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Mathis Report: October start date for Lane Industrial Park

July 23-29, 2020

PAGE 3

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JACKSONVILLE

Record & Observer RNC ‘is going to happen,’ official says

COMMERCIAL DEVELOPMENT OUTLOOK JACKSONVILLE

Record & Observer IT’S NOT ALL BAD The economy enters into a recession because of COVID-19, but some projects are moving forward. JACKSONVILLE

What experts are saying

Jacksonville 2020 Host Committee president offers insight to Southside Business Men’s Club.

INDUSTRIAL MARKET

BY MIKE MENDENHALL

“Industrial real estate is well positioned to weather the storm.” JLL

STAFF WRITER

Record & Observer OFFICE MARKET “Tenants have taken a wait and see approach during Q2 2020 as furloughs and layoffs started occurring.” CBRE

JACKSONVILLE

Jacksonville 2020 Host Committee President Trent Morse said the Aug. 24-27 Republican National Convention in Jacksonville “is going to happen,” despite questions about its viability. Morse addressed security concerns and offered insight into the convention in a speech July 22 to the Southside Business Men’s Club at the San Jose Country Club. “There’s a question about security and whether or not the convention is going to happen. I can tell you right here, right now, the convention is going to happen,” he said. “The president is going to accept his nomination in Jacksonville on Thursday night.” Morse said the host committee expects 7,500 delegates, alternates and their guests to watch President Donald Trump give his acceptance speech Aug. 27. Morse said about 2,500 people will hear speeches from the Trump family, First Lady Melania Trump and Vice President Mike Pence, respectively, the first three nights of the RNC. Morse said the RNC host committee didn’t know in advanceabout the security concerns of Jacksonville Sheriff Mike Williams, who told reporters July 20 there wasn’t enough time, money or officers to keep everyone safe during the convention. “Regardless of what happened on Monday, it’s unfortunate that that was said without us being aware of it,” Morse said. “Again, we’re going to get there.”

Record & Observer RETAIL MARKET

NEW JEA HQ TO BEGIN CONSTRUCTION

“This sector is likely to be among the hardest hit by the coronavirus pandemic.” NAI Hallmark

Ryan Companies US Inc. says construction will begin in August on JEA’s new headquarters at 225 N. Pearl St. near the Duval County Courthouse.

CAPITAL MARKETS

Photo by Monty Zickuhr

BY KAREN BRUNE MATHIS EDITOR

acksonville’s commercial real estate market experienced an unexpected development in the first half of the year, which started with strength and the main question being the effect of the November presidential election. As has been said, then came March. “Virology, not the business cycle, has dictated the course of the world’s economy this year,” said CBRE in its second-quarter Marketview research report. Major commercial brokerage firms

reported second-quarter Jacksonville market conditions that summarized the unpredictability of the January through June period of 2020. March marked the end of the first quarter. The National Bureau of Economic Research declared June 8 that an economic recession began in February. That concluded almost 11 years of expansion – the longest on record – since the Great Recession ended in June 2009. “The COVID-19 pandemic struck the U.S. in March 2020, late in the quarter with enough time to have a significant impact SEE MARKET, PAGE 7

“Our experts believe we will see a surge in demand for highvolume transactions in the coming year from fund buyers that need to place their money.” Colliers International DOWNTOWN “The market’s more traditional CBD submarkets of Downtown Northbank and Downtown Southbank have also enjoyed large rent gains in recent years ... as interest has reemerged for the downtown core.” CoStar, Newmark Phoenix Realty Group

MORE FROM THE MARKET REPORTS, PAGE 4

MMENDENHALL@ JAXDAILYRECORD.COM (904) 356-2466

THE BASCH REPORT

Contact lens sales fall 34.1% in second quarter Plus: Duos Technologies CEO retiring. PAGE 6 VOLUME 3, NO. 8 • ONE SECTION

WHAT’S TRENDING

JaxDailyRecord.com JACKSONVILLE DAILY RECORD / JACKSONVILLE RECORD & OBSERVER 2

JACKSONVILLE 23, 2020 DAILY RECORD / JACKSONVILLE RECORD & OBSERVER THURSDAY, JULY

THURSDAY, SEPTEMBER 19, 2020 1 JaxDailyRecord.com

Big news doesn’t break just on Thursday. Here’s a look at some of the top stories published over the past week online at JaxDailyRecord.com and in the Jacksonville Daily Record that you may have missed.

