic Blvd. in San Marco. It is leasing the second floor of the building.
dise Resort and Day Spa develops and owns boarding and day care centers for dogs and cats. It occupies about 5,000 square feet of office space in Southside at 5130 University Blvd. W. next to one of its pet centers. The 16-year-old company will move to accommodate its growing staff, which is working on adding eight to 10 Pet Paradise centers a year. Brian Franco, vice president of real estate for its corporate parent American Pet Resort LLC, said previously the company is “expanding exponentially” and needs more space. About 25 corporate staff members will move to the second floor of the Atlantic Boulevard building. Franco said Pet Paradise intends to add 10 or so full-time employees at the headquarters and will continue to boost systemwide employment as centers open.
Franco said that upon the relocation, the company’s call center will move from the Baymeadows area into the University Boulevard offices. That also is about 25 employees. Pet Paradise operates 35 locations with more than 800 employees throughout the South. In Northeast Florida, Pet Paradise will open its fourth location Oct. 1 as a prototype at 14976 Walden Springs Way in the Bartram area.
Love’s Travel Stops working toward Baldwin facility
The St. Johns River Water Management District is reviewing an application for Love’s Travel Stops and Country Stores in Baldwin. The 17-acre project is planned at 17110 Brandy Branch Road to include a convenience store, restaurants and fueling facilities to
n The city is reviewing civil site plans for Park Place, a four-story, 125,000-square-foot office building on 10.51 acres in Nocatee. VanTrust Real Estate LLC, through VTC Jacksonville Office Park Development LLC, is the developer. England-Thims & Miller Inc. is the civil engineer. VanTrust says construction should start in the first quarter. It is the first building toward an eventual 675,000-square-foot, 60-acre business park. n Colliers International Northeast Florida announced that Douglas Blair, Morgan Williams and Bradley Coe, directors of multifamily investment services, brokered the $2.75 million sale of a 16.75-acre vacant site along Gate Parkway West from Gate Parkway Holdings LLC to Becovic Management Group for development of a 230-unit apartment community.
serve cars and tractor-trailers. Love’s Travel Stops and Country Stores is based in Oklahoma City. Adkinson Engineering is the project engineer. The site is off Interstate 10 at U.S. 301. Plans show a building of 11,300 square feet and a 9.700-square-foot tire shop. In April, Love’s Travel Stops said it expects to start construction next year and the project
n Colliers also announced that Coe, Williams and Blair brokered the $10.75 million sale of the 194-unit Avalon Hill apartments at 7557 Arlington Expressway from Oreo Asset Holdings LLLP to Jax Avalon LLC. n And Colliers also said representatives Eric Bumgarner and Joseph Turri represented Southeast Utilities of Georgia in the purchase of a 17,900-square-foot industrial building on 5 acres at 402 Ellis Road S. for $1.475 million. Colliers associate Jonathan Scott represented the seller, SSI Lubricants LLC. Southeast Utilities will use the space for expansion of its telecommunications operation. n Transwestern Managing Director John Bell represented the seller, Bluerock Real Estate LLC, in its $29.55 million sale of the Summit at Southpoint to Rose & Berg Realty Group. The four-building property totals 260,664 square feet on 24.3 acres at 6410-6440 Southpoint Parkway. It was 82 percent occupied at the time of the sale. “The market has transitioned into a key investment market on the buy list of savvy investors,” Bell said in an emailed statement. He said he expects increased valuations for Jacksonville office properties. “There is insufficient supply of product to meet intense investor demand.”
will create about 50 jobs. In December, the company said it intends to open the store, its second in the area, by early 2020. It will have 10 gas pumps and eight diesel pumps. The chain opened a store in May 2015 at 400 Pecan Park Road off I-95 north of Jacksonville International Airport. The Pecan Park Road store
opened with Chester’s Chicken and Subway restaurants. It also features seven showers, 82 truck parking spaces, a Love’s Truck Tire Care center, cardless fueling and CAT Scales for weighing trucks. KMATHIS@ JAXDAILYRECORD.COM @MATHISKB (904) 356-2466
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Page 6 • Thursday, September 27, 2018
Jacksonville Daily Record/Jacksonville Record & Observer
THE CAWTON REPORT
Curry’s biggest budget yet approved, 19-0 IN BRIEF Davisson, Loretta return to DDRB City Council on Tuesday confirmed the Downtown Development Review Board reappointment of Craig Davisson and board Chair Joseph Loretta through June 2020. Both are serving their second terms. Davisson is an architect and Loretta is a landscape architect. The board reviews design standards for Downtown projects. In October, council members will consider James Allen to replace Rafael Caldera on the board.
DAVID CAWTON STAFF WRITER
$2.6 billion spending plan includes $161 million in capital improvements and a $30 million increase for the Jacksonville Sheriff’s Office. With emphasis on economic development and increased spending for city agencies and departments, City Council unanimously approved Mayor Lenny Curry’s 2018-19 budget. It is the fourth time a Curry budget received the backing of all 19 council members and, at $2.6 billion, it’s the largest he has presented. The budget includes $161 million for capital improvement projects – a plan discussed during committee meetings but received no discussion at Tuesday’s council meeting. Within the Capital Improvement Program are millions for countywide infrastructure improvements and economic development efforts. Curry moved $2.5 million to the Downtown Investment Authority’s Downtown Economic Fund ahead of development deals lining up in the urban core and property near TIAA Bank Field. One of those projects likely will involve Jacksonville Jaguars owner Shad Khan, who wants to begin an estimated $2.5 billion mixed-use development in and around the stadium complex. The CIP budget has $25 million, including a $12.5 million commitment from the state, to remove the Hart Bridge elevated ramps. According to Jaguars President Mark Lamping, removing the ramps is a major factor in whether Khan’s development will proceed with the scope and investment he prefers.
