Viewsq2 2017

CREATE Gala Celebrates CRE Education Milestones

Q2 2017

The third annual CREATE Gala at the Bently Reserve on May 18 was an occasion for celebrating the industry-wide alliance’s efforts to attract students to commercial real estate

The event’s theme was “The Key to Your Success,” and emcee Stan Bunger, KCBS Morning Anchor, lauded CREATE as a key to both employee and employer success. “The program gives students a direct connection to your industry,” he noted, with financial assistance and transitions to real jobs.

“It affects every person in the room.”

Greg Cosko, President & CEO of Hathaway Dinwiddie, Signature Sponsor of the gala, said that his company is “proud to support efforts to

careers… but not a time to rest on the program’s laurels. It was revealed that CREATE (Commercial Real Estate Alliance for Tomorrow’s Employees) is expanding to reach more than 6,000 SF State students.

That’s big news!

CREATE is a collaboration of BOMA San Francisco, BOMA Oakland/East Bay, IREM San Francisco Bay Area, and NAIOP San Francisco Bay Area Chapter, operating through the BOMA San Francisco Foundation.

Funds raised at the gala support the Commercial Real Estate Certificate Program at SF State.

develop a job-ready network and make an impact on the industry.

Engaging students to enter the real estate industry is great work.”

Hathaway Dinwiddie constructed some of San Francisco’s most iconic buildings, including the Transamerica Pyramid, the Bank of America Building, the San Francisco Jazz Center — and now the rapidly rising Salesforce Tower.

(Continued on page 11)

Above left: Glenn Shannon, Shorenstein, addresses gala attendees. Above right: Rick Buziak, Kilroy Realty; Vaughn Hysinger; and Tawni Sullivan, CBRE; present the David G. Hysinger Exemplary Student Scholarship to Cameron Hunter Sardi.

What’s Inside Views... n n n n n n

Talent Dearth Tsunami • Page 2 Meet BOMA Members • Pages 6 & 7 Members on the Move • Page 13 Lessons from the Dump • Page 16 BOMA at the BALLPARK • Page 18 CREATE Gala Scenes • Page 19

2 Impending Talent Dearth Tsunami:

Thanks to Our 2017 Corporate Sponsors*

Ramifications of Our Aging Property Management Workforce

Gold Sponsors ABM NRG Energy Center San Francisco Pacific Gas & Electric Paramount Group, Inc. ProTech Security Services, Inc. Recology Golden Gate San Francisco Electrical Contractors Assn., Inc. Silver Sponsors Allied Universal Bannerman Security CBRE Columbia Property Trust Hines Hudson Pacific Properties Kastle Systems Kilroy Realty Corporation Marble West Metro Electric Unique Elevator Interiors, Inc. Bronze Sponsors Alliance Roofing Company, Inc. Boston Properties CBF, Inc. Cushman & Wakefield GPPro GSH GROUP Hathaway Dinwiddie Impark JLL LAZ Parking McMillan Electric Perfection Services Inc. RiverRock Real Estate Group Securitas Security Services USA, Inc. Shorenstein Realty Services, L.P. The Swig Company, LLC Friends of BOMA BCCI CB2 Builders CTC-California Technical Contracting, Inc. eWaste Direct Field Construction, Inc. GCI General Contractors Rossi Builders, Inc. Swinerton Builders The Lawson Roofing Co. Inc. Township Building Services, Inc. Wilson Meany Young Electric + Communications Media Sponsors California Buildings News San Francisco Business Times The Registry

By Wes Powell BOMA San Francisco President Warning: A talent dearth tsunami is about to hit.

According to a recent Forbes article, “Property Management’s Impending Cliff: Aging Out of Its Workforce,” an astounding 60% of senior-level property management professionals in the U.S. will retire in the next five years. That’s a lot of people with a very particular skillset—a skillset honed over many years to create and maintain asset value.

The value of North America’s commercial real estate is more than $4 trillion. That is a lot of asset value potentially losing 60% of its hands-on workforce. Commercial real estate is an asset class with performance metrics that lives and dies with operational expertise.

Look around at your team, company, portfolio or the next real estate event and imagine 60%— gone.

Let’s look at the bad and the good.

