Issuu

KEISHA SMITH Owner, The Business Office

PAGE 4 VOLUME 28 NUMBER 3 ■ CHARLESTONBUSINESS.COM

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FEBRUARY 21-MARCH 6, 2022 ■ $2.25

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Tourism gains ground from 2020 losses

Economic target

College professor traces local bank’s roots to the civil rights movement. Page 15

By Teri Errico Griffis & Molly Hulsey

outh Carolina visitors haven’t changed, but what they’re searching for in a vacation has changed since the pandemic started. Outdoor recreation is essential for the leisure traveler, and they’re looking to the South with year-round activities, said Duane Parrish, director of S.C. Parks, Recreation and Tourism. Since state parks were reopened in May 2020, travelers have visited in record numbers. State park revenue for 2021 increased 47% from last year and 73.7% over 2019. Campground occupancy increased 17.1% year-over-year while cabin occupancy was up 17.5% from 2020, according to the PRT. “When people come and travel to state parks … they’re not just going to state parks, they’re going out into the local communities. They’re buying gas at the See TOURISM, Page 6

Say cheese

Google names the best pizzerias in South Carolina with maps, reviews. Page 9

$29.7B in exports Overall exports are down 2%, but South Carolina leads in two sectors. Page 5

HGTV heads to SC

A popular home renovation show spends six weeks in Berkeley County. Page 12

Spinx Co.’s high octane model By adjusting, adapting and knowing what consumers want, Stewart Spinks became one of the state’s largest private employers with an ever-evolving product built, reimagined and refined over the last 50 years. Page 10

Developers, property owners oppose infrastructure fees

INSIDE

Upfront................................. 2 SC Biz News Briefs................. 3 Small Business Spotlight........ 4 In Focus: Banking and Finance.......... 13 List: Banks.......................... 17 At Work............................... 19 Viewpoint............................23

tgriffis@scbiznews.com mhulsey@scbiznews.com

By Jenny Peterson

Contributing Writer

t a special meeting Feb. 8, Charleston City council members heard from Johns Island property owners and developers opposed a newly-passed plan that put Johns Island into a special district that imposes fees on new large-scale residential and commercial construction to fund road and drainage improvements. The meeting took place at the Berkeley Electric Cooperative on Main Road.

Under the Municipal Improvement District, new development on two acres or more within city-owned property on Johns Island will be assessed a fee of $480 per apartment or single-family home every year for 30 years. Commercial space will be assessed a fee of $480 per 1,800 square feet every year for 30 years. The fee increases by 2% each year, resulting in approximately $19,000 per unit over the 30-year lifespan, according to city staff. The city expects to generate around $60 million to pay for infrastructure improve-

Access to capital

ments like roads and drainage along with parks and recreational facilities. The fee will be assessed on any new development or existing development that has not yet received a certificate of construction completion. There are approximately 3,500 new residential units already approved to be constructed and 500 more units are proposed on Johns Island, according to the city. Affordable housing projects, owner-occupied projects and projects by nonprofits or churches will not be assessed the fee. See JOHNS ISLAND, Page 8

JP Morgan Chase & Co. partners with South Carolina’s only minority-owned bank to expand the branch’s reach and access to capital. Page 13

Upfront

BRIEFS | FACTS | STATEWIDE NEWS | BEST ADVICE

Doesn’t take much snow to slow us down

or many places in the U.S., winter is a time to cozy up by the fire with blankets and wool socks, sipping hot cocoa as you blissfully stare out the window at the soft white snow blanketing the ground. That is unless you live in Charleston or most places in South Carolina. If we even get a hint that it might snow, grocery store shelves clear and business grinds to a halt faster than you can say “hurricane season.” Winter may be 5 degrees colder in Charleston than last year according to local weather experts, but the average is still 46 — definitely not cold enough for a winter wonderland to stick even if it did fall. As the winter Olympics recently wrapped up in Beijing and as the fairly significant snowfall in the Upstate becomes little more than a distant memory, it’s no wonder we wistfully stared at Facebook and Instagram photos, remembering the great blizzard of 2018 — at least by Southern standards. Let’s take a look back at all the great snowfalls throughout the state, dating back to the 19th century. On Jan. 18, 1893, the first snowfall recorded in South Carolina brought a whopping 1.9 inches of powder.

The Blizzard of 1973

The weekend of Feb. 10-11, 1973, brought the biggest snowstorm in the state’s history, including a record two feet in Clarendon County. Here’s what fell across the Palmetto State and where in those 48 hours of blizzard conditions. County

Location

Snowfall

Clarendon

Rimini

24”

Bamberg

19.0”

Darlington

18.0”

Bamberg

19.0”

Aiken

Aiken 4SE

15.0”

Bamberg

19.0”

Marion

15.0”

Bamberg

19.0”

Florence

13.0”

Bamberg

19.0”

Fairfield

Winnsboro

12.0”

Source: Department of Natural Resources

Yes, it does snow in SC, and sometimes it snows a lot Charleston has a record 6 inches of snow historically, but see what the rest of the state counts as its snowiest accumulation in history, per the State Climatology Office.

Charleston’s ‘biggest’ snowstorms

County

Location

Snowfall

Date

Greenville

Caesars Head

15.0”

Nov. 12, 1968

Bamberg

19.0”

Dec. 28, 1935

Oconee

Long Creek

15.0”

Jan. 7, 1988

Bamberg

19.0”

Mar. 2, 1942

Pickens

Clemson University

14.1”

Dec. 17, 1930

York

Catawba

13.5”

Feb. 27, 2004

Date

Measurement

Dec. 23, 1989

6.0”

Cherokee

Gaston Shoals

13.0”

Dec. 17, 1930

Feb. 10, 1973

5.4”

Richland

USC Columbia

12.5”

Feb. 10, 1973

Jan. 3, 2018

5.3”

Anderson

Pelzer

12.0”

Dec. 17, 1930

Chesterfield

Pageland

12.0”

Jan. 25, 2000

Source: National Weather Service

ON THE

RECORD

“(Metrics) tell us that we have regained much of the economic ground that was lost in the first year of the pandemic — but they also tell us that we still have work to do. They tell us that we all must continue our efforts to achieve a full economic recovery to make our state’s tourism industry whole again.” — Duane Parrish, director of South Carolina Parks, Recreation and Tourism

WEBSITE: www.CharlestonBusiness.com

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www.charlestonbusiness.com 3

SC Biz News Briefs UPSTATE

GSA Business Report

Upstate company completes $10M expansion

he Travelers Rest plumbing equipment manufacturer T&S Brass and Bronze Works Inc. has added a 53,000-square-foot distribution space, training room and office area in the first phase of a $10.3 million expansion announced in 2019. The construction project’s start was delayed by the pandemic but is expected to meet its original completion date of fall 2024 and is slated to create 22 jobs, according to a news release. The Coordinating Council for Economic Development approved a $150,000 Set-Aside grant to Greenville County to assist with the costs of building construction. “These projects enable T&S Brass to meet the growing needs of our customers in the U.S. and around the world,” Michael Williams, operations manager for T&S Brass, said in the news release. “We’re very excited about the changes and improvements that will enhance the work environment for our team while supporting the success of T&S.” Phase two of the project, which is ongoing, will convert the former shipping and receiving dock area into additional manufacturing space to increase capacity. “T&S Brass and Bronze Works Inc. has been a staple in the city of Travelers Rest for more than 40 years,” Travelers Rest Mayor Brandy Amidon said in the original announcement. “They care for their employees like no other and give back to their community like the biggest employer in a small town should. We are so excited to see their business thriving, and this expansion is a testament to their company values and a blessing for Travelers Rest, as we will have more first-quality jobs to offer to our community.” Headquartered in Travelers Rest, T&S Brass developed the first pre-rinse unit in 1947 and today has facilities across the east and west coasts of the United States, as well as Shanghai, China, and Europe where the company manufacturers faucets, fittings and other specialty products for the food service, laboratory and commercial plumbing markets.

CRBJ

MIDLANDS

Columbia Regional Business Report

New card simplifies purchasing for farmers

.C. farmers have a new way to show eligibility for certain sales tax exemptions. The South Carolina Agricultural Tax Exemption card will replace a paper form, the ST-8F, that farmers have had to fill out to receive sales tax exemptions for items used in agricultural production. After April 1, retailers will no longer accept the paper form, according to a news release from the S.C. Department of Agriculture. Purchasers will instead show the plastic SCATE card or key fob when making exempt purchases, which will remain the same. “Farmers have asked us to modernize the sales tax exemption process, and the new SCATE card we’ve developed will do just that,” S.C. Commissioner of Agriculture Hugh Weathers said in the release. “I’d like to thank Senate Finance Chairman Harvey Peeler for his support of this new endeavor.” SCATE card applications are available at scatecard.com. Applications will need a tax ID number, a valid email address, and a credit card or checking account number to pay the $24 card fee. Cards expire three years from the date of issues. “We’re excited to assist the Department of Agriculture with this improvement, which makes the exemption process easier for both farmers and retailers,” said S.C. Department of Revenue Director Hartley Powell. SCDOR requires that retailers maintain evidence of exempt sales, including the SCATE card number, and report exempt sales.

Commercial real estate for real impact.

We are a global real estate partner, powered by people, that puts you first.

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With publications in Charleston, Columbia and the Upstate, as well as a statewide magazine, SC Biz News covers the pulse of business across South Carolina. Above are excerpts from our other publications.

VOLUME 25 NUMBER 2 ■ GSABUSINESS.COM

VOLUME 15 NUMBER 2 ■ COLUMBIABUSINESSREPORT.COM

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network

Arial Mill to become mixed use dvelopment Page 5

Top shelf

Upstate named the best place for warehousing Page 7

Experience Columbia names new class of ambassadors. Page 7

SEEKING SANCTUARY

Card convenience Initiative aims to simplify farmers’ purchases. Page 9

Furman goes large with dorms University to build one and update four others Page 8

The redevelopment project transforming the former Rosewood Church is on pace to welcome residents to its luxury apartments later this year. (Photo/Melinda Waldrop)

Future investment

INSIDE

Upfront ................................ 2 SC Biz News Briefs ................ 3 In Focus: Architecture, Engineering and Construction .......................................... 13 List: Engineering Firms ...... 16 At Work .............................. 21 Viewpoint ...........................23

network

New life for old mill in Easley

City salespeople

Governor allocates millions for workforce scholarships. Page 11

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FEBRUARY 14-FEBRUARY 27, 2022 ■ $2.25

Strike up the band Grammy winners to play 40th St. Pat’s festival. Page 4

Transformation of church into luxury apartments nearing completion By Melinda Waldrop

mwaldrop@scbiznews.com

ost churchgoing children of a certain age no doubt once sat in Sunday school class, hands laced together, index fingers pointed skyward and thumbs touching, while reciting: “Here’s the church and here’s the steeple. Open the doors and there’s the people.” That child’s game is more or less the challenge faced in an ambitious collaboration between Garvin Design Group, Cason Development Group and Boyer Construction that is transforming a central section of Columbia’s Rosewood neighborhood.

The Columbia-based architecture firm, real estate development group and contractor are renovating the former Rosewood Church into a mix of 52 apartments, retail property and a restaurant spanning more than 57,000 square feet on Rosewood Drive in the heart of the downtown enclave. Scott Garvin, president of Garvin Design Group, has fielded many phone calls from Frank Cason, president of Cason Development Group. When his phone rang around a year ago, Garvin listened to a proposal that struck him as “radical” but also “a really cool idea,” he said. “It’s a trend around the country, especially in bigger cities or metropolitan areas where some of these older churches that have

been around for a while have not transitioned to the new demographic. We’re seeing more and more of these big, empty churches that can’t afford their real estate.” Rosewood Church, which had occupied 2901 Rosewood Drive home since 1937, put the property up for sale in 2019. Soon after, the site landed on Cason’s radar. “We had a local broker call about two years ago now,” Cason said. “He said, ‘Hey, this old Rosewood Baptist Church property is coming available. Would you be interested?’ I pulled it up on Google Earth and was like ‘Yes. When can we go? Can we go tomorrow?’ … I don’t See CHURCH, Page 14

Prefab soars

Experts say 2022 could be a great year for prefab construction Page 11

INSIDE

Leading Off .......................... 2 SC Biz News Briefs ................ 3 C-Suite ................................ 4 In Focus: Architecture, Engineering and Construction .......................11 LIST: Engineering Companies......................... 16 At Work .............................. 21 Viewpoint ...........................23

FEBRUARY 7 - FEBRUARY 20, 2022 ■ $2.25

Experts share what omicron spells for SC employers Prisma Health’s Dr. Rachel Brown and Ogletree Deakin’s Lucas Asper offer insight on what new public health guidance, the COVID-19 Liability Immunity Act and the defeat of Occupational Safety and Health Administration’s vaccine mandate might translate to for Palmetto State employers.