DEVELOPMENT

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$550M convention center plan rejected

The Downtown Investment Authority board rejected an unsolicited proposal HOWcenter TO REACH US for a $550 million convention at The Ford on Bay riverfront site. W.Ron Forsyth St., Suite 150, Jacksonville, FL, 32202 Board 121 Chair Moody said the DIA Phone: (904) 356-2466, has a responsibility to continue nego- Fax (904) 353-2628 tiations with New York-based Spandrel jaxdailyrecord.com Development Partners LLC. DIA awarded the bid in February ABOUT US to Spandrel to develop a $136 milJacksonville Daily Record and Jacksonville Record & Observer are aSpecial division ofDaily Record to the lion mixed-use residential and retail Observer Media Group Inc. An artist’s rendering of the convention project at the former Duval County center at The Ford on Bay proposed by Courthouse and City Hall site on the Established in 1912, the Financial News & Daily Record, now the Jacksonville Daily Jacobs Engineering Group. Northbank riverfront. Record, is published Monday-Friday and is the Official Court Newspaper of the Circuit Moody and other DIA board memCourt and publisher of public notices in Duval County. or issuing another request for proposbers said their decision would not als should negotiations fall through preclude the city from considering the Jacksonville Record & Observer is a free weekly business newspaper available in with Spandrel. Jacobs Engineering Group’s proposal Downtown Jacksonville and key business nodes throughout Jacksonville. To find a location near you, visit jaxdailyrecord.com/rack-locations.

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Jacksonville Daily Record and Jacksonville Record & Observer are a division of Observer Media Group Inc. Established in 1912, the Financial News & Daily Record, now the Jacksonville Daily Record, is published Monday-Friday and is the Official Court Newspaper of the Circuit JACKSONVILLE 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, real estate, construction, law, companies, economic and industry trends and how local Books-A-Million closing in Jacksonville Beach and state government affects business. Northeast Florida to close this year. Books-A-Million is closing its STAFF The store at the Regency Park ShopJacksonville Beach store in the South ping Center at 9400 Atlantic Blvd. Beach Parkway Publisher / Matt WalshPlaza at 738 Marsh Director of Advertising / Jay Lesowitz closed in February. Landing Parkway. mwalsh@jaxdailyrecord.com jlesowitz@jaxdailyrecord.com The company still has one JacksonThe company has not determined Publisher Emeritus / James F. Bailey Jr. Advertising Coordinator / Codi Gildberg ville-area store in the Orange Park Mall the date it will close. jbailey@jaxdailyrecord.com adassist@jaxdailyrecord.com at 1910 Wells Road. It’s the second Books-A-Million in Editor / Karen Brune Mathis

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Work to begin in October on Lane Industrial Park

THURSDAY, JULY 23, 2020

THE MATHIS REPORT

RESTAURANT NOTES Culver’s to St. Augustine: St. Johns County approved a permit for construction of Culver’s restaurant at 3433 U.S. 1 S. in St. Augustine at a cost of $1.7 million. It’s a 4,550-square-foot project. Cantina Louie to Monument Road: The city approved a permit for Styles Smith Plumbing Inc. to build-out the 4,800-square-foot Cantina Louie Mexican Street Food at 1040 Hospitality Lane in the Shoppes at Monument center at a cost of $325,685. Owner Benjamin Porter said previously he estimated opening this fall. Chipotle to Roosevelt Square: The city is reviewing plans for a permit application for Chipotle Mexican Grill in Roosevelt Square at 4495 Roosevelt Blvd., No. 611. No contractor is identiﬁed for the $210,000 project. Chipotle’s website shows 11 locations in Northeast Florida.