The Downside Property management service providers, in-house management and senior property managers who oversee staff and portfolios all realize how this same set of facts will affect our performance at work: w Increased hiring costs w High turnover w Pressure to promote before experience level allows w Lesser trained individuals in all positions w Longer-term unfilled positions w Added service company liability due to lower skilled personnel w Increased risk of low service levels to clients/owners/tenants

Owners, investment managers and the institutional pension fund investors who each own a portion of the $4 trillion in real estate are furthest away and likely the least aware of the talent dearth tsunami about to hit. While the best ownership groups are supportive and knowledgeable of the value of property management, some are not—wrongly thinking this is somebody else’s problem. Operational expertise creates asset value. Accordingly, this becomes an owners’ (Continued on page 14)

Platinum Sponsor

Able Services

*For sponsorship opportunities, please contact Tory Brubaker at toryb@BOMA.com

3 Special Sponsored Report

Low Flow Fixtures Triggering a Rise in Sewer Line Blockages

D

oes your building have California code approved low flow fixtures? If so, that is great news for the environment, not so great for your sewer system and perhaps your wallet.

Since the implementation of low flow fixtures, we in the plumbing service world are seeing a jump in blockages due to paper and waste settling to the bottom and having a “Rolling Affect” throughout the main line. This is caused by the low volume of water flowing into the system as compared to the prior higher flow fixtures. This “Rolling Affect” can cause a large blockage as paper and waste accumulate at restrictions (i.e. elbows) in the main horizontal sewer line. This results in a potential disruption in business and a costly clean up.

ACCO offers solutions to these main line blockages with complete sewer line camera inspections, as well as hydrojetting and snaking services. Hydrojetting injects water at high pressure into the pipe, scouring the line to bring the sewer pipe back to its original designed performance and dimension. Both services are also especially important for buildings with restaurants or cafes, and condo high rises with stacked kitchens, as grease is another major cause of building sewer system failure.

Contact ACCO today to have your building’s main sewer line inspected.

Contact us for more information about our services: 300 Broadway Street, Suite 20 z San Francisco, CA 94133 z Phone: 415.399.1549

nc

ge

•

•

Ba

m

es

tic

m

Do

Ho •

•

Ca

ll 8

ur

00 .59 24

er

8.2 22 E

6f

or

Providing Premier Plumbing Services Across the West Coast

A ck W y R CC fl a Dr ow te O e ai Pl Ce r Bo spo n • um n o r C t s s Ca lea ific te e bi r m ng er ning atio Pu a Se Lo : Sn n & mp ca ak Bo & R rv tio ing ile is ic e n e Se & H r Pe r R e r rv ic ydro mit plac es je to tti Op eme ng er nt at e

Emergency: 800.598.2226 z Email: sfplumbing@accoservice.com z www.accoes.com

4 Striving to Be the Best for More Than 91 Years “There’s only one reason for doing anything that you set Being the best requires us to effectively evolve with out to do. If you don’t want to be the best, then there’s no the changing needs of the marketplace. Buildings are more reason going out complex today than they were when we first became and trying to BOMA members, and the requirements to provide a accomplish satisfactory service are also more sophisticated. anything,” said Industry demographics have also evolved and will Bay Area sports continue to trend younger with the help of the CREATE legend Joe alliance, a collaboration between BOMA, NAIOP and Montana.

IREM, which is bringing new talent into the CRE field.

In our 91 We recently provided a paid internship through the years at Able CREATE program to a student from SF State’s college of Services, we have business. Both Able and the student gained valuable prided ourselves perspective into the evolving workforce. on being the “We invest time every day to understand best in the and improve our customer experience,” industry. Do you explains Gary Herald, President of know of another Able’s Building Maintenance Group. privately held, “The key to executing as the best family-owned organization that services is to invest in the best people. We more than one billion square feet? aspire for our clients to be able to San Francisco is our home base and focus on the needs of their tenants, holds a very special place in the history of employees and customers while we our organization. We learned the importance make sure their buildings are clean and of relationships in San Francisco, we learned operating efficiently.” how to listen to our clients in San Francisco, and For 91 years we’ve worked together with we’ve been BOMA members in San Francisco for more our clients to deliver valuable work-life experiences. than 40 years.

Above left: Gary Herald tours Salesforce Tower. Center: Able Services sign at AT&T Park.

5

Tile & Stone Council of Northern California 415.989.1175 z www.tscnc.org

Dedicated to quality craftsmanship, the Tile & Stone Council of Northern California is a resource for BOMA members who wish to feature distinctive and lasting tile and stone installations in their projects.

Bay Area TOBY Winners’ Regional Victories Kudos to six Bay Area TOBY winning buildings that also won TOBY awards in the Pacific Southwest Region in their prospective categories. These buildings now advance to compete in the International TOBY Awards contest, with winners announced at the BOMA 2017 International Conference & Expo on June 27.

