AT WORK Alexa Anderson VP of sales for The 5th Street Group
PAGE 29 VOLUME 27 NUMBER 10 ■ CHARLESTONBUSINESS.COM
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MAY 17 - 30, 2021 ■ $2.25
Leatherman diverts ships after lawsuit By Teri Errico Griffis
Entrepreneurs now Women finding opportunity to start their own businesses across S.C. Page 6
Zero emissions
Logistics and shipping companies making commitment to cut carbon. Page 8
New publisher
Rick Jenkins has been named group publisher for SC Biz News. Page 4
T
tgriffis@scbiznews.com
he S.C. Ports Authority has shifted two containerships intended to call on the Hugh K. Leatherman Terminal back to Wando Welch Terminal as shipping companies look to stay out of the fray cause by a union lawsuit, the Port of Charleston said in
a statement. In a months-long battle to ascertain HLT jobs that they believe should be assigned to union workers, the International Longshoremen’s Association has taken to using an “intimidation tactic” to get liners to boycott the port, the SCPA said. Despite the Leatherman Terminal opening, the ILA is suing Hapag-Loyd and the U.S.
HIGH TECH
Maritime Alliance for $200 million in damages, arguing that by docking at the terminal and using non-bargaining employees, both violated terms of their Master Contract and subsequently cost ILA members future jobs and wages. While the lawsuit isn’t directed at the SCPA, See LAWSUIT, Page 12 The Charleston Technology Center rises above Morrison Drive in Charleston. The facility recently opened. (Photo/Paul Eric Rich – Huckleberry)
The Charleston Technology Center opens doors on Morrison Drive after new construction builds place for early-stage startups and growing tech firms. Page 10
Better protection
S.C. plans to distribute more effective face mask beyond pandemic demands. Page 7
INSIDE
Upfront................................. 2 SC Biz News Briefs................. 3 Best Advice........................... 4 In Focus: Ports, Logistics and Distribution.................. 15 List: Motor Freight Companies..........................23 Bonus List: Employee Benefit Brokers...................25 At Work...............................27 Viewpoint............................ 31
Driving commerce
Columbus Street Terminal at S.C. Ports drives business across the state. Page 15
Upfront
BRIEFS | FACTS | STATEWIDE NEWS | BEST ADVICE
Veterans say Charleston best for veterans
A
nd they should know. It’s not uncommon for military veterans to form an attachment to a city or state where they were stationed, and Charleston is easily one of those places and has been for years. The Business Journal frequently asks folks how they arrived to the region, and more often than not there ends up being a conversation about military service and what happens afterward, even if it’s not retirement. Navy Federal Credit Union also sees a correlation between military service and location. The credit union surveyed a segment of their membership to determine the top 10 cities to live in after military service. The data gurus used further input from Sperling’s Best Cities and Operation Homefront, a nonprofit dedicated to helping military families and the communities they serve. Navy Federal Credit Union said that 250,000 servicemembers leave the military each year, which is a lot of econmic impact and workforce development looking for a place to call home. Many of the communities on the top 10 list are by the shore and in the South. Even though Charleston was the only South Carolina city to make the short list, Columbia ranked No. 14.
Top 10 Places for Vets After Service Rank
City
1
Charleston
Hospitality, low cost of living, strength of ties to Joint Base Charleston.
2
Fort Myers, Fla.
Beaches, sunshine, water, nature and tourist attractions.
3
Savannah
4
Daphne, Ala.
5
Norwich, Conn.
6
San Diego
7
Norfolk, Va.
8
Duluth, Minn.
9
Gulfport, Miss.
10
Why?
Ambience, including antique homes, ballestone streets, art scene and parks. Great weather, nice walking city on Mobile Bay, small but big enough. Beaches and beautiful New England towns, rivers, vibrant arts and history. Military people like San Diego, with 13.5% of all businesses veteran-owned. Another coastal city with great food, entertainment and Naval Station Norfolk. Craft beer capital of America also voted a top place for natural environment. The so-called Riveria of the South boasts major investment for veteran retirees.
Fort Worth, Texas Dining, shopping, entertainment and professional sports.
Sources: Navy Federal Credit Union, Sperling’s Best Cities, Operation Homefront
ON THE
RECORD
“This labor shortage is being created in large part by the supplemental unemployment payments that the federal government provides claimants on top of their state unemployment benefits. In many instances, these payments are greater than the worker’s previous pay checks.” — Gov. Henry McMaster, who cut expanded federal employment benefits
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SC Biz News Briefs UPSTATE
GSA Business Report
UPSTATE
GSA Business Report
BMW Charity Pro-Am readies for event
Electrolux expanding Anderson operations
The BMW Charity Pro-Am presented by Synnex Corp. named AC Hotel Greenville Downtown its 2021 host hotel and released a schedule of socially-distanced events across the Upstate associated with the four-day golf tournament. “After working with local officials, partners and the PGA Tour to ensure health and safety are our first priority, The BMW Charity Pro-Am will be hosted at Thornblade we are pleased to announce the series Club and Cliffs Valley from March 10 to 13 with additional of events taking place surrounding this events throughout the week. (Photo/Provided) year’s tournament,” Bob Nitto, president of South Carolina Charities Inc., said in a news release. “These events will further engage our partners, benefitting charities and the broader community.” AC Hotel’s Else Miller said in the release that the hotel and “our various onsite restaurants will provide the perfect backdrop for those visiting during the tournament.” This year’s event line-up will include Breakfast with Champions featuring former Major League Baseball player Roger Clemens and PGA Tour champion Jay Haas and benefitting the Cancer Society of Greenville County and Meyer Center for Special Children. This is a private event with sponsorships and tables available for purchase.
For the head of Electrolux North America, a walk through its Anderson plant with the governor was about more than the $300,000 gift announced at the end of the tour. It was also a celebration of a deep and costly investment in the plant itself. For $250 million, the Sweden-based company created the most efficient plant in its worldwide operations. The company has two plants in Anderson but production is being phased out of the second plant, which will be used for warehousing. The improved plant will have greater output than the two did in the past, according to multiple announcements from Electrolux over the last two years. The company also closed a Minnesota factory to move freezer production to Anderson. The Anderson plant is expected to produce 2 million refrigerators and freezers annually and has capacity to build 3 million units each year. The move to efficiency was not an easy one, though, according to Electrolux Group CEO Jonas Samuelson, who in December 2019 said the slow pace of upgrading the Anderson plant had a significant negative impact on the company worldwide, causing more than half of a $70 million hit on its operating income in the fourth quarter that year. Samuelson said “destocking” by a major American customer and some corrective accounting adjustments also Gov. Henry McMaster and Nolan Pike, head of played a role. He declined to break it Electrolux North America, announce a gift for the down more specifically, but Samuelson Anderson University engineering program after a said the cost of ramping up in Anderson tour of the Anderson plant. (Photo/Ross Norton) was more than the other two factors combined as the company ran into a series of challenges that slowed installation of the new lines. Meanwhile, Electrolux closed one Anderson plant as planned but put it back into production when the expansion bogged down. Closing the one Anderson plant and the Minnesota plant, combined with not having all four lines of the new facility operating, also presented challenges, he said. But as other companies were powering down last year in response to COVID19 health protocols and supply chain shortages, Electrolux in Anderson was powering up. The company announced plans in March 2020 to hire 500 workers and three months later announced plans for a third shift and another 800 workers. The plant will employ about 2,000 people under 800,000 square feet of space when operating full tilt. After touring the governor, the executive vice president in charge of North American operations for Electrolux, Nolan Pike, said it was satisfying to rise to the challenges of putting in the four highly efficient production lines. To help cultivate the talent needed to run the complex system, Electrolux announced a gift of $300,000 — $100,000 a year for the next three years — to a new engineering program at Anderson University. McMaster said the state is luring those kinds of engineering jobs as well as better-paying factory floor jobs and he praised Electrolux for investing in education. “What Electrolux has done is they’ve combined the technical college system, the university (Anderson University) as well as the high tech and the great skills that you see here,” the governor said. “This is the way progress looks. And so I can speak on behalf of 5.2 million proud, happy South Carolinians: we are very proud of what Electrolux has done.”
Charleston Regional Business Journal
Lufthansa orders 5 more Boeing Dreamliners Boeing delivered two 787-9 Dreamliners in the first quarter, but May is looking more optimistic as Lufthansa Group just ordered five more jets to add to the company’s long-haul fleet. Europe’s largest airline group is increasing its order of 787-9 Dreamliners to 25, Boeing said in a news release. The original order for 20 jets was placed in 2019. Detlef Kayser, chief operations officer for Deutsche Lufthansa AG, said the additional Dreamliners will accelerate the modernization of Lufthansa’s fleet. “With these ultra-modern, fuel-efficient aircraft, we send a strong signal for environmental responsibility within the Lufthansa Group,” Kayser said. “Furthermore, we will reduce our operating costs and provide our guests a state-of-the-art travel experience.” Boeing’s 787 Dreamliner entered service in 2011, and the 787-9 is the second member of the widebody family. Given the jet’s capacity, fuel efficiency and range, airlines that purchased the Dreamliner have added more than 300 nonstop routes and reduced carbon emissions by 80 billion pounds, the release said. Ihssane Mounir, Boeing senior vice president of commercial sales, said the 787’s fuel efficiency and range give Lufthansa enough flexibility to operate the aircraft profitably across the company’s network of routes. “The Lufthansa Group has been navigating an extremely challenging market and positioning itself for the recovery ahead and the eventual return to growth,” Mounir said. “We are honored that they have once again selected Boeing’s widebody airplane family to power their future fleet.”
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 24 NUMBER 9 ■ GSABUSINESS.COM
VOLUME 14 NUMBER 7 ■ COLUMBIABUSINESSREPORT.COM
Part of the
2021 season to open with Segra Park at half capacity. Page 2
Plastics solution
Clemson researcher finds promising way to make recycling more recyclable. Page 7
Deep Orange 12 project fast-tracking technology. Page 6
Breaking barriers
Branching out
Part 2 in a series taking a look at the business side of affordable housing. Page 12
New Columbia law firm features familiar faces. Page 15
INSIDE
Upfront ................................ 2 SC Biz News Briefs ................ 3 In Focus: Law..................... 14 List: Law Firms .................. 17 At Work .............................. 21 Viewpoint ...........................23
By Melinda Waldrop
A
mwaldrop@scbiznews.com
s the COVID-19 pandemic changed the rules in almost every industry on a near-daily basis, nursing homes in particular struggled to keep up with the ever-shifting landscape and may face even more uncertainty going forward. “One of the big challenges for the facilities has been dealing with the almost-constant rule and regulation change,” said Kelli Sullivan, a partner at Columbia law firm Turner Padget and a member of the firm’s health care litigation team. “(Guidance) from the CDC and Medicare changed literally every week, and so that was quite a challenge. Once you implement something, if it changes two or three days later, it’s a little bit like turning the Titanic. (But) I think the lessons we’ve learned, if we handle them well and take what we’ve learned, could really ultimately in the long run improve the
industry. It’s going to be painful, but anything worth having always is. This was a rough year, but it has made all of the facilities a lot more cognizant of their weak spots.” Nursing homes and residential care facilities were locked down in the first months of the pandemic, with South Carolina beginning to allow limited visitation last September and before requiring all facilities to allow visitation in March. During that stretch, family members were limited to emails or FaceTime to check on loved ones. “I have said several times, I think that everything that stinks about getting older is made worse by COVID,” said Sarah St. Onge, an associate at Millender Elder Law in Columbia. “If you’re doing OK and you’re living at home and you’re independent and you get COVID, a week afterward, you might end up in assisted living. If you’re in assisted living, you might end up in the nursing home. If you’re in a nursing home, you might end up in a hospital. The isolation is terrible.”