KAREN BRUNE MATHIS EDITOR

Colliers International is the leasing agent for the 320,000-squarefoot project. Colliers International Executive Director Guy Preston and Senior Associate Seda Preston expect groundbreaking in October for Lane Industrial Park in northwest Jacksonville. The Preston team is the leasing agent for the property, a two-building, 320,000-square-foot project at northwest West 12th Street and Lane Avenue North. The Preston team expects the buildings to be ready for occupancy in August 2021. A site brochure says the project offers multitenant industrial warehouse buildings that can offer spaces as small as 20,000 square feet and as large as the entire structure, each at

Clean Juice to Nocatee: St. Johns County approved two permits for interior build-out for Clean Juice. One is at Nocatee at 250 Pine Lake Drive, Suite 105, at a cost of $194,746. It’s a 1,433-square-foot project. Another is at 104 Ashourian Ave., No. 103, in The Forum at Greenbriar at a cost of $170,000. It’s 1,250 square feet.

Special to the Daily Record

Lane Industrial Park will comprise two 160,000-square-foot buildings at northwest West 12th Street and Lane Avenue North.

Guy Preston

Seda Preston

160,000 square feet. Pan American Companies is listed as the developer. Seda Preston said Pan American expects to buy the property by year-end. Regulatory agencies are reviewing plans for the 23.85acre project. Calix Holdings LLC of Coral Gables is shown on some plans as the developer. Legacy Industries of Jax LLC is the land owner.

Restaurants in Shoppes of St. Johns Parkway: St. Johns County issued permits for four restaurants in the Shoppes of St. Johns Parkway in Saint Johns: Al Dente Italian Restaurant at $200,000 at 90 Shops Blvd., Suite 60; Xtreme Wings Sports Grille at $187,005 at 160 Shops Blvd., Suite 90; Canopy Road Cafe at $200,000 at 90 Shops Blvd., Suite 10; and Ember & Iron at 60 Shops Blvd., Suite 80.

Civil engineering firm GAI Consultants Inc. prepared plans for Pan American Companies of Coral Gables, at the same address as Calix. Legacy Industries, led by managing member Deno Hicks, paid $300,000 for the property in April 2018. The brochure says there are dock-high doors, a shared concrete truck court, and parking expandable to 468 autos. State records show that Pan American’s director is former Florida Lt. Gov. Carlos LopezCantera.

RETAIL NOTES Tempur-Pedic to Town Center: The city is reviewing a building-permit application for Tempur-Pedic at 4663 River City Drive, No. 107, at St. Johns Town Center at a construction cost of $322,056. The 2,556-square-foot space is in front of Dillard’s. Circle K in Regency: Circle K Stores Inc. is working on plans to build a 5,187-square-foot convenience store at Atlantic and Southside boulevards. Kimley-Horn and Associates is the civil engineer. It applied for JEA service availability. JEA’s board voted to sell the former Coggin Pontiac site at 9201 Atlantic Blvd. to Circle K for $3.15 million.

KMATHIS@ JAXDAILYRECORD.COM @MATHISKB (904) 356-2466

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THURSDAY, JULY 23, 2020

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COMMERCIAL DEVELOPMENT OUTLOOK

‘A TIME OF UNCERTAINTY’ BY KAREN BRUNE MATHIS • EDITOR

Jacksonville’s industrial, office and retail markets are experiencing the effects of the COVID-19 pandemic that led to shutdowns, capacity restrictions and other effects. Some sectors fared better than others. Here is what CBRE, Colliers International, Cushman & Wakeﬁeld, JLL, NAI Hallmark and Newmark Phoenix Realty Group are saying about the market as of the second quarter of 2020.