TOBY Regional Winners

Under 100K SF—301 Brannan, San Francisco Kilroy Realty Corporation 100-240K SF—475 14th Street, Oakland, CBRE Government Building—180 Howard Street San Francisco, CBRE

Historical Building—140 New Montgomery, San Francisco, Cushman & Wakefield Renovated Building—201 Third Street, San Francisco Kilroy Realty Corporation Suburban Office Park/Low-Rise—Dublin Corporate Center, Dublin, RiverRock Real Estate Group

201 Third Street

180 Howard

140 New Montgomery

6 Principal Member Profile

Bill Whitfield, General Manager Shorenstein Realty Services

Shorenstein General Manager Bill Whitfield manages the Russ Building (Shorenstein Headquarters) and supports the management team at Market Square (Twitter Headquarters). He also assists with a Market Street property at the location of a future Shorenstein multifamily project and an office building development project in the East Bay. “The Russ Building is such a part of the history of San Francisco! Managing it is an honor and pleasure. Maintaining the authenticity of the building on the exterior, the lobby and the common corridors, yet offering current convenience, functionality and finishes in tenant spaces is the best of both worlds,” Whitfield says.

While many appreciate the building’s splendor, few may realize that it has earned LEED Whitfield likes traveling Platinum certification — an impressive achievement for an older building. “Corporately, Shorenstein to tropical locales. has a genuine commitment to sustainability. I work closely with our sustainability manager and sustainability committee sharing the cutting-edge practices we are familiar with here in San Francisco with our properties nationwide,” Whitfield notes. “The Russ was LEED Gold for many years and recently achieved LEED Platinum. The age of the building has not hindered our sustainability efforts and, in some cases, the basics of operable windows, floorplates designed to harvest natural light, and not having HVAC have aided in our efforts to keep our environmental footprint small.” The building’s amenities include bike parking, conference facilities, updated restrooms, e-waste collection, valet parking and EV charging.

Early in his commercial real estate career, Whitfield was “quick to see that involvement in BOMA was an essential part of understanding the industry and assuring that the buildings I managed benefited from the representation and access to an expansive network of knowledge.” He now serves on the BOMA SF executive committee of the board as treasurer.

One could say that Whitfield understands buildings from the ground up: “My partner of 25 years and I spent many of those years designing and building our house in Alamo. Although we both maintained full-time jobs, we did all of the work ourselves, building a great home for us. Now that the house and grounds are complete, I find projects to work on in my woodworking shop.” He also enjoys trips to locales like Dubai, Brazil, Sri Lanka, Hawaii, New Orleans and Carmel.

Construction Clean-Up Pressure Washing High-Rise Window Washing

650-588-9808

www.CAPITALBLDG.com

7 BOMA CAL Celebrates 30 Years

Energy has no downtime.

Our NRG Energy Center San Francisco has been serving the city for more than 20 years by sending clean, reliable district heating to: Hotels • Shopping malls •

• •

Multi-unit residences Offices

• •

Government buildings Schools and universities

nrg.com FOR MORE INFORMATION:

Dwain Botelho | 415.777.3415 NRG and the plus signs are registered services marks of NRG Energy, Inc. ©2016 NRG Energy, Inc.

Associate Member Profile Jacki Nolen Neves, Account Executive, Pyro-Comm Systems, Inc. Ensuring that fire/life safety systems are up to code and functioning properly is a major concern for BOMA building owners and managers. That’s why having a reliable vendor relationship is crucial.

“Pyro-Comm Systems is dedicated to and enjoys assisting building owners and property managers with all aspects of their building fire alarm systems. They can count on an experienced team that understands the code requirements for each type of occupancy and application,” says Account Executive Jacki Nolen Neves. “We provide code Jacki Nolen Neves (left) with colleague Kim Tamayo at the consultation and assistance in working with the Authority Having Jurisdiction (as defined BOMA at the BALLPARK event. by the California building codes) on new fire alarm system projects, upgrades and tenant improvements. We also offer fire alarm system design, engineering, installation, tenant improvements, UL Listed central station monitoring, NFPA 72 code required inspections and testing, UL certification and service.”

Neves uses her industry knowledge to support customers with their fire alarm system inspection and monitoring service needs. She specializes in designing customized service plans based on current and local codes, individual customer needs and system requirements.

If you attend one of the many delightful BOMA social events, you will likely see Neves in her role as vice chair of the Associates Committee. “BOMA SF and the committee have been a highlight of my career. Committee involvement offers opportunities to meet and work with industry professionals, increase your knowledge of commercial real estate, obtain recommendations from people you know and trust, and make lasting business relationships and friendships.”

During her down time, Neves enjoys hiking, traveling with husband Rich (also a BOMA member and Pyro-Comm team member), hosting dinners and events at her home in San Ramon and spending time with her daughters and grandsons in San Diego.

