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Building Owners & Managers Association of Wisconsin

THE REVIEW

SPRING 2016

President’s Message By: Margaret Lang

Thank you BOMA members for your active participation and attendance at our recent events.

We have held some very dynamic events this year. Photos are included in this newsletter. Here’s a recap for those who could not attend:

In this issue . . . Education Sessions for BOMA’s Annual Conference Are Now Available . . . . . . . . .2

New Overtime Regulations Impact Local Associations & Members . . . . . . . . . . . . .3 Subscription Access to the 2015 Office & and Industrial EER Closing . . . . . . . . . . . .3

Legislative News . . . . . . . . . . . . . . . . . . . . . .4 Meeting Reflections . . . . . . . . . . . . . . . . . . .5-7 BOMA International Energy and Environmental Initiatives . . . . . . . . . . . . . .9

The BOMA Standard . . . . . . . . . . . . . . . . . .10

BOMA Int’l Membership Highlights . . . . . . . .11

BOMA 360 Performance Program . . . . .12-13

Annual Golf Outing . . . . . . . . . . . . . . . . . . . .15

On March 9th we were pleased to hear from Ziad Salameh with ZSLLC – regarding Structural and OSHA issues. This was a very informative and educational luncheon. Ziad spoke on landlord liability and falls that can occur around a property.

On April 21st we were pleased to hold our Signature Event with IREM and our annual professional clothing drive for Journey House. Dr. Rick Grandinetti enchanted the audience with his enthusiasm and stories, inspiring us all to be better leaders. Over 130 people attended this event.

We also held two building tours this spring. On May 11th we toured the brand new 833 East Michigan building and on June 8th we toured the recently renovated and renamed 330 Kilbourn. Thank you to the building owners and managers for opening your buildings to our BOMA membership.

We also have a full roster of upcoming events.

On July 11th our annual golf outing will be held at beautiful North Hills Country Club in Menomonee Falls. Sponsorship opportunities are available for this annual sell out event. Foursomes are almost sold out.

On September 13th we will hold our Annual Installation and TOBY Awards program at Bluemound Country Club. Please save the date for this elegant event as we install our new board members and award the coveted TOBY awards. TOBY entries will be accepted through July 31st. Participating in the TOBY awards is an opportunity to showcase your hard work at your property and to compete with your peers for this prestigious industry recognition. I strongly encourage you to enter your building.

Please join us on October 12th at the Milwaukee Athletic Club for the State of the Industry luncheon as Steve McGuire, the director of Wisconsin Commercial Real Estate Lending, from US Bank discusses the marketplace.

Mark your calendar for our BOMA Holiday Party at Westmoor Country Club on December 6th. As always, this is a sell out and very special evening.

Finally, thank you for electing me to serve as your BOMA Wisconsin President. I am very proud to work with BOMA Wisconsin and all of you. If I don’t see you at our Golf Outing on July 11th, then I look forward to seeing you at our Installation and TOBY Awards program in September. Enjoy the summer.

Building Owners & Managers Association of Wisconsin

BOMA-Wisconsin

11801 W. Silver Spring Drive, Suite 200, Milwaukee, WI 53225 Phone: (414) 278-7557 Fax: (414) 464-0850 www.boma-wi.org

2015-2016 Board of Directors

President Margaret Lang ([email protected]) CBRE

First Vice President Maleta Brown ([email protected]) Irgens

Second Vice President Hank Schneider ([email protected]) Hakaduli Properties

Secretary/Treasurer Marji Horvat ([email protected]) Immediate Past-President Joe McGuire ([