OFFICE

Rental rates steady; two speculative projects planned for St. Johns County Office rental rates were flat, up or down, depending on the report, but the average was within a tight range of $20$22, not much different than the yearend range of $20-$23. Overall vacancy rates were 8.8% to 16%, generally up from year-end. “Jacksonville’s office market as well as the rest of the United States is in a time of uncertainty and has slowed down, and existing occupiers are reevaluating their footprints,” said Colliers International. Colliers said that few creditworthy tenants asked for rent relief because of the pandemic and hardly any are receiving it because landlords “don’t see the economic necessity and are content letting their tenants make adjustments to their variable operating expenses first.” The reports said the largest leases signed in the second quarter were Fanatics for about 120,000 square feet among two Southside buildings; 31,600 square feet for Terracon in Baymeadows; the Department of Veteran Affairs for almost 22,000 square feet along University Boulevard South; Ascen-

sion St. Vincent’s for 20,000 square feet along Salisbury Road; and Claims Questions LLC for about 16,000 square feet along Cypress Plaza Drive. New construction included approvals for Fidelity National Information Services Inc. to build its headquarters along Riverside Avenue and plans for JEA’s headquarters Downtown. Another build-to-suit project is the PGA Tour headquarters in Ponte Vedra. The only speculative construction reported was in St. Johns County, where VanTrust Real Estate LLC is building a speculative 125,000-square-foot office building and International Management Co. is developing an almost 63,000-square-foot spec structure. “The two Class A buildings bring much needed Class A space to the submarket,” CBRE said. It predicts that with the lack of “quality large blocks of space,” office users might opt for build-to-suit projects. Cushman & Wakefield found that new leasing in the second quarter was predominantly in older Class B assets, with

8.8-16% Overall vacancy rate

Average asking lease rate per square foot: $20.08 to $21.72 Average Northbank Downtown vacancy rate: 8.9 to 19.6% Average Southbank Downtown vacancy rate: 6.9 to 8.3% Average suburban vacancy rate: 15.9 to 17%

only 10% of leasing in Class A buildings. Suburban submarkets drove the bulk of leasing, with about 15% in the central business district Downtown. JLL said Jacksonville tenants contending with a near-term lease expiration are in the market and looking for a cost-effective solution to weathering the next several quarters, usually meaning a short-term renewal. Some new tenants are on hold. “The quelling of the virus and the ensuing employer sentiments surrounding work-from-home are critical in shaping the future for office real estate,” JLL reported.

File image

Construction was approved for the Fidelity National Information Services Inc. headquarters along Riverside Avenue.

All indicators point to an eventual return to the office, it said, but the timeline remains unclear. “While the coronavirus pandemic will cause significant economic disruption in Jacksonville, the market may be one of those best poised for recovery in Florida,” said the Newmark Phoenix Realty Group report from CoStar. The real estate firms cited as strength the area’s relatively lower dependence on leisure and hospitality jobs; the stability of the port, trade, transportation and utilities market; and the strong presence of medical services and military jobs.

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INDUSTRIAL

Vacancy rates rise as speculative space hits the market Industrial vacancy rates generally rose during the second quarter as more space opened in the market. “It should be emphasized that this increase directly correlates to the roughly 2.5 million square feet of vacant speculative industrial space that came to market during the quarter,” said CBRE. The largest new leases came in the metro area’s dominant industrial markets of North and West Jacksonville. Among those, Samsonite leased about 530,000 square feet at 1 Imeson Park Blvd. to take occupancy in November, and Lowe’s Companies Inc. took 104,000 square feet at Freebird Commerce Center, both in North Jacksonville. In Westside, RGH Enterprises Inc.

leased almost 186,000 square feet at Becknell’s property in Westlake Industrial Park; Biagi Brothers took 112,000 square feet at 2001 N. Ellis Road; and Home Depot leased 61,045 square feet at Westside Industrial Park. Rental rates were flat to rising, ranging from $5 to almost $7 a square foot, compared with year-end 2019 rates of $4.73 to $5.60. Cushman & Wakefield said the rise in rental rates was driven by gains in the distribution-warehouse sector, with North Jacksonville posting the highest jump in rents on new space “priced at the top of the market.” “Industrial leasing activity in Jacksonville showed encouraging signs

throughout the second quarter of 2020 with average asking rates actually climbing as more high quality product hit the market,” said JLL. “As consumers are forced to rapidly adopt online retail and grocery shopping platforms, demand for last mile delivery facilities, cold storage and e-commerce distribution centers is projected to continue growing, especially in the post-pandemic world,” it said. Location is one reason that Jacksonville is positioned for more industrial opportunities. “Jacksonville has a distinct advantage in the industrial market compared to its peers to the south as the market is positioned along the coast and provides