8 D. Zelinsky & Sons, Inc. Painting San Francisco Since 1884 As finish painters, we are usually the last contractors on site, performing the finishing touches that make a project shine. Dedicated to quality production, D. Zelinsky and Sons, Inc. (DZ) was established in1884 and has developed a strong relationship with the City and the people of San Francisco.

Our historic projects include painting the Golden Gate Bridge and iconic Financial District buildings. We continue to provide building owners and managers with the same fine craftsmanship to enhance their projects.

DZ was purchased in 2014 by F.D. Thomas Inc. (FDT), one of the largest specialty contractors providing waterproofing and industrial painting services for the Bay Area.

FDT recognized the historical significance and relationship DZ had with the San Francisco building community and was adamant about keeping the company name.

Within the last three years, the company has focused on refining its services and offering additional painting and finishing needs, including lead abatement, decorative flooring, water-proofing, parking structure striping, signage and more.

We are proud to serve the BOMA San Francisco community in helping architects, contractors and building owners to realize the vision for their projects.

“Painting the City of San Francisco one building at a time!�

Scope of Work Commercial Painting Interior and Exterior Painting Faux Finishes Epoxy Floor Coatings Fabric Wrapped Panels Idea paint/Chalkboard Paint/ Magnetic Paint w Wall Graphics w Staining and Finishing w w w w w w

Contact Bree DeArmond for a quote at bree@dzelinskyandsons.com

5301 Adeline Street, Emeryville, CA w (510) 215-5253

www.dzelinskyandsons.com

9 y u, passport

rnonth/yto parkin g

Impark is committed to improving your parking revenue and the customer experience of building tenants and visitors.

As an emerging leader in the Bay Area's vibrant parking landscape, we provide new insights and service approaches that have a positive impact on parking operations.

Jim Hornback Director of Business Development

P: 415.813.4289

E: jhornback@impark.com www.impark.com

impark

SF Board of Supervisors President Addresses BOMA London Breed, President of the San Francisco Board of Supervisors, was the featured speaker at a recent membership luncheon. “BOMA enjoys a close relationship with London, working together on issues that affect the commercial real estate community and the City’s quality of life,” Ken Cleaveland, BOMA SF Vice President, Public Policy says.

Breed updated BOMA members about efforts to deal with downtown traffic congestion, housing and homelessness. Regarding homelessness, she said: “We are failing... I’m making it my mission to change the situation.” She is working with the city attorney’s office and taking it to the next level to get help from our state representatives, Assemblyman David Chui and Senator Scott Wiener.

In further remarks, she noted that “I am a fiscal conservative and believe in the value of a dollar.” She said that “the City needs to be prepared and careful about spending,” especially if federal funds are withheld due to our status as a sanctuary city. “We need to fight and have a plan of action,” she added.

Left: London Breed with BOMA President Wes Powell. Above: Breed speaking at the membership luncheon.

10

11 Thanks to CREATE Gala Sponsors!

Signature Sponsor Hathaway Dinwiddie Legacy Sponsor Kilroy Realty Champion Sponsors

Able Services Allen Matkins Pacific Gas and Electric Company Paramount Group, Inc. Skyline Construction Inc.

Contributing Sponsors

Bently Reserve BCCI Builders The Empire Group/ The City Club Field Construction HansonBridgett Shorenstein

Supporting Sponsors

ABM Allbay Landscaping, Inc. Allied Universal Anderson, Rowe & Buckley Baker’s Floor & Surface Bayline Mechanical, Inc. Boston Properties Calfox, Inc. CBF Electric CBRE Clinton Reilly Holdings Coast Counties Property Management Columbia Property Trust Comcast Business Cushman & Wakefield HARBRO Emergency Services & Restoration Hines Hoem & Associates, Inc. HPA Hudson Pacific Properties Innovative Mechanical Inc. Jerry Thompson & Sons Painting, Inc. JLL LAZ Parking LBA Realty Charitable Foundation Fund McMillan Electric Metro Electric Montgomery Technologies Monticelli Painting & Decorating Next Play Consulting, LLC Nichols Booth Architects Perfection Services Prologis Recology Reuben, Junius & Rose LLP RiverRock Real Estate Group RMR Construction The Seligman Family Foundation Stockham Construction Swift Real Estate Partners The Swig Company Vanbarton Group VCB Acoustics, Inc. W. Bradley Electric, Inc.

Media Sponsor

San Francisco Business Times Graphics donated by BSM Facility Services Group

CREATE Gala (Continued from front page)

Shorenstein Company Honored for Its Pioneering Ventures Shorenstein Company was honored at the gala, and Cosko welcomed to the stage Glenn Shannon, Vice Chairman, Shorenstein.