SC Ports prepares for influx with expanded chassis pool By Molly Hulsey

mhulsey@scbiznews.com

flood is predicted for the Port of Charleston — not water, but ships. West Coast ports await July 1 with bated breath and weeks of delays: the day marks the deadline for the International Longshoremen’s Worker Union labor contract. The last contract negotiations in 2014 shut ILWU ports down for four months, according to Jason Haith, manager of global freight forwarder OEC Group Louisville. At the time, 24 vessels waited for a chance to dock. A few weeks ago, Haith reported 180 cargo ships stalled off the West Coast, not including vessels waiting at the docks. It also doesn’t take into account an annual slinky effect brought on by the Chinese New Year, “probably the largest human migration on the planet where hundreds of millions of people leave the cities and go back inland to visit their families,” he said. Most of his clients have diverted imports to other parts of the country, to Houston, Savannah and Charleston.

Haith believes the Port of Charleston is primed for growth, but the West Coast fields typically 60% of volumes coming into the United States. He fears eastern ports like Charleston may soon look like Los Angeles as ILWU labor negotiations mount. “I definitely think there are volume increases headed their way, and their biggest challenge is probably going to be how to handle all the business that’s coming now,” he told GSA Business Report. Importers using eastern ports are seeing delays of more than a month just to get cargo to distributors and are paying up to $25,000 in total import costs, said Haith. Four years ago, most East Coast importers paid around $3,500. Some logistics companies can’t pick up imports at the Port of Charleston for three or four weeks after containers are unloaded. “They’ve had a heck of a time getting containers out of the port and delivered,” Haith said. “A lot of this has to do with chassis.” There isn’t a shortage of chassis in

By Molly Hulsey

mhulsey@scbiznews.com

Get in touch

irst, it was two weeks of leave. Now, six days after symptoms and no test. Following public health guidance during the COVID-19 era may seem like scaling a bootcamp obstacle course on an active construction site, but experts in the health care and legal realm argue it can be the linchpin for preventing outbreaks and lawsuits.

Six days from Sunday

Dr. Rachel Brown, medical director of Prisma’s Business Health Solutions, cautions employers against instituting backto-work tests for employees positive for COVID-19. Patients who contract the omicron variant of COVID-19 can test positive for the virus on a PCR test up to three months after they stop shedding the virus, she said, while the shortage of the tests presents another barrier to timely results. “This is so important for our supply chain and for our workforce, to get them back into the workplace as soon as they are feeling better: for someone who has COVID and who is in isolation, we do not recommend a test to return to work,” she told GSA Business Report, calling such

See PORTS, Page 6

+1 843 725 7200 avisonyoung.com

See OMICRON , Page 6

In Focus Family affair

The Strudel Shop joins businesses in Columbia’s Main Street district. Page 5

ColumbiaBusinessReport.com

Upstate Under Construction

The Upstate’s developers, engineers, arachitects and builders have been busy Page 13

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LOWCOUNTRY NEWSROOM Executive Editor - Andy Owens aowens@scbiznews.com • 843.849.3142 Editor, Custom Publishing Division Steve McDaniel smcdaniel@scbiznews.com • 843.849.3123 Staff Writer - Teri Errico Griffis tgriffis@scbiznews.com • 843.849.3144 Research Specialist - Paige Wills pwills@scbiznews.com • 843.849.3125 News Editor - Alexandria Ng ang@scbiznews.com • 843.849.3124 Digital Editor - Robi Lyle rlyle@scbiznews.com • 843.849.3119 MIDLANDS NEWSROOM Editor - Melinda Waldrop mwaldrop@scbiznews.com • 803.726.7542 UPSTATE NEWSROOM Editor - Ross Norton rnorton@scbiznews.com • 864.720.1222 Associate Editor, Custom Publishing Division Jim Tatum jtatum@scbiznews.com • 864.720.2269 Staff Writer - Molly Hulsey mhulsey@scbiznews.com • 864.720.1223 LOWCOUNTRY ACCOUNT EXECUTIVES Account Executive - Amanda Alford aalford@bridgetowermedia.com • 843.849.3109

February 21-March 6, 2022

Small Business Spotlight KEISHA SMITH, THE BUSINESS OFFICE OF SOUTH CAROLINA ABOUT MY COMPANY:

Keisha Smith is CEO of The Business Office of South Carolina, a company that offers business coaching, business building, event management and balance coaching services. Her passion for supporting businesses developed by managing offices for more than 20 years. She formed TBO in 2015 to provide new business owners the tools needed to build solid business foundations. In 2018, she assisted her 19-year-old son with opening his store and making history. Today, this Biz Growth Coach uses her abilities to teach, train, balance and grow key members of small businesses and nonprofit organizations.

MY BUSINESS MODEL:

This company prides itself on bettering the overall operations, processes, employee success and financial position of a business. Recognizing and understanding that companies, regardless of the location, size and industry, cannot benefit from a “one size fits all” approach, TBO specializes in providing customized business solutions. Commitment, length and investments vary and are based on the individual needs, from one-time consultations to 21-day coaching sessions or even a six-month project management opportunity. Services are solution-based, and most plans provide immediately benefits.

MY CUSTOMERS:

TBO targets several types of clientele be it established small businesses (up to 50 employees), newly formed businesses, nonprofit organizations, entrepreneurs and the busy business owners. Established small businesses have more complex and specific needs because their goals are different. New businesses have similar needs because all follow the same path from entity formation to launch. Nonprofits organizations travel similar paths from the formation to the completion of various applications. Entrepreneurs are visionaries and creatives and may require a longer timeframe. The busy business owner will benefit from balance coaching at all phases of business.

Multimedia Account Executive - Jim Wheeler jwheeler@scbiznews.com • 843.849.3104

South Carolina’s Media Engine for Economic Growth

Location: Group Publisher - Rick Jenkins rjenkins@scbiznews.com • 864.720.1224

Charleston

Director of Advertising - Robert Reilly rreilly@scbiznews.com • 843.849.3107

Number of employees:

Year established:

2015

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MISSION: To improve the quality of life for business professionals and encourage the growth process for their businesses.

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February 21-March 6, 2022

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State leads nation in 2 export categories By Melinda Waldrop

mwaldrop@scbiznews.com

outh Carolina’s 2021 export sales totaled $29.7 billion as the state led the nation in exports of tires and completed passenger motor vehicles. The South Carolina Department of Commerce’s 2021 International Trade Report, released Feb. 14, found that the Palmetto State has 36.6% of the country’s market share of exported tires and 19.4% of its market share of exported passenger vehicles. According to the report, S.C.’s total exports dropped 2% in 2021 from 2020’s total of $30.3 billion. The state’s export record was set in 2019 at $41.5 billion. “International trade plays an incredibly important role in sustained economic prosperity, and South Carolina consistently demonstrates our ability to move products around the world,” Harry Lightsey, S.C. Secretary of Commerce, said in the report. “As industries transform, we are poised to prioritize our support, promoting resources to best equip companies in maximizing their reach overseas.” Vehicles and parts led the state’s exports at around $13 billion, followed

South Carolina exported $29.7 billion in goods in 2021 and led the nation in exports of tires and completed passenger motor vehicles, according to the state commerce department. (Photo/SCPA, English Purcell)

by nuclear reactors and related parts at around $3 billion. Rubber exports ranked third at around $2 billion, followed by plastics and machinery. “South Carolina’s economy continues to grow, and the news that the state remains the national leader in the export sales of tires and passenger vehicles is a

testament to our international connectivity,” S.C. Gov. Henry McMaster said. “Looking to the future, South Carolina will continue to work hard to ensure that our state remains a globally competitive place to do business.” South Carolina’s two largest export partners in 2021 were China and Ger-

many, with each nation receiving $4.6 billion, or 15.5%, of the state’s products. Canada was third at $3.8 billion (12.8%), Mexico fourth at $2.1 billion (7.1%), and Belgium fifth at $1.5 billion (5.1%). “As a top-10 U.S. container port, South Carolina Ports serves as a vital economic engine for the state,” S.C. Ports President and CEO Jim Newsome said. “Big retailers, South Carolina farmers, advanced manufacturers and many other industries depend on our efficient operations to keep freight moving.” Newsome added that as consumers continue purchase record abouts of goods throughout the pandemic, particularly home goods and furniture, the global supply chain continues to see unprecedented strain. “South Carolina Ports has invested more than $2 billion in port infrastructure in recent years to ensure we remain globally competitive,” Newsome said. “These significant investments have attracted world-class companies to South Carolina. Alongside our partners, South Carolina Ports will endeavor to build on our momentum, creating lasting benefits for South Carolina.” CRBJ

Reach Melinda Waldrop at 803-726-7542.

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February 21-March 6, 2022

TOURISM, from Page 1

convenience stores. They’re going to the grocery store. They’re going to cultural events and seeking out opportunities in the region that they’re in,” said Joy Raintree, regional chief of the S.C. State Park Service’s Sandhill Region. Raintree is heading up efforts with Open Space Institute and Nature Conservancy to design one of five new South Carolina parks: the Black River State Park, a 70-mile water trail across Williamsburg and Georgetown counties. S.C. Parks plans to open access points along the river later this year. Additional properties under development include tracts acquired by the state in a settlement with Dominion Energy. There are 27 acres at Pine Island on Lake Murray, 190 acres at North Augusta’s Misty Lake and 2,600 acres at the former Ramsey Grove Plantation along the Black River. “That’s where we’ve benefited as a state,” Parrish said. “You think about all the lakes and rivers we have, beaches, boating, fishing. State parks, Congaree National Park. Hiking is a big thing with Palmetto Trail running through the state, and camping and golf. … So we’re sitting well; we’re in a good position for 2022 as well.” Drive markets and market drivers “In the beginning of the pandemic, we were down to just the drive market, because, if you remember, the airlines were down 95% at one time,” Parrish said. “So you look back at 2020, our portion of air traffic was almost non-existent after the pandemic started. That came back strong in 2021, but more toward the latter half of the year.” For 2021, S.C. Department of Parks, Recreation and Tourism reported a 32.8% increase in statewide hotel occupancy compared to 2020, and a decrease of 5.3% compared to 2019 — a record year for state tourism. Hotel revenue per available room was 4% higher than 2019 and 75%

Jones Gap State Park, a 3,964-acre state park in northern Greenville County, offers some of the best trout fishing in the state. (Photo/Provided)

higher than 2020. “These metrics tell a great story of South Carolina’s tourism recovery in 2021,” Parrish said. “They tell us that we have regained much of the economic ground that was lost in the first year of the pandemic, but they also tell us that we still have work to do. They tell us that we all must continue our efforts to achieve a full economic recovery to make our state’s tourism industry whole again.” In the first six months of 2021, South Carolina recovered quicker than nearby states, with greater gains in hotel occupancy compared to North Carolina, Georgia and Florida. Parrish attributed the success to several factors, including to a $20 million investment from the state to support SCPRT marketing that drove nearly $1 billion in hotel revenue, the agency said. Additionally, Parrish gave credit to South Carolina’s travel experiences, the state’s ability to adapt to the ever-changing pandemic environment and marketing efforts. Some market segments did better than others, particularly golf. Rounds of golf