RETAIL

Sector ‘likely to be among the hardest hit’ by pandemic NAI Hallmark reported that after compressing through mid-2019, retail vacancy “ticked upward” and likely will continue to do so. “The sector is likely to be among the hardest hit by the coronavirus pandemic, and with the heightened level of development, this will likely translate to higher vacancies in the coming quarters,” the commercial real estate firm reported. Big-box retailers have been closing in recent months, some because of Chapter 11 bankruptcy reorganization, others to cut expenses. J.C. Penney Co., Sears, Pier 1, BooksA-Million, the Disney store, Save-ALot, Earth Fare and Lucky’s Market are some of the national retail stores that

closed some area stores in the first half of the year or plan to do so. Meanwhile, retail construction has rebounded in recent years with about 1 million square feet under construction, NAI Hallmark reported. “This represents 1% of the market’s existing inventory, which is twice the proportionate level of construction being seen at the national level,” it said. NAI Hallmark said the level of construction represents a continued slowing of retail development in Jacksonville. “After about 1.5 million SF (square feet) delivered in both 2017 and 2018, just over 1.4 million SF delivered in 2019 and 2020 is expected to see a five-year low of about 900,000 SF,” it said.

In Duval County, retail vacancy rates ranged from a low of 3.4% in Riverside, 3.5% in Butler-Baymeadows and 3.6% at the Beaches to 10.1% on the Downtown Northbank. NAI Hallmark said rent gains were outperforming the national average for more than five years before dropping off early in 2020. The annual growth is about 1%, although the average rent is up 20% over the past five years, higher than the national gain. The highest rental rates are more than $25 a square foot in Butler-Baymeadows and $23 at the Beaches. Together, those two markets account for 11% of the existing retail stock.

THURSDAY, JULY 23, 2020

5.7-8.5%

Overall industrial vacancy rate Average asking lease rate per square foot: $4.97 to $6.82

ease of access to vital interstates in all directions, including Interstates 95 and 10,” said a CoStar report licensed to Newmark Phoenix Realty Group. The industry itself is another reason. “The industrial asset class has proven to be stable in these uncertain times and will continue to be the most resilient in the coming quarter,” said Colliers International.

4.3%

Overall vacancy rate Average asking lease rate per square foot: $18.30 Square footage under construction: 1,075,548 square feet

The second-quarter vacancy rate of 4.3% is down from 4.5% in the first quarter but up from 4% in the second quarter of 2019. KMATHIS@JAXDAILYRECORD.COM @MATHISKB (904) 356-2466

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THURSDAY, JULY 23, 2020

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THE BASCH REPORT

Johnson & Johnson Vision sales tumble Duos Technologies CEO retiring in September

MARK BASCH CONTRIBUTING WRITER

Global contact lens sales dropped 34.1% in the second quarter as customers stayed at home during the COVID-19 lockdown.

File mage

When contact lens wearers are forced to stay home, they apparently prefer wearing glasses over putting the lenses in their eyes on a daily basis. Johnson & Johnson last week reported sales at its Jacksonville-based vision care subsidiary dropped sharply in the second quarter as customers locked down during the COVID-19 pandemic. Global contact lens sales dropped 34.1% in the quarter to $554 million. Total sales at Johnson & Johnson Vision fell 40.1% to $695 million, as its eye surgery products business fell 55.8%. This reflects “clearly the impact of COVID-19 as there’s just simply less new wearers entering the category due to a shutdown of optical stores, but also lower consumption for existing wearers as people adopt shelter-in-place measures and stay at home,” Johnson & Johnson Chief Financial Officer Joseph Wolk said in the company’s conference call with analysts. He also said bans on elective procedures are impacting the surgical products business. “In terms of vision surgical, I would say that’s probably one of the most deferrable procedures out there,” he said. The pandemic’s impact on sales is beyond the company’s control, but Johnson & Johnson officials expressed optimism about the direction of the contact lens business, which markets products under the Acuvue brand name. Contact lens sales in June were 26% lower than June 2019, but the officials