Spring 2021
Plans for Limestone University’s Campus Center began with just a library. (Rendering/Provided)
Self-driving cars
Women key to closing manufacturing talent gap. Page 10
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Union files suit
Longshoremen sue after the first ship docks in Charleston’s new terminal. Page 3
Nursing homes face plethora of questions in wake of pandemic
A different view
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LEGAL L ABY RINT H
Half-packed house
Nursing homes would be well-served to put into place lessons learned during the pandemic, Sullivan said, even as they await any potential legal fallout from COVID-19 infections and deaths at facilities. Best practices could include revamped disaster planning, increasing staffing options through resources such as temp agencies, and a commitment to “document, document, document,” she said. “Let’s say your facility is low on PPE, and you contacted supplier A, supplier B and supplier C, and you can’t get any N95 masks. It’s great you’ve done that. You’re doing your best to comply. But four years from now when you’re sued about this, you’ve got to be able to say well, here’s the evidence that I contacted supplier A to get more and supplier B or C, and I couldn’t get it, so our next best step was to do X. But if you don’t document those things, memories fade in the fog of everything See NURSING HOMES, Page 22
Labor win
NLRB stands by S.C. Ports Authority’s unfair labor complaint. Page 7
Limestone builds conference and student center By Molly Hulsey
mhulsey@scbiznews.com
Limestone University’s Campus Center and Library has been many years in the making — more than nine years to be exact — but the original plans for the building would have looked very different than the 65,000-square-foot complex overlooking the bygone quarry that gave the university its name.
supplemented trustee contributions with a loan of $34.5 million, which also enabled the university to draw $3.5 million from a local bank. That loan made the library — found on the second and third floors — just the tip of the iceberg for what would become an $18 million project. The rest of the USDA loan helped the university purchase a new resiSee LIMESTONE, Page 6
Electrolux takes victory lap after investment
The Citadel plays against type
By Ross Norton
An institution long known for uniformity works to promote diversity. Page 15
rnorton@scbiznews.com
INSIDE
Leading Off .......................... 2 SC Biz News Briefs ................ 3 C-Suite ................................ 4 In Focus: Commercial Real Estate ................................ 17 LIST: Commercial Real Estate Firms ................................. 19 At Work ..............................22 Viewpoint ...........................23
Initially, school leadership hoped to build a replacement for their existing library and that was all. But Reggie Browning, vice president of finance and administration, had other plans. As the needs of the college-turned-university and the community grew, he knew the pocketbook needed to expand as well. Browning lobbied for support from the U.S. Department of Agriculture through its Rural Development program, which
Gov. Henry McMaster and Nolan Pike, head of Electrolux North America, announce a gift for the Anderson University engineering program after a tour of the Anderson plant. (Photo/Ross Norton)
For the head of Electrolux North America, a walk through its Anderson plant with the governor was about more than the $300,000 gift announced at the end of the tour. It was also a celebration of a deep and costly investment in the plant itself. For $250 million, the Sweden-based company created the most efficient plant in its worldwide operations. The company has two plants in Anderson but production is being phased out of the second plant, which will be used for warehousing. The improved plant will have greater output than the two did in the past, according to multiple announcements
from Electrolux over the last two years. The company also closed a Minnesota factory to move freezer production to Anderson. The Anderson plant is expected to produce 2 million refrigerators and freezers annually and has capacity to build 3 million units each year. The move to efficiency was not an easy one, though, according to Electrolux Group CEO Jonas Samuelson, who in December 2019 said the slow pace of upgrading the Anderson plant had a significant negative impact on the company worldwide, causing more than half of a $70 million hit on its operating income in the fourth quarter that year. Samuelson said “destocking” by a major
Driving toward the future S.C. automakers push tech advancements, electric power
See ELECTROLUX, Page 9
In Focus
Concrete solution to CO2
Fox Hill Business Park constructed with a solution to the carbon challenge. Page 17
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This image from Boeing shows the livery of Lufthansa Group on a 787-9 Dreamliner. The company has added five 787-9s to its existing order for Dreamliner aircraft. (Photo/Boeing Co.)
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May 17 - 30, 2021
BridgeTower names group publisher for SC Biz News By Andy Owens
aowens@scbiznews.com
B
ridgeTower Media has named Rick Jenkins group publisher for SC Biz News. Jenkins formerly served as the publisher for GSA Business Report in the Upstate and will now oversee all operations for the statewide business-to-business media operations. SC Biz News is the publisher of GSA Business Report, Columbia Regional Business Report, Charleston Regional Business Journal, SCBIZ magazine and many associated digital, print and event-driven media products. BridgeTower named Jenkins after a nationwide search Rick Jenkins (right) has been named group publisher for SC Biz News after a nationwide search to replace long-serving to replace long-serving group group publisher Grady Johnson who stepped down in March. Above, Jenkins interviews Fountain Inn City Administrator publisher Grady Johnson who Shawn Bell for a segment on SCBIZtv. (Photo/Kim McManus) stepped down in March. “I’m so honored to have the ibility to innovate and serve Expo, an annual event that of SC Biz News, continues to opportunity to lead SC Biz,” the SC Biz News communi- draws thousands of manufac- invest in digital transformaJenkins said. “The company ty with creative, data-driven turing professionals and exec- tion, giving the community of has been the leader in produc- products the way businesses utives from across the U.S. B2B business leaders sophising and distributing valuable want them. Jenkins also helped pioneer ticated and targeted options content to high-level business “Our industry continues SCBIZtv, a digital video chan- for connecting to customers, executives throughout South to transition from tradition- nel that provides news, infor- investors and talented profesCarolina for more al print to digital mation and conversations sionals. than 25 years, and technologies, and with South Carolina’s thought “We are reaping the the SC Biz brand is I’m galvanized by leaders with more than 140 rewards of that investas strong as ever.” the continued trend business-related videos. ment into the digital transforBridgeTower is toward digital media “We started it in the early mation of our business,” Jenan independently and all that entails,” stages of COVID, and it has kins said. “Now we are able to owned company, Jenkins said. “Pro- blossomed,” Jenkins said. offer advertisers an exhaustive serving commercial viding valuable “Over the past three months, suite of digital products, which Jenkins interests in more content that helps SCBIZtv has garnered more provides them more ways than than 25 markets businesses and busi- than 30,000 video views. It’s they ever could’ve dreamed from coast to coast with a ness leaders make strategic just another example of our to reach potential customstrong focus on digital, print decisions remains vital, but willingness and desire to pro- ers. We are also constantly and event marketing. how we deliver that content is vide content to our readers in looking at refining technolJenkins said this is an excit- changing.” any format they wish to con- ogies that deepen reader ing and challenging time to Jenkins has been the driv- sume.” engagement.” be in the media industry, but ing force behind the S.C. ManJenkins said BridgeTower those challenges provide flex- ufacturing Conference and Media, the parent company Reach Andy Owens at 843-849-3142. CRBJ
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May 17 - 30, 2021
Women find entrepreneurial traction despite ‘statistic’ By Teri Errico Griffis and Molly Hulsey
“I started off as a very, very small business, and this has just been a blessing honestly because of Instagram and Facebook, especially after COVID. I give full credit there. I’m not even a freestanding building, and I’ve had a really good year. I was voted in the Upstate as the top jewelry store, which is fabulous.”
tgriffis@scbiznews.com mhulsey@scbiznews.com
M
argaret Godowns had no idea how bored she was in her job until she left last spring and started her own company. Her role as a project manager at a Charleston technology company offered great benefits, flexibility and stability in an unpredictable time, but the pandemic accelerated a parting of ways. Finding herself without a job last May was terrible timing, as 6 million other women ended up in the same situation in 2020, an analysis by the National Women’s Law Center found. But Godowns turned the urgency of needing a paycheck, and the time in quarantine, into a catalyst to act on a longheld dream. In December, she launched Sunday Plans, a high-end home organization business. Today, Godowns works for herself and has nearly 20 clients — all by word of mouth. She has so many projects in the pipeline that she has had to hire part-time workers in Charleston, where she and her partner live, and Greenville, where they split time with her in-laws. “It has been a complete lifestyle change,” Godowns said. “I work 10 times as hard, but I feel like I have life in me again.” The entrepreneur is now one of 1.5 million others who started their own enterprises in 2020, up 82% year-overyear, according to the U.S. Census Bureau, with more women signing business registration papers every day. An online portal for business research and information for entrepreneurs, AdvisorSmith, named South Carolina the second worst for female entrepreneurs. In South Carolina, only 1.3% of all companies making $100,000 in revenue a year are owned by women, while the average payroll for companies owned by women is estimated at $264,695, far below the national average of $330,171. “When I dreamed about being a professional organizer, the furthest it went was I’ll have a few little clients and that’ll be it for the rest of my life,” Godowns said. “Now in six months, I realized I can really go farther than that.” Small businesses such as the Julie Mayer Collection, Marian Pouch Art and nearly all of the vendors at Greenville’s Cottage Grove Vintage Market have targeted a female demographic to stay afloat and, in some cases, expand. For owners Julie Mayer and Marian Pouch, Instagram continued to serve as their primary storefront when brick-andmortar competitors shuttered. “If I post, I have a lot of sales,” Mayer
Julie Mayer Owner, Julie Mayer Collection
Margaret Godowns, founder of Sunday Plans, left her tech career behind during the pandemic to start a home organization business that serves the Charleston and Greenville areas. (Photo/Provided)
said. “I started off as a very, very small business, and this has just been a blessing honestly because of Instagram and Facebook, especially after COVID. I give full credit there. I’m not even a free-standing building, and I’ve had a really good year. I was voted in the Upstate as the top jewelry store, which is fabulous.” Social media influencers and local public figures like Clemson’s Kathleen Swinney and Beth Clemmons, wives of the university’s football coach and university president, respectively, have helped boost Mayer’s football team-oriented jewelry and apparel in the public eye. “I have a small village that works with me,” she said, referring to her three employees, the Clemson community that makes up 85% of her business and women
that help promote her work online and by word of mouth. “Those endorsements have helped me tremendously.” While owning her business comes with many challenges, Mayer said she is grateful that it offers her the opportunity to work from her home while caring for two special needs children. For a year during the pandemic, Mayer closed her home-based store, but since then, she has had a somewhat smoother transition than many brick-and-mortar locations with her low-overhead, homebased operation. Customers can purchase her work from a store in her home as well as online, and she works out of a studio at her designer’s house. “I was very grateful I didn’t have a brick-and-mortar to be honest,” Mayer
said, adding that her prompt social media communication with customers can help them pick out sizes through online ordering while fitting rooms remain closed at retailers. Artists at The Cottage Grove Vintage Market, owned by Susan Debose, also relied on an online presence over the past year, and with people spending more time redecorating their homes lately, sales remain steady, especially when orders at larger retailers stalled. “You couldn’t get a desk online from a big box store, because it was backordered,” said Anna Louise Carter, owner of Designed by Dixon. “We had it here, and we were able to meet that demand, and I think that it was really neat that we were able to do that for our local economy and support our people here.” Gov. Henry McMaster and Lt. Gov. Pamela Evette visited The Cottage Grove, one of the seven women-owned businesses at the Shoppes at Gower development, following a roundtable on female entrepreneurs April 26. When told that South Carolina was noted as one of the worst states in the union in terms of percentage of female entrepreneurs, the entrepreneurs were shocked. “You picked the wrong group of women,” Upstate-d Vintage’s Marcie Crandall said, as the others echoed that all of their friends are business owners as well. “That’s just a statistic,” Carter said. While owning their own business often means working much more than 40 hours a week, becoming self-reliant motivates them to work that much harder, they said. “Just do it,” Carter said. “And don’t keep putting it off.” CRBJ
Reach Teri Errico Griffis at 843-849-3144.
May 17 - 30, 2021
www.charlestonbusiness.com 7
Sonfast focus changes to distribute a better face mask By Ross Norton
rnorton@scbiznews.com
W
hen it comes down to the nuts and bolts of doing business, Paul Pappy is like Red, Morgan Freeman’s character in The Shawshank Redemption: he knows how to acquire things people need. For the last year, everyone needed masks. Pappy, counting on demand to outlast the COVID-19 pandemic, believes he’s about to bring the best mask ever made to market through his company, Sonfast Corp. At its core, Sonfast is a company that distributes nuts, bolts and other fasteners. It’s where the company’s origins lie, and the business is foundational to Pappy’s identity. He is a purveyor and designer of fasteners and fastener systems. The company, which also offers services such as inventory management and logistics, has expanded to other products familiar to industrial users, from abrasives to stamping to hand tools. They also sell safety equipment and supplies, which is why the leap from nuts and bolts to N95 masks is not as far from home base as it seems. While the pandemic has crippled or killed some businesses, others have thrived, including Sonfast. The Travelers Rest company significantly
increased in from 2019 to 2020 and was on track to do the same in the first three months of this year, Pappy said, while PPE sales in 2020 almost surpassed total sales from the year before. Pappy predicts mask sales will lead the company into the future, partly because he thinks masks are here to stay and partly because he thinks Sonfast is about to introduce the world to a game changer. The BiotechInnova TechnoWeb N95 mask was developed in Korea. The manufacturer claims — and backs the claim with a letter from the FDA and other data — that the mask outperforms other N95 masks in filtration and comfort. Pappy said the mask is expected to be certified this month by the National Institute for Occupational Safety and Health. With that certification, he expects sales to soar. “World governments after the coronavirus, I think, are going to take more of an initiative in planning for the next one,” Pappy said. “Masks are going to be relevant in the market probably for the next decade simply because no government wants to be caught with their pants down whenever the next one comes.” Wading into the mask business was fraught with risk, Pappy said. The amount of fraudulent supplies and deals was stunning.
The maker of the TechnoWeb N95 says the masks filter smaller particles better than other N95 versions. (Photo/Provided)
“China has introduced dozens of variations on branded masks ... which flooded the U.S. market with nothing but failures,” he said. “Because hospitals on fixed budgets only go after the cheapest possible solutions, if it’s rated N95, (purchasers assume) it must be good even if it doesn’t actually protect their employees. It just reaches that price point where they buy bunches of garbage. It’s become a herd mentality at this point. We have an opportunity with our business model to change that way of thinking. I believe the mask
that we distribute is going to change respirator protection throughout the world.” Pappy said BiotechInnova has opened a filter factory in California and facilities for making masks in Texas and Florida. As one of only a handful of distributors, Sonfest is selling a more comfortable and effective mask with a 100-year shelf life, compared to three to five for other masks. With NIOSH certification looming, he expects an already-booming sales sheet to catch fire. “The masks are going to sell themselves and we are glad just to be along for the ride,” he said. “The way I see it is, going forward, masks are going to become the leading sell point for Sonfest. We will still do our nuts and bolts, but the sheer volume of masks that we are looking at supplying is going to skyrocket our business. We don’t have high margins at all ... but I don’t need to make a ton of money. I would rather people get the product that actually protects them and to get it at a better price. I’m not charging for brand recognition, I’m just putting a product out there that I know works. And if I can associate myself with an ethical and moral business practice, make a little bit of money and provide a real solution, then that’s my legacy.” CRBJ
Reach Ross Norton at 864-720-1222 or @RossNorton13 on Twitter.