City of Jacksonville photo
Jacksonville Mayor Lenny Curry and Jacksonville Sheriff Mike Williams. Curry’s 2018-19 city budget includes $439 million for JSO, an increase of $30 million.
The administration says removing the ramps will have more of an economic impact on the Talleyrand port area than it will for Khan’s development plans. The stadium complex is in council District 7, which comprises Downtown and a considerable amount of North Jacksonville. District 7 received the largest chunk of capital improvement dollars, about $61.3 million. Besides economic development, Curry also raised spending for public safety. The Jacksonville Sheriff’s Office received a $30 million increase to $439 million. The Jacksonville Fire and Rescue Department’s budget was increased $17 million to $234 million. The public library, public works, planning and development and parks and recreation departments all received larger budgets. The budget takes effect Oct. 1.
St. Johns River dredging project contracts awarded
The U.S. Army Corps of Engineers awarded nearly $210
million in contracts as the city and JaxPort begin the second phase of the St. Johns River dredging project. Great Lakes Dredge and Dock Co. was awarded a $113 million contract to begin Phase II of the project this year, with another $97 million to be awarded in 2019 to continue the work. JaxPort has permission from the federal government to deepen a 13-mile stretch of the St. Johns River from 40 to 47 feet from the Atlantic Ocean to an area just west of the Dames Point Bridge. The deeper channel will allow larger cargo ships to dock at JaxPort facilities on Blount Island. Jacksonville is competing with other East Coast cities to accommodate the larger ships. The entire project is expected to cost at least $705 million and take at least a decade to complete. Although the second phase could begin by the end of the year, a shortfall of roughly $14.1 million could remain as the project advances into 2019. The city of Jacksonville could allocate that funding. The $23 million Phase I is
expected to be completed by June and accounts for the initial 3-mile stretch of dredging. That phase started in February and is about 20 percent complete, according to JaxPort.
Rusty Chandler
JAA names interim CEO The Jacksonville Aviation Authority announced Monday that Rusty Chandler will serve as interim chief executive officer as the authority searches for a permanent replacement. CEO Steve Grossman is retiring at the end of October. Grossman served as CEO for nine years. Chandler is chief of Cecil Airport and has been with JAA since 1998 after retiring from the U.S. Navy.
Project Blaze incentives OK’d The economic development agreement code-named “Project Blaze” won City Council approval Tuesday. The “ecofriendly” hair care product manufacturer wants to bring 150 jobs to Jacksonville with the assistance of city-backed financial incentives. Those include the city’s 20 percent share of a $450,000 Qualified Target Industry workforce grant, $90,000. The legislation said the company plans to purchase a 170,000-square-foot facility in South Jacksonville. Average employee annual pay is estimated to be at least $50,0000. In June, Ecoco Inc., a Chicago-based natural hair-products manufacturer, bought the property in EastPark and paid for a county business license. Liongate Investment LLC, based at Ecoco’s Chi-
cago address and led by Ecoco President Aaron Tiram, paid $8.5 million for the almost 170,000-square-foot building at 11650 Central Parkway. DCAWTON@ JAXDAILYRECORD.COM @DAVIDCAWTON (904) 356-2466
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Thursday, September 27, 2018 • Page 7
BY SCOTT SAILER • EDITORIAL RESEARCH DIRECTOR
The percentage of lender-mediated sales, properties in foreclosure, short sale and/or owned by the bank or government agency, have tumbled since peaking in 2010, when more than half of home sales fit that criteria.
Lender-mediated sales percentage by year
Distressed discount The median price of lendermediated properties is about half the median price of traditional sales.
22.1%
2008
42.4%
2009
52%
2010
Year
LenderTraditional mediated median median sales price sales price
2008 $120,750 $190,000
51.6%
2011
2010 $85,000 $176,407
44.6%
2012
2011 $80,000 $173,000 2012 $87,500 $179,500
38.6%
2013
2013 $90,000 $195,000 2014 $86,500 $200,000
34.7%
2014
2015 $89,325 $204,452 2016 $94,500 $205,000
27.6%
2015
16.4%
2016
2017
2009 $105,000 $175,000
8.9%
2017 $115,000 $214,900 Note: Data represents Realtor-brokered combined sales of single-family, condominiums and townhomes. Not all Realtors in St. Johns and Nassau counties are members of the Northeast Florida Multiple Listing Service.
Source: Northeast Florida Association of Realtors
DEVELOPMENT TODAY These are the largest commercial building permits by job cost issued Tuesday by the city of Jacksonville. OFFICE, BANK, PROFESSIONAL Loan Depot, 4875 Belfort Road, contractor is Tenant Contractors Inc., 1,920 square feet, alterations and repairs, $56,373. Bay95, 8738 Baymeadows Road, No. 109, contractor is Brogdon Builders LLC, 1,480 square feet, tenant build-out for nail salon, $30,000. OTHER My Salon Suite, 9961 San Jose Blvd., Suite 1, contractor is Allegheny Design Management Inc., 4,800 square feet, interior build-out, $595,861. JaxPort Cruise Terminal VIP Room, 9810 August Drive, contractor is ACON Construction Co. Inc., 1,800 square feet, expansion, $55,900. ROOFING Terra Costa Villas, Lucena and Nogal lanes, contractor is Professional Sunshine Roofing Inc., new roofs, six permits, $104,000.
McDonald’s Corp., 7359 103rd St., contractor is Wilson Roofing Inc., $49,362. Christians United Outreach Ministries Inc., 1604 Fairfax St., contractor is Synot Construction LLC, $16,500. Pat Rhodes Accounting, 1067 Edgewood Ave. N., contractor is Bold City Roofing and Restoration, $10,400. SIGNS Crown Plaza and logo, 14670 Duval Road, contractor is Taylor Sign & Design Inc., six signs, $20,600. Pre-Owned and Honda logo, 11003 Atlantic Blvd., No. 100, contractor is McNeill Signs Inc., $13,000. DaVita Kidney Care, 8021 Philips Highway, No. 11, contractor is Taylor Sign & Design Inc., $1,000. TOWNHOUSE Montevilla, 15227 and 15231 Venosa Circle, contractor is Lennar Homes LLC, two townhomes, $400,000.