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are since up 14% over 2020, and the metrics are some of the highest levels seen in a decade. Plus, golfers also spend more on travel than the average tourist, Parrish said. Domestic travel primarily propelled the tourism industry as individuals had money to burn since they did not travel, dine out, drive to work or attend events in 2020, Parrish said. “They had a lot of discretionary cash to go spend on a vacation,” he said. “But that runs out at some point. So I don’t anticipate 2022 to be as strong as a domestic leisure side as it was in summer 2021.” Looking ahead, Parrish hopes international travel will kick back up this fall with Gov. Henry McMaster’s recommended $50 million for the Parks, Recreation and Tourism department. The proposal still has to go through the necessary channels and get a final approval. Until then, Parrish doesn’t know how much PRT will receive, but he has plans for any extra money. Part of the money would fund the five new state parks and some funds will be

used as seed money for beach nourishment. A major goal, however, would be to market for international travel. President Joe Biden opened the borders for vaccinated international travelers on Nov. 8, but with COVID-19’s omicron variant, some have still been hesitant. “I do think at some point this year in 2022 the international traveler is going to start coming back. That’s a big part because they spend money and stay longer. … We need to get them back,” Parrish said. Since the state doesn’t have nearly the funds of California or Florida, South Carolina pools its money with North Carolina and others in the Southeast to market the region as a whole. He thinks the influx of travel will happen sooner than later as Europeans share the same desire to get out and see the world again. “All that to say 2021 was a phenomenal year compared to what I thought it would be,” Parrish said. “It may not be quite what it was in 2019, but it depends on the segment of the industry.” CRBJ

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February 21-March 6, 2022

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Partnership aims to strengthen technical education pipeline By Melinda Waldrop

mwaldrop@scbiznews.com

new, $11.5 million initiative will expand technical education programs and provide scholarships for high-demand technical college programs in South Carolina. The three-year partnership between the S.C. Department of Education and the SC Technical College System includes the GED by 23 program, which will recruit individuals who did not finish high school into adult education programs. Five technical colleges have also

partnered with 23 area school districts to strengthen existing and create new enrollment programs aligned with industry needs. Investments for both initiatives stem from the American Rescue Plan’s Elementary and Secondary Emergency Relief Fund. “Whether you are a current student looking ahead to a future career or a parent or community member who needs high skilled training for the available jobs in our economy, this partnership will provide you with the tools and tuition free resources to be prepared,” S.C. Superin-

tendent of Education Molly Spearman said in a news release. “The roadblocks to learning that have been caused by COVID-19 can be overcome and this partnership is one of the many ways we can ensure our state’s workforce and student success is bright.” Adult education students who complete a high school diploma or GED or who complete two sections of the GED during the 2021-22 and 2022-23 academic years are eligible for the GED by 23 initiative, which will provide workforce training. “A ready, skilled workforce is vital for South Carolina’s continued success.

Expanding the talent pipeline with these programs is a real win-win,” said SC Technical College System President Dr. Tim Hardee. “We are growing our state’s workforce while providing South Carolinians with a clear path to follow their dreams and forge a brighter future.” Participating technical colleges are Central Carolina Technical College, Northeastern Technical College, Orangeburg-Calhoun Technical College, Piedmont Technical College and Technical College of the Lowcountry. CRBJ

Reach Melinda Waldrop at 803-726-7542.

Chamber launches program to strengthen minority entrepreneurs By Teri Errico Griffis

tgriffis@scbiznews.com

harleston Metro Chamber is launching the Lowcountry Minority Business Accelerator, a program that provides economic growth opportunities for high-potential, minority-owned firms. Funded with a seed grant by Bank of America, the 12-month program is hosted in partnership with the South Carolina Minority Business Accelerator, a state-

wide initiative formed by the Charleston chamber, Greenville Chamber and Columbia Chamber. “Our hope for these entrepreneurs is that they will learn invaluable information about growing their businesses, feel empowered to make a larger impact and continue to play an integral role in our region’s business environment,” said Richard Waring, vice president of Diversity, Equity and Inclusion at the chamber. Through the program, business owners develop a customized three-year Strategic

Growth Action Plan. They’ll work oneon-one with a mentor and learn the basics in accessing capital, human resources, financial management, business development strategies and securing contracts. The first LMBA class will be led by instructor, Wendell Jones, a financial industry professional with management development training. “As we continue to empower small business owners within disadvantaged groups, they, in turn, will provide solutions for the various economic disparities

facing our region,” Jones said. The program costs $1,000 per participant, and includes all course materials. Participants also will be paired with two mentors for the year, have access to regional business leaders and potential clients, and be recognized as a $3,000 Leadership Circle Chamber Member. The inaugural class includes participants from a variety of industries, including property management, logistics IT services, real estate, food and beverage, media, marketing and more. CRBJ

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February 21-March 6, 2022

JOHNS ISLAND, from Page 1

The plan has already been voted on — third reading took place in October 2021 — but council members were required to hold a meeting to hear opposition. Property owners and developers called the MID unfair, inequitable and burden-some. “While a fee of $480 per unit or household may seem light to some folks, please consider that for a project like ours, for 240 mostly studio and one-bedroom units, that comes to $115,200 (additional) a year. So, you’re getting into a six-figure impact,” said Alan McMahon with the Beach Co., which owns 19 acres on Maybank Highway. McMahon said the 30-year lifespan of the annual fee results in fees of around $3 million. “Aside from reducing the value of the project, that reduction has significant consequences with respect to lender requirements and loan requirements,” McMahon said. Developers and property owners said they were concerned that there is no clear project list of infrastructure improvements that will be funded by the MID fees. “The new developments that are going to pay for this improvement will benefit the same as the general public, and this is not fair or equitable to impose this assess-

Cars pass by Maybank Highway on the way to Johns Island. Developers and property owners have spoken out against a proposed infrastructure fee on new construction. One developer who owns 19 acres on Maybank Highway said the fee could result in $3 million in costs added to a project. (Photo/File)

ment just on future commercial development,” said Jennifer Ivey, a lawyer representing two property owners. Ivey added, “The method that was chosen for this assessment makes no distinction between the number of bedrooms or size of residential dwellings ... this will discourage building long-term.” Another lawyer representing a property owner stated the MID violates the South Carolina Enabling Act. The city will vote on each property owner’s objection at a future council meeting.

Robert Summerfield, director of Planning, Preservation & Sustainability for the City of Charleston, said projects paid for with MID fees are required to be completed in the MID area. Projects will be presented and discussed in a public forum, and a citizen advisory committee will be established. He said improvement projects will be prioritized for where there is the most need and will be determined as money from the fees starts coming in. “This is not a substantial sum of money in the big picture for an infra-

structure project,” Summervield said. “It’s really meant to supplement other funding sources that are either already earmarked, dedicated or what we would expect to become dedicated to these types of projects in the future. Essentially, you can think of it as gap funding.” After the meeting, Summerfield said that any properties annexed by the city in the future would have to pass three additional readings by council to be included in the MID assessment. Charleston Mayor John Tecklenburg said the city needs to do something to keep up with development on the island, and the MID option was chosen with citizen input. “This whole initiative and idea came out of a series of meetings we had on Johns Island and a lot of citizens participated, where it was duly pointed out and acknowledged and recognized that Johns Island developed out without a lot of necessary infrastructure being put in place. The city is acknowledging that,” Tecklenberg said. “You’ve heard the term ‘impact fee’ — this is different legally than an impact fee, but in my mind it’s very similar. New development would pay an extra fee in order to build that road connector we need, or build a gymnasium or swimming pool or help with a drainage projects or things that we think our citizens would like to have out here.” CRBJ

Nominations Open! bit.ly/crbj22ldlanom

This recognition event honors both individuals and organizations that make diversity, equity and inclusion a strategic priority in policy and practice in Berkeley, Charleston and Dorchester counties. Rising Star | Individual | Ally For the Future Workforce | Noteworthy Network | Big Heart Award Keystone Award | Medium/Large Business | Distinguished Municipality | Lifetime Achievement Presented By:

Sponsored By: For sponsorship information, contact Robert Reilly at rreilly@scbiznews.com or 843.849.3107.

February 21-March 6, 2022

www.charlestonbusiness.com 9

Who has the best pizza in the Palmetto State? Google compiled a list of the 20 best pizzerias across SC, and the No. 1 place is found in the Holy City By Teri Errico Griffis tgriffis@scbiznews.com

hether you call it pizza or a pie, you can unanimously admit these joints have good slices. Just Google it. In honor of National Pizza Day on Feb. 9, the search engine giant compiled a list of Google Maps pizza trends, naming the best in the state. Google didn’t just pick a few pizza joints that showed up in search. They also didn’t send a team around to all the great pizza places in the U.S., but that would be good work if you could get it. The search engine correlated its mapping technology with its review system to come up with an list based on data from users. Of course this isn’t 100% scientific, which is why you need to go grab some pie and do some research on your own. The 20 highest-rated pizzerias in South Carolina, with at least 100 reviews on Google include pizza places from all across the Palmetto State*:

If you’re not sure about this list of the highest-rated pizza places in South Carolina, just do what any pieloving person would do: Go eat at a few. (Photo/File)

1. Baker’s Bar - Charleston 2. Toni’s Detroit Style Pizza - Mount Pleasant 3. Belladina’s Pizzeria - Greenville 4. Coast Pizza - Myrtle Beach 5. Humble Pie - Long Creek 6. Brooklyn Style Pizza - Pendleton 7. Orlando’s Pizza Mt Pleasant - Mount Pleasant 8. Uncle Mikey’s Pizza - Murrells Inlet 9. Guys Pizza - Pendleton 10. Knead Pizza - Lexington 11. Park Pizza Co. - North Charleston 12. Heath Springs Pizzeria - Heath Springs 13. Coastal Crust - Greenville 14. Palmetto Pizza Company - Central 15. Dempsey’s Pizza - Clinton 16. La Pizzeria - Mount Pleasant 17. World Piece Pizza - Greenville 18. 3 Sisters Pizzeria - Beaufort 19. Slice Co. - Charleston 20. Landolfi’s Italian Bakery - Pawleys Island *Toni’s Detroit Style Pizza, Coast Pizza, Uncle Mikey’s Pizza, Guys Pizza and Knead Pizza also cracked Google’s list of top 500 pizzerias nationwide. CRBJ

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February 21-March 6, 2022

Spinks leads store chain through industry transformation By Ross Norton

rnorton@scbiznews.com

aybe it was a visionary moment; maybe it was salesmanship. Maybe it was the bravado of a young man who perhaps did not yet realize he was an entrepreneur. By saying “I’m his neighbor,” Stewart Spinks had talked his way into the office of Sam Hunt, president of Southern Bank and Trust, and asked for money to buy a business. It was 1972. Spinks told Hunt he needed $44,000, and he needed it in a week. When Hunt asked if he was serious about the quick turnaround, Spinks walked the banker to a window and pointed to his car, where a real estate agent was waiting. You know that scene, Spinks asks, in Forrest Gump where Forrest shows his war wound to President Johnson? The scene where, through the magic of moviemaking, the real Lyndon B. Johnson, shaking his head and laughing, walks away from the fictional Forrest Gump? That scene? Spinks lived it nearly 50 years ago in a bank at the corner of Church and E. North Street. Hunt walked away, laughing, shaking his head, amused — amused, but sold. Spinks got the money and bought his first store, at the corner of E. Washington Street and Laurens Road, where it still dominates the intersection across the street from corporate headquarters. Something else happened during that conversation with Hunt. The brash young man, the salesman, had already thought of having more than one store — in fact, he was eyeing a Poinsett Highway site for what would be his first ground-up location — but his first notion of a full-blown chain came out of his mouth at the same time it popped into his brain during an eager pitch to secure that loan. He heard himself tell the banker he would one day have 10 stores around town. Before that could happen, an industry was about to be shaken by change. The survivors — and thrivers — would be those ready to adapt. Service stations would give way to uninviting little stores, often with barred windows and stale sandwiches, which would then give way to today’s model store with fresh food, big windows and welcoming façades where restrooms are there for anyone, not just those paying customers with enough nerve to ask for a burdensome key. In the board room of his corporate office, where flip charts show brainstorming ideas on the company’s future, it’s clear Spinks, now chairman of the board, does not intend to stop evolving. The Spinx Co. is celebrating it’s 50th year in business, marking the end of its fifth

With his sixth store, Stewart Spinks was already more than half way to his original, spontaneous goal of 10 stores, but his branding, like the spray-painted No. 6, was still sometimes spontaneous. (Photo/Provided)