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Harbor Freight Tools adds new facility to its operations
A
Staff Report
s businesses continue to push for more space in proximity to South Carolina’s ports, Harbor Freight Tools has leased an additional warehouse in Dillon County, adjacent to its existing presence. Dillon is a key logistics location for the California-based Harbor Freight, the largest employer in Dillon County, according to the South Carolina Department of Commerce. The tool and equipment retailer employs more than 2,300 associates in the state and has invested more than $200 million. “Since we first opened our distribution center in Dillon in 2001, we have continued to be proud members of, and significantly invest in, the Dillon community,” Trey Feiler, SVP of Real Estate for Harbor Freight Tools said in a news release. “We are excited to expand both our presence and our capacity with this new warehouse facility.” The new 373,100 square-foot warehouse distribution space is located at 95 Inland Port Logistics Center, approximately 1 mile from Inland Port Dillon, which serves as a transshipment point for the Port of Charleston, according to a news release by Equus Capital Partners Ltd.
Harbor Freight Tools is now the largest employer in Dillon County. The company opened its facility near Inland Port Dillon with more than 2,300 workers. (Photo/Provided)
The expansion will create 150 more jobs to the region. Equus Capital Partners, Ltd., a private real estate investment management company, headquartered in Philadelphia, entered into the 10-year lease agreement with Harbor Freight Tools. Inland Port Dillon, a S.C. Ports
FORTY
Authority facility, was constructed in 2018 to connect to the Port of Charleston via a CSX rail line. Users can then transport imported containers more effectively by rail than by truck. Harbor Freight saved significantly by becoming an Inland Port Dillon user. The company imports, on average, 25,000 containers annually
through the port and is the largest user of Inland Port Dillon, the release said. S.C. Ports Authority President and CEO Jim Newsome shared that Harbor Freight Tools was the launch customer for Inland Port Dillon in 2018 and he looks forward to the company’s growth. Newsom added he is excited to see Equus invest in the modern speculative building. “Importers and exporters benefit from Inland Port Dillon’s available capacity and reliable service through its rail connection with the Port of Charleston,” he said. “Investments like this one from Equus will undoubtedly bring more growth to the Pee Dee region.” By entering a leasing agreement with Harbor Freight Tools, Equus not only furthers its development program, but stimulates the economy and helps the state advance its vision of Inland Port Dillon, Senior Vice President of Equus Dan DiLella Jr. said. “SC Ports’ successful Inland Port Dillon project continues the national trend of increased usage of inland ports to support supply chain activity,” DiLella said. “Inland Port Dillon is a valuable facility for Harbor Freight and should also attract new users to the region looking to import and distribute throughout the Southeast.” CRBJ
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Governor terminates all federal pandemic unemployment programs
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Staff Report
ov. Henry McMaster has called for the S.C. Department of Employment and Workforce to terminate all federal pandemic unemployment programs in South Carolina, citing the benefits as cause for the state’s workforce shortage. McMaster gave the directive May 6 via a letter to DEW Executive Director Dan Ellzey, according to a news release from his office. In the memo, McMaster stated that the benefits were only meant to be short-term assistance for the “vulnerable and displaced” during the height of the pandemic, but have now “turned into a dangerous federal entitlement, incentivizing and paying workers to stay at home rather than encouraging them to return to the workplace.” There are 81,684 open positions in the state, which threaten the sustainability of hotel and food service industries in particular, Ellzey said in a statement. McMaster also addressed the unprecedented workforce challenges in manufacturing and the health sectors. “This labor shortage is being created in large part by the supplemental unemployment payments that the federal government provides claimants on top of their
state unemployment benefits,” the governor wrote. “In many instances, these payments are greater than the worker’s previous pay checks.” Assuming a 40 hour work week, a person making $15 or less at their job is likely making more on unemployment than when working, according to DEW. Workers who previously received an hourly wage of $7.25 — for a total of $290 in weekly earnings — have been receiving $445 a week on unemployment with federal supplements. McMaster then directed DEW to terminate South Carolina’s participation in the following: • Pandemic Unemployment Assistance • Pandemic Emergency Unemployment Compensation • Federal Pandemic Unemployment Compensation • Mixed Earners Unemployment Compensation • Emergency Unemployment Relief for Governmental Entities and Nonprofit Organizations • Temporary Federal Funding of the First Week of Compensable Regular Unemployment for States with No Waiting Week. CRBJ
S.C. needs 80,000 workers to fill open roles By Teri Errico Griffis
S
tgriffis@scbiznews.com
outh Carolina has an estimated 80,000 open jobs, according to the S.C. Department of Employment and Workforce. The majority of the jobs are in the food and accommodations industry, which was hit most severely this past year, and manufacturing, S.C. Chamber of Commerce CEO Bob Morgan said. Both are the leading industries in the state. To better understand why employers are struggling to fill roles, the S.C. Chamber of Commerce has created a Workforce Development Survey and is asking employers across the state to respond.
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“The goal is to better understand what the needs of our employers are,” Morgan said. “In the state and around the entire country, there’s a real shortage of talent and some of that is related to a decline in workforce participation.” The survey includes four questions, including two meant to gauge how concerned employers are with the current shortage. A third key question asks employers to rank their workforce concerns in order of importance, whether it’s appli-
cant shortages, aging workforce, lack of soft skills, high turnover or a talent gap. “Employers have an appetite to hire more people,” Morgan said. “We want to better understand what are the skillsets and needs that employers are looking for so we, not just as a chamber, but we as a state can try to make sure that we’re matching our educational resources to the needs of the employers’ skillset needs for today and for the future.” Having begun his role as CEO on April 1, Morgan said he understands he still has much to learn about the state and its economy. “South Carolina is in a position to get more than its fair share of that population growth… As people move to South Carolina, jobs will follow. As jobs move to South Carolina, people will follow,” he said. “It’s a virtuous cycle, but one of the fortunate things about being a growing state.” Morgan thinks the next 10 years will be both exciting and significant in terms of strong economic growth. The survey results will be compiled and used in October to help the chamber plan a Workforce Development Symposium. Results will project key workforce topics and other sessions for the symposium. CRBJ
Reach Teri Errico Griffis at 843-849-3144.
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Charleston Tech Center opens flagship location at almost full capacity By Jenny Peterson
T
Contributing Writer
he 92,000 square-foot Charleston Tech Center, the flagship location of the Charleston Digital Corridor, opened its doors at 997 Morrison Drive just one month ago and is already buzzing with tech startups and businesses. Almost all of the 33 flexible office spaces at the new flagship location are nearly occupied, with just eight offices available. Working side by side in stunning glass offices are Aspetto, an IT defense tech firm working on bullet resistant clothing; Casa, a tech firm that provides a safe place to store bitcoin and Zeriscope, which hopes to add life-changing tech for healthcare including linking rural EMS units with experts to assess patients on the way to the hospital to determine optimal transfer plans. The entire building was developed to serve the exclusive needs of tech companies, with conference rooms and “touchdown desks” in semi-private nooks. Offices are configured for 1-15 people. Larger spaces on additional floors are available and retail and dining options are planned for the first floor. Ernest Andrade, founder and Director of the Charleston Digital Corridor, is the charismatic leader and face of the public-private partnership that supports Charleston’s tech community. The Charleston Digital Corridor is the anchor tenant at the Morrison Drive building.
20-year history
While working as the City of Charleston’s director of business development, Andrade said he convinced former Mayor Joe Riley of the vision to invest in spaces specifically for tech companies and startups. The first two spaces opened along Calhoun Street and East Bay Streets in what was then a unique arrangement of flexible co-working spaces for the tech industry. “In 2000, if you were in tech, every investor was heading for the exit with
The Charleston Tech Center capitalizes on a vision of having co-working space that gives different companies opportunities to collaborate and connect to final commonalities. (Photo/Paul Eric Rich – Huckleberry)
Y2K coming and I’m telling the mayor there’s never been a better time to form a tech commission,” Andrade said. “In 2010, we got two spaces downtown as
incubator space. Due to the economic crisis at the time in housing, we were able to jump in and develop the incubator for pennies on the dollar.”
While the corridor initially focused on tech, biosciences, green initiatives and life sciences, the Charleston Digital Corridor is now solely focused on tech. “We honed in on pure tech based on strategy, input, feedback and success rate,” Andrade said. “We were using public funds to help fund these projects and my obligation was to be very respectful of the fact that there were public dollars in play.” Andrade retired from the city in 2015 after more than two decades in order to take on the role of executive director for the Charleston Digital Corridor fulltime. “I have deep roots and relationships with the city, which is very helpful when you are building a project like the Tech Center. I’m in contact with city several times a week. They don’t have the (manpower) to handle this (niche) in-house, so the next best thing was to partner with the economic development department,” he said. “This is not a traditional incubator; the mission of the Charleston Digital Corridor is three-fold—to raise capital, create opportunities for employment and create a diverse economy in Charleston.” The first locations for the Charleston Digital Corridor have now been retired, with two new locations opening over the last year—the Morrison Avenue Flagship and another at WestEdge downtown on Lockwood Drive. Several original tech tenants followed to the new locations. “These locations would not have been successful without public participation, the state of South Carolina, Charleston County and the City of Charleston,” Andrade said. “Even though the lion’s share of the financing the project was private, many levels of governments and incentives played into this Morrison Avenue building, including that it’s located in a federal government opportunity zone.”
‘Concierge services’ for tech
Andrade said what makes the Charleston Digital Corridor stand apart from other co-working spaces is his deep
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knowledge of the tech community’s needs. “If you are looking for talent, space, capital and like-minded people around tech, I can be a creative to help your enterprise,” Andrade said. “Tell me what you need and let me help you get it– whether startups need legal advice, help with contracts, trademarks, hiring or promotion.” The flexibility of space at the flagships and pricing is attractive to nimble startups as well as the community of like-minded entrepreneurs in the same building. Andrade said many are relocating from other cities. Support services aren’t limited to flagship location tenants; Andrade said anyone in the tech industry in Charleston can call on the Charleston Digital Corridor for help and support. “If someone is in their garage doing a startup, we are happy to talk to them. We will make the time to support micro-enterprises as much as we welcome big companies,” Andrade said. The COVID-19 pandemic didn’t affect the timeline of the Morrison Drive location opening — it actually accelerated it, Andrade said. The future forecast is bright. “A lot of remote workforce options and smaller teams were well under way and the pandemic just accelerated it,” Andrade said. “If you look at WestEdge, it was brought online in April 2020 and as of May of this year, it’s 100 percent occupied.” CRBJ
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Nearly all of the Flagship flexible offices have been leased at the Charleston Tech Center, organizers said. (Photo/Paul Eric Rich – Huckleberry)
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The Hugh K. Leatherman Terminal opened in April with the first ship, the Yorktown Express, docking at the terminal. (Photo/Kim McManus)
LAWSUIT, from Page 1
the port said it is having its “intended impact” as certain Ocean Alliance shipping lines and The Alliance shipping lines have asked that their ships not call on the Leatherman Terminal until the matter is resolved, the statement said. Not allowing ships to call on the Leatherman Terminal comes at a higher cost for the involved lines and the diverted cargo, especially in a time of unprecedented global supply chain disruption, the SCPA said. The Ports Authority said it understand major foreign container shipping companies trying to avoid a confrontation with “frivolous lawsuits.” “Despite prior assurances from the union through a stipulation filed with the NLRB that Leatherman Terminal would operate as normal until the judge has ruled in the pending NLRB proceeding, these lines are now being intimidated to either return to Wando Terminal or divert these vessels to other South Atlantic ports, which have the same operating model that they are objecting to here,” the SCPA statement said. The port further believes that any issues the ILA had should have been “professionally addressed” through the NLRB
proceeding. The SCPA added, “but unfor- Contract clause that required all labor tunately, the union has engaged in illegal, for any new terminals to be 100% union unfair, and deceptive practices to intim- labor. idate — successfully — certain shipping The SCPA and the S.C. attorney genlines to try and leverage the unionization eral filed charges with the National Labor of state employees.” Relations Board on Jan. 7 stating that the Beginning in August 2020, the SCPA forced unionization tactic would endanand shipping lines designated four ser- ger the port’s successful operating model. vices that would berth at the Leatherman The port argued the Leatherman TermiTerminal to alleviate nal also pre-dated the the container volume “The lawsuit is a clear Master Contract the handled at Wando ILA was invoking. The Welch Terminal. If intimidation tactic NLRB found merit in those services were targeting the shipping line the charge in March not moved, Wando and scheduled a hearTerminal would oper- customers of S.C. Ports ing for May 4 in front ate above its maxi- Authority.” of a federal Adminismum capacity, which tration Law Judge. the SCPA said would SCPA statement That hearing has disrupt “efficiency and since been delayed to productivity” of the terminal’s operations. June to allow the NLRB time to analyze The Leatherman Terminal was sched- the additional charges filed by the ILA, uled to open in the spring and use the the release said. ports’ long-standing hybrid model of “The lawsuit is a clear intimidation union laborers and dock workers to exe- tactic targeting the shipping line customcute daily operations. ers of S.C. Ports Authority, all of whom Following the August agreement, the are members of the USMX and agreed to longshoremen union and the U.S. Mari- utilize Leatherman Terminal, pending the time Alliance, which represents the steve- outcome of the NLRB proceeding,” the dores and shipping lines who employ the SCPA statement said. union labor, moved to enforce a Master For the time being, the SCPA has
agreed to two of the lines’ requests to divert them back to the Wando Terminal, pending further clarity from the NLRB on the longshoremen’s actions. One line will still remain at Leatherman Terminal. “This is not a sustainable solution, but in the short-term, it will help mitigate the harm caused by the unlawful union tactics and assure the continuity of service to which our customers have become accustomed while further protections are sought through the legal process,” the SCPA statement said. The SCPA and the state plan to work through all legal processes available to protect the Hugh Leatherman Terminal investment and the economy surrounding it. “Should the objective of a different and more expensive labor model be successfully achieved at Leatherman Terminal, it would put SC Ports Authority at a competitive disadvantage within our region as none of our container line customers would utilize the terminal, defeating the very purpose of building port infrastructure in support of South Carolina’s supply chain and maritime community,” the SCPA said. CRBJ
Reach Teri Errico Griffis at 843-849-3144.