“There’s just simply less new wearers entering the category due to a shutdown of optical stores, but also lower consumption for existing wearers as people adopt shelter-in-place measures and stay at home,” Johnson & Johnson Chief Financial Oﬃcer Joseph Wolk said in the company’s conference call with analysts.

were encouraged that sales improved over the first two months of the quarter. “Contact lens performance is recovering overall as geographies start to open back up,” said Chris DelOrefice, vice president of investor relations. “When you think of our contact lens business going forward, we’ve had consistent strong performance there with at or above market performance levels the past four years and have had a very strong cadence of innovation,” he said. DelOrefice cited the company’s anti-allergy lenses and a myopia control lens as new innovative products in the pipeline. “It’s a franchise that we feel very strong about going into the future,” he said. Beyond the vision business, New Jersey-based Johnson & Johnson reported adjusted earnings of $1.67 a share, down from $2.58 the previous years as sales dropped 10.8%. However, the earnings beat the consensus forecast of $1.50 of analysts surveyed by Zacks Investment Research. The company raised its forecast range for full-year earnings to $7.75 to $7.95 a share, from its previous forecast of $7.50 to $7.90.

Duos Technologies Group Inc. last week said founder Gianni Arcaini is retiring as CEO and president, effective Sept. 1. Arcaini, 71, will continue to serve as chairman of the board of the Jacksonville-based company, which provides intelligent security analytical technology. Arcaini is retiring in a year in which Duos has significantly raised its profile. The company in February moved its stock listing from the OTCQX market to Nasdaq and also received its first analyst coverage. Duos had been projecting its revenue to grow from $13.6 million in 2019 to $20 million this year. But it has said the COVID-19 pandemic could impact its growth as some projects may be Arcaini delayed. “Our uplisting to Nasdaq in February of this year was a significant milestone achievement very few companies are able to attain, and I’m proud to be leaving the day-to-day operations of the company in a position of such strength,” Arcaini said in a news release. “We are well capitalized, and our core technologies have achieved market adoption, both of which have Duos poised for growth and success in the future,” he said. The company’s board of directors has initiated a search for Arcaini’s successor.

WJAX extends CBS aﬃliation deal ViacomCBS announced an agreement last week with Cox Media Group to renew the CBS network affiliation agreement for five stations operated by Cox, including WJAX TV-47 in Jacksonville. It did not announce terms of the agreement, including its length. Cox operates 33 stations in 20 markets, including Fox network affiliate WFOX TV-30 in Jacksonville. Cox owns WFOX but WJAX is owned by Hoffman Communications. Cox operates the

CBS affiliate under a shared services agreement. Funds managed by Apollo Global Management Inc. acquired a majority stake in the television group of Atlantabased Cox Enterprises Inc. in December. The television business continues to operate under the Cox Media Group name.

Rayonier AM expects slightly lower results

Rayonier Advanced Materials Inc. said last week it expects second-quarter results to be slightly lower than last year, with revenue down 12%. The Jacksonville-based maker of cellulose specialties products had a net loss of 37 cents a share in the second quarter of 2019 and has been losing money since the first quarter of 2019. The company said secondquarter results were helped in its forest products and paperboard businesses by increased lumber prices and lower raw materials costs for paperboard. However, those improvements were offset by COVID-19-related impacts on its operations.