By the early 1980s, the individual stores were not yet fully evolved, but the greater Spinx plan was. (Photo/Provided)

decade on Dec. 1. In the beginning, Spinks wasn’t so much a visionary as he was a guy with a pretty good purview. He secured a job with Shell Oil Co. right out of college. He was offered jobs with some of the business giants, but was attracted to a job calling on Shell service stations because, as the son of a blue collar man, he was comfortable with the work they did. “How did we sell gasoline in 1969? Service stations, right? Who ran the service stations? Mechanics that could do a brake job, that could do repair work, could sell tires, sell a battery,” he said. “So I felt really comfortable calling on those people because I knew what a 9/16ths box end wrench was.” With a University of Tennessee degree in marketing research and advertising, he also knew something about consumer

behavior. “So I ended up with Shell, training in Atlanta in a very vibrant market at the peak of oil and the way it was sold through service stations,” Spinks said. “(Interstate) 285 opened in the summer of ’69. … What that meant was it was like a blind dog in a meat house, you know. We were grabbing at every piece of real estate we could find. It was fun. I was working with a real estate guy as part of my program down there learning how to choose real estate and then from there phased into helping small business owners like service station dealers be successful. … So it gave me a crash course in how to run a small business.” In other parts of Shell Oil, especially the exploration and production division, company experts knew a change was coming, but it was not information shared with marketing, Spinks said. Pol-

itics and price controls from the American government and the rise of OPEC — the Organization of the Petroleum Exporting Countries — led to tension at the pumps and frustrated consumers. Gas went from 29 cents a gallon to $1.29 in a short time, and long lines formed as customers hoped they could buy gas before it ran out. Oil companies started getting out of the retail side of the system and shuttering stores. And Spinks have a view from there. He didn’t really know what was happening from his place in the marketing section, but he could tell something was wrong: chances for advancement had stagnated and he no longer saw other jobs in the company that appealed to him. “All that stuff up the corporate chart became less and less customer centric and more and more administrative. And

February 21-March 6, 2022

administrative, as you can see, is not my forte,” Spinks said, waving his hands at stacks of documents. “I decided to leave Shell, take that service station because I knew how profitable it was. I could rent it for $200 a month. I knew they wanted to sell it; it was on the disposable list.” As service stations were dumped by oil companies, opportunities were created for whoever wanted to take on the real estate. Stewart, who also had bought a heating oil company and started a service removing disused gas tanks, took the

“The first stage is just having the nerve to leave the comfort of a corporate job with many benefits.”

www.charlestonbusiness.com 11

kill us. Thirty percent of our sales would go away. But (the end of tobacco) hasn’t happened as quickly as predicted, but the volume wheel has shrunk and the margin has gone up so gross profit has been about the same.” The company, and industry as a whole, also remained agile through changes brought by the pandemic. Demand for some of their products went down so they offered more of what people needed, such as toilet paper. “Volume for gas went down 50% but inside sales shot up,” Spinks said. “The team reacted to what they felt like was going to be needed. We also became much more favored as a channel for food. Even though the consumer was afraid to buy food outside of their own house for a while. The QSRs had a heck of a time; they had to shut down but

we didn’t have to shut down. Food sales dropped off inside but other sales went up.” Spinks’ son Steve took over as CEO in 2008 and the founder today remains engaged but trusts his leadership team to guide the company. “It’s rewarding to know these people will take a risk,” he said. “Over the years I probably lost so many good people because I wouldn’t listen. I was afraid. I was afraid I couldn’t make a mistake. If I had made a mistake on that store when I got Sam Hunt to finance it, I wouldn’t be here today.” Spinks thinks the country has been plagued by a decline in the entrepreneurial spirit, but he is encouraged by signs of a comeback, much of it from the immigrants he calls “new Americans.” His advice to anyone considering that plunge

is to think about the timing. “That’s a staging thing. The first stage is just having the nerve to leave the comfort of a corporate job with many benefits,” he said. “Sometimes you just have to pick that moment in time as an entrepreneur. I think some of it was there from the beginning for me, and some of the decisions I made might have been intuitive, but intuition comes from a lot of information coming in from a lot of places and is finally synchronized and you think, ‘This is the time.’” “Don’t lose the hope,” is Spinks’ advice to entrepreneurs in the first stage. “Don’t lose the belief that you can deliver as well if not better than someone you either work for, like I did, or that void you see in the marketplace.” CRBJ

Reach Ross Norton at 864-720-1222.

- Stewart Spinks Spinx Co. owner

plunge with the help of Sam Hunt and the Southern Bank and Trust loan. And he did it without telling his family. “Forty-four thousand dollars I paid for that,” Spinks said, indicating his first store at the end of E. Washington Street. “That was like probably $450,000 today. It was very risky. That’s why I couldn’t confess to (my wife) Martha that I’d left Shell until the check cleared.” The location was a stinker for Shell, but for the previous operator who decided to close it, the store was successful. Spinks felt he could support his family with that one store if nothing else went well. But most everything else went well. Now there are 84 Spinx stores across the state, and the Spinx Co. is the largest privately held retailer headquartered in South Carolina with 1,588 employees. At many Spinx stores, car washes and quick service restaurants make the sites essentially three businesses in one. The Spinx Co. was a franchisee for in-store Burger Kings, Arby’s and Subways, and learned a lot from them — enough to elevate its fried chicken and biscuits to an emerging recognized brand offered through its own in-store restaurants. Changes kept coming as the years went on, and customer expectations changed as stores moved from non-descript to soaring glass and brick. Sites that once were primarily service stations are now retail stores that sell gas, too. Stewart said about 72% of sales companywide come from inside with 28% coming from petroleum sales. “As an industry we are resilient. ‘Resilient’ is a key word for us if you think about it,” Stewart said. “Look at the SKUs; it’s a very broad offering but it’s a convenient offering.” “We are very, very adapted. We are able to adapt ourselves to lots of changes,” he said. “Think about it: 20 years ago, the demise of tobacco … it was going to

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February 21-March 6, 2022

By Teri Errico Griffis

more than enough clothes and shoes, blankets, baby items and toiletries. There are even piles of toys, school supplies, books and bikes. Whatever items don’t get picked up by families will then be donated to other local nonprofit organizations — not resale stores. Wood doesn’t know how long she’ll be at the Citadel Mall, understanding that each day she is there she is giving up a day of business with Charleston Charms as the owner and sole employee. As of now there is no timeline, especially from Davis who said volunteers can have the space for as long as it takes to get everybody back on their feet. Wood asked that anyone who wants to donate further please switch gears to gift cards. “The big thing now here is the incidental expenses of when families are displaced, you can’t cook a meal. So you may have to eat out,” Wood said. Cards to stores like Walmart or Target could also be helpful as the families build back their homes and need a variety of items. “It’s just to see companies that have stepped up and brought food, both for volunteers and the families,” Wood said. “F3 Fitness group just out of nowhere showed up the other night. I had a bus full and alongside my bus it was stacked up the length of the bus, and I had no idea how to get it into the building. But they stayed with us and helped move it. And then stayed and helped to get it all in.”

Business owner fills gym with donations for fire victims

tgriffis@scbiznews.com

im Wood took a shot in the dark and sat outside of the Citadel Mall the night of the Palm Apartments fire in West Ashley. The early morning fire alarms and sirens Feb. 7 awoke Wood from her nearby home. She witnessed as members of her community, more than 100, lost their homes. “When I watched the news later on, it just broke my heart,” she said. “This is my home. I grew up here.” Wanting to help, Wood, the owner of downtown’s Charms of Charleston Tours for the past four years, Wood reached out to her friend Teresa Tidestrom and said she’d be bringing her bus tour bus to Citadel Mall to collection donations. She hoped that Tidestrom, executive director of West Ashley Connects, could help get the word out. “Silly me, I thought, ‘Oh I’ll just park and I can just do this by myself,” Wood said. “I parked and some friends of mine from high school offered to come sit with me, right between Target and MUSC. I was thinking maybe I’ll have a bag for every seat.” Halfway through the day, her bus was packed so deep she couldn’t see the back of her of the vehicle. The sentiment blossomed as lifelong friend Lisa Morelli from Carolina One created and passed out fliers. Charleston Florist owner Chip Johnson, West Ashley Tools & Rental owner John DeStefano, Software Solutions and Designs and Charleston Baptist Church all collect-

Within a day, Kim Wood had so many donations she filled a bus. Four days later, community collections spanned wall-to-wall at the Citadel Mall’s former Flip Gym. (Photo/Teri Errico Griffis)

ed donations. People have even driven from Edisto and Columbia with donations. Charleston City Councilman Kevin Shealy also was a huge support, Wood said. That first Monday night, Wood stored the donations at her house. By Wednesday, she had to pump the brakes. That’s when Richard Davis, owner of Trademark Properties which bought Citadel Mall, offered up the space’s former Flip Gym as a donation point. “We got three different requests, but it was real specific,” he said. “So I just circled them in an email and said, ‘We’re all from here. We all grew up James Island and West Ashley. Let’s just do this together. Whatever brand you represent is great, and there’s room for everybody.’”

Each group had their different funnel system for donations, and while one group requested an indoor space and another an outdoor space, Davis suggested everyone use the former gym, making it easiest on donors and those seeking out the donations. “To me, they’re an incredible team,” Davis said. Wood estimates helping a couple dozen families as of Feb. 11, but getting in touch with victims has been a challenge. “Some people lost absolutely everything,” Wood said. “I just handed one woman some pacifiers and she started crying. I had noticed she came in earlier for diapers, and she said they were for her son.” As of Sunday, Wood felt there were

CRBJ

Reach Teri Errico Griffis at 843-849-3144.

Colliers closes $1B in transactions as industrial market grows By Teri Errico Griffis

tgriffis@scbiznews.com

f you make $100,000 a year, you’d have to save every cent for 10,000 years to earn $1 billion. For Colliers, that amount was recorded in just a single year of transactions, combining 590 sold and leased properties. Transactions included industrial, hotel, land, office, health care and retail commercial real estate throughout South Carolina. “2021 was a very successful year for Colliers, the best ever in almost every way we measure our performances,” said John Folsom, president and CEO of Colliers South Carolina. “I am incredibly proud of our team across the state for accomplishing these results among the lingering effects of the COVID-19 pandemic.” The brokerage, which has offices in Charleston, Columbia, Greenville and

Spartanburg, also broke another record of 17 million square feet in its real estate management portfolio. Real estate success in 2020 was completely unexpected, but Folsom admits that 2021 forecasts prepared his team better for potential productivity. Over time, retail has returned to pre-pandemic status, while office space is still uncertain as companies continue to determine if they want to bring staff back or go fully remote. Folsom said that could take years to sort out. The industrial sector, however, has prospered for Colliers. Manufacturing growth and distribution growth all lead to needing additional square feet in the industrial arena, and Folsom said occupancy levels are “off the chart” right now. “That leads to the need to construct additional space. Then industrial land goes up and forces rental rates to go up,” he said, adding the sale and lease of land for development is going “gangbusters” right now.

“That’s anything from acre-and-a-half lots to hundreds of acres for industrial and multi-use developments and everything in between,” Folsom said. “Land values have risen significantly as the demand has increased.” Whether it’s acquisition of land for a new development, construction of new properties, speculative or pre-leased space, or the leasing of existing properties, Folsom said activity has been unprecedented across South Carolina in all three markets. The spike has been driven in part by pandemic retail and e-commerce booms, but South Carolina, simply put, is an attractive location for developers in and out of state also because of the highway system, the rail system, the Port of Charleston’s efficiency and the inland ports in the Upstate. “Other states just don’t have those resources that we have,” Folsom said. He further credited the Charleston

Regional Development Alliance and the Midlands and Upstate departments of commerce, which are able to attract industry to South Carolina. As Charleston can only develop west, Folsom sees Orangeburg — a middle ground for Charleston and Columbia — and Greenville as the up-and-coming industrial destinations. “Upstate has so many factors that aligned to make it a great mecca for site consultants for their clients to locate,” Folsom said. “The moons are aligned for the whole state really.” Just as Colliers was able to forecast 2021, Folsom anticipates 2022 to be just as great for the commercial real estate industry “Those that are in retail and office have moved from the uncertainty created by the pandemic to a position where they have some confidence the markets have returned and will continue to improve,” he said. CRBJ

In Focus

BANKING AND FINANCE LISTS: Engineering Companies, Page 17-18 | People in the News, Page 19

Banking on data The Federal Deposit Insurance Corp. regulates, insures and follows the profiles of banks in each state based on quarterly reports. The following data show South Carolina banks assets and deposits.