May 17 - 30, 2021
www.charlestonbusiness.com 13
Inland Port Greer launches expansion project, grows cargo capacity By Molly Hulsey
O
mhulsey@scbiznews.com
n the heels of opening of a new terminal in Charleston, the S.C. Ports Authority today announced plans to expand Inland Port Greer — a pair of developments drawing praise from some players in the manufacturing and logistics sectors. The installation of Charleston’s Hugh K. Leatherman Terminal has already spurred one Upstate-based logistics company, Greer-based TA Logistics, to consider doubling or tripling his personnel over the next 12 months. Swafford Transport and Warehousing, a logistics company with several foreign-trade zone warehouses within a few miles of the inland port, also has seen a sign of greater things to come. Dusty Locke, vice president of the company’s operations, expects Charleston’s port expansion to attract some companies away from a Savannah port of call, thus making his trucking prices far more competitive with Inland Port Greer factored into the equation. “If I were to send a driver from Greer to Charleston and back, that’s his day,” Locke said. “He can do one load. Now those containers can come in from the inland port from Charleston where they can’t from Savannah, and that same driver can get 10 containers in a day.” That difference could alter consumer freight costs from — for example — $1,000 a container to $100, he said. Today, after the S.C. Port Authority announced the expansion of Inland Port Greer, TA Logistics and Swafford Transport’s predictions could be one step closer to fruition with the promise of additional container volume and extended rail infrastructure. “The Leatherman Terminal provides more big-ship capabilities, cargo capacity and efficient operations for S.C. Ports,” Liz Crumley, manager of corporate communications for the S.C. Ports Authority told GSA Business Report in an email. “The additional capacity means more cargo can flow in and out of port terminals and inland ports. The efficient operations provide reliability and speed-to-market for customers needing to move imports and exports, as goods swiftly travel between Inland Port Greer and the Port of Charleston via overnight rail.” With a $25 million grant from the Better Utilizing Investments to Leverage Development Fund, Greer’s inland port will expand with additional rail processing and storage tracks within the terminal that will expand the container yard to the east and west, according to today’s announcement. The existing chassis yard will widen in response to the record rail moves report-
Inland Port Greer extends the Port of Charleston’s reach 212 miles inland via rail. (Photo/Provided)
ed this March, and new facilities for heavy lift maintenance and terminal operations will be added to the port’s roster of construction projects. “This funding supports the expansion of Inland Port Greer, which has been a true success story for South Carolina, growing significantly every year since opening,” S.C. Ports CEO Jim Newsome said in the release. “We continue to invest in port infrastructure to handle more cargo for companies. Our strategic investments provide more capacity and efficiency, which attracts more companies to invest in our state.” In 2018, the U.S. Department of Transportation awarded the BUILD grant to the S.C. Department of Transportation to help fund the Upstate Express Corridor Program, which includes both the expansion of S.C. Ports’ Inland Port Greer and the lengthening of Norfolk Southern’s Greer Lead Track and Carlisle Siding Track, according to the release. “S.C. Ports is a major economic driver for our region, with more than half of its $63.4 billion annual economic impact occurring in the Upstate,” Rep. William Timmons, R-S.C., said in the release. “Many companies, such as BMW Manufacturing Co. and Michelin, depend on S.C. Ports’ Inland Port Greer to handle their imports and exports. The expansion of Inland Port Greer will further enhance our supply chain, prompting more companies to invest in our region and creating more economic prosperity throughout the Upstate.” More than half of S.C. Ports’ $63.4 billion annual economic impact in South Carolina already occurs in the Upstate, according to the news release. John Lummus, president and CEO of Upstate SC
“This funding supports the expansion of Inland Port Greer, which has been a true success story for South Carolina, growing significantly every year since opening.” Jim Newsome CEO, S.C. Ports
Alliance, told GSA Business Report that means a $32.8 billion economic impact in just the Upstate. “I know you’ve seen that BMW is the largest exporter of automobiles in the United States,” he told SC Biz News earlier this month, adding that roughly 70% of exported value from Inland Port Greer contains BMW products bound abroad. “And to be able to compete and do that, we have to have a port that handles that and continues to grow.” Today, Lummus added that S.C. Ports’ continued investment in its infrastructure like the Inland Port expansion was a keystone in South Carolina’s ability to speed up the supply chain to and from the Upstate, ultimately driving additional jobs, investment and economic growth to the region. “The port, in the overall big picture, is just so critically important to the Upstate,” Lummus said following the opening of the Hugh Leatherman Termi-
nal. “Fifty-two percent of all traffic going in and out of the port is from the Upstate. The largest users are mainly from the Upstate: BMW, Michelin, TTI and other Upstate companies. Just Greenville County alone has about $7.5 billion in economic impact from the port; Spartanburg: about an $8.5 billion economic impact each year. It’s just an incredible asset.” While BMW spokesperson Sky Foster reported that the Hugh Leatherman terminal would not directly impact the auto manufacturer’s exports of finished products — Charleston’s Columbus Street Terminal met that demand a few years ago — it would allow the company and suppliers to boost the container volume of imported and exported parts to Greer. Especially now that worldwide, the BMW Group is gearing up for a 50% increase in electric car sales, including hybrid models, this year following Plant Spartanburg’s record-breaking sale of plug-in vehicles in 2020. So far, Swafford Transport and Warehousing’s Locke notes that he has had four brokers reach out to him lately on the hunt for a specialized warehouse able to store the lithium ion batteries used in BMW’s electric models. After hearing the announcement, BMW President and CEO Knudt Flor praised the port system’s longtime relationship with the company’s North American hub and credited it for the manufacturer’s success as the largest U.S. auto exporter by value. “We export 70% of our South Carolina-made vehicles through the Port of Charleston to 125 countries around the world,” Flor said in today’s release. “BMW was also the first customer for S.C. Ports’ rail-served Inland Port Greer in 2013. Inland Port Greer has proved incredibly beneficial to our supply chain. We depend on reliability and speed to produce every car to order, and S.C. Ports continues to deliver for BMW.” The announcement also follows logistics company DHL’s $92.7 million expansion in Cherokee and Dorchester counties set to directly create at least 249 jobs in the state. Doug Rink, CEO of Keller Manufacturing and president of its subsidiary TA Logistics, supports DHL’s operations through his five-person logistics team. He noted TA Logistics is cautious in expanding in response to predicted demand, but he knows that S.C. Ports’ recent slew of expansion projects will prompt strong growth within his company and partners across the eastern seaboard. “I think they’re right on,” Rink told GSA Business Report. “Right on time. It’s going to help us a lot … it’s a great time, a great time to be in logistics. CRBJ
Reach Molly Hulsey at 864-720-1223.
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IT’S TIME TO BINGE BUSINESS What’s new on SCBIZtv? With nearly 150 videos (and counting), our YouTube channel features a wide variety of businessrelated content. From recognition events to one-on-one interviews with high-level business executives to in-depth discussions with industry leaders, our playlists have something for everyone. Here’s a sampling of what you’ll find on SCBIZtv. What’s New and What’s Hot!
Check out our new content as well as our trending videos on this ever-changing playlist.
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Recognition Events
With events like Women of Influence in the Upstate, Icons and Phenoms in the Midlands and Health Care Heroes in the Lowcountry, SC Biz News honors the movers and shakers across the state.
Coping with COVID
Explore the impact the coronavirus is having on our daily lives, both at home and at the office.
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Coffee With
This ongoing video series features business executives sharing insight about their business, the industry in which they work and the community in which they live.
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In Focus
PORTS, LOGISTICS AND DISTRIBUTION LISTS: Motor Freight Companies, Page 23 | Bonus List: Employee Benefit Brokers, Page 25
Driving wages The logistics and distribution sector in South Carolina provides a steady stream of high-paying skilled jobs that intersects with a number of other industries. Job sector
Average wages
Logistics internal
$76,592
Supported jobs
$48,412
Logistics vendor
$47,547
All S.C. jobs
$45,189
Employment growth
Across the Southeast, logistics jobs increased in 2020, a trend economists expect to continue, with only West Virginia seeing a 0.1% downturn.
Rail cars carry 20 BMW vehicles to be exported from the Port of Charleston to Europe and China. The vehicles are manufactured in the Upstate and sent by rail to the port’s Columbus Street Terminal. (Photo/English Purcell , S.C. Ports Authority)
Driving Commerce: Automakers rely on S.C. Ports By Teri Errico Griffis
B
tgriffis@scbiznews.com
yron Miller remembers when BMW first announced plans to export vehicles from the Port of Charleston in the early 1990s. He served as an intern then for the S.C. Ports Authority, but over the years his roles have changed, earning him a front-rowseat to the port’s growing relationship with the car manufacturer as director of sales. Throughout the last three decades, automotive has become one of the largest commodity groups for the SCPA, especially as two-way volume is concerned, based on the scale, the number of employees and investments. Today, the SCPA contracts with three original equipment manufacturers: BMW, Volvo and Mercedes-Benz Sprinter Vans, who all call on the Columbus Street Terminal. BMW, however, is at the core of the state’s automotive sector and recently exported its 3 millionth car from the terminal. The company’s Plant 10 in Greer is
BMW’s largest manufacturing facility in the world and the automaker is the largest exporter of both finished vehicles and containers at the Port of Charleston. More than 70% of the company’s vehicles come through Columbus Street Terminal, which is operated by the SCPA and fed by Palmetto Rail and Norfolk Southern. “We have a lot of good customers, but BMW has met or exceeded every single commitment or forecast and projection they’ve made. It’s really a phenomenal story,” Miller said. “They really could go anywhere in the world, but you see these vehicles made exclusively here. To know they came from South Carolina is pretty cool.” A lifelong South Carolinian, Miller describes the OEMs as the center of the state’s automotive industry, with a massive industry of Tier 1, 2 and 3 suppliers revolving around them. “As it relates to the port, a lot of those companies rely on overseas suppliers whether they’re bringing in raw materials, components, parts that go into other parts, as well as the export volume,” he said.
President and CEO of BMW Manufacturing Knudt Flor visited shortly after the 3-million milestone, acknowledging that the car company’s success as the largest automotive exporter couldn’t happen without the S.C. Ports Authority. “We export 70% of our South Carolina-made vehicles through the Port of Charleston to 125 countries around the world. BMW was also the first customer for SC Ports’ rail-served Inland Port Greer in 2013, which has proved incredibly beneficial to our supply chain,” Flor said during the visit. “We depend on reliability and speed to produce every car to order, and S.C. Ports continues to deliver for BMW.” Flor toured the terminal two days in a row on his last visit, and Jeff Hollis, SCPA manager of crews, roll-on, roll-off and tariffs, said the CEO was incredibly happy with the operations. “That fact that he comes and visits personally really shows the relationship we have with BMW and how important it is,” Hollis said. See AUTOMAKERS, Page 16
State
2020 change
Florida
+8.6%
Mississippi
+7.8%
Georgia
+6.0%
Tennessee
+5.3%
Kentucky
+4.7%
Arkansas
+4.6%
N. Carolina
+4.6%
S. Carolina
+2.4%
Alabama
+2.6%
Virginia
+2.3%
Leading with tech
Technology investment has become a vital part of the logistics sector as speed to market expectations and volumes have increased.
200%
S.C. logistics providers have increased spending 200% in the last 10 years on sector-related technology, going from 1.7% in 2010 to 5.1% in 2020.
$37,200,000,000
South Carolina companies and the economy derive more than $37 billion in economic value from the logistics and distribution sector. Source: S.C. Council on Competitiveness 2020 S.C. Logistics Study
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May 17 - 30, 2021
South Carolina-made BMWs line up for loading onto a transport ship at the Port of Charleston. (Photo/English Purcell, S.C. Ports Authority)
AUTOMAKERS, from Page 15
Fast track to exports
With the exception of some Mercedes-Benz and Volvo Cars vehicles that arrive by truck, all vehicles on the Columbus Street lot arrive by ship or by train. Trains arrive daily carrying on average 800 vehicles — 10 on the bottom and 10 on the top of each rail car. Every single vehicle is then driven onto the terminal’s lot and held for a few days before they are rolled onto ships and exported globally to Europe or China within days. “As of right now, we have it as a pret-
ty well-oiled machine,” Yard Planner and Operations Coordinator for BMW Clint Cockfield said, adding the human-element is probably the biggest challenge. Coordinating cross-traffic is key with so many moving parts to the terminal, especially on vessel days. Both longshoremen and dock workers are pulling the cars out of the lots and onto the ships at any given time. From the moment the trains leave Inland Port Greer until they return back, the process to transport and unpack every vehicle takes approximately 48 hours, including train rides that consist of
1 2 8 Y E A RS STR ON G
12-hour trips each way. Vehicles are then lined up in strategic rows based on their designation of where they go and when. “Every row is gridded as a timestamp and location so we know exactly when the car was parked and where we put it,” said Adam Henderson, general manager of break bulk. Henderson oversees the Columbus Street Terminal operations, where 6,000vehicles on average sit on the lot on a given day. The stevedores at Ports America coordinate the loading of vehicles onto the vessels while longshoremen
physically move them. The Columbus Street Terminal has been in operation since the 1960s. While the Wando Welch, Hugh K. Leatherman and North Charleston terminals primarily handle cargo containers, Columbus Street focuses on break bulk, vehicles, military vehicles, sometimes even personal boats and RVs — anything that needs to be shipped and can’t fit into containers. “There’s no overhead and no massive equipment here, there’s also less training required for this terminal so the whole production is fast-moving,” Henderson said.