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NE Florida lender-mediated sales
Page 8 • Thursday, September 27, 2018
Jacksonville Daily Record/Jacksonville Record & Observer
THE BASCH REPORT
CSX sued after floodwaters inundate town MARK BASCH CONTRIBUTING WRITER
Property owners say company failed to act on warnings that railroad underpass left Lumberton, North Carolina, vulnerable to flooding. In the aftermath of Hurricane Florence, residents of one North Carolina town are alleging inaction by CSX Corp. caused major flood damage Five property owners in Lumberton, North Carolina, filed a class action lawsuit Monday against Jacksonvillebased CSX after floodwaters “poured through a gap in city levees.” “This gap was created by a railway underpass owned by CSX,” said the suit filed in U.S. District Court for the Eastern District of North Carolina. “Upon information and belief, CSX was aware that the underpass was a point of vulnerability for major flooding in Lumberton, ignored reports warning of the need for a permanent floodgate, and refused city officials’ pleas for permission to build a temporary berm to protect against forecasted Hurricane Florence flooding,” it said. Concerns about the underpass have been ongoing for several years and were exacerbated two years ago because of flooding caused by Hurricane Matthew. The lawsuit alleges CSX had been unresponsive to proposed resolutions to the problem even before Hurricane Florence threatened the area. CSX responded to the lawsuit with a statement saying “while CSX does not comment on pending litigation, it is important to point out that Hurricane Florence was an extraordinary storm that brought record flooding and left many communities throughout the region devastated including Lumberton.” CSX said it has extensive operations in the area. “Our thoughts are with those impacted by Hurricane Florence and we remain fully committed to working with the City of Lumberton to implement a permanent solution,” it said.
Wells Fargo, Ameris plan cuts, consolidation
Two banks with major operations in the Jacksonville area, Ameris Bancorp and Wells Fargo & Co., last week announced plans to close branches and consolidate operations. San Francisco-based Wells Fargo has the largest branch network in the Jacksonville metropolitan area with 52 offices, according to the latest Federal Deposit Insurance
Photo by Spc. Andrea Salgado Rivera, U.S. Army
U.S. Army soldiers assist in relief efforts in Lumberton, North Carolina, in the wake of flooding from Hurricane Florence. Property owners in the city are suing CSX, saying the railroad failed to correct an issue with a railway underpass that left the city vulnerable to floodwaters.
Corp. data. The company does not have data for employees in its Jacksonville area operations but said it has more than 13,000 employees in Florida. Wells Fargo’s total employment is about 265,000 in more than 8,000 offices. CEO Tim Sloan told employees in a companywide town hall meeting that Wells Fargo expects to cut its headcount by 5 percent to 10 percent throughout its operations over the next three years through “displacements” and attrition. “We are continuing to transform Sloan Wells Fargo to deliver what customers want – including innovative, customer-friendly products and services – and evolving our business model to meet those needs in a more streamlined and efficient manner,” Sloan said, according to a news release. The release did not give more details about where the cuts might come. Meanwhile, Ameris said it expects to cut costs by $20 million next year through initiatives including “certain branch closure and consolidation plans.” Ameris is officially headquartered in Moultrie, Georgia, but has its executive offices in Jacksonville. The company has 126 offices in Florida, Georgia, Alabama and South Carolina. It expanded in the spring with the acquisitions of Jacksonville-based Atlantic Coast Financial Corp. and Atlanta-area’s Hamilton State Bancshares Inc. The company did not specify the number of jobs or offices that may be affected. Ameris said in its annual report it had 1,460 employees at the end of 2017, while Atlantic Coast Financial reported 165 and Hamilton reported 342. Ameris CEO Dennis Zember said in a news release that the company will invest its cost savings in long-term growth initiatives. He doesn’t expect the cuts to impact customer service.
“We have invested substantially in mobile and on-line delivery systems that increasingly mirror our customers’ behaviors,” he said.
ParkerVision reduces board After reducing its operations last month, ParkerVision Inc. last week reduced the size of its board of directors from eight members to five. Four directors who had served on the board since 2004 or earlier resigned and a new director was added: Lewis Titterton, who has been an investor in Jacksonville-based ParkerVision. ParkerVision, which has been developing wireless technology, has been struggling, with sales of its new in-home Wi-Fi product called Milo disappointing since it was launched last fall. The company also has several legal actions pending against major wireless device manufacturers alleging patent infringement, but none have been successful to date. As the company continues to lose money, ParkerVision last month said it was closing its office in Lake Mary and cutting 30 jobs. It reported 45 full-time employees at the end of 2017. “The downsizing of our board coincides with a narrowing of the company’s business focus and will allow for closer collaboration between the board and the executive management team,” CEO Jeff Parker said in a news Parker release. The company recently has raised money with the sale of convertible notes and because of that, ParkerVision had to call a special meeting of stockholders to authorize an increase in the number of shares outstanding. The stock was delisted from Nasdaq last month but continues to trade in the overthe-counter market. The stock bottomed out at 21 cents after the delisting but it has been trending up recently, trading near 60 cents.
Titterton, who has a background in health care technology, has increased his investment in the company recently and now is the largest stockholder on the board, according to a proxy statement filed for the special meeting. Titterton controls 4.1 percent of the stock, while Parker’s stake is 2.9 percent.