Year Total assets

Banking assets saw a more than 15% increase, comparing 2021 to 2019. In the heart of the pandemic, which generally began in early 2020, several economic indicators took a dip, including bank assets. Year Dollars 2021 $46.4 billion 2020 $23.6 billion 2019 $40.2 billion

Banks per metro area

The Columbia metro area has the most deposits among financial institutions secured by the FDIC, and the GreenvilleAnderson region in the Upstate has the largest number of banks in South Carolina.

Pivotal access to capital

Optus Bank now sits on Main Street in the heart of Columbia. (File photo)

Small S.C. bank working to change options for underserved customers By Teri Errico Griffis

tgriffis@scbiznews.com

s a bank CEO and immigrant, Dominik Mjartan has long been intrigued by the fact that 30% of wealth in the U.S. is inherited. His parents had to borrow money to pay for his flight from Czechoslovakia to America. They also had to borrow the $500 he had in his pocked upon touchdown in Arkansas at the age of 16. Over the next 30 years, more than $36 trillion will pass from one American generation to another, according to a recent report from wealth manager United Income. The gifts will give them a leg-up in life for businesses, investments, security. This inherited wealth is a lot less common in the Black community, with the Emancipation Proclamation issued only 159 years ago. Freed Blacks had to start over, learning to read and write, saving however they could. ‘You’re talking about a 400-year legacy of carefully constructed systemic dis-

advantages,” said Mjartan, president and CEO of Optus Bank, the state’s only and therefore oldest minority-owned bank. Optus has survived more than 100 years, while other minority-owned banks have come and gone. Most shuttered with the Great Depression, and then more closed later with the Great Recession of 2008. Founded in 1921, Victory Savings Bank was chartered by a group of visionary African-Americans, including Modjeska Monteith Simkins. Born in Columbia, Simkins advocated for human rights her entire adult life and is known as the matriarch of the civil rights movement in South Carolina. In 1955, the bank settled into the heart of Columbia’s business district on Washington Street. After running into financial trouble in 1999, a group of investors saved the bank from closing. They renamed the institution S.C. Community Bank. The name was limiting, however, Mjartan admits. He was challenged by the board

upon his arrival as investor and CEO in 2017 to create a more inclusive business where people, regardless of geography and access to capital, could bank. The restructuring led to a rebrand in 2018 as Optus. Broken down, “opt us” was much closer to the bank’s historic mission. Today, Optus banks people all over the country, providing services, loans and consumer and commercial mortgages. The bank has one physical presence in Columbia, with the ball already rolling to open a Charleston office in 2022. Despite Optus’ limited South Carolina presence, the bank caught the attention of JP Chase Morgan a year ago and business changed forever. Nationwide, Chase is committing $30 billion to racial equity, and they are investing $100 million of that into Optus. The investment is Optus’ largest ever, putting money into equity and investor capital, which Mjartan calls a game-changer. “That’s a big deal for a bank that only See OPTUS, Page 14

Metro Columbia Greenville Charleston Myrtle Beach

Banks 25 34 24 24

Deposits $26.7 billion $23.5 billion $20.4 billion $12.2 billion

Commercial assets

The Federal Deposit Insurance Corp.’s data offers a comparison between commercial banks in Southeastern states as of 2020. North Carolina had nearly $3 trillion in commercial assets, far from the next closest state of Virginia at nearly $800 billion. State North Carolina Virginia Alabama Florida Tennessee Georgia Arkansas Mississippi Louisiana South Carolina

Assets $2.7 trillion $790 billion $296.1 billion $196.5 billion $194.2 billion $162.4 billion $131 billion $124.3 billion $53.9 billion $21.2 billion

Source: Federal Deposit Insurance Corp.

NEXT ISSUE’S FOCUS:

Real Estate and Construction

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IN FOCUS: BANKING AND FINANCE

OPTUS, from Page 13

could access capital from our own staff and directors and others for years. Now to have an institutional investor, that says something,” Mjartan said. The partnership is long-term, not just a one-and-done donation, said Alfonso Hernandez, executive director at JPMorgan Chase & Co. The decision to invest in Optus came after a long and thoughtful discussion on how to make the money flow to the right places in communities Chase is trying to reach. “Working with (minority deposit institutions) around the country was one of those ways,” Hernandez said. As a benefit of the partnership, Optus clients can now access their funds nationwide, rather than only in Columbia, through any of Chase’s 16,000 ATMs nationwide. Fees will not be incurred by either bank. The collaboration also gives Optus the resources to open more locations in underserved communities that the bank previously wouldn’t have been able to support. To further weave itself into the story, Chase created the Empower Program, a way for blue-chip companies and major investors to channel the value of their deposits they’re sitting on in Chase’s balance sheets to ways that benefit communities. “The percentage of that 12.5% (interest) give or take is actually redistributed back into those communities in different ways, whether it’s community centers… helping the local food pantry and things of that nature,” he said. “That’s where we’re going to actually distribute the interest that’s accrued in that relationships.” Chase’s confidence in Optus has since brought other investors to the table, quadrupling Optus’ revenue by the end

Dominik Mjartan (left), president and CEO of Optus Bank, and Paul Mitchell, chair of the board, first met at a conference in Los Angeles where they shared an appreciation for helping underserved and unbanked communities. (Photo/Jeff Blake/www.JeffBlakePhoto.com)

of 2021. The same day Mjartan spoke to the Charleston Regional Business Journal, he connected with a major sports franchise operator that was depositing hundreds of millions of dollars into Chase. Chase recommended the franchise channel some of the value of its deposits into mission-driven banks, therefore extending its impact, Mjartan said. Today, Optus also has loans upward of $150 million, a 500% increase from when Mjartan started. While those loans might be something a bank like Chase sees in a day, to an institution of Optus’ size, the impact is a transformative, Mjartan said. “Imagine if those loans are carefully invested in underserved communities. What is the real impact of that? You can’t really put a number on it because it’s a

generational impact that we are able to have in our communities,” he said. Hernandez shared that Chase’s partnership with Optus isn’t a charitable effort, but a smart, well-thought out complement to the international bank’s own financial ecosystem. Partnering with Optus was also a way for Chase to immerse itself into the community as a newcomer to the state. The bank’s Clemson branch, the first in South Carolina, is only two years old. The Mount Pleasant branch recently turned one. Chase now has 12 branches in South Carolina, with more to come, but the Optus partnership is just as beneficial for the global brand. As part of his local strategy, Hernandez hired a community manager in each of the Palmetto State banks that dives

ronment and the personal service they’ve come to expect from First Citizens. This new location also serves as a focal point for meeting the financial needs of the community.” The bank celebrated with a ribbon-cutting ceremony on Jan. 31. Attendees included representatives from First Citizens Bank, the Berkeley Chamber of Commerce, Berkeley Chamber board of directors representative Ron Scherba and First Citizens’ Regional Executive Vice President Sharon Bryant. Beyond full-service banking features, customers of the Nexton bank can enjoy a staffed lobby, drive-through and ATM services and a night depository, along with on-site parking. First Citizens Bank joins a slew of new businesses in Nexton, including The Pickle Bar, Coastal Fertility Specialists, Serendipity Labs, North Creek Marketplace, River Landing Dentistry, Dermatology and

Laser Center of Charleston, The Codfather, New York Butcher Shoppe, Viva Chicken, Mathnasium, and TruCarts. More retailers and commercial businesses are expected to come this year. The bank’s opening comes on the heels of Nexton’s celebration of a record-breaking 2021. As of Dec. 31, the 5,000-acre, master-planned community has surpassed 2,000 home sales and was recently recognized as the No. 1 master-planned community in the U.S. by the National Association of Home Builders. Nexton also was awarded the Master Planned Community of the Year Award of Merit and Award of Merit for The Villas at Nexton during the Pacific Coast Builders Conference’s 2021 Gold Nugget Awards. Looking ahead, Crossland South expects to break ground later this year on the first phase of One Nexton, a 23.66acre, mixed-use development anchored by Publix. The development will feature

February 21-March 6, 2022

into local LatinX and Black communities and learns how banking can be more effective and beneficial. The role has been so successful that 150 of these positions have since been designated across the country. “To be a part of something like this and something to tell my kids… helping them understand that there is a need to reach across the table and help others that may not know how to bank or do the normal things we take for granted, you know, I think there’s a lot of value in that,” Hernandez said. Mjartan experiences the reward firsthand too. He recalled a Black businessman who couldn’t get a loan from any other bank, but was able to go into business for himself because Optus believed in him. “He was not someone who could have gotten a loan at a larger bank, not because he was a bad borrower, but he simply had a little bit less equity because he didn’t have those advantages historically,” Mjartan said. “He had a little bit less connections.” The man used the loan 20 years ago to buy a commercial property and was now selling it with several hundred thousand dollars in equity. The opportunity changed his family’s life. Mjartan sees the partnership with Chase as broad-based and multi-faceted, allowing even more opportunities like this one. “Despite Chase being a multitrillion-dollar bank, they understand that institutions like Optus Bank complete and completement their efforts to make sure that we have a vibrant, robust economy in America that everyone can participate in,” Mjartan said. CRBJ

Reach Teri Griffis at 843-849-3144.

First Citizens Bank opens new branch in Nexton By Robi Lyle

rlyle@scbiznews.com

dding to the Nexton’s self-sufficiency, First Citizens Bank has opened a full-service branch in the Summerville neighborhood, bringing the bank’s total locations to 20 in the greater Charleston area and 130 across South Carolina. Situated at the corner of Nexton Parkway and Cross Park Drive at 107 First Citizens Way, the 4,500-square-foot branch offers a complete line of personal and business services during its regular business hours of 9 a.m. until 5 p.m. Monday through Friday. “We’re extremely excited about welcoming people and businesses to our notable new Nexton branch,” Reeves Skeen, area executive of coastal markets, said in a statement. “Our customers will find a comfortable and convenient banking envi-

37,500 square feet of retail space, a corner outparcel and 351 Class A apartments. Other projects expected to break ground in 2022 include The Hub at Nexton and Nexton’s first Berkeley County Regional Park. The Hub plans to offer 88,000 square feet of medical office, retail, office, and restaurant space, while the park will feature sports fields, a dog park, a fishing pond and large-format event space. In other area development in Summerville, Medical University of South Carolina is moving forward with a $130 million hospital adjacent to Midtown that will offer Nexton residents a combination of inpatient and outpatient services. The facility will include 128 beds, four operating rooms, eight labor and delivery rooms, diagnostic testing and imaging, and emergency services. CRBJ

Reach Robi Lyle at 843-849-3119.