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The terminal has direct lift capabilities between rail and the vessel, on-dock rail-served warehouses, access to cranes capable of lifting up to 700 net tons and open storage for vehicles, equipment, and project cargo. The terminal also has berth space for up to five ships, capable of welcoming three 656-foot roll-on, roll-off ships. At least two ships a week call from Europe and one from China. The pace is certainly different from the SCPA’s other terminals, but the automotive industry reaches throughout the state and globe. Various suppliers, service providers, warehouse operators and more from all over the world are consistently planting themselves as close as possible to the Port of Charleston. “Michelin kind of started a lot of that foreign direct investment in South Carolina in the 70s when they located their North American headquarters here and started investing in manufacturing,” Miller said. “It really put South Carolina on the map.” Prior to the pandemic’s shutdown in 2020, vehicles were up 27% year over year with Columbus Street moving 24,755 vehicles. While disruptions impacted the industry, the SCPA still ended the fiscal year ahead with 2.5% more vehicles. Since July, Miller said, the industry has been on a tear. Numbers were already up 8.2% this March with more than 22,000 vehicles
www.charlestonbusiness.com 17
Tens of thousands of BMWs are shipped from the S.C. Ports Authority’s Columbus Street Terminal in a well-oiled process that uses a holding yard and a grid to specifically locate and move each vehicle on schedule. (Photo/Teri Errico Griffis)
handled at Columbus Street as advanced manufacturers and automotive companies see growing demand for their products worldwide. Having a reliable supply chain is critical to keep the sector going and automotive has some of the most reliable, Miller said. “You cannot have shutdowns due to supply chain challenges. That’s where the whole Port of Charleston community has
grown up,” Miller said. “Our motor carriers are proud of that (along with) our laborers. This is a very important tool for business in the automotive sector and how they produce.” Miller said S.C. Ports Authority President and CEO Jim Newsome and COO Barbara Melvin, along with the board, set a strategic direction for the port that includes automotive as a way to serve the state’s regional economy.
“The South is pretty much where it’s at,” Miller said. “It’s where companies want to locate, where people want to move. Coming out of the pandemic, while there may be some shift back into entertainment-type spending, there’s still going to be large scale manufacturing, large-scale consumer demand and a growing region.” CRBJ
Reach Teri Errico Griffis at 843-849-3144.
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May 17 - 30, 2021
Zero emissions shipping fleet could be on global horizon By Barry Waldman
T We go the distance for concrete logistics.
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he industry responsible for transporting more than 80% of all goods globally and for more than a billion tons of CO2 emissions annually, is steaming ahead with plans to slash its total greenhouse gas output in half by 2050 while increasing the cargo it transports. Shipping companies around the globe have signed on to an international commitment to find alternative fuels, create more efficient ships, optimize speed and routes, and use big data to sail more efficiently, all in an effort to reduce greenhouse gas emissions in line with the 2016 Paris Accord on climate change. The maritime industry’s effort is being propelled by a combination of altruism and good business sense, and is being accelerated by a sense of urgency about the impact of climate change on the planet and rising seas on ports all over the globe. As the industry transitions, the impacts will be felt on shore in places like the Charleston and Wando terminals. Indeed, they already are, S.C. Ports’ Permitting Manager Mark Messersmith said. “Many shipping lines have already made significant environmental strides by switching to ultra-low sulfur fuels to further reduce emissions, as well as by investing in scrubbers on ships, resulting in less exhaust and emissions from fuels,” he said. In the future, S.C. Ports and other ports around the nation will have to grapple with servicing larger ships running on different fuels than they do now. Landside infrastructure will be necessary to store and transport those new fuels to ships. The world’s largest shipping company, Copenhagen, Denmark-based A.P. Møller – Mærsk, is serving as the tip of the spear on the issue, committing back in 2007 to move toward net zero emissions on its 700 vessels by 2050. Since 2008, Mærsk has employed design and sailing efficiencies to reduce CO2 emissions 46% per container per
mile. With increased business, that has lowered total emissions by about 20%. Maersk director of environment and sustainability Lee Kindberg acknowledges that won’t be sufficient to reach the ultimate goal of total decarbonization. “Efficiency will not get you to zero,” she said. “You can improve only so far. Our goal is to reduce the efficiency metric 60% by 2030.” “It is going to take new fuels, new propulsion and new energy systems. When we set the goal we didn’t know how we would get there. Now we can see a path,” she added. Mærsk has already begun building the world’s first ”green” cargo ship — a small methanol-powered vessel for short runs, to enter the fleet in 2023. Methanol is a renewable biofuel that produces low carbon emissions. The impetus for Maersk’s transformation was demand in the marketplace from companies that themselves are seeking to decarbonize. Kindberg said 90 of Mærsk’s 200 largest customers have set ambitious decarbonization goals of their own and want their shipping vendors to help them get there. Some customers have indicated their willingness to absorb some of the added initial cost of decarbonization, she said. For a customer measuring the carbon footprint of its product’s full lifecycle, cutting the CO2 required to carry it 5,000 miles across the ocean can provide some serious uplift. In the long run, dozens of advances in operations and fuel use will power the maritime industry towards decarbonization. Energy companies are experimenting with myriad alternative fuels from cooking oil waste and sugar cane extract to ammonia and hydrogen. Fuels in consideration must offer high energy density, low- or no-greenhouse gas emissions, ease of storage and other properties to replace oil now propelling ships. Efforts to produce biofuels must balance their impact on food production, crop prices and food availability. Experiments with hydrogen and ammonia, thought by many to be the most likely carbon-free shipping fuels in
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“It is going to take new fuels, new propulsion and new energy systems. When we set the goal we didn’t know how we would get there. Now we can see a path.” Lee Kindberg Director of environment and sustainability, Maersk
May 17 - 30, 2021
the future, are underway across the globe right now, said Natasha Brown, the head of public information services for the United Nations’ International Maritime Organization. The IMO will decide in June whether to assess shipping companies $5 billion-$6 billion to support research and development into development of alternative fuels. The IMO has established a series of targets and goals for the maritime industry, and has coordinated with governments to offer incentives to shippers that meet those goals. Shipping companies say they just want a level playing field and the opportunity to decide for themselves how to innovate to reach performance goals, rather than have governments dictate it. Because the $11 billion of exported cargo shipped annually moves all across the globe, the issues driving the move towards reducing maritime’s contribution to climate change will benefit everyone. And it is urgent, Maersk’s Kindberg said. “To deliver a full fleet at zero emissions by 2050 we have to launch them by 2030, which means have to be ordering them by 2028, which means we have to be designing them right now,” she said. “It is something we have to be doing right now if we’re going to make it happen.” CRBJ
IN FOCUS: PORTS, LOGISTICS AND DISTRIBUTION
Shipping companies around the globe have committed to reducing carbon emissions. The Hugh K. Leatherman Terminal at the S.C. Ports uses 25 hybrid, rubber-tired gantry cranes, using a combination of battery and diesel power to increase fuel efficiency and cut down on emissions. (Photo/Kim McManus)
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May 17 - 30, 2021
Industrial space demand outweighs supply across Charleston region By Teri Errico Griffis
C
tgriffis@scbiznews.com
ompanies around the country are clamoring for industrial space in Charleston, but the demand far outweighs the area’s current supply. As of early May, the vacancy rate was under 5%, which signals that Charleston needs more space, and fast, said Milton Thomas, managing principal at Lee & Associates. He believes the S.C. Ports Authority’s leadership and the $220 million Walmart import distribution center in Ridgeville are paving the way for the growth. “I think with Walmart locating here, that has triggered a lot of interest from other large businesses,” Thomas said. Manufacturing, distribution and ecommerce companies are actively looking for buildings within 30 miles of major economic drivers, including the Port of Charleston. Speculative buildings range anywhere from 50,000 square feet 1 million. A lot of that interest is coming from companies in New York and New Jersey, Thomas said. “They’re looking at Charleston as an option to either relocate, expand or move a large percentage of their current operations and headquarters to,” he said. Lease and income tax rates in the tristate region are nearly three times what they are in South Carolina, which only makes the Lowcountry region that much more appealing, along with the state’s right to work law and low wage rates. “I think you have a lot of people saying let’s move South where everything is a little less expensive and easier to do business,” Thomas said. Several speculative projects are currently underway in Charleston. Thomas explained that most companies are looking within a 90 to 100-day window and therefore buildings need to be on the ground for anyone to consider leasing space. One major development project set to be completed this year is the 1 million-square foot building within the Charleston Trade Center. Keith Corp. has been developing the building, and four adjacent smaller ones, in Summerville. The company acquired the property in January 2016 as a build-to-suit project for a single large user, Managing Partner of Industrial Development Alan Lewis said. Having locked in steel prices, combined with the opening of the Hugh K. Leatherman Terminal and Savannah’s industrial real estate success, Keith Corp. realized the timing was the perfect time to begin the Trade Center project, Lewis said. “There has been a lot of spec development in Savannah in that size range, but there’s never been one done in Charleston,” he said.
The Class-A industrial campus includes 2.9 million square feet beside the Nexton Parkway interchange and Lewis thinks this could be the start of a handful similar buildings — but not much else without more available land. Developers would have to travel further upstate or closer to Inland Ports Greer and Dillon. One real estate development company making its first venture into the Charleston County market is Pennsylvania-based Hardy World LLC. “Charleston is such a thriving and economic prosperous place that companies want to relocate to,” Vice President of Operations Taylor Hardy said. “Taxes are good there, it’s very business friendly and very pro-development. They make it easy for companies and incentivize companies that want to relocate there.” The company is in the midst of constructing Triad, a Class-A commercial flex industrial space at 8439 Palmetto Commerce Parkway in North Charleston. Hardy is eager to invest in Lowcountry growth and prefers to cater to smaller flex space users, which she feels are underserved in the region. “We saw great void in the market and really an opportunity for us to have a competitive edge,” she said. For the last 60 years, Hardy’s father, Joe, has been synonymous with founding 84 Lumber, which has almost 250 operations, including Mount Pleasant and Summerville. Hardy graduated last year from Cornell University with a major in hospitality and a minor in real estate development. “All we know is to go where there’s opportunity,” she said. “And why not? If you have the resources, you should poise yourself and pick the best market to really invest projects in.” Right now, the opportunity is in Charleston. “If you read the net absorption, Charleston is almost in negative numbers,” she said. Hardy World is seeking out land close to big manufacturers: Boeing, Bosch, Volvo. Triad is strategically situated near the Mercedes-Benz Sprinter Van facility. Hardy forecasts where the company wants to be next, and most recently Hardy World closed on another piece of property alongside Indigo Fields and Bosch on Dorchester Road. The project has been dubbed Indigo, and Hardy World plans to develop a 30,043 square-foot flex commercial and industrial building. “I’ve always been fascinated by different key graphic areas and really transforming and revitalizing a place from a vision to seeing it become a reality,” she said. CRBJ
Reach Teri Errico Griffis at 843-849-3144.