Rayonier AM sells former Tembec business
Rayonier Advanced Materials Inc. last week sold the assets of one of the businesses it acquired from Tembec Inc. last year. Jacksonville-based Rayonier AM sold its resins business to LRBG Chemicals for about $16.5 million. Rayonier AM acquired Montreal-based Tembec in November for cash and stock valued at more than $800 million, a deal that greatly expanded Rayonier’s sales and geographic reach. Like Rayonier AM, Tembec produced cellulose specialties products but also had other product lines new to Rayonier AM, like the resin business. That business, with manufacturing facilities in Toledo, Ohio, and Quebec produces chemical resins used in the manufacturing of oriented strand board, hardboard and other engineered wood products, the company said. “The sale of the resins business allows us to divest a non-core petroleum-based chemical asset. Further, it provides our stockholders with a fair value and incremental cash to be redeployed through our capital allocation process focused on risk adjusted returns,” Rayonier AM CEO Paul Boynton said in a news release.
Analyst sees more gains for FIS Fidelity National Information Services Inc., or FIS, is trading near record highs. But one analyst thinks the Jacksonville-based provider of bank technology is poised for even more gains. SunTrust Robinson Hum-
phrey analyst Andrew Jeffrey, who already had a “buy” rating on the stock, raised his price target on FIS from $115 to $125 Monday, with the stock trading at $110.58. “We believe investors will increasingly appreciate Fidelity’s consistent organic revenue growth and scalability,” Jeffrey said in a research note. “While FIS has outperformed, up 18 percent in 2018, it has lagged faster growing peers,” he said. With the consistent organic growth, Jeffrey is not expecting FIS to expand with acquisitions. “We contend Fidelity is poised for a period of consistent capital allocation, focused on debt paydown and share repurchases. While M&A remains possible, in our view, the company should be discerning, owing to high valuations and a dearth of complementary businesses,” he said.
Creative Learning changes COO St. Augustine-based Creative Learning Corp. last week announced Christian Miller resigned as chief operating officer and chief financial officer to return to a family business. Bart Mitchell, who has served on Creative Learning’s board of directors for the past year, is replacing Miller, who joined the company in 2016. That change came a month after board chairman Blake Furlow was named chief executive officer, a position that had been vacant. Creative Learning, which offers educational and enrichment programs for children through franchisees, has been improving financially in recent months. “Christian helped guide the company during a very difficult period. He made many contributions to the operations and management of the company and generated two consecutive profitable quarters after three years of losses,” Furlow said in a news release. MBASCH@ JAXDAILYRECORD.COM
Jacksonville Daily Record/Jacksonville Record & Observer
Thursday, September 27, 2018 • Page 9
REAL ESTATE
Top 10 sales of the week BY SCOTT SAILER • EDITORIAL RESEARCH DIRECTOR
Here are the top 10 real estate sales in Northeast Florida, comprising Baker, Clay, Duval, Nassau and St. Johns counties. The sales were recorded Sept. 17-21.
Special to the Daily Record
A single-family home at 358 San Juan Drive in Ponte Vedra Beach sold for 1.86 million, a 13 percent increase over its 2016 sales price.
$9,111,600
$3,806,000
$3,000,000
$2,750,000
$2,500,000
Commonwealth Avenue, Fish and Pritchard Roads, Jacksonville, Duval County
Osprey Landing, Jacksonville, Duval County
King Street, St. Augustine, St. Johns County
Stacey Road, Jacksonville, Duval County
1805 U.S. 1 S., St. Augustine, St. Johns County
Type: Timberland Size: unavailable Buyer: Jacksonville Electric Authority Seller: Westlake Land Management Inc. Previous sale: $5,350,000 in 1973
Type: 81 single-family lots Size: unavailable Buyer: Lennar Homes LLC Seller: Clay Investment Fund XIV LLC
Type: Vacant undeveloped commercial Size: 2.16 acres Buyer: Seavin Inc. Seller: San Sebastian Retail LLC Previous sale: 1.81 acres: $750,000 in 2005 and 0.35 acres: $225,000 in 2014
Type: Vacant Size: 30.38 acres Buyer: Palm Island Partners LLC Seller: Annie B. and George M. Bennett Previous sale: $370,000 in 1995
Type: Kentucky Fried Chicken Size: 0.46 acres Buyer: Quick Service Realco LLC Seller: Mr. B. Foods Inc.
$2,431,391
$2,400,000
$1,862,000
$1,860,000
$1,815,000
Baymeadows Road, Jacksonville, Duval County
Magnolia Street, Jacksonville, Duval County
Whisper Creek, St. Augustine, St. Johns County
358 San Juan Drive, Ponte Vedra Beach, St. Johns County
22 W. 38th St., Jacksonville, Duval County
Type: Commercial Size: 5.79 acres Buyer: Baymeadows Park LLC Seller: D.R. Horton Inc. Jacksonville
Type: Commercial Size: 2 acres Buyer: Riverside Lodging LLC Seller: Parkview Plaza Partners LLC
Type: 38 single-family lots Size: not available Buyer: HDP Trailmark LLC Seller: Six Mile Creek Investment Group LLC
Type: Single-family Size: 0.38 acres Buyer: Thomas G. Wattles and Celia M. Dietrich Seller: Earl A. and Mollie Spriggs Previous sale: $1,645,000 in 2016
Type: Apartment Size: 2.43 acres Buyer: 24 Jacksonville LLC Seller: JAX Property 770 LLC Previous sale: $1,107,700
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Page 10 • Thursday, September 27, 2018
Jacksonville Daily Record/Jacksonville Record & Observer
Special to the Daily Record
New Orleans Saints quarterback Drew Brees at the New Orleans Surge Trampoline Park. He is opening a Surge Adventure Park in Regency Court in Jacksonville.