AutoNation CEO retires after one year, medical leave

A year after Cheryl Miller made history when she was promoted to CEO of AutoNation Inc., the Fort Lauderdalebased auto dealer said Miller resigned after taking a medical leave of absence in April. Miller, 48, became the first female CEO of a publicly traded automotive retailer in Miller July 2019, the company said. She was also the first woman to become CEO of any public company in South Florida, according to the South Florida Sun-Sentinel, and one of the few to lead a public company anywhere in Florida. At the time, Jacksonville had no female CEOs of public companies. However, Lisa Palmer was promoted to chief executive of Regency Centers Corp. on Jan. 1. AutoNation said in a Securi-

ties and Exchange Commission filing in April that Miller was taking a leave of absence for health reasons, but it gave no other details. The company said in last week’s news release that Miller decided not to return from her leave. AutoNation Chairman and former CEO Mike Jackson was appointed chief executive when Miller went on leave. The company last week said it agreed on a contract for Jackson to continue as chairman and CEO through April 2022. AutoNation operates 325 auto dealerships in the U.S., including two in the Jacksonville area.

Flowers Foods reorganizes businesses

Like other companies that produce home food products, Flowers Foods Inc. expects to report increased sales and earnings for the second quarter. The Thomasville, Georgiabased bakery company said July 20 it expects to report sales rose 4.5% to 5% in the second quarter ended July 11 with adjusted earnings of 30 cents to 33 cents a share, up from 25 cents the previous year. Flowers operates 46 bakeries in 18 states, including a bread plant in Jacksonville. The company also said it is reorganizing its operations, including consolidating its bread and specialty/snacking businesses into a single function. CEO Ryals McMullian said in a news release the changes “are more consistent with our strategic priority to focus on our brands and that they will bring a more structured approach to innovation.” Flowers said it employs about 9,700 people after eliminating 250 positions in the reorganization. Flowers announced two weeks ago that it had to temporarily shut down its bakery in Savannah, Georgia, due to a COVID-19 outbreak. The company said other bakeries would be able to offset the loss of production at the Savannah plant.

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DEVELOPMENT TODAY These are the largest commercial building permits by job cost issued July 21 by the city of Jacksonville. DAYCARE Braxton Academy, 6423 Wilson Blvd., contractor is Ardworks Construction Co. Inc., 3,500 square feet, alteration, $35,000. INDUSTRIAL Ya Ya Creations Inc., 2020 26th St. W., contractor is C. Harrison Construction Inc., 1,500 square feet, interior renovation and dock addition, $90,000. OFFICE, BANK, PROFESSIONAL Baptist Heart Specialists, 1905 Corporate Square Blvd., contractor is Charles Perry Partners Inc., 4,856 square feet, renovation, $319,700.

Wounded Warrior Project Inc., 4899 Belfort Road, No. 160, contractor is Commercial Construction Services Inc., 4,492 square feet, renovation, $102,330. RESTAURANTS Cantina Louie Mexican Street Food, 1040 Hospitality Lane, contractor is Styles Smith Plumbing Inc., 4,800 square feet, tenant build-out, $325,685. SCHOOL, LIBRARY, OTHER EDUCATIONAL Cornerstone Classical Academy Inc., 2360 St. Johns Bluff Road S., contractor is Williams & Rowe Co. Inc., 37,000 square feet, foundation modiﬁcations and framing for second-ﬂoor addition, $300,000. Compiled by Scott Sailer

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on first-quarter market fundamentals,” said Cushman & Wakefield in its second-quarter Marketbeat. “Government-mandated shutdowns along with shelter-in-place ordinances pushed the country deeper into recession,” it said. In brief, the office market awaits corporate decisions to expand, contract, bring back staff that has been working from home or reconfigure space to accommodate social distancing. The industrial market stands to gain from people avoiding retail stores and buying online, which creates the need for e-commerce fulfillment centers and distribution centers. “The industrial sector may emerge as one of the less risky sectors through this time as online shopping likely increases during the periods in which people stay home,” said a CoStar report licensed to Newmark Phoenix Realty Group.