February 21-March 6, 2022

www.charlestonbusiness.com 15

SC Bank has roots in civil rights movement By Teri Errico Griffis

tgriffis@scbiznews.com

uring the civil rights movement, activists were often punished economically. White retaliation came in the form of job firings, loan denials and mortgages called in, explained Bernard Powers, director of the Center for the Study of Slavery in Charleston and professor emeritus at College of Charleston’s history department. “The segregationists and those who were opposed to racial advancement, racial equality knew, just based on the history, that Black people were particularly vulnerable in that way. And it was a way of striking a blow at Black activism that was not illegal,” he said. One-hundred years ago, the possibility of a white person going to jail for attacking a Black person was small, but there was always the chance, Powers said. Economic retaliation didn’t run afoul of the law and could easily result from a simple conversation. “You could engage in this kind of behavior openly and so it was relatively easy,” Powers said. “You didn’t have to sneak up on somebody in the middle of

Victory Savings Bank opened in 1921 at 1107 Washington St. in Columbia as the first Black-owned bank in South Carolina. (Photo/Melinda Waldrop)

the night, or you know, wait in a driveway with a rifle as they did planning on Medgar Evers.” Evers was a civil rights activist and World War II veteran who was slain in Jackson, Miss., in 1963 by white assailants who had made several attempts on his life before fatally shooting him in his driveway. As a solution for the economic blows, Victory Bank stepped in and helped those who stood up. Some of those individuals included a number of Clarendon County residents in 1950. One of the bank’s founders, Modjeska

Monteith Smith, is considered one of the greatest human rights activists in the state. Born in 1899, Smith was the granddaughter of emancipated slaves and was elected the first female secretary of the NAACP’s South Carolina state conference. She helped found and worked at Victory Bank in 1921, providing loans to Black community members who couldn’t acquire them from the area’s larger, whiteowned institutions. The bank, known today as Optus Bank in Columbia, gave Blacks an independent basis for activism and provided insulation from economic retaliation, Powers said. “This is also an important example of a business that really put its interests on the line in the interest of civil rights activism,” he said. “A lot of times, businesses will decide, ‘Well, we don’t want to get involved. We don’t want to take a chance on jeopardizing our business relationships with creditors and patrons and so on and so forth.’ But this was a case where Victory Savings Bank really did put it on the line for the movement.” The wealth disparity that’s still prevalent today in Black communities dates back long before the 1960s. Slave codes as early as the 17th century did not recog-

nize Blacks as property owners, but rather characterized them as property. “That’s the starting point of the disparity right there,” Powers said. “And so then Emancipation occurred, and as Dr. King would say, you can’t expect two guys to effectively compete with one another in a race when one has a ball and chain around his leg. But that is essentially the race that Blacks have been asked to run in America.” Given those disparities from the beginning, not just in terms of wealth and property, the fundamental legal institutions of society impaired Black people’s ability to learn how to read and write, acquire wealth, and then even after freedom, dictated life by Jim Crow laws. “When you think about that legacy, that wait of racial discrimination, it is perpetuated and it is compounded,” Powers said. “A lot of people don’t like to talk about this, they don’t want to learn about this. They’re quick to say why are we talking about slavery, it was hundreds of years ago. But there’s a legacy. There’s a legacy, and the legacy has long legs and tentacles which extend to today…. And virtually every racial disparity that exists today can be traced back to the institution of slavery and subsequent forms of racial discrimination and racial oppression.” CRBJ

B R AT IN LE E

Celebrating 20 Years of Team and Service

N T Y

A Y E

photos: @leighhaywardphotography

Through bear markets, natural disasters, and pandemics, our team has stood strong. Commonwealth began with a vision of team. Thanks to your trust in us, we’ve fulfilled our vision and continue to deepen our bench. With backgrounds in accounting, investments, banking, insurance and law, our highly experienced CFPs, advisors and support staff look forward to providing unbiased and holistic advice for another 20 years and beyond.

(843) 884-4545 info@commonwealthfg.com

commonwealthfg.com

www.charlestonbusiness.com

February 21-March 6, 2022

Commercial space feels inflation pressure as everything costs more By Christina Lee Knauss

Contributing Writer

ith inflation rising faster than it has since Ronald Reagan was president, small businesses are among those being hit hardest by rising prices. Economists and business leaders from around the Carolinas say South Carolina’s small businesses so far seem to be weathering the storm, but many factors, including a possible rise in the cost of leasing commercial space, could make the coming months more difficult for those hoping to lease space. The National Federation of Independent Businesses’ Small Business Optimism Index decreased in January to 97.1, down 1.8 points from December, with 22% of business owners reporting inflation as their single most important problem. Supply chain issues and difficulty in hiring enough workers are two other concerns causing small business confidence to shrink. “Small business owners have been managing incredibly well, but over the last six months we have seen a sharp drop in the number of small business owners optimistic about the future,” said Mark Vitner, senior economist with Wells

Fargo Economic in Charlotte. “It’s mostly concerns about inflation that are driving that. While many businesses have been able to pass along higher costs to their customers, they realize they’re not going to be able to do that indefinitely.” Vitner said one shock that might hit small businesses hard over the next year is related to the Consumer Price Index. Some leases for retail, office or other commercial space are indexed for inflation, tied to the 12-month cyclical change in the CPI, which is surging at record levels not seen in 40 years. A Feb. 10 report from the U.S. Labor Department showed that the CPI rose 0.6% in January, driving the annual rise in inflation to 7.5%, the highest level since 1982. With the rise in the CPI, Vitner said some small businesses whose leases come up for renewal might deal with an increase in their rent, one more added cost in an already difficult season. In the Midlands, most brokers who deal with leasing for commercial properties do not tie their prices to the CPI, according to David Lockwood, executive vice president with Colliers South Carolina’ Columbia office. Instead, they deal with leases tied to fixed increases ranging from 2.5% to 3% over the long term.

“Most of the tenants we deal with want to know exactly what their rents would be over a long period of time, so that’s why these fixed increases have been the norm for a long time,” Lockwood said. “What we are seeing, however, is that because of inflation, some of the fixed increases in the industrial market that used to be on the lower end are now going up to the 3% range.” Rising operating costs are among the biggest challenges for small businesses that lease office or retail space right now, Lockwood said. “The cost of everything from maintaining parking lots to janitorial services is going up dramatically, and the tenants are having to deal with that whether they pay operating costs directly or reimburse the landlord through their rent,” he said. New tenants seeking office space also will likely see a substantial increase in office rents over the next six months to a year because of the rising cost of construction, Lockwood said. Despite all these challenges, Lockwood said his firm is not seeing a dramatic rise in delinquencies for commercial rental properties. One bright spot is that the Midlands, despite rising costs, is still a very afford-

South Carolinas Media Engineer for Economic Growth

able market compared to many others in the Southeast, Lockwood said. In general, business real estate prices in the Columbia area are at about the same level as those in the Upstate, while prices in the Charleston area are trending higher. Columbia-area small businesses so far are not naming rent increases or other property costs as their main problems because of inflation, although that could change if the surge continues, according to Carl Blackstone, president and CEO of Columbia Chamber of Commerce. Instead, chamber members are saying that the supply chain crunch and hiring problems are combining with inflation to make this a challenging and frustrating cycle for small businesses. “We’ve had a rough couple years, and inflation is just compounding the problem,” Blackstone said. “If we were having inflation by itself, but had plenty of supply of the products that people needed, then these businesses could adjust more easily. We have small mom and pops who are facing both a lack of inventory and having a problem finding employees. Small business owners can’t control any of these factors right now, and it’s just going to take patience and perseverance to get through.” CRBJ

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February 21-March 6, 2022

www.charlestonbusiness.com 17

Banks

Ranked by Market Share Company

Top Local Official(s) / Year Founded

Phone / Website / Email

Market Share

Market Deposits ($000)

Market Offices

Wells Fargo Bank N.A. 177 Meeting St. Charleston, SC 29401

Charles W. Scharf 1852

843-727-2969 www.wellsfargo.com

21.49%

$4,374,270

Bank of America N.A. 75 Port City Landing Mount Pleasant, SC 29464

Mark Munn 1904

843-459-4778 www.bankofamerica.com

16.55%

$3,369,686

South State Bank 2440 Mall Drive North Charleston, SC 29406

Jack Goettee, Bill Medich 1934

843-529-5592 www.southstatebank.com rachel.ham@southstatebank.com

13.21%

$2,689,447

Truist Bank 174 Meeting St. Charleston, SC 29401

Kelly S. King 1872

843-720-5168 www.truist.com

9.31%

$1,894,884

First-Citizens Bank & Trust Co. 152 E. Bay St. Charleston, SC 29401

Reeves Skeen 1898

843-577-8534 www.firstcitizens.com

6.51%

$1,325,347

Pinnacle Bank 530 Johnnie Dodds Blvd. Charleston, SC 29464

Mary Garcia, Rick Callicutt 2000

843-884-0504 www.pnfp.com joe.bass@pnfp.com

4.57%

$931,013

Synovus 158 Meeting St. Charleston, SC 29401

Reid Boehm, C.W. "Chuck" W. Garnett 1905

843-724-7023 www.synovus.com info@synovus.com

4.54%

$923,423

United Bank 288 Meeting St. Charleston, SC 29401

J. Huggins, Ryan Benton 1839

843-973-6929 www.bankwithunited.com customerservice@bankwithunited.com

3.13%

$637,937

TD Bank N.A. 40 Calhoun St., Suite 100 Charleston, SC 29401

Greg Braca 1852

843-727-8400 www.tdbank.com

2.63%

$534,355

Southern First Bank 480 East Bay St., Suite F Charleston, SC 29403

R. Arthur Seaver 2000

843-725-5099 www.southernfirst.com contactus@southernfirst.com

2.58%

$525,105

The Bank of South Carolina 256 Meeting St. Charleston, SC 29401

Lawson Johnson 1986

843-724-1500 www.banksc.com

2.53%

$514,024

Servis First Bank 701 East Bay St. Charleston, SC 29403

Thomas G. Trouche 2015

866-317-0810 www.servisfirstbank.com

1.46%

$296,936

Beacon Community Bank 578 E. Bay St. Charleston, SC 29403

Brooks Melton 2018

873-990-5510 www.beacon.bank

1.31%

$266,511

United Community Bank 875 Lowcountry Blvd. Mount Pleasant, SC 29464

1950

843-388-8433 www.ucbi.com

1.21%

$245,577

First Capital Bank 304 Meeting St. Charleston, SC 29401

Tradd Rodenberg, Harvey L. Glick, Joseph Kassim 1999

843-990-7770 www.bankwithfirstcapital.com customerservice@bankwithfirstcapital.com

1.14%

$232,255

Regions Bank 170 Meeting St. Charleston, SC 29401

Brian Ball 1928

843-937-8979 www.regions.com

1.07%

$217,660

Farmers & Merchants Bank of South Carolina 221 E. Main St. Moncks Corner, SC 29461

Charles W. Singletary, Jr. 1912

843-761-8888 www.fmbsc.com info@fmbsc.com

0.89%

$180,548

PNC Bank N.A. 100 Calhoun St. Charleston, SC 29401

William S. Demchak 1845

843-958-3706 pnc.com karen.feagins@pnc.com

0.82%

$166,578

First National Bank of South Carolina 415 N. Main St. Summerville, SC 29483

Todd G. Buddin 1905

843-873-3310 www.fnbsc.com

0.8%

$162,011

Ameris Bank 349 W. Coleman Blvd. Mount Pleasant, SC 29464

H. Richard Sturm 2007

843-821-5075 www.amerisbank.com charles.hudgens@amerisbank.com

0.74%

$151,607

First Horizon Bank 651 Johnnie Dodds Blvd. Mount Pleasant, SC 29464

D. Bryan Jordan 1864

843-971-6977 www.firsthorizon.com

0.7%

$142,083

First Reliance Bank 800 S. Shelmore Blvd. Mount Pleasant, SC 29464

Frank Bullard 1999

843-789-1000 www.firstreliance.com prhoads@firstreliance.com

0.52%

$105,562

South Atlantic Bank 930 Johnnie Dodds Blvd. Mount Pleasant, SC 29464

Kenneth Pickens 2007

843-972-4300 www.southatlantic.bank info@southatlantic.bank

0.33%

$67,628

FineMark National Bank & Trust 865 Island Park Drive Charleston, SC 29492

Michael Drohan 2016

843-998-6402 www.finemarkbank.com

0.3%

$62,028

Because of space constraints, sometimes only the top-ranked companies are published in the print edition. Although every effort is made to ensure accuracy, errors sometimes occur. Email additions or corrections to research@scbiznews.com.