Surge: Offers trampolines, climbing walls CONTINUED FROM PAGE 1
line Dodgeball.” Surge Adventure Park is under development at 9292 Arlington Expressway. An opening date has not been announced. The NFL announced Wednesday that Brees was the NFC Offensive Player of the Week for Week 3 after Sunday’s 43-37 win over the Atlanta Falcons. Brees was in town Aug. 9 when the Saints beat the Jaguars 24-20 in the preseason game at TIAA Bank Field, although he didn’t play. A Surge Trampoline Park operates in Metairie, Louisiana, in the New Orleans metro area. In Jacksonville, the Surge Adventure Park sign is on the building. Its Facebook page is Surge Adventure Park – Jacksonville, FL. Surge describes its facilities as
“a cutting edge trampoline park, entertainment and amusement center, fitness and sports facility.” A plan filed with the city shows Thomas H. Hughes/Architecture of Winston-Salem, North Carolina, is the architect of the Jacksonville project. The at least 30,000-squarefoot space is between You Fit and the Family Fun Zone. On Aug. 10, the company posted on Facebook that it was about two weeks out from opening. It also has been posting job openings. Regency Court Shopping Center is a 218,646-square-foot retail project at 9200-9398 Arlington Expressway. Mishorim Gold Jacksonville LLP bought the center for $5 million in November from a bank trustee and asset manager that had taken title to the property. The company has been add-
ing tenants, including Class Axe Throwing – Jacksonville and the seasonal 13th Floor Haunted House – Jacksonville, both scheduled to open Friday; SK8CityJax, a roller rink with bumper cars, bounce houses and other features expected to open before Thanksgiving; Aficionado Grooming Lounge for men; and more. “This property is going to be the entertainment center of Jacksonville,” Mishorim USA Partner Mark Gold said this week. He said it will offer 150,000 square feet “of family entertainment and fun.” Gold said the property was 30 percent occupied when Mishorim bought it 10 months ago. Today it is 95 percent occupied with two units available. Property records show the 11 buildings at Regency Court were built from 1973 to 1985. Gold said in January his group
Climbing walls are among the features of Surge Adventure Park.
intended to invest $12.6 million in the property. CBRE Inc. Associate Lara Bahri is the leasing agent.
KMATHIS@JAXDAILYRECORD.COM @MATHISKB (904) 356-2466
Greene: Will serve until a replacement found CONTINUED FROM PAGE 1
Cancer Center as benchmarks in the past 20 years. “There are a couple where I had a particular personal commitment,” he said. “We are a leader in mental health care for children, adolescents and adults. And the Baptist AgeWell Institute that provides care for the chronically ill elderly — that was an idea of mine.” Greene served for several years on the board of directors for JAX Chamber and as its chair in 2011. He was chair of the chamber’s business recruitment division, JAXUSA Partnership, in 2007. “Hugh is a leader,” said JAX Chamber President and CEO Daniel Davis. “The value Baptist Health brings to this community is immeasurable. Since Hugh has
been here, Baptist Health has created thousands of jobs and saved thousands of lives.” Baptist Health is the largest private employer in the region, with 10,500 workers, according to the JAXUSA Partnership. Greene was inducted into the First Coast Business Hall of Fame in 2007 and was recipient of the 2012 Humanitarian Award by OneJax and the 2013 Distinguished Business Leader Award by the University of North Florida’s Coggin College of Business. Former Jacksonville Mayor and retired UNF President John Delaney said Greene was selected for the award for several reasons. “Hugh is a heck of a businessman. Baptist Hospital makes money and they do a lot of charity care,” Delaney said. “But it’s not just the way a CEO runs a company, it’s about what
they do for the community.” “Hugh Greene has been a tremendous force behind many of Baptist Health’s innovative programs and initiatives developed to advance health services and resources in Jacksonville,” said Mayor Lenny Curry. “His leadership in securing the MD Anderson partnership, generous philanthropic endeavors and establishment of pioneering healthcare solutions demonstrate his commitment to the well-being of our citizens and contribute to Jacksonville’s growing reputation as a frontrunner in the health and life sciences sector. I thank him for his hard work and dedication to our city, and wish him all the best in his retirement.” Greene said he realizes that he would be considered by his peers in the industry an “outlier” by virtue of serving as the CEO of a
major metropolitan hospital for more than just a few years. He credits his professional longevity, in part, to the fundamental business structure of the health care provider. “We are a locally governed, community-focused organization. The board is made up of community leaders who are willing to make major investments to respond to the needs of the community,” Greene said. He said while pondering his retirement decision, two words kept coming back to him. “The first is gratitude for the opportunity — I consider it a sacred privilege — to work with the board and the team. “The second is confidence – in the future of Baptist Health as it continues to grow,” Greene said. He will remain as chief executive until a new CEO is selected
in 2019. “I still love what I do, but I think it’s the right time for a transition,” Greene said. The Baptist Health board of directors will conduct a nationwide search for Greene’s successor. “Baptist has thrived under Hugh’s leadership and to be honest, we wish he would remain CEO for the next 20 years,” said Baptist Health Board Chairman Richard Sisisky in a news release. “But since that’s not possible, we have the next-best scenario, which is a flexible retirement date, allowing us ample time to conduct a thorough search to ensure an excellent fit and smooth transition of leadership.” MMARBUT@ JAXDAILYRECORD.COM (904) 356-2466
Jacksonville Daily Record/Jacksonville Record & Observer
Thursday, September 27, 2018 • Page 11
BY KAREN BRUNE MATHIS • EDITOR
Alex Sifakis is one of four owners of JWB Real Estate Capital, which he formed with Gregg Cohen, CEO, in 2006 to flip rental properties. CFO Adam Rigel and COO Adam Eiseman also are owners. With 60 employees and more being added, the company, based along Philips Highway, is expanding its property management and infill land development and construction, all handled in-house. We create passive real estate investments for people that want to invest in real estate but don’t have the time or knowledge to do it. We buy a home, renovate it, rent it out and then sell it to an investor and we continue to manage it. In 2011, we started buying lots, building homes, renting them out and selling them to our clients as well. We’ve developed an old mobile home park, a blighted 5-acre parcel that was used for old vehicles, vacant parking lots … it’s been everything. The opportunity is endless.
property management services to the greater Jacksonville area, as well as purchasing other property management companies. Our goal is to have 5,000 units under management in the next two years. I didn’t want to get a real job. I’ve always been entrepreneurial. I grew up in Massachusetts and moved to Orlando for high school and went to the University of Florida. I graduated in 2005. I worked all through college and had a job lined up to do accounting for a marketing firm, but, instead, I convinced my buddy Gregg to quit his job and, despite having no experience, we started flipping houses. We went to some of those seminars you hear about on late-night radio and it worked. Real estate isn’t complicated, it’s not hard to understand, but it’s a lot of hard work.