IN FOCUS: PORTS, LOGISTICS AND DISTRIBUTION
May 17 - 30, 2021
S.C. Ports Authority reports highest month in history
M
Staff Report
arch came in like a lion for the S.C. Ports Authority, which reported an all-time container handling record. The Port of Charleston handled 248,796 twenty-foot equivalent units across the Wando Welch and North Charleston terminals — a 34% year-over-year-increase — the SCPA said in a news release. The previous cargo handling record
was 233,110 TEUs, set in August 2019. Fiscal year-to-date, the SCPA has handled 1.86 million TEUs since July. “This significant achievement leads up to another historic milestone as we prepare to welcome the first ship to the Leatherman Terminal on Friday,” President and CEO Jim Newsome said. “Our all-time container record reinforces that we are adding more capacity to the Port of Charleston at the right time.” After nearly four years of construction and another 15 years since permits were filed, the Hugh K. Leatherman Terminal is ready to receive ships and will add 700,000 TEUs of throughput capacity. The additional 1,400-foot berth to the East Coast port market will allow the SCPA to welcome four 14,000 TEU ships
simultaneously. The new terminal is coming when it’s most needed, Newsome said. Last month, loaded imports were up nearly 50% yearover-year at the Port of Charleston as the growing population and lifestyle shifts continue to drive retail imports. The port also saw a 31.3% year-overyear increase in pier containers, which account for cargo boxes of any size. The SCPA handled 137,855 throughout the month, and nearly 1.036 million pier containers to date in fiscal year 2021. Loaded exports were up 8.2% with more than 22,000 vehicles handled at Columbus Street Terminal in March. Adding to the historic month, Inland Port Greer had the busiest month on record with 16,688 rail moves, up 20.3%
www.charlestonbusiness.com 21
from this time last year. Since July, the inland port has handled 119,460 rail moves, which is a 5% increase year-overyear. Inland Port Dillon saw another 3,000 rail moves, bringing its year-to-date total to 27,549 — up 12.4% year-to-date. “These impressive volumes highlight our efficient operations and the strength of our entire maritime community, which works as a team to keep the supply chain fluid during a global pandemic and amid unprecedented demand,” Newsome said. “We look forward to offering the same reliable service and additional capacity to our customers as we welcome ships to the Leatherman Terminal. SC Ports is proud to open the first container terminal in the U.S. since 2009 in South Carolina.” CRBJ
Marine-focused company invests $3.7 million in Mount Pleasant expansion
A
Staff Report
marine signage manufacturing and installation company from the Netherlands is expanding its operations in Charleston County with a $3.7 million investment, that could add 43 jobs to the region. Bourne Group will base its headquarters in Mount Pleasant at 301 Ports Authority Drive, relocating from its previous space in North Charleston’s Navy Yard, a Charleston County Economic
Development news release said. Bourne Group has an international presence and roots in the maritime industry. The company’s portfolio includes maritime safety signs and service for cruise and commerce shipping industries. Bourne Group Owner Patrick McNulty said the many people want to live in the Lowcountry, and the pandemic seems to have accelerated this trend. “There is plenty of talent locally, and we hope the move and the investment in our facility will attract the type of work-
force we will need to continue to be an industry leader and meet the annual growth Bourne Group typically experiences,” McNulty said. The Mount Pleasant expansion will house operations for the company’s printing, digital cutting and CNC routing, logistics project management, sales and design. The new facility is projected to be operational by the end of 2021. “Investments to the facility will be made to improve productivity with the
intent to develop a facility that is conducive to modern-day manufacturing,” Bourne Group Owner Gregg LoGuidice said. Mayor Will Haynie said he was pleased the company selected Mount Pleasant after 15 years in South Carolina. “Their relocation to Ports Authority Drive is a fulfillment of the Port District Master Plan and a win for this community. We look forward to the Bourne Group’s long-term success here in Mount Pleasant,” he said. CRBJ
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May 17 - 30, 2021
Truckers work to change perception behind windshield By Teri Errico Griffis
T
tgriffis@scbiznews.com
he trucking industry is in desperate need of drivers and the problem is going to worsen before it gets better, S.C. Trucking Association President and CEO Rick Todd said. Three years ago, the American Trucking Associations said the national shortage was nearly 61,000 and was projected to rise to 160,000 by 2028. “It takes a while to train and develop a driver, and for them to get experienced to be put behind the wheel,” Todd said. “Since more people are retiring than are replacing, that shortage is going to be more acute short-term.” The average age for a for-hire, over-the road driver in the truckload industry is 46, according to a report by the American Trucking Associations. To address the problem, the Trucking Association — a nonprofit trade association made up of voluntary member businesses that use or depend on trucks — has created a handful of CDL prep programs at the high school level to engage students aspiring to be a truck driver or technician, or work in diesel or engine technology and maintenance. Students can get the training they need
while they’re still in high school to get a leg up on the next step, whether that’s attending tech school or a private truck driver school once they turn 18. Columbia’s Eau Claire High School and Richland One Career and Technical Education Center currently offering the program, and Todd said both schools have shown great progress. SCTA also is further looking to expand the program into the S.C. Technical College System. “We believe this is going to create a ready-to-work workforce coming out of high school and direct these people into technical training programs where they can get trained up and get really good paying jobs and not have to go to college if they don’t want to,” Todd said. In addition to the aging driving population, the American Trucking Associations cites increased freight volume and competition with other blue-collar careers as challenges for the trucking industry. Todd further adds that poor perception of work-life balance also plays a part. Part of his role with the S.C. Trucking Association is to adjust that image. In actuality, Todd said the job offers more freedom than most other industries. “The view from that windshield is a
TRUCKING - MOTOR FREIGHT
“We’re trying to show people that the stuff you get and use, somebody has to make it and build it, grow it and move it. That’s what our economy’s based on.” Rick Todd President and CEO, S.C. Trucking Association
heck of a lot better than from a cubicle. Drivers get to see the world in action. They actually feed the supply chain, they learn and are part of every industry sector,” he said. Jobs are available for those who want to be home for dinner every night, while there also are plenty of opportunities for those individuals looking to travel for weeks at a time, Todd said. “We’re trying to show people that the stuff you get and use, somebody has to make it and build it, grow it and move it. That’s what our economy’s based on,”
Todd said. “For the most part, everything we depend on, literally everything, pretty much ends up or begins with the truck movement.” Running your own business and being able to join almost any sector of our economy are further benefits of joining the trucking industry. Todd said one’s direction is wide open depending on what kind of truck they want to drive, load they want to haul and where they want to go. Nearly 65% of the medium and heavy duty trucks on the road also are operated by main street type businesses, not just for-hire trucking companies, Todd said. In 2019, the $791.7 billion trucking industry represented 80.4% of the nation’s freight bill, hauling 72.5% of all freight transport in the U.S. “We’re really still a long way away from when trucks are going to drive themselves with technology,” Todd said. “We’re still going to have a driver and a pilot doing all the preliminary work and also being in the vehicle to make sure all the systems are working and to take control when unique situations pop up … There is still going to be a role for the driver for the foreseeable future.” CRBJ
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www.charlestonbusiness.com 23
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50 200
Expedited, frozen/refrigerated, hazardous materials, intermodal, LTL/TL
LTL, intermodal
Southeastern Freight Lines Inc. 1140 Business Park Lane Summerville, SC 29483
843-695-2300 www.sefl.com
Mark Davis 1950
52 295
35 109
Expedited, hazardous materials, LTL/TL
Regional LTL carrier
Barnhart Transportation LLC 111 Old Depot Road Moncks Corner, SC 29461
843-553-0534 www.barnhart-trans.com sales@barnhart-trans.com
Brad Whitley, Timothy Barnhart, Bryan Barnhart 2017
25 25
25 60
Bulk, dedicated, expedited, flatbed, intermodal, LTL/TL
Drayage, heavy haul, flat bed, pneumatic tank, liquid tank
Continuum Transportation Services 905 N. Main St., Suite 201 Summerville, SC 29483
843-790-9290 www.continuumtrans.com vduncan@continuumtrans.com
2005
25 25
25 -
Intermodal
Intermodal trucking throughout the U.S.
Liquid Box Trucking 3135 Pacific St. North Charleston, SC 29418
843-745-0025 www.liquidbox.us scott.liquidbox@gmail.com
Scott Reid Adams 2008
25 25
25 90
Intermodal
Manufacturing
Fastrans Intermodal 1940 Hanahan Road, Suite 101 North Charleston, SC 29406
843-718-1245 www.fastransintermodal.com clarke@fastransintermodal.com
Clarke Seaton 2009
20 20
20 30
Intermodal
Intermodal drayage
MCO Transport Inc. 1003 Trident St. Hanahan, SC 29410
843-747-5949 www.mcotransport.com info@mcotransport.com
Todd Kidd, Daniel F. McComas, Bill Lowe 1976
20 20
20 10
Dedicated, hazardous materials, intermodal, LTL/TL
Transportation, imports, exports
Republic Premier Transit LLC 201 Sigma Drive, Suite 250 Summerville, SC 29485
843-647-1477 www.rptnation.com sales@rptnation.com
Joey Waxter 2017
20 20
20 20
Intermodal
Manufacturers, distribution centers
TXN Intermodal Inc. 911 Commerce Circle Charleston, SC 29410
843-735-5590 www.txnintermodal.com rates@txnintermodal.com
Kathy Evans, Mindy Nobles 2011
20 35
35 35
Intermodal
Intermodal services
Azalea Moving & Storage Inc. 7131 Bryhawke Circle North Charleton, SC 29418
843-767-4888 www.azaleamoving.com josh@azaleamoving.com
Josh Keiffer 1982
17 17
17 30
Intermodal
Charleston port services and transloading
39 Transport Inc. 2927 Riverwood Drive Mount Pleasant, SC 29466
843-388-9792 dispatch.39transport@comcast.net
James Pierantozzi 1999
16 67
70 -
Dedicated, intermodal
A division of Evans Delivery Co.; auto parts, textiles, general commodities, international cargo
National Drayage Services 454 Shipping Lane Mount Pleasant, SC 29464
843-375-1212 www.ndsv.com chs-trident@ndsv.com
Bob Brennan, Christine Zuppo 2008
15 15
15 -
Intermodal
Ocean containers
RoadOne IntermodaLogistics 2003 Cherry Hill Lane Charleston, SC 29405
843-723-5008 www.roadone.com charleston@roadone.com
Jeremiah Carruthers, Hayes Sloan, Steve Chandler 2013
15 20
-
Hazardous materials, intermodal
International and domestic container shipping
East Coast Drayage 1011 Trident St. Hanahan, SC 29410
843-670-5732 www.nds.com rkelly@ndsv.com
Rick L. Kelly 2003
13 1,000
13 -
Intermodal
Transportation
Nilson Van & Storage 2017 Pittsburgh Ave. Charleston, SC 29405
843-744-1655 www.nilsonvan.com dnilson@nilsonvan.com
Phyllis Nilson 1938
10 30
7 10
Dedicated, expedited, intermodal, LTL/TL
Household goods, warehousing nonhazardous items, container drayage and cross-docking
Old Dominion Freight Line Inc. 2650 TV Road Florence, SC 29501
843-856-7224 www.odfl.com drayrate@odfl.com
1939
10 250
250 250
Intermodal, LTL/TL
LTL, container drayage
Regal Logistics 1980 Technology Drive, Suite C Charleston, SC 29492
866-300-5580 www.regallogistics.com sales@regallogistics.com
Rand Neeves 1970
10 10
10 10
Dedicated, intermodal, LTL/TL
Retail, seasonal, toys, apparel, electronics, footwear, hardware, housewares, textiles, sports goods
Whitacre Intermodal 579 Hill Branch Road Ridgeville, SC 29472
843-771-9004 charlestonops@venture13.com
Franklin Keith Raynor, Lisa Ann Raynor 2016
10 10
10 15
Intermodal
Moving containers in and out of the ports and rails in Charleston and Savannah
Evans Delivery-West Contract 247 George Keen Drive Summerville, SC 29483
843-900-5127 www.evansdelivery.com pjs@evansdelivery.com
Paul Jarvis 1987
6 6
5 16
Dedicated, intermodal
Imports + Export
Robin's Messenger Service & Freight 113 Newcastle Loop Goose Creek, SC 29445
843-513-4471 www.robinsmessenger.com rmsfrt@yahoo.com
Robin E. Todd 1981
6 6
-
Dedicated, expedited, LTL/TL
Customs brokers, warehouses and automotive plants
Tri Star Freight System 4500 Goer Drive North Charleston, SC 29406
843-216-1446 www.tristarfreightsys.com tristar@tristarfreightsys.com
David Harris, Lynn Latham 1987
6 6
6 6
Intermodal, LTL/TL
Household goods, commercial
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.
Researched by Business Journal staff
24
IN FOCUS: PORTS, LOGISTICS AND DISTRIBUTION
www.charlestonbusiness.com
May 17 - 30, 2021
Motor Freight Lines
Ranked by No. of Drivers in the Charleston Area Drivers: Local / Statewide
Tractors / Trailers
Lisa Grillo, Ron Sauls, Woodrow M Arsenault 1947
5 5
843-779-0199 www.carvercompanies.com info@carvercompanies.com
Jerry Ward, Cord Smythe, Nick Martin 2016
C & C Warehouse & Distribution 137 Acres Drive Ladson, SC 29456
843-818-2332 www.candcwarehouse.com information@candcwarehouse.com
Nilson Worldwide LLC 2017 Pittsburgh Ave., Suite B Charleston, SC 29405
Company
Phone / Website / Email
Top Local Official(s) / Year Founded
Ability Tri-Modal Transportation Services 3298 Benchmark Drive Ladson, SC 29456
843-797-3944 www.abilitytrimodal.com woodya@trimodal.com
Carver Maritime Charleston 1400 Pierside St. North Charleston, SC 29405
Trucking Type
Industry Focus
6 33
Intermodal, LTL/TL
Retail
5 5
5 20
Bulk, dedicated, expedited, flatbed, intermodal, LTL/TL
Aggregates, breakbulk vessel products, construction equipment, heavy hauling, intermodal
Greg Cate, Jinny S. Kramitz 1998
4 4
4 4
Expedited, flatbed, hazardous materials, intermodal, LTL/TL
3rd party logistics, import and export, transportation and storage
803-309-6660 www.nilsonworldwide.com dnilson@nilsonworldwide.com
2015
4 4
3 3
Intermodal
Provides intermodial trucking and international freight forwarding services
QIC - Quality International Cartage 6435 Fain St., Building A, Suite B North Charleston, SC 29406
843-744-5262 charleston@qicllc.net
Tammy Clements, David Jones 2003
3 50
60 125
Frozen/refrigerated, hazardous materials, intermodal
Multifreight
Thyssenkrupp Supply Chain Services 9004 Sightline Drive, Suite I Ladson, SC 29485
864-216-9017 www.tk-supplychain.com logistics@thyssenkrupp.com
1966
3 40
3 15
Dedicated, flatbed
Automotive, renewable energy, commercial construction and heavy industrial
I.D.E.A. LLC 4450 Goer Drive North Charleston, SC 29406
843-744-2727 www.ideallc.com tomdemuth@ideallc.com
Tom DeMuth 1999
1 1
1 5
Intermodal
Textiles, chemicals, consumer goods
Blue Max Trucking 255 Farmington Road Summerville, SC 29483
843-225-0620 www.bluemaxtrucking.com
Billy Walpole 1984
-
-
Bulk
Fill dirt, sand, gravel, asphalt, demo, flatbed, trailer hauling
Expeditors International of Washington Inc. 1017 Northpointe Industrial Blvd. Hanahan, SC 29410
843-554-6909 www.expeditors.com
Tim Hall 1979
-
-
Expedited, LTL/TL
Various industries
LS2C Logistics Inc. 950 Houston Northcutt Blvd., Suite 100 Mount Pleasant, SC 29464
843-856-0018 www.ls2c.com will@ls2c.com
Martin F. Chitty, Will F. Cabanting 2000
-
-
Expedited, flatbed, frozen/refrigerated, intermodal, LTL/TL
Flatbed loads, intermodal and container, van and dry goods and produce
Total Distribution Services Inc. 3004 Waterway Blvd. Isle of Palms, SC 29451
843-886-8881 www.tdsbulk.com dispatch@tdsbulk.com
Beth Stevenson 1980
-
-
Bulk
Dry bulk and liquid bulk shipping coordination via tank trucks; food grade, chemical and industrial
YRC Freight 2243 Wren St. North Charleston, SC 29406
843-300-7971 www.my.yrc.com marylouise.williamson@myyellow.com
Mary Louise Louise Williamson, Jonathan Bryant 1924
-
-
Dedicated, expedited, hazardous materials, LTL/TL
General freight
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.