Source: Federal Deposit Insurance Corp. deposit market share report as of June 30, 2021 (latest available at time of publication) Researched by Paige Wills

www.charlestonbusiness.com

February 21-March 6, 2022

Banks

Ranked by Market Share

•

Company

Top Local Official(s) / Year Founded

Phone / Website / Email

Market Share

Market Deposits ($000)

Market Offices

Enterprise Bank of South Carolina 102 Main St. Ridgeville, SC 29472

Jared Polk 1920

843-871-0225 www.ebanksc.com

0.28%

$56,574

First National Bank of Pennsylvania 151 Meeting St. Charleston, SC 29401

Vincent J. Delie 1864

843-666-0022 www.fnb-online.com reel@fnb-corp.com

0.28%

$57,273

JPMorgan Chase 170 Meeting St. Charleston, SC 29401

Elizabeth Russell, John Kopanski, Alfonso Hernandez 2000

800-935-9935 www.chase.com

0.28%

$55,994

First Palmetto Bank 5 Sumar St. Charleston, SC 29407

David Ryan 1904

843-852-2665 www.firstpalmetto.com support@firstpalmetto.com

0.22%

$44,154

Bank of the Lowcountry 6225 Savannah Highway Ravenel, SC 29470

1989

843-889-6953 www.banklowcountry.com ibanking@banklowcountry.com

0.19%

$38,706

Grandsouth Bank 219 E. Bay St. Charleston, SC 29401

Mason Y. Garrett 1998

843-990-7900 www.grandsouth.com

0.18%

$37,632

The Citizens Bank 5730 W. Memorial Blvd. St. George, SC 29477

H. Blake Gibbons 1943

843-563-6141 www.thecitizensbank.cc info@thecitizensbank.cc

0.13%

$26,282

Anderson Brothers Bank 2139 N. Main St., Suite F Summerville, SC 29486

David E. Anderson 1933

843-879-3389 www.abbank.com abb-marketing@abbank.com

0.06%

$11,371

Woodforest National Bank 4920 Centre Pointe Drive North Charleston, SC 29418

James Dreibelbis 1980

843-554-9275 www.woodforest.com info@woodforest.com

0.05%

$10,194

Wilmington Trust N.A. 1 4000 Faber Place Drive Charleston, SC 29405

Diane McNeal 2011

800-982-4620 www.wilmingtontrust.com

Do you consider yourself a big-hearted business owner?

Source: Federal Deposit Insurance Corp. deposit market share report as of June 30, 2021 (latest available at time of publication) Researched by Paige Wills

Local business news updates... as they happen!

@CRBJ Follow us on Twitter for the inside scoop on local business news.

Follow @CBRJ on twitter to get breaking news and information on businesses in the Lowcountry. For advertising information, contact Robert Reilly at (843) 849-3107 or rreilly@scbiznews.com

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At Work

BUSINESS DIGEST | PEOPLE IN THE NEWS | HOT PROPERTIES | PEER TO PEER

People in the News

Business Digest

Baker Motor Co. launches luxury rental division

Charleston-area luxury car brand Baker Motor Co. is expanding operations to offer a new product in the market, the company said in a news release. Baker Automotive Rentals will provide a series of luxury commercial vans, pickup trucks and luxury passenger vehicles for rent in the Lowcountry, the company said. “During this unprecedented time in the automotive industry, Baker is striving to make a significant impact in the transportation industry through their commitment to providing quality vehicles and exceptional customer service in the face of manufacturing challenges,” the company said in a statement.

record the first episode of “Ideas Shaping Healthcare,” a monthly podcast made to keep healthcare industry insiders informed of the latest trends and innovations.

Harbor Accelerator’s 1st cohort application window open for 2022

The Harbor Entrepreneur Center has opened the application process for the Harbor Accelerator program with some exciting changes this year. The 2022 Accelerator Cohort will stay in residence at the Harbor Center for a longer period than previous years, and all cohort companies will receive a small initial investment from a pool of $100,000 upon entering the program. The residency runs from April to September and the deadline to apply is March 3. Harbor accepts eight companies each year into the program.

the brain during meditation practice and research shows it is 2.5 times more effective than meditation apps.

Professors develop self-help tech to promote mindfulness in 2022

McMillan Pazdan Smith introduces health care advisory services team

Drs. Baron Short and Bashar Badran, professors at the Medical University of South Carolina, have teamed up to create Zendo, a wearable technology designed to quiet the mind and calm the body. It’s the world’s first neuromodulation device intended to make meditation easier for beginner and advanced meditators alike. It works by stimulating specific parts of

5th Street Group reaches milestone for its Tip the Kitchen initiative

Hospital C-Suites, clinicians and facility managers are calling on expert advisory teams to help them navigate through the pandemic’s challenges and plan for healthcare’s future. McMillan Pazdan Smith is answering the call with their new advisory team of strategic planners, consultants and health care architects, who recently gathered in Charlotte to

The 5th Street Group, owners of Church and Union and Tempest downtown, announced that its Tip the Kitchen initiative has generated over one million dollars for its back-of-house staff. The program was established in April 2021 to help address the wage gap between the front-of-house employees and the culinary team. 5th Street Group guests are responsible for contributing $550,000 to the initiative and 5th Street Group ownership matched $450,000. In addition to providing a livable wage to all employees, Tip the Kitchen has allowed the 5th Street Group restaurants to operate close to, or at, 100% fully staffed.

CONSTRUCTION Chris Coutu has been promoted to Manager, Raw Materials at JW Aluminum, located in Berkeley County. In his new role, Coutu will provide metal Coutu purchasing and blending optimization support as the plant moves toward using up to 100% recycled material in its process. He joined JW Aluminum in 2019 as a process engineer. Coutu has a bachelor’s degree in chemical engineering from the University of South Florida. Previously, he was a production engineer at Lanxess and managed air transportation logistics in the United States Air Force. Shelton Grant has been promoted to training and development manager at JW Aluminum. In his new role, Grant will lead new hire orientation, maintenance apprenticeship, and training for the organization. Grant has been with JW Aluminum for eight years and has held various operational roles in the chemical value stream, including leading rapid improvement events. Shelton is a graduate of Charleston Southern University with a bachelor’s degree in criminal justice. He is also a member of the board of directors at Riverside Christian Academy, where he volunteers as the basketball and track and field coach. Cullum Constructors Inc. has appointed Matt Bloomingburg to responsible for business development and project management. Bloomingburg began working for Cullum in 2002 as a helper during his college years, gaining experience in both the plumbing and the sheet metal trades achieving the skill level of mechanic. He Bloomingburg earned a bachelor’s degree from the College of Charleston and has almost 20 years of experience in the industry. Veris LLC, a CPA firm specializing in proactive services for accounting, audit, tax and outsourced CFO services, has promoted Chris Kerr and Jenara Noel to partners of the firm, See PEOPLE, Page 20

www.charlestonbusiness.com

February 21-March 6, 2022

Business Digest Trident Medical Center adds head and neck cancer specialists

Trident Medical Center is expanding oncology services with the addition of head and neck cancer specialists to its staff. The physicians of Head & Neck Specialists — Charleston are: Dr. Betsy Davis, dental oncology; Dr. Terry Day, head and neck surgery; Dr. Joshua Hornig, endocrine and reconstructive Surgery; Dr. Peter Horwich, head and neck surgery; Dr. Eric Lentsch, head and neck minimally invasive surgery; Dr. David Neskey, head and neck translational research and Dr. Anand Sharma, head and neck radiation oncology.

Queen Street Hospitality Group establishes CofC scholarship

Queen Street Hospitality Group announced the establishment of an endowed fund to provide scholarships to students involved in hospitality and

tourism management at the College of Charleston School of Business. The annual scholarship is a celebration of the retirement of Charleston culinary community icon, Steve Kish. Kish is the owner of 82 Queen, Florence’s Lowcountry Kitchen and Jalisco Taqueria & Tequila. As a founding member of the American Culinary Federation, a Charleston Restaurant Association board member, and a Taste of Charleston and Lowcountry Oyster Festival chairman, Kish has served the restaurant community for 40 years and looks forward to awarding a student with a similar passion for the industry. The first recipient of the scholarship will be named in Fall 2022

to the Holy City. At the helm is attorney-turned-winemaker Lindsey Williams, who launched Davidson Wine Co. in 2018 in Charlotte. Lindsey is proud to be a part of the 1% of winery owners who are African American. Their menu includes over a dozen wines, each with a nod to the Lowcountry, as well as charcuterie and dessert options from CHS Coastal Charcuterie. The winery also offers membership to the City Sippers Wine Club.

Tax Credit Marketplace LLC closes 2021 Fund at $13 million

Greenville-based Tax Credit Marketplace LLC announced the successful closing of the 2021 SC Revitalization Tax Credit Fund LLC for several regions of South Carolina. The 2021 Fund invested in 14 qualifying development projects in eight different regions of South Carolina. These areas of the state included Anderson, Camden, Charleston, Columbia, Myrtle Beach, Rock Hill, Simpsonville and Spartanburg. The SC Revitalization Tax Credit Fund collective development costs exceeded $60 million, generating more than $13 million in income tax credits under the program for the year.

Charleston Wine Co. opens store on Market Street after launching in NC

Charleston’s first and only urban winery, Charleston Wine Co., has opened at 63 S. Market St., bringing grapes from the best wine-making regions of the world

Freshfields Village welcomes 6 new tenants, expands Lululemon

Freshfields Village, located at the crossroads of Kiawah, Seabrook and Johns islands, has added six new businesses to its retail mix: Spartina 449, Salt Marsh Animal Hospital, Café Eugenia, The Beaufort Bonnet Company, Luminary and Johnny Was. The Lululemon store is also relocating within the center, nearly doubling its square footage from 1,200 to 2,331.

Charleston Hemp Collective launches Wellness Warrior tincture

Charleston Hemp Collective has added a new product to their line. The Wellness Warrior tincture is a special addition, as studies show the ingredients potentially have the properties to prevent and treat the COVID-19 virus. The tincture contains a 1:1:1:1 ratio of CBGa, CBDa, CBG & CBD, which have become the subject of a study from the 2022 American Chemical Society and American Society of Pharmacognosy. In this study, researchers found that two cannabinoid acids commonly found in hemp can bind to the spike protein of SARS-CoV-2, the virus that causes COVID-19. By binding to the spike protein, the compounds could prevent the virus from entering cells and causing further infection.

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February 21-March 6, 2022

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People in the News PEOPLE, from Page 21 bringing the number of partners to five. Veris LLC also has promoted Rachel Kerr, CPA, to audit manager. Chris Kerr, a CPA with master’s in accountancy from Kent State UniverKerr sity, joined Veris in 2017 as the firm’s audit manager. Kerr works in the company’s Mount Pleasant office and specializes in audit services for nonprofit and for-profit businesses. Noel A CPA with an MBA from The Citadel, Noel joined Veris in 2015 as an associate. She has experience working with charter schools and nonprofits in the client accounting services area. Noel works in the company’s Mount Pleasant office and specializes in client accounting, financial reporting, data mining and accounting software migrations, as well as providing assistance for management decisions and maintaining client relationships. Rachel Kerr joined Veris in 2017 as a senior associate. She works out of the company’s Mount Pleasant office and specializes in audit services for nonprofit and for-profit businesses. She has more than eight years of accounting experience with particular focus in nonprofit, governmental and construction industries.

HEALTH CARE Palmetto Primary Care Physicians’ executive partners and board of directors have appointed Melissa Pitchford, CPA, as chief financial officer for the Pitchford statewide physicians group. Pitchford, a Lowcountry resident, will oversee the strategic management of financial activities and operational growth for more than 40 independent medical practices, a clinical laboratory, and imaging and diagnostic services. Over 20 years, Pitchford worked in managing operational teams including human resources, IT, revenue-cycle management, and mergers and acquisitions. She previously worked for Equiscript, ForbesBooks, Sage Growth Partners and Katzen Eye Group.

LAW David Caughran, a lawyer with Haynsworth Sinkler Boyd P.A., was recently elected to serve a three-year term on the Charleston Horticultural Society’s

board of directors, which provides quality educational programming that supports efforts to create sustainable green spaces and fosters community partnerCaughran ships; and preserves the legacy of horticulture in the lowcountry. Caughran focuses on public finance law, working with municipalities, counties, state entities and other organizations with bond issues and other financing structures. Barnwell Whaley Patterson & Helms has named Michael Barfield managing member of the law firm. He assumed the new role Jan. 1, succeeding Randell C. Stoney, who has led the firm since 2017. Barfield began his legal career with BWPH in 2001, serving as a member of Barfield the firm for 13 years. His practice includes professional negligence, construction litigation, commercial litigation, property-related litigation, and personal injury. He also works in real estate law, focusing on homeowners associations and the fractional ownership industry. Stoney will remain a firm member and continue to practice product liability, construction and litigation, and general liability law.