“Not just breaking ground, but breaking with convention,” is the guiding principle of Shorenstein, noted Shannon. Shorenstein is known in the industry for its pioneering ventures taken with measured and sometimes high risk. The firm sees CREATE as a way to create pathways between students and the industry. Shannon noted that founder Walter Shorenstein, who was discharged from the military with no college degree, had mentors like the Swigs and others who reached out to him.

“We as a company have always valued finding people with perseverance and integrity. We can then train people with those attributes. We also hire for chutzpah,” Shannon said.

He observed that we are in an old-economy business, noting that people are captivated by the new tech economy. Attracting talent is not just a problem for real estate, but for other traditional industries.

Programs like CREATE will help develop talent to run our buildings.

“Partnerships between industry and educational institutions are important. Shorenstein has hired people from the program. We need to support it... We are honored to be a part of the program. Now we need to scale it,” he concluded.

Scholarship Continues Hysinger’s Legacy A highlight of the evening was the presentation of the David G. Hysinger Exemplary Student Scholarship, given by the BOMA SF Foundation to a student from the SF State program. The scholarship is named for the late David Hysinger, an instructor at SF State who was instrumental in the certificate program’s launch. The award was presented to Cameron Hunter Sardi by Rick Buziak, Kilroy, the event’s Legacy Sponsor; Tawni Sullivan, Chair of the BOMA San Francisco Foundation and Hysinger’s father, Vaughn Hysinger.

“I know how energized and excited Dave was about the program and that he was able to develop CRE classes,” Hysinger said. “He would be humbled and proud to see how far the program has come.”

BOMA SF Foundation’s Vision Realized and Expanded Sullivan announced an important new development: “We’d be remiss if we didn’t think about what we need to do to expand the program.”

She revealed a new CRE Fellows Program which will start in September at SF State. The program will reach 6,000 students in the business school who are interested in CRE. As early as sophomore year, students will be exposed to the CRE industry.

“We want to create a buzz about CRE,” she added. “That’s how we’re going to fill the deficit. …Thank you to Sandra Boyle for her vision,” said Sullivan. “And thank you to our donors and partners!”

Learn more about CREATE’s impact and how you can be involved on page 15 and in the President’s Column on page 2. Gala photos on page 19.

12 Last Word (Continued from back page)

Energy & Environment Committee: Promotes environmentally sustainable business practices in the commercial real estate industry.

Zach Brown, CBRE, Chair, zachary.brown@ cbre.com.

Government Affairs Policy Advisory Committee (GAPAC): Educates and informs BOMA members, elected and administrative officials, and the public about public policy issues of significance to commercial real estate. Marty Smith, Alhouse Deaton, Chair, msmith@alhousedeaton.com.

Political Action Committee (BOMA-SF PAC): Evaluates and supports candidates and issues that promote the economic vitality of the industry.

Andrew Junius, Reuben, Junius & Rose, LLP, Chair, ajunius@reubenlaw.com.

Thanks for your time!

The Codes and Regulations Committee organizes a popular annual seminar.

John M. Bozeman, is Director, Government and Industry Affairs, of BOMA San Francisco.

Mark Your Calendar For BOMA SF Events Membership Luncheons July 13 • September 13 October 19 • November 15

Networking Events September 18 – Elmer Johnson Golf Tournament December 7 – Holiday Party

Young Professionals’ Events August 24 – Summer Rooftop Mixer October 11 – Boat Cruise

Seminars October 17 – Annual Emergency Preparedness Seminar November 9 – Annual Codes Seminar

Visit www.bomasf.org for details.

In Memoriam Lorrie Hedges, an active and long-time member of BOMA San Francisco, passed away May 12, 2017 with his children Darren and Shelley by his side.

Lorrie was very well known and well liked throughout the BOMA community. Serving as ABM Vice President for many years, Lorrie was a fixture at BOMA meetings and events, and especially enjoyed offering up bratwurst and beer with a smile and hearty laugh at the ABM food booth during BOMA golf tournaments.

Those who knew Lorrie well had the great pleasure of enjoying music with him. He especially enjoyed the blues, and blues harp in particular.

Lorrie was a Life Member of BOMA San Francisco, recognition that is conferred upon retirement to those with 20+ years of active membership. Lorrie will be deeply missed amongst his many friends and colleagues.

A Celebration of Life will be held at a future date.

13 BOMA Members on the Move

Young Electric has hired Cathy Coffman as a Senior Electrical Project Manager. Prior to joining Young Electric, Coffman was the Assistant Manager of the San Francisco Electrical Contractors Association (the local NECA chapter) where she focused on promoting the association on many levels, government affairs, contractor education and member services. Before that, she held project management roles at E.J. Weber Electric and Cupertino Electric. She has a genuine passion for the industry and enjoys being a part of BOMA. Sonia Bastidas Fuetsch is now National Business Development and Account Manager for Interstate Restoration. She will be the face of the greater Bay Area, focusing on commercial property managers and national commercial accounts, and will be backed with the resources of North America’s largest restoration company.