We started in 2006, which was the exact wrong time to start a real estate investment company. We had a couple of good years and a couple of rough years and through those rough years we figured out that the only people that were really buying homes were investors. We filled a niche that was created by the real estate crash.
I grew up in the restaurant business. My family owned a restaurant in Massachusetts and we sold it. My mom really wanted to move everyone to Florida so that’s how I ended up in Orlando.
Our clients are typically doctors, attorneys, business owners, executives, people that want to invest in real estate. We buy 500 to 700 properties a year and there’s plenty of opportunity in Jacksonville to continue to do that. We sell 420 to 450 properties a year. And we have our own real estate portfolio. We keep close to 400 rental properties. It’s practice what you preach. We look at the B and C markets. Our price range is $100,000 to $200,000. That’s the bread and butter because that’s where you can get the best rental returns. We buy single-family homes, typically three-bedroom or four-bedroom, and some townhomes and
attached properties.
I have a beautiful wife, Britt, a 2-year-old son, Sawyer, and another on the way. For fun, I hang out with my family. We take Sawyer to the park and to the beach. Life’s a lot different than it was five or six years ago. It’s amazing how your priorities change when you get married and have kids. I wouldn’t trade it for anything in the world.
We’re focusing on our property management company. We manage 2,300 single-family homes and we are opening
KMATHIS@JAXDAILYRECORD.COM @MATHISKB (904) 356-2466
Special to the Daily Record
ABOUT SIFAKIS Title: President Organization: JWB Real Estate Capital
YOU SHOULD KNOW
ALEX SIFAKIS
Age: 35 Family: Wife, Brittany; son, Sawyer, 2, with another son on the way Education: Bachelor’s degree in marketing, University of Florida, 2005 Hometown: Ayer, Massachusetts; but has adopted Jacksonville after being here about 13 years Hobbies: Fishing, football, chasing Sawyer Website: jwbrealestate capital.com
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LEGAL COMMUNITY ‘Virtual vehicle’ will help students learn to drive
Apex Virtual Vehicle developer Trish Johnson shows Coker Law partner Matthew Posgay how to use the high-tech driver training system.
Coker Law donates simulator that will help ninth-graders at Wolfson High School practice safe driving. BY MAX MARBUT ASSOCIATE EDITOR
A
Jacksonville trial law firm that specializes in representing people who have been injured in roadway crashes is sponsoring a program intended to reduce the number of people who need the firm’s services. Coker Law, in partnership with Apex Resource Center, is providing a high-tech driver education opportunity for students at Wolfson High School. “We live in this community and we want the community to be safer, so we’re teaching young drivers good practices for safe driving,” said Coker Law partner Matthew Posgay. The law firm is donating an Apex Virtual Vehicle that will be installed in a classroom that already is used for virtual and online learning. The virtual vehicle — with a driver’s seat, steering wheel, pedals and dashboard gauges along with a panoramic video display — will be used by ninth-grade students at Wolfson who will be applying for a Florida Learner’s License. An instructor will supervise the course and students also will have access to a self-directed tutorial program. The virtual vehicle and its training software were developed
Photos special to the Daily Record
Designed to be more like a flight training simulator than a video game, the Apex Virtual Vehicle allows students to experience realistic driving situations.
by former competitive race driver Trish Johnson, who now is a driver safety educator. “It’s more like a flight simulator for pilot training than a video game. It’s programmed to be like driving a 4,200-pound vehicle,” she said. Johnson said the technology was developed to bridge the skill
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happen,” Johnson said. In the classroom, students will be able to interact with a realistic driving experience, “but their mistakes aren’t going to be tragic or deadly,” she added. “Our goal is to teach safe driving techniques from the very start in order to prevent tragedies from happening,” Posgay said.
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Jacksonville Daily Record/Jacksonville Record & Observer
Thursday, September 27, 2018 • Page 13
Court dismisses challenge of Duval bail policy THE MARBUT REPORT
MAX MARBUT ASSOCIATE EDITOR
“This is far from over,” attorney Bill Sheppard says; suit argued policy violates plaintiffs’ constitutional rights. The federal court in Jacksonville dismissed a complaint on behalf of people who have been or will be arrested and taken to jail in Duval County but can’t afford to make bail and therefore remain incarcerated. The lawsuit was filed Aug. 30, 2017, by attorney William Sheppard of Sheppard, White, Kachergus & DeMaggio on behalf of three named plaintiffs Shepard and other people in similar status not named. It was dismissed Sept. 11 by U.S. District Judge Brian Davis. He directed the clerk of the court to terminate pending motions and close the file on the case. The complaint was filed against 4th Judicial Circuit Chief Judge Mark Mahon and the other circuit and county judges and also against Sheriff Mike Williams. It challenged the use of a secured money bail system to detain people who are arrested for misdemeanors but lack the resources to post cash bond on their own or to engage the services of a bail bonding agency. Sheppard contended that Jacksonville uses “wealthbased post-arrest detention procedures” and that the city imposes “secured financial conditions of pre-trial release” without determining whether a person who has been arrested has the ability to pay. The complaint stated that the policy of the Jacksonville Sheriff’s Office and of the
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State Attorney’s Office adds nine assistants The State Attorney for the 4th Judicial Circuit added nine assistants to its staff of criminal prosecutors. From left, County Court Division Chief Katelyn Johnston, County Court Director John Kalinowksi, new Assistant State Attorneys Brittany Johnson, Goliath Davis, Sabrina Marcos, Maxwell Wesemann, Jacqueline Hutchins, Spencer George, Katie Borello, Marcus Isom, Starleigh Smith, County Court Division Chief Korey Milo and State Attorney Melissa Nelson. Four of the new assistants received their J.D. from the University of Florida Levin College of Law; Their colleagues are graduates of Cornell Law School, Florida Coastal School of Law, St. Louis University School of Law, University of South Carolina School of Law and Washington and Lee University School of Law.