NONPROFIT The Nemours Wildlife Foundation recently awarded the first Eugene and Laura duPont Wildlife Conservation Fellowship to Ernie P. Wiggers, Ph.D., Wiggers retired president and CEO of Nemours Wildlife Foundation. The fellowship was established by the board of directors to honor the legacy of Eugene and Laura duPont for their commitment to wildlife conservation both locally and nationally in establishing the foundation. Wiggers retired Dec. 31 after serving as the foundation’s director for 22 years. Karee White, a higher education executive and native of South Carolina, has been named Liberty Fellowship’s first chief advancement officer to lead the comWhite prehensive philanthropic strategy for the fellowship and

ensures long-term financial sustainability for the organization. White has more than 10 years of experience in development for higher education institutions in South Carolina, previously serving with Furman University, Clemson University and The Citadel.

REAL ESTATE Kiawah Island Real Estate, the exclusive real estate brokerage for Kiawah Island real estate, has hired Michael Parks as an agent for the company. Parks graduated from the College of Charleston, pursuing degrees in historic preservation, community planning and art hisParks tory. He previously served as a tennis pro for the Kiawah Island Club and ran a photography business. AgentOwned Realty has hired Lavettria Horry. Horry holds a bachelor’s degree in paralegal studies from Liberty University and spent more than Horry five years as an assistant manager in the hospitality sector, working for two of the industry’s largest hotel chains. Bryan Jenerette has placed his license with AgentOwned Realty’s Summerville Main Street office at 141-A North Main St. Originally from Myrtle Beach, Bryan Jenerette moved to Charleston in 2009. After serving the United States as a Marine, he completed an associate’s degree in wildlife and forestry at Horry-Georgetown Technical College. The Beach Co. Has hired five new assocates and promoted two existing employees at the company’s downtown Charleston headquarters. Justin D’Eredita has been hired as an investor accountant to service the accounting needs of the company’s Beach Investment Fund and its ongoing development projects across the Southeast. D’Eredita is a certified public accountant and will be based at The Beach Co.’s downtown headquarters at The Jasper. D’Eredita holds a bachelor’s degree in accounting and a master’s degree in accounting from Appalachian State University. He previously servied as a senior property accountant at Lincoln Harris for more than three years and as

an audit associate at Grant Thornton for two years. Melissa Trinh has been hired as a digital designer for The Beach Co.’s marketing team to create on-brand digital content, including email marketing campaigns and ads, print communications, brochures and other design elements. Trinh holds a bachelor’s degree in English from Virginia Commonwealth University and a certificate in computer graphics from Trident Technical College. She previously worked as a senior graphic designer at Kiawah Partners for 13 years. Annie Carr has been hired in the property management department as a portfolio manager overseeing a portion of The Beach Co.’s retail leasing portfolio and managing the leasing of two office buildings. Originally from Winston-Salem, N.C., Carr holds a bachelor’s degree in arts managements from the College of Charleston and previously worked with WRS Inc. Real Estate Investments in Mount Pleasant. Jess Wisiackas has been hired as a development associate to provide ongoing support of The Beach Co’s real estate development projects in the Southeast. Wisiackas holds a bachelor of Arts degree from Vanderbilt University and a master’s in real estate from Georgetown University. Previously, he spent two years as a development associate with The Meridian Group, a real estate private equity firm focused on development opportunities in the Washington metropolitan area, and one year at Greystar Real Estate Partners specializing in multifamily underwriting. Hannah Long has been hired as a corporate accountant at The Beach Co. Long holds a Bachelor of Science degree in accounting with a management minor from Clemson University. Karissa Leung was recently promoted to digital marketing manager for The Beach Co.’s marketing team to analyze campaign and advertising data, business intelligence and market research, create marketing campaigns and will be integral in the creation of an e-commerce business plan. Leung joined The Beach Co. in 2020 as social media strategist responsible for developing marketing strategies for the company’s corporate and multifamily properties’ social media presence. Leung previously worked as an account executive on the PepsiCo team at TraceyLocke advertising, as marketing coordinator at Waterworks luxury kitchen and bath and at Nickelodeon, among other roles.

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February 21-March 6, 2022

Path to 2% inflation isn’t fast without a recession

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here still seems to be a belief that the Fed will quickly bring inflation back to the 2.0% mark. Maybe. But not without a recession. To ensure against that possibility, our bet is that the Fed tightens policy relatively slowly, in which case inflation remains elevated for years to come. The money supply is so far above where it should be that it will take years for it to return to a level that will stem the inflation run-up. Oil prices have soared to STEPHEN $90 per barrel. Food SLIFER prices have soared. There is such a shortage of workers that wages are rising rapidly. Where to find the additional workers to short-circuit this process? The shortage of rental housing is so acute that rents are climbing. But where do builders find the bodies they need? We are not looking for a recession. But we are suggesting that the notion of a quick return to 2.0% inflation is unlikely. If inflation remains elevated, bond yields are going to climb significantly to, 3.6% or so by yearend versus 2.0% currently. Currently, the bond market believes that over the next ten years inflation will average 2.5%, But the Fed cannot make that happen without raising rates sharply and rapidly. We expect seven 0.25% rate hikes this year. That would boost the funds rate to 1.75% by yearend. But we also expect inflation to be 5.6% this year. Thus, the real funds rate at yearend would be -3.8%. A significantly negative real rate is not going to slow down the economy. Nor will it bring inflation back to the 2.0% mark. The primary reason we never believed that the run-up in inflation was temporary is because of exploding growth in the money supply. As of December, M-2 was $4.8 trillion above its trend growth rate of 6.0% That represents $4.8 trillion of surplus liquidity that is readily available to consumers and businesses to spend. The Fed could counter this problem by shrinking the money supply. But that has never happened. The slowest growth ever recorded was 0%. But if the Fed allows 0% growth in the money supply, it will not return to its trend level until the end of 2025. Against that background it is difficult to see how inflation will return to the Fed’s 2.0% target any time soon. Economists love to exclude food and energy prices when they calculate the inflation rate because they are volatile. But not this time. In the past year food prices have risen 6.0% as drought conditions

curtailed the supply of fresh fruit and vegetables as well as feed stock for beef, pork, and chicken. But commodity prices for food continue to climb and will get soon get passed through to consumers. There is no relief in sight. Energy prices have soared as crude oil prices have surged above the $90 per barrel mark. They are not going to retreat any time soon. Crude oil production at 11.6 million barrels per day remains far less than the 13.0 million pace prior to the recession. The government expects production to remain below that rate through 2023. Why? Because the Biden team is doing everything in its power to curtail the production of fossil fuels. Another serious problem in bringing inflation back under control is the labor market. Job openings exceed the number of unemployed workers by 4.6 million. Qualified workers are in extreme short supply. Where to get those required workers? The labor force is currently 0.9 million workers smaller than it where it was prior to the recession. But a number of workers have retired. It is hard to see how enough workers can be found amongst the available pool of labor. It could be filled by increased immigration, but politically that is a nonstarter. Because of the labor shortage hourly wages have risen 5.7% in the past year but inflation has risen even faster and, as a result, real wages have declined by 1.7%. If inflation this year is 5.6%, then wage hikes need to exceed 6.0% to boost real wages into positive territory, which means employers will almost certainly raise prices by that amount. Finally, in the housing market rents have risen 4.4% in the past year and are accelerating because there is an acute shortage of rental properties. The vacancy rate amongst rentals is 5.6% which is the lowest since the mid-1980’s. This solution is only going to be rectified when builders can ramp up the supply of apartment units. But where are they going to find the workers to do that? Rapidly rising rents are a big deal because housing is one-third of the entire CPI. The basic problem is that the hole is too deep. The Fed grossly inflated the money supply and, under the mistaken idea that the run-up in inflation was temporary, it has made no effort to shrink its balance sheet and curtail money supply growth. The Fed can get inflation back in check without triggering a recession, but not any time soon unless it acts far more aggressively than is currently expected. Former Lehman Brothers economist Stephen Slifer can be reached at numbernomics.com.

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VIEWS, PERSPECTIVES AND READERS’ LETTERS

Community banks ‘turn on’ forex services to increase revenue

istorically, there has been a significant barrier to entry for community banks and credit unions to fulfill their customers’ foreign exchange transaction needs. Lacking the technology platforms and the in-house forex expertise, they have had to rely on correspondent banks to service their customers while losing out on the lion’s share of revenue. Fortunately, the fast-growing fintech sector is bringing forex solutions to smaller community banks and credit STEPHEN unions that allow ARMSTRONG them to deliver the service directly, with competitive rates for customers, increased profit margins, and greater transparency. When the forex solution is already integrated into the bank’s financial system, such as Fiserv’s Payments Exchange, implementing the service can be as simple as selecting the option from a dropdown menu. By doing so, community banks can quickly begin capturing this valuable additional revenue stream while building stronger and more loyal customer relationships. “Traditionally, community banks have forfeited forex revenue when working with correspondent banks,” says Andrew Dillard of Acceleron Bank, in formation, a digital correspondent bank that provides forex technology solutions for community banks and credit unions. “Now, there is software that levels the playing field so small community banks and credit unions can deliver a forex service that is competitive with the alternatives offered by large banks or standalone fintech apps.” Eliminating forex opportunity costs Although many community banks and credit unions offer some type of foreign exchange or international payments capability for their customers, these services typically require the bank to work with a correspondent bank to process the transactions. Although correspondent banks provide a good service, there is little incentive for them to share the fees or offer the customer a competitive rate. “Correspondent banks are focused on maximizing their own margin on each transaction,” adds Dillard. “If the forex experience is less than satisfactory due to high fees or lack of transparency, it can also reflect poorly on the community bank. They could end up losing a valuable customer to a larger bank as a result.”

Although forex was once considered the domain of larger banks serving international business clients, community banks may not realize the current demand that exists for international payment or foreign exchange within their customer base. Given the explosion of global e-commerce, cross-border transactions are more important than ever. With Forex services, companies can make payments in local currencies and receive payment in their home currency through a suite of international payment types: incoming and outgoing wire transfers, forward contracts, cross currency transactions, and foreign currency drafts. “Forex should be considered a strategic tool for community banks and credit unions,” explains Dillard. “It represents another revenue stream and a way to build stronger and more loyal client relationships by taking care of more of the customer’s banking needs.” A competitive fintech solution According to Dillard, some banks see fintech applications as disruptive technology that — like correspondent banks — can gobble up the bulk of the generated fees. However, this does not have to be the case. Acceleron Bank has created software that is embedded within Fiserv’s Payments Exchange that utilizes an application programming interface to exchange information safely between the

applications. The secure web-based Fiserv Payments Exchange is already used by many small banks and is a single entry point that triggers verification, OFAC screening, posting to the account processing systems, delivery to the Federal Reserve and automated customer notifications. Security features include customized authorization levels, dual controls, and data encryption to protect the privacy of the wire transfer data. “The capability for a small bank or credit union to offer a competitive forex service is likely already built into the system they are already using,” explains Dillard. “When that is the case, there are no incremental costs to start, and the option is almost immediately available to implement.” When integrated into Fiserv’s Payment Exchange, the current processes wire initiation, approval, and release processes remain unchanged. “Because it is part of the small bank’s existing technology system, partners and processes, there is no significant learning curve. The bank can simply ‘turn on’ the service and begin processing forex payments in just a few days,” says Dillard. Unlike other single source forex alternative from larger correspondent banks, the Acceleron software is based on having multiple correspondent banks bid on

each customer’s transaction. The bidding occurs seamlessly behind the scenes, with the customer benefitting from more competitive rates. “What really excites me about an integrated, competitive forex model is what this can do for the smaller bank or credit union,” says Dillard. “The pain points of utilizing forex technology and the barrier to entry have essentially been eliminated. “This is about giving these smaller financial institutions an ability to compete, generate new revenues, while taking care of their customers’ needs. It’s about leveling the forex playing field,” he adds. For more information about integrated forex payment solutions for community banks and credit unions, visit www. acceleronbank.com. Stephen Armstrong is a Tustin, Calif.-based freelance writer. He has researched and written about industrial technologies, healthcare, automotive and international trade for the past 15 years.

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