Researched by Business Journal staff
We make container hauling look good!
Dry Freight & ISO Tanks Tanker Chassis & Tri-Axle Chassis Available 3135 Pacific Street • North Charleston, SC 29418 • 843.745.0023 • michele.liquidbox@gmail.com
IN FOCUS: PORTS, LOGISTICS AND DISTRIBUTION
May 17 - 30, 2021
www.charlestonbusiness.com 25
Employee Benefits Brokers
Ranked by No. of Employee Benefits Agents in the Charleston Area Company
Phone / Website / Email
Top Local Official(s) / Year Founded
Benefits Agents / Total Agents
David M. Gilston Insurance Agency 15 Gamecock Ave., Suite A Charleston, SC 29407
843-571-1155 www.dgilston.com mensminger@dgilston.com
Thomas D. Swayne, Melanie J. Ensminger 1962
20 35
Individual, group, senior (Medicare) and ancillary medical insurance
Hibbits Insurance Inc. 835 Coleman Blvd., Suite 102 Mount Pleasant, SC 29464
843-508-8210 www.hibbitsinsurance.com jack@hibbitsins.com
Jack Hibbits 1971
17 17
Employee benefits, individual health, life, disability, dental, vision and Medicare
HUB International Charleston 4401 Leeds Ave. North Charleston, SC 29405
843-529-5470 www.hubinternational.com
Erin Scheffer, Henry Haitz 1983
17 300
Risk and insurance, employee benefits, retirement and private wealth
Assured Partners Inc. 4900 O'Hear Ave., Suite 203 North Charleston, SC 29405
843-552-3422 www.assuredpartners.com kerri.colditz@assuredpartners.com
Kerri Colditz, Jon Taylor 2011
6 16
Employee benefits, commercial risk management
KSA Insurance 1819 Meeting Street Road, Suite 100 Charleston, SC 29405
843-408-4232 www.ksa-insurance.com info@ksa-insurance.com
Randall Epps, John Foreman 2010
5 20
Full service independent agency, employee benefits, ancillary coverage, personal and commercial property and casualty
Southern Benefits LLC 990 Lake Hunter Drive, Suite 201 Mount Pleasant, SC 29464
843-881-7636 www.southern-benefits.com
Dave Kay 2005
5 5
Large and small group employee benefit plans
Arthur J. Gallagher 115 Central Island St., Suite 100 Daniel Island, SC 29492
843-972-4425 www.ajg.com lori_humphreys@ajg.com
Brandon Guest, Rick Gant 1989
4 4
Employee benefit consulting, human resource consulting, property and casualty insurance
Beckham Insurance Group 741 Johnnie Dodds Blvd., Suite 200 Mount Pleasant, SC 29464
843-766-3393 www.beckhaminsurancegroup.com marshall@beckhaminsurancegroup.com
Marshall Beckham 2009
4 4
Employee benefits and health insurance
Brown & Brown of South Carolina 7515 Northside Drive North Charleston, SC 29420
843-266-4592 www.cbbins.com dmcelveen@cbbins.com
Todd Tyler 1939
4 33
Group health and ancillary plans, compliance, cost control strategies, population health, property/casualty, workers' compensation, risk mitigation
C.T. Lowndes & Co. 749 St. Andrews Blvd. Charleston, SC 29407
843-513-1719 www.ctlowndes.com bsilcox@ctlowndes.com
Carl Morrison Allen, Rawlins Lowndes, Ian Philpot 1850
4 22
Property and casualty, life, health, employee benefits, annuities
360 Financial Partners 1081 Johnnie Dodds Blvd., Suite 100 Mount Pleasant, SC 29464
843-216-1077 www.360fp.com partners@360fp.com
Randall D. Teegardin, Dustin J. Hughes 2006
3 3
Fee-based wealth management, individual retirement accounts, 401(k) rollovers, education and estate planning, insurance
Aaron Brown Insurance & Financial 904 W. 2nd North St. Summerville, SC 29484
843-875-6176 www.aaronbrpowninsurance.com aaronbrowninsurance@yahoo.com
Aaron A. Brown 1999
3 3
Annuity, FIA, fixed, MYGA, FIUL, IUL, life insurance
NFP 1859 Summerville Ave., Suite 600 Charleston, SC 29405
843-972-5414 www.nfp.com
Trey L. McLaughlin 2007
3 3
Employee benefits, retirement and commercial insurance
USI Insurance Services LLC 235 Magrath Darby Blvd., Suite 325 Mount Pleasant, SC 29464
854-529-1611 www.usi.com corbin.wimberly@usi.com
Rion Shearer, Robb Imbus 1869
3 8
Underwriting and analytics, HR services, population health, compliance, health care cost management, pharmacy benefit management, ancillary consulting
Benefit Advisors of Charleston LLC 2 Lorne Court Charleston, SC 29414
843-412-2583 www.benefitadvisorsofcharleston.com tom@benefitadvisorsofcharleston.com
Thomas DiLiegro 2011
2 2
Group medical planning, self funded medical, account-based dental and vision, voluntary enhanced benefits, medical reimbursement, Medicare supplements
The Ellis Benefits Co. 561 Commonwealth Road Mount Pleasant, SC 29466
843-856-1430 www.theellisco.com dean@theellisco.com
Dean Ellis 1991
2 2
Independent agency; employee benefits, health insurance, life insurance, STD, LTD, dental, online enrollment
M&A Prime Benefits LLC 709 Gamecock Ave. Charleston, SC 29407
843-556-2594 www.mackeyonline.com jason@mackeyonline.com
Jason Mackey 1989
2 2
Small to medium size group employee benefits
Workplace Benefits 901 Island Park Drive, Suite 205 Daniel Island, SC 29492
843-856-3757 www.benefitwork.com reese@benefitwork.com
Reese McFaddin Gately 2005
2 2
Health, life, dental, disability and medicare for individuals and companies
Hines Wealth Management LLC 125 Wappoo Creek Drive, Building E, Suite 101A Charleston, SC 29412
888-674-6777 www.hineswealthmanagement.com info@hineswealth.com
Eugene H. Hines 2011
1 1
Group health, disability, vision, life insurance, key person individual life insurance, business buy-sell programs, 401(k) and employee education, SEP and simple IRA plans
The O'Laughlin Agency Inc. 5401 Netherby Lane North Chalreston, SC 29420
843-767-9685 www.olaughlinagency.com george@olaughlinagency.com
George O'Laughlin 2001
1 2
Group employee benefit sales and consultation
Professional Services Group Ltd. 125 Wappoo Creek Drive, Suite D1 Charleston, SC 29412
843-795-9751 www.psgltd.org insurance@psgltd.org
Robert Berman 2001
1 1
Payroll, insurance, human resource management, bookkeeping, accounting and tax credits
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.
Specialization
Researched by Business Journal staff
26
www.charlestonbusiness.com
Make data driven decisions.
May 17 - 30, 2021
S T C A F T E MARK August 202
The story of the Charleston business market continues to be a story best told in numbers. Market Facts provides the context for the data and statistics critical to commerce in our region.
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COVID-19 reshaped our economy, and now, more than ever, business leaders require the latest data, facts and trends to navigate the pandemic and capitalize on the continuing recovery.
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Advertise in Market Facts and position your company as a valuable resource as we continue to navigate the new normal.
PUBLICATION DATE: August 23, 2021 | ADVERTISING DEADLINE: July 16, 2021 For advertising information, contact Robert Reilly at 843-849-3107 or rreilly@scbiznews.com
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BUSINESS DIGEST | PEOPLE IN THE NEWS | HOT PROPERTIES | PEER TO PEER
People in the News
Business Digest
Lowcountry Food Bank recognizes Hendrick Automotive
The Lowcountry Food Bank named its Charleston Food Reclamation Room in honor of the Hendrick Automotive Group. This room is where all donated food and essential products from retail partners are inspected, sorted and prepared for distribution. The Hendrick Automotive Group has donated funds and volunteers for eight years and hosted more than 30 Easter and Thanksgiving meal drives. Through these meal drives, Hendrick teammates have purchased, assembled and distributed more than 600,000 meals. Hendrick volunteers have also packed thousands of food boxes and raised more than $118,000 to support the food bank.
100% of nonprofit staff recognized with certification
All regular staff at Respite Care Charleston have been recognized as Certified Dementia Practitioners by the National Council of Certified Dementia Practitioners.
This Books on Buses program includes book boxes at two North Charleston CARTA stops – one at Rivers Avenue Park and Ride Lot at 1251 Melnick Drive and the SuperStop at the intersection of Rivers and Cosgrove avenues. These boxes contain books for all ages from CCPL’s community collection, which uses donations and discarded materials to encourage literacy outside of library walls. The books are free and do not need to be returned to the box or any other library location.
Authority, as well as assisting with new hires and employees in need of shortterm housing, apartment rentals or forsale housing. Several of Nexton’s midtown model homes were also recognized for their design and merchandising, including Ashton Woods Homes, David Weekly Homes and Homes by Dickerson.
HappyNest expands to Charleston region
HappyNest continues to expand throughout the country with its new partner, The Laundry Spot, in Charleston. HappyNest now has 50 partners operating in 23 states and Washington, D.C.
Nexton’s North Creek named top community
American Heart Association Heart Walk hits $1M goal
The 2021 Lowcountry Heart Walk campaign has raised more than $1 million. This is the second year in a row that they have met this goal.
Free books available at Charleston bus stops
Charleston County Public Library and the Charleston Area Regional Transportation Authority have partnered to provide free books for all ages at two major bus stops in Charleston County.
Nexton received 10 awards honoring its work in marketing, design and customer experience as part of the 2021 Prism Awards. Nexton took home marketing awards for Best Print Media Campaign and Best Information Center. Nexton’s Arrogate Apartments were cited as Best Multifamily Community and its North Creek neighborhood was named Best Master-Planned Community. Two Nexton team members, Bo Taylor and Alicia Smith, received recognition for their work in community relations. Taylor was acknowledged for his innovative Broker Relations Program. Smith was recognized for her work with employees at major companies such as Volvo Cars, Mercedes Benz Vans and S.C. Ports
REAL ESTATE The Cassina Group has hired Shawn Garrison and Matt Petitte. Garrison has more than 20 years of experience in residential real estate, mortgage origination Petitte and loan servicing. He worked mostly recently as a real estate agent in Greenville after building and running the REO department of a major mortgage servicer.
HEALTH Summerville Medical Center has hired board-certified colorectal surgeon Cesar Santiago. Santiago is board-certified in colon and rectal surgery Santiago and specializes in advanced minimally invasive robotic-assisted procedures for colon and rectal cancers. Santiago completed his medical degree at the Ponce School of Medicine in Puerto Rico. Following an internship and residency at Mount Sinai School of Medicine in New York City, he completed a fellowship in colon and rectal surgery at the University of Miami and Jackson Memorial Hospital in Florida.
ACCOUNTING
Pirates of Charleston changes location
Pirates of Charleston, a tour company offering cruises of 90 minutes, has moved from Bohicket Marina to Ripley Point Marina, located next to California Dreaming.
Beacon Community Bank opens Daniel Island branch
Beacon Community Bank has added its third branch, now open at 20 Fairchild St. on Daniel Island. There are plans to break ground on the bank’s fourth branch and corporate headquarters later this year on U.S. Highway 17 North in Mount Pleasant. A fifth local branch will follow in 2022 or 2023. See BUSINESS DIGEST, Page 29
McCay Kiddy LLC has hired Amanda L. McWatty as a tax manager. McWatty has more than 15 years of experience and specializes in business accountMcWatty ing and tax advisory services for clients in the manufacturing, nonprofit, retail, real estate, construction and hospitality sectors. She graduated from the University of South Carolina Upstate. Previously, she managed international, multinational and domestic clients in South Carolina, North Carolina and Georgia as a tax manager at an accounting firm in Fountain Inn. She is a member of the S.C. Association of CPAs. See PEOPLE, Page 29
28
www.charlestonbusiness.com
May 17 - 30, 2021
Demand surges as employers struggle to compete with expanded benefits
P Target your market in an upcoming issue of the Charleston Regional Business Journal
MAY 31
GROWTH REPORT: LIFE SCIENCE List: Life Science Companies Bonus List: Home Health Care
Advertising Deadline: May 17 JUNE 14
ARCHITECTURE, ENGINEERING AND CONSTRUCTION (AEC) List: Home Builders Special Section: Growth Report: Manufacturing
Advertising Deadline: May 31 JUNE 28
TRANSPORTATION AND INFRASTRUCTURE
List: Largest Employers Bonus List: Business Communications Companies
Advertising Deadline: June 14 JULY 12
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List: Commercial Real Estate Companies Bonus List: Independent Insurance Cos.