judges is to incarcerate people who are arrested for misdemeanor crimes unless they pay a fee determined by an offense-based bail schedule. The lawsuit alleged that the city and JSO violated the plaintiffs’ rights to due process and equal protection guaranteed by the state constitution and the 14th Amendment of the U.S. Constitution. Motions to dismiss the case were filed by Senior Assistant State Attorney General William Stafford III on behalf of the judiciary and by city Deputy General Counsel Jon Phillips on behalf of the sheriff. In the motion for dismissal, Stafford cited “absolute judicial immunity,” part of the 1996 Federal Courts Improvement Act that makes judges, acting in their official capacity, immune from litigation related to rulings they make from the
bench, such as bail hearings. In addition, Stafford said in the motion, the 11th Amendment to the U.S. Constitution bars consideration by federal courts of claims that a state or state official violated state law. Stafford also cited Younger v. Harris, a U.S. Supreme Court decision that federal courts should refrain from intervening in ongoing state criminal proceedings. In the response on behalf of Williams, Phillips cited the Pullman abstention doctrine. It states that “a federal court will defer to state court resolution of underlying issues of state law” in order to avoid “unnecessary friction in federal-state relations.” Philips also stated that the bail policy in Duval County is set by the judges, not by the sheriff and further that the sheriff, as a city employee, cannot be held liable for
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the actions of state officers, including judges. Davis dismissed the federal court case without prejudice. That gives the plaintiffs the option to appeal the case to a higher federal court, or to file a complaint in the state court. Sheppard said Monday he’s considering how to move forward with the case. Options include appealing the ruling to the federal appellate court or amending the complaint and returning to the federal district court. He said he takes “great comfort” in some of Davis’s language in the order dismissing the case: “To be sure, Plaintiff’s Complaint, taken as true, raises serious and concerning allegations. If the judges in Duval County, Florida are not considering an accused’s financial ability to post a bond
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when setting bond amounts, then they are violating not only Florida’s Constitution and its Rules of Criminal Procedure, but arguably they act in violation of the Eighth and Fourteenth Amendments to the United States Constitution.” “This is far from over. We will continue to fight,” said Sheppard. MMARBUT@ JAXDAILYRECORD.COM (904) 356-2466
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IN THE LAW
Page 14 • Thursday, September 27, 2018
Jacksonville Daily Record/Jacksonville Record & Observer
ADINA POLLAN
ADINA POLLAN
BY MAX MARBUT • ASSOCIATE EDITOR
Age: 39
Owner, Pollan Legal
Education: Emory University, bachelor’s in business administration; University of Florida Levin College of Law, J.D.
Adina Pollan is chair of the Jacksonvie Bar Association Judicial Relations Committee. Who or what inspired you to become a lawyer? I took a business law class in college and did extremely well, so the professor asked if I’d ever considered going to law school. I hadn’t, so I followed her (very good) advice.
Hometown: Jacksonville
Someone who inspires me: People who know me know that my life is inspired by my paternal grandparents. They met in Auschwitz and survived the Holocaust, then had a family and had long, fulfilling lives. They are a constant reminder to me that tomorrow always will be better, which I think of whenever I feel down or lost.
Favorite book:”The Road” by Cormac McCarthy Book I’m reading now: “Swann’s Way” by Marcel Proust
How do you relate your undergraduate degree to your practice of law? I was a business major, which plays a role every day in commercial litigation and bankruptcy. How did you decide your practice area? And why have you chosen that? I had the honor and privilege of clerking for U.S. Bankruptcy Court Judge Jerry Funk right out of law school. Learning from his honor, his permanent law clerk and the lawyers that came into his courtroom really motivated me to continue with bankruptcy in my legal career. What has been the biggest change in your practice area since you passed the Bar? There have been significant changes since the Bankruptcy Act was passed in 2005, and with how bankruptcy courts have had to respond to the Great Recession. What do you think will be the next biggest change in your area of law? It will be interesting to see how the continuing effects of the economy affect bankruptcy in general.
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If I could change anything in the legal system, I would: Make access to justice easier for everyone. I also think it’s extremely important for people to know their rights so they have an understanding of how the judicial system works, and have realistic expectations during their cases. What community service have you pursued and why that? I have become very involved with the Jacksonville Bar Association and the Business Law Section of The Florida Bar, and have continued my involvement with the Chester Bedell American Inn of Court, the
Professional Ethics Committee of The Florida Bar, and the Jury Instructions CommitteeContract and Business Cases. I also make sure to participate in the pro se clinic in conjunction with Jacksonville Area Legal Aid at least twice a year. What’s your advice for new lawyers? Get involved with the JBA, a section of The Florida Bar and at least one special interest Bar association. That will provide a wealth of resources and you will gain not only insightful information but lasting friendships and wonderful experiences.