The retail market grapples the most with government mandates, consumer confidence and the purchasing power of customers who may have experienced job cuts, lost wages and furloughs. NAI Hallmark Vice President Austin Kay and Senior Associate Eric Yi are encouraged, however. “From retail shops to restaurant groups, we see these operators expanding in the market,” Kay and Yi said in a statement in the Market Report. Colliers International said in its Market Snapshot that the government opening of the economy in the second quarter “has calmed some nerves and led to a general increase in activity from what was a slow April.” It’s not clear that will stick. “While economic fundamentals seem to be turning a corner, cases of COVID-19 are rising in Florida, which could lead to another quarter of tepid activity,” said JLL in its Insight report.

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JBA joins statewide association network

MAX MARBUT ASSOCIATE EDITOR

The attorney organizations are sharing virtual CLE programs. Businesses and organizations that traditionally depended on face-to-face contact with clients and members have had to adjust to the social distancing required with the COVID-19 pandemic. For the Jacksonville Bar Association, the transition to virtual communication led to becoming part of a statewide network of voluntary Bar associations. The JBA is working with 10 similar attorney organizations in Central and South Florida and in Tallahassee. They are sharing their virtual CLE programs to make more content available to lawyers in their service areas. “We’re not competing with each other for members. We look at each other as partners,” said Craig Shoup, JBA executive director. By making the JBA’s content

available statewide, it makes its members and seminar presenters more visible to lawyers in the other cities. By having the other associations’ content available to JBA members, it provides more choices for CLE hours. The selection of programs may be viewed in the Online Store at jaxbar.org. The virtual platforms the JBA uses can allow as many as 250 people to participate in a virtual event. More capacity can be added for an event if needed, Shoup said. In addition to general membership meetings, CLE programs and seminars, the association provides more than 20 virtual standing committee, board of governors and Young Lawyers Section meetings each month. “We’re about providing the most value to our members. It’s working,” Shoup said.

4.0 CLE credits and 4.0 certification credits in appellate practice, civil trial, criminal appellate law and criminal trial law. Visit jaxbar.org by July 27 to register for the events.

Kite sworn in

Jury trials on hold indeﬁnitely Special to the Daily Record

From left, Duval County Judge Gary Flower, Duval County Judge London Kite and 4th Circuit Chief Judge Mark Mahon. Mahon swore in Kite to the bench July 16 to succeed Duval County Judge Anthony Salem, who was appointed to the Circuit Court after Judge Linda McCallum retired.

Barket takes the oath

JBA virtual meeting and seminar July 29 The Jacksonville Bar Association’s next virtual meeting begins at noon July 29. Attorney David Sacks will discuss “mindfulness” and suggest ways to reduce the stress associated with practicing law. The 2020-21 board of governors will be sworn into office. The meeting is approved by The Florida Bar for 0.5 CLE hours. Immediately after the meeting, the JBA will feature the 18th annual – and first vir-

Special to the Daily Record

Fourth Circuit Chief Judge Mark Mahon, left, administered the oath of oﬃce July 15 to General Magistrate Garrett Barket. He succeeded Magistrate Robin Lanigan, who was appointed to the Duval County Court after the retirement of Duval County Judge Pauline Drake.

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The Florida Bar reports that it is unlikely the courts will soon return to normal operation when it comes to jury trials. During a July 17 meeting of the board of governors, state Supreme Court Chief Justice Charles Canady said plans for a phased reopening based on local conditions have been dealt a setback by the resurgence of COVID-19 in Florida. “The idea of getting back to jury trials any time in the foreseeable future, in a way that is going to be at all like we had before this hit us, is probably unrealistic,” Canady said. Canady repeated his pledge to avoid unnecessary risk when it comes to lifting his March order suspending jury trials. “Some places are in much worse shape than others, but this has not been a really rosy picture anywhere,” he said. “It’s not like we can say that there is a circuit in the state where the virus, to at least a certain extent, has not been on the march.” MMARBUT@ JAXDAILYRECORD.COM (904) 356-2466

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