Advertising Deadline: June 28
For advertising information, call Robert Reilly at 843.849.3107
ayroll employment rose 266,000 in April, far smaller than the 950,000 increase that had been expected. Firms are struggling to find an adequate number of workers to satisfy the growing demand. Being unable to find enough willing workers, firms chose to work curSTEPHEN D. rent employees lonSLIFER ger hours. The 0.1 hour increase in the workweek in April has the same effect on production as hiring an additional 412,000 workers. In other words, if workers were more readily available, payroll employment in April would have risen 678,000. Even so, that is still shy of the 950,000 increase that had been expected. We believe that a large number of potential workers opted to stay home and enjoy generous unemployment benefits. Reducing worker incentives to remain on the sidelines is key to creating more jobs and allowing the unemployment rate to fall more quickly. At first blush the considerably smaller-than-expected increase in employment in April is hard to understand. The ADP employment report for April released two days earlier showed an increase in employment of 742,000, not even close to the 266,000 increase in Bureau of Labor Statistics data. Respondents in the Institute for Supply Management’s surveys for manufacturing and service sector firms consistently talk about an inability to hire enough workers because of worker absenteeism, shortterm shutdowns of production because of part shortages, unqualified workers, and competition from generous unemployment benefits. The April shortfall in employment is not the result of any shortage of demand. It reflects problems in attracting an adequate supply of workers. Every month employers have a choice. They can hire more workers or they can boost production by working current employees longer hours. A 0.1 hour increase in the workweek might not sound like much, but it reflects an increase of 0.28%. Had they been able to find enough qualified and/or willing workers, payroll employment would have jumped by an additional 0.28% or 412,000 workers which means that payroll employment would have risen by a much more robust 678,000. With payroll employment still 8.2 million workers below its pre-pandemic high, one would think that hiring work-
ers would not be a problem. Similarly, with the unemployment rate at 6.1%, which is far higher than the 3.5% level that existed prior to the recession, hiring generally should not be a problem. But it is. So what is going on? We believe that the primary culprit is the availability of extremely generous unemployment benefits. According to the BLS, state unemployment benefits average about $318 per week. Federal benefits are an additional $300 per week. Weekly benefits of $618 works out to an average of $15.45 per hour. Available jobs at restaurants, bars, retail shops, and delivery services are hard pressed to compete with such generous benefits. In many cases, the available jobs are hard work and require long hours. Why bother? Stay home. Some states like Montana and South Carolina have recognized the disincentive to work and emerging labor shortages created by generous unemployment benefits, and are choosing to end federal pandemic unemployment benefits for their residents beginning next month. For the other 48 states, these federal benefits will expire in early September. If that happens, we expect to see outsized increases in payroll employment in September, October, and November, and correspondingly large declines in the unemployment rate in those months. To counter this disincentive to work, some firms are offering higher wages to attract new workers. Amazon, Walmart, and Costco are boosting wages and offering bonuses in an effort to attract new workers and retain existing workers. Restaurant and bar owners are doing the same thing. As this practice spreads, average hourly earnings should continue to climb. Prior to the pandemic, average hourly earnings were rising at a 3.0% pace. In the past six months that has quickened to 4.4%. Higher wages in the months ahead will result in higher prices and faster inflation. In short, the demand side of the economy is hot as home sales, car sales, and general consumer spending have been boosted by a series of stimulus checks. The savings rate currently is lofty at 27.8% which means that consumers are poised to spend at a frenzied pace for months to come. Employers are struggling to catch up and one of the primary reasons is the disincentive to work created by very generous unemployment benefits. If the Federal government wants to see the unemployment rate fall quickly, these benefits are not helping. CRBJ
Daniel Island economist Stephen Slifer can be reached at steve@NumberNomics.com.
May 17 - 30, 2021
www.charlestonbusiness.com 29
Business Digest BUSINESS DIGEST, from Page 27
S.C. SHRM State Council honored for excellence
The Society for Human Resource Management presented S.C. SHRM State Council with the 2020 Platinum Excellence Award for the second year in a
row. S.C. SHRM’s submission highlighted five initiatives, including its commitment to increase dual-chapter/SHRM membership. S.C. SHRM also partnered with the RECON Network and participated in the Veteran Employment and Transition Summit to inform veterans, their spouses and the business com-
munity about the needs and resources available to them.
GEL Engineering Labs turns 40 with 9 offices
General Engineering Laboratories is recognizing 40 years of providing analytical testing, environmental consult-
ing, civil engineering and surveying, subsurface utility engineering and geophysical services to clients around the world. With more than 300 employees today, GEL now operates three businesses from nine offices in the United States.
People in the News PEOPLE, from Page 27
Moody & O’Neal CPAs LLC has hired Duncan Myer as an associate. He will be responsible for tax planning, tax preparation, attest services and advisory services. Myer has two years of experience in the public accounting field. He graduated from Clemson University with a Masters of Professional Accountancy and is a licensed CPA.
BANKING First Reliance Bank has announced the formation of its Charleston Local Advisory Board. The board is chaired by Heather Aydlette, partner at Hyland, Ruddy & Garbett CPAS LLC, who has more than 20 years of experience in private and public accounting as a business advisor, accountant and auditor. Other board members include Dondi Costin, president of Charleston Southern University; Michael Johnson, president of Soil Consultants Inc.; Bert Pruitt Jr., retired OB/ GYN; John T. Ramey, National Allergy and ENT; and Eveline Waring, Caroline Endocrine Associates. Southern First Bank has promoted Kevin Lee to market executive of the Charleston region. With more than 20 years in commercial banking, Lee has experience hanLee dling commercial real estate, operating company financing and managing personal banking.
NONPROFIT The Charleston Parks Conservancy has hired Tom McGuire as its executive
director and elected Charles McLendon as chairperson of the board of directors. Harry Lesesne and George Bullwinkel have also been added as board members. McGuire McGuire previously served as the executive director of Friends of the National Arboretum in Washington, D.C. McGuire has also served on the boards of the National Wildlife Action Fund and EarthShare. McClendon succeeds Darla Moore, who has served as chairperson since founding the organization in 2007. McLendon is managing principal at Laurens Capital Advisors LLC. Lesesne is executive director of The Darla Moore Foundation and served as the executive director of Charleston Parks Conservancy from 2012 to 2020. He also served as senior adviser to Charleston Mayor Joseph P. Riley Jr. Bullwinkel is a partner with Nexsen Pruet. He practices primarily in the areas of real estate acquisition and development, commercial real estate and administrative law, including permitting, zoning and land sales registrations; development agreements and economic development. Bullwinkel represents clients in securing economic development incentives, large tract rezoning approval and infrastructure agreements with various agencies, counties and municipalities around South Carolina.
EDUCATION Team Extrusionaire won first place in the Baker Business Bowl VII, a competition that takes place within The Citadel’s business school. Team members include Luis Garcia, Mateo Gomez, Craig Niswender, Benjamin Perry and Tier-
on new group trends, including smaller, luxury events. Anderson will personally train sales coordinators in each location.
ARCHICTECTURE nan Van Dyke. Team Solar Suck came in second place. Members include Cade Bennett, Andrew Brabazon, Charles Marsh, Joshua Valencia and Jack Zappendorf.
HOSPITALITY/TOURISM The 5th Street Group has hired Alexa Anderson as vice president of sales. Anderson previously worked as the sales manager of the company in Anderson Charlotte and will now oversee sales operations for all restaurants and locations, including Charlotte, Charleston and Nashville, Tenn. Anderson has been with the company since 2013, starting as a server for 5Church Charlotte and later hired as a sales coordinator for the restaurant. She then worked her way up to sales manager of both 5Church Charlotte and Sophia’s Lounge. Anderson has managed a variety of private, high-profile events while in Charlotte, including charity events for Kyle and Samantha Busch and a Klutch Sports NBA AllStar dinner party with LeBron James, Kendall Jenner, Rich Paul and Anthony Davis in attendance. As vice president, Anderson will navigate different sales markets depending on location, targeting corporate, leisure and wedding industries and tailoring services based
LS3P has hired Andrea Trujillo as an emerging professional. Trujillo has experience as an architectural designer in the Charleston area, with notable projects including a flexible office and Trujillo industrial development at 4500 Leeds Ave. and the Annapolis Cottages, a 52,000-square-foot housing development for naval officers in Annapolis, Md. A dual graduate of Savannah College of Art and Design, Trujillo holds a Master of Architecture and Bachelor of Fine Arts in architecture, with minors in architectural history and equestrian studies. Trujillo is an AIA associate member and a certified Leadership in Energy and Environmental Design green associate, and she has been recognized by the Institute for Patient Centered Design for her thesis on equintegration in health care design.
BUSINESS SERVICES The Berkeley Chamber Board of Directors has added Clarence Wright as president of the 2021 Berkeley Chamber of Commerce. Wright is southern division manager of gas operations at Dominion Energy.
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Viewpoint 3 things hotels and other businesses should start doing today VIEWS, PERSPECTIVES AND READERS’ LETTERS
S
ome hoteliers hit the pause button in March 2020 with COVID-19’s arrival to wait and see what would happen, but now is the time to set things into motion again. Why? The world is reopening and as more countries welcome travelers, hotels need to be open and ready for business.
No. 1: Press Play
Simply put: The world is beginning to move forward and reopen, and halting operations in hopes of the pandemic suddenly vanishing may be more harmful than helpful. For over a year, the world has experienced the first strain of the virus and now it evolves almost daily. The virus and vaccines are adapting which means hotel industries need to as well. Pausing each time something new happens often leaves opportunities untapped. If there is one thing the virus has taught everyone, it’s the importance of evolving and adapting to stay functional, efficient and safe. Hoteliers need to be asking the questions: How can I provide a safe hotel experience for my staff and guests to generate revenue? How can I resume high-quality amenities and services for my guests in a safe and efficient manner? It’s time to press the play button again and market the property, staff and services — now more than ever. While the public slowly eases their travel fears, the best support hoteliers can offer is to clearly advertise the actions the property is taking to provide a safe and pleasant experience for travelers. Marketing the property during these times will keep the hotel top of mind and show how it has adapted to stay ahead of the curve. ALIA BOSTAJI
No. 2: Be Strategic
Many owners were scrambling at the initial pandemic announcements, not knowing what to do. Some hotels thought doing something was better than doing nothing; however, they lacked a plan or strategy on the necessary actions to take. There was no way of telling if these changes would be temporary or permanent. Not having a crisis plan or emergency strategy can be costly, and in this market, losing talent can be just as detrimental as losing revenue. During the start of the pandemic, the hospitality market saw various layoffs.
The hospitality sector has been decimated in the pandemic, including Charleston’s, which depends on a nearly year-around influx of tourism dollars. (Photo/File)
Many hotel owners rushed into laying off staff as services were halted due to travel bans and business closures. Then, as the first round of the Paycheck Protection Program was issued, many tried to reinstate their former staff only to learn they were too late. Their talent had sought other opportunities. Don’t be reactive this year — be strategic. Take 2020’s experiences as a learning opportunity to develop or strengthen the hotel’s crisis management strategy and ensure that it will emerge with organizational stability, a consistent revenue stream and customer trust intact.
No. 3: Reinvigorate Your Plans
The world may be beginning to move forward, however, the term “normal” should probably be thrown out of common vernacular for now. Things may never be exactly the same, but this presents new opportunities. It’s time to stop repeating and regurgitating the old business cycles, models, processes and plans. For the next few years, suburbs, metropolitan areas, neighborhoods, downtowns, outer districts, etc. will reflect a new look and feel, some of which are being highlighted now. Masks, social distancing and safer sanitizing standards may be here for a while.
The key to success will be adapting former routines to fit the new standards of safety to provide the best service for staff and guests. So, take a red pen to the old plans and reinvigorate them.
How do hoteliers plan for 2021?
As the pandemic nears an end, it’s time that the hoteliers begin to operate with flexibility and perseverance. Bold moves, decisive actions and strategic planning will be essential. These may require certain sacrifices and calculated risks. For some hoteliers this may mean planning to let go of one or two hotels out of their portfolio. However, they shouldn’t fear; this doesn’t have to be a bad divorce with a lender. Now more than ever, lenders are willing to listen and work with owners to collaboratively market, position and sell the property. With a lender’s guidance and understanding, this will help hoteliers move on and strengthen their position in the market. When the time is right again, hoteliers
can resume acquisitions with the lender to build the portfolio again. Alternatively, hoteliers who have equity in some properties may want to leverage that equity to acquire a property that has stood the test of time. Many hotel properties in the economy class fared well and sustained a cash flow for their owners during the pandemic. Resilient properties are out there. The pandemic and 2020 changed the hotel industry significantly, prompting hoteliers to now evaluate and execute business plans, protocols, and services differently. As the late Justice Ruth Bader Ginsburg once said, “So often in life, things that you regard as an impediment turn out to be great, good fortune.” For the hotel industry, the pandemic may have been a covert catalyst of opportunities. CRBJ
Alia Bostaji, CHIA, is a brokerage associate in South Carolina specializing in the purchase and sale of hotels and hospitality properties. Contact her at alia.bostaji@colliers.com.
Clarification The story “Citadel initiatives to focus on campus and community diversity,” published in the May 3 edition of the Business Journal should be clarified. Women at The Citadel are not required to have their heads shaved to be members of the Corps of Cadets.
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