She has been active on the BOMA San Francisco Associates Committee.

BOMA members are known for giving back.

Michael Scribner, President and CEO of BCCI Construction Company, is the 2017 recipient of the Altruism Award from San Francisco Suicide Prevention (SFSP). He was recognized at the Laughs for Life Gala at the Julia Michael Scribner receives the Morgan Ballroom Altruism Award from Eve Meyer, Executive Director of SFSP. on May 4. “BCCI is committed to supporting the local community through positive action and service,” said Scribner. “We are inspired by the work that SFSP provides to the community and are honored to support this vital cause.” For the last three years, BCCI has supported the Grief Response Team at San Francisco Suicide Prevention, which provides on-scene support to people impacted by suicides, fatal accidents, unexpected natural deaths and other tragedies.

Photo: Ginger Tree Photography.

Paul Chacon is the new Senior Director of Parking – Northern California for ABM Parking Services. He oversees 100+ locations with over 20,000 stalls and 450 employees in the Northern California market, which includes San Francisco, East Bay-Oakland, South Bay/San Jose and Sacramento. Chacon has more than 25 years of experience in the parking business and is responsible for all contract and compliance-related issues. Chacon founded the San Diego division of Five Star Parking in 1992, built the business into the second largest parking company in San Diego and then sold the company in 2010 to ABM Parking Services.

Alicia Barr has joined Boston Properties as the Property Manager for One and Two Embarcadero Center. Alicia comes to BXP from Seagate Properties where she served as General Manager at the 44 Montgomery Street Tower. Prior to that she managed 343 Sansome and 221 Main for CAC/CBRE. Alicia is a graduate of California State University Sacramento and has the RPA designation from BOMI along with a CA State Real Estate Salesperson license. She is an active member of BOMA San Francisco, having served on numerous committees over the past several years.

Send personnel changes for Members on the Move to Tory Brubaker at toryb@BOMA.com.

14 Your commercial IPM/green/LEED specialists

Count on Crane for Pest Management Expertise Serving commercial property managers throughout the Greater Bay Area...since 1930

Electrical Expertise

NPMA GreenPro Certified

SFECA electrical contractors continually raise the standards of craftsmanship, safety, productivity, innovation and value.

Energy Efficiency State-of-the-Art Installations Project Design

Property Maintenance Energy Storage Renewable Energy

415-922-1666 • 800-592-7777

415.703.8333

www.sfeca.org

www.cranepestcontrol.com

President’s Column (Continued from page 2)

issue when the entire industry begins to experience the following repercussions related to asset performance: w Increased liability w Poor and delayed reporting w Delayed T.I. and capital projects w Increased staffing costs w Lower tenant satisfaction w Low renewal rates w Lower business acumen w Negative leasing community feedback w Lower returns resulting in value diminution

The Good!

It’s not all bad. Here is the other side of the situation— the economics of supply vs. demand — and, for property managers, a silver lining. All professional, capable, experienced and trained property management personnel will likely see the following: w Increased compensation w More job opportunities and offers w Faster promotions — often before they are ready w Greater recognition

That’s all good. Congratulations! We need you.

Wherever one finds oneself in our industry, we need to be aware of the impending talent dearth tsunami.

Realize the good or bad, the laws of economics, or yin and yang. This will affect you, your teams and your assets.

Fortunately, BOMA San Francisco and many in our industry are resourceful. In time, we will have greater industry awareness. Awareness will bring action. Action will lessen the impact. For example, training and recruitment programs supported by the BOMA SF Foundation and CREATE will bring more and better prepared young professionals into the industry.

As professionals, we will continue to mentor, train and develop great talent. Watch as the best owners and managers continue to devote greater financial resources to actionable programs.

Please join us in thanking and supporting those who are making personal efforts toward our mission to improve the Industry. Lastly, let’s do what we can to counter the talent dearth tsunami!

15

at a Glance...

CREATE connects students and prospective employees to local commercial real estate industry employers.

Formed as a solution to the challenges resulting from a retiring workforce coupled with increasing staffing demands driven by new development, CREATE ensures a smooth transition to the next generation of commercial real estate professionals and maintains a competitive edge for local firms.

CREATE is an alliance of BOMA San Francisco, BOMA Oakland/East Bay, IREM San Francisco Bay Area, and NAIOP San Francisco Bay Area Chapter. CREATE collaborates with SF State. To date, more than 1,000 students have taken classes in SF State’s Commercial Real Estate (CRE) Certificate program underwritten

by CREATE.