Websites I can’t live without: I’m unfortunately addicted to Facebook, but Waze also is completely necessary for my court and business trips across the state Favorite nonwork activities: Selling clothes on Poshmark, reading, crafting with friends, snuggling with my dog, Baxter, and spending time with friends and family
MATHIS REPORT:
Karen Mathis REAL ESTATE AND ECONOMIC DEVELOPMENT, EDITOR
Hometown: A farm town in Greater St. Louis, Missouri; attended high school in Union, Missouri Currently living: Jacksonville, FL Daily Record employee: Eight years Alma mater: University of Missouri School of Journalism What you do when you are not working? Explore the Northeast Florida park system where we walk our rescue dog and drive the area to scout the
I’ve covered business news in Northeast Florida for about 40 years,
developments I cover.
meeting and writing about thousands of people, businesses and developments. Each person, company and event played a role in making
Connect: kmathis@jaxdailyrecord.com
Jacksonville what it is today. The primary question I continue to receive is, “What’s going on?” We do our best, every day, to answer that. Karen Brune Mathis
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Jacksonville Daily Record/Jacksonville Record & Observer
Thursday, September 27, 2018 • Page 15
31 new attorneys sworn in at courthouse
Photos by Max Marbut
Courtroom 406 at the Duval County Courthouse was filled to capacity Sept. 20 when 31 law school graduates swore the Oath of Attorney, witnessed by their families and friends. BY MAX MARBUT ASSOCIATE EDITOR
T
he Northeast Florida Bar gained 31 new members Sept. 20 when law school graduates who passed the Florida Bar exam were sworn in as attorneys during a ceremony at the Duval County Courthouse. The Oath of Attorney was administered by 4th Judicial Circuit Judge Mark Mahon. He said the new lawyers would be practicing in what is regarded as a “great Bar and one of the greatest benches in the state.” Jacksonville Bar Association President Katie Dearing said it was the first swearing-in ceremony she had attended since her own. Dearing advised the new attorneys to strive to constantly hone their skills and encouraged them to depend on their new colleagues for guidance. “Don’t be afraid to ask questions. Get a mentor. They can help answer questions you don’t yet know to ask,” she said. Dearing also recommended that the new attorneys be active in the JBA and take advantage of the educational and professional development programs offered by the association. Twenty-nine of the 31 new attorneys joined the JBA and met their mentor on their first day as lawyers. “This is a profession and a business. Get out and meet people and make relationships,” Dearing said. MMARBUT@JAXDAILYRECORD.COM (904) 356-2466
Florida Coastal School of Law Associate Dean Jennifer Reiber congratulated the 31 new attorneys, 28 of whom are Florida Coastal graduates.
Duval County Judge Gary Flower is chair of the Jacksonville Bar Association Professionalism and Mentoring Committee.
Jacksonville Bar Association President Katie Dearing advised the graduates to find a mentor.
Fourth Judicial Circuit Chief Judge Mark Mahon administered the Oath of Attorney.
LEGAL BRIEFS
Attorneys named construction law fellows BY MAX MARBUT ASSOCIATE EDITOR
Rogers Towers shareholders G. Kenneth Norrie and Cheryl L. Worman are charter fellows of the Construction Lawyers Society of America. Norrie is a board-certified construction lawyer and chair of the firm’s construction department. A graduate of the University of Florida, he received his J.D. from Harvard University Law School. Worman also is a board-certified construction lawyer and serves on the firm’s board of directors. She graduated from the University of West Florida and received her J.D. degree from Stetson University College of Law. The CLSA is an invitationonly international association of lawyers specializing in
Norrie
Worman
construction law and related fields. Fellows are generally at the partner or shareholder level, or are independent practitioners with recognized advanced status among their peers.
Attorney vacancies on state boards There’s an opening on the Florida Realtor-Attorney Joint Committee. Five lawyers, one from each state appellate district, will serve two-year terms commencing Jan. 1. The committee comprises 11 lawyers appointed by The Florida Bar and 11 Realtors
appointed by the Florida Association of Realtors. The committee promotes cordial relations between Realtors and attorneys and presents educational seminars. There’s also an opportunity to serve on the 20-member board of directors of Florida Rural Legal Services. One attorney is needed to serve a three-year term beginning Jan. 1. The mission of Florida Rural Legal Services is to provide accessible legal assistance to low-income and disadvantaged populations. Attorneys interested in applying for either vacancy should call Bar headquarters at (850) 561-5667 to obtain the application form. Completed applications must be received by Nov. 9. The Florida Bar board of governors will review all applications and may request telephone or personal interviews.
THE FLORIDA BAR CERTIFIES LOCAL ATTORNEYS
Twelve local lawyers are among the 291 attorneys who recently earned Florida Bar board certification. Florida offers 27 specialty areas for board certification, more than any other state. About 5,300 of Florida’s nearly 121,000 lawyers have earned board certification. The designation that places them among Florida lawyers who may use the term “board certified” when referring to their legal credentials. They are: CITY, COUNTY AND LOCAL GOVERNMENT LAW n Patrick W. Krechowski, GrayRobinson CIVIL TRIAL n Alexis Marie Clay, Peter F. Nunes and Associates n Gregory Wayne Lineberry, Lineberry Legal n Samuel Grier Wells, GrayRobinson CONDOMINIUM AND PLANNED DEVELOPMENT LAW n Barry Barnett Ansbacher, Ansbacher Law n Christene Miele Ertl, Ansbacher Law
n Edward Ronsman, McCabe & Ronsman n Hans Christopher Wahl, Jimerson & Cobb
CRIMINAL APPELLATE LAW n Diana L. Johnson, Johnson and Lufrano JUVENILE LAW n Christine Marie Meyer, Guardian ad Litem program Labor and Employment Law n Kirsten Lea Doolittle, Law Office of Kirsten Doolittle TAX LAW n Christine Marie King, Frazier & Frazier Attorneys at Law
Page 16 • Thursday, September 27, 2018
Jacksonville Daily Record/Jacksonville Record & Observer
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