You can help...and you can benefit!

The best way for employers to benefit from the CREATE program is to host an intern. Give one of our program enrollees the opportunity to get some practical experience while putting their training to work for you. Almost 100% of the students who have participated in our internship programs are full-time employees in CRE. Otherwise, make a tax-deductible donation to the BOMA San Francisco Foundation, tax ID is 80-0757877.

Learn more at www.createworkforce.org

ByTheNumbers

CREATE Gala 2017

4

Alliance Partners – BOMA SF, BOMA Oakland/East Bay, IREM SF Bay Area & NAIOP SF Bay Area Chapter

400+

58 30+ $250,000+ 250+ volunteers

commercial real estate professionals & industry service providers attended

companies supported CREATE gala as sponsors

raised through sponsorships, ticket sales, silent auction & raffles to support workforce development initiatives

Photos of the fun at www.createworkforce.org/gala-2017

16 Energy & Environment Committee Tours Recology Facility BOMA Members Enjoy ‘Lunch at the Dump’ and Artists’ Studios Visit — by Committee Member Kelly McNee The BOMA Energy & Environmental Committee took a field trip for its May meeting to Recology for its popular “Lunch at the Dump” experience.

We had the opportunity to tour Recology’s offices, recycling processing facility (“Recycle Central”), and the John A. Legnitto Environmental Learning Center.

The tour started at the Recology offices, where we watched a video about the BOMA Energy history and & Environment current projects Committee members that Recology is doing. visit the Recology We then departed to learning center and Recycle Central, which recycling facility. has recently gone through a major multi-million dollar upgrade.

Improvements increased throughput capacity at the facility by 170 tons of recycling materials per day.

The new equipment also allows for changes in the type of materials the City is able to recycle. It was incredible to see the amount of materials that goes through the facility. Recycle Central also creates 10 times more jobs than landfilling or incineration.

At the learning center, we watched a short film about what goes on at the center. Lunch was served with ceramic plates, glass mugs, and metal silverware, so the only waste generated was food waste and napkins.

After lunch, we got to check out the studios where Recology hosts artists for its Artists in Residence Program. For four months at a time, different artists who are accepted to be a part of the program get a studio space that Recology provides at the center.

Artists are given full access to discarded materials that arrive at the site every day. At the conclusion of their residency, artists show the pieces they created from discarded materials. We were able to talk to one of the artists, Carrie Hott, who made the focus of her piece reusing electronic waste and creating a sound atmosphere. She used old DVD/CD players to play different noises like dolphin and whale sounds and white noise.

After the studio tour, we walked through the sculpture garden where various artists have made pieces to showcase and that stay onsite.

We toured the site where landfill and compost gets taken after it gets picked up

by Recology trucks. We saw all the landfill from San Francisco that day, and it was not a very nice sight. You could see there were tons of plastic bags and even plastic recyclables and food waste ready to be taken to the landfill site on giant semi-trucks. Unfortunately, there just isn’t enough manpower to sort through all the landfill that is collected in San Francisco. It was also very interesting to see the beginning to end process of compost. We even got to take home a bag full of fresh Recology compost!

Overall, it was a fun learning experience. I believe people would be more mindful of recycling and composting if this tour was mandatory for everyone.

The author, Kelly McNee, is Sustainability Coordinator, Property Management and Construction, Shorenstein Realty Services.

To learn more about Recology tours and the BOMA SF Energy & Environment Committee: Wondering where your recyclables go once they leave the curb? Sign up for a facility tour to learn more about materials Recology processes and its Zero Waste efforts in San Francisco. Recology offers two public tours each month—the 3rd Saturday and 4th Wednesday of each month. To reserve, call (415) 330-9943.

The BOMA SF Energy & Environment Committee meets the first Tuesday of every other month at the Ferry Building, Port Commission Hearing Room (2nd floor). For more information, contact Committee Chair Zach Brown at zachary.brown@cbre.com.

17 BOMA San Francisco leaders were given a special hardhat tour to the top of the Salesforce Tower under construction on May 17. Led by Boston Properties’ Director of Engineering Services, Danny Murtagh, the group enjoyed an overview of the project and then ascended by the construction elevator to the 62nd floor. The building, when completed, will actually have 61 occupant floors with the top additional six floors being used for mechanical systems. The views were magnificent from the top of this soon-to-be tallest building west of Chicago, thanks in part to having a beautifully sunny day for the tour. The 61st floor will be called the Ohana Center and will be open for use to non-profit organizations and community groups. Salesforce is expected to begin moving in some of its employees later this year.

Photos from top right: Boston Properties Director of Engineering Services Danny Murtagh, briefs BOMA members on the Salesforce Tower unique design and operational advantages. View from the top.

BOMA leaders: Front row (L to R): Blake Peterson, Cushman & Wakefield; Ken Cleaveland, BOMA; Sarah MacIntyre, Kilroy Realty; Justin Sacco, Kilroy Realty; and John Bozeman, BOMA. Back row (L to R): Marty Smith, Alhouse Deaton; Andrew Junius, Esq., Reuben, Junius & Rose; and John Combs, RiverRock Real Estate Group.

At left: Salesforce Tower rises.

Photo credit: Boston Properties.

18 Building great spaces for great companies

415-982-6292 • www.rossibuilders.com

BOMA at the BALLPARK

Scenes from the Pre-Game Patio Party Clockwise from left: Patio Party scene.

Michaela Morgan, Metro Services Group; Michelle Funkhouser, Hines; and Tiffany McLaughlin, Waxie Sanitary Supply.

Zack Anawalt and Aries Fong, Comcast Business. Ryan Mahoney, McMillan Electric; and Whitney Jorgensen, Kilroy Realty.

Mark Kelly, Able Services; and Craig Rossi, Rossi Builders.

With gratitude to McCarthy Cook for providing the venue for the17th year!

And special thanks to Event Sponsor Comcast Business.

19 Scenes from the CREATE Gala 2017

About BOMA VIEWS Published quarterly by BOMA SF Associate Publisher: Tory Brubaker Editor: Henry Eason Managing Editor/Ad Director: Ellen Eason Eason Communications LLC Contact Ellen Eason at 415.596.9466 or ellen@easoncom.com

From top right: Jesse Cunha, BSM Facilities Group; Alyssa Freeman, PCCP; Malcolm Stanley, HARBRO Emergency Services; and Eric Brown, BSM Facilities Group. Greg Cosko, Hathaway Dinwiddie. Jason Storm, Ruby Petargue, Michelle Quan and Richard Chan, all with Shorenstein. Antonio Partida, ABM; Blake Peterson, Cushman & Wakefield; Liz Thomas, Allied Universal; Sue Rinetti, ABM; Gail Ringer, Kilroy Realty; and Whitney Jorgensen, Kilroy Realty. Gala crowd scene at the Bently Reserve.

Photo credit: Gustavo Hernandez

BOMA San Francisco 233 Sansome Street, 8th Floor San Francisco, CA 94104-2134

415.362.2662 www.bomasf.org

Printed on recycled paper.

There have been many local ordinances and regulations, state laws and federal actions over the years that have affected commercial real estate. Our success has been due to our member involvement on one or more of BOMA’s advocacy-related committees. Committee members generally give about an hour a month— sometimes a few more— depending on the issue. It’s really fun, and you get to converse with and provide feedback to numerous elected officials and influential With a Minimal Time Commitment, public sector decision-makers who have the power to impact your properties via public policy.

You Can Make a Big Difference!

There are five committees for which you may volunteer your time and expertise. (Note that BOMA You’re busy. It’s tough to carve out time in this SF-PAC board members are elected.) Please connect booming commercial real estate market. But just with the committee chair listed below if a little of your time serving on a BOMA “Members who are you’re interested in attending a meeting San Francisco advocacy committee can go a or would like more information about involved with BOMA’s long way in advancing the interests of our what they do for BOMA and the comindustry. And you’re likely to enhance your government affairs mercial real estate industry. There’s no own career and network in the process. program understand the obligation and most meetings happen BOMA leadership and staff know over lunch that is provided. importance of a unified you’re busy. We respect your schedule as Codes and Regulations Committee: you consider, or continue, offering your voice for or against Educates BOMA members about the expertise. Our objective is to help you public policy measures impact of industry codes and standards contribute your ideas and energy quickly at the state and local levels. Eric Stein, that emanate from the and efficiently. Standing committees offer Harsch Investment Properties, Chair, diverse ways for you to participate and public sector.” erics@harsch.com. impact the industry.

Paramount to BOMA’s efficacy and value-proposition Emergency Preparedness Committee: to building owners, managers, and the companies that Educates members about security and life safety assessservice them, is advocacy. Members who are involved ment planning tools, and range of preparedness options with BOMA’s government affairs program understand available to them. Bonnie Kalbrosky, Brookfield Property the importance of a unified voice for or against public Group, Chair, bonnie.kalbrosky@brookfield.com. policy measures that emanate from the public sector.

The Last Word: John Bozeman

BOMA SF Advocacy Committees:

(Continued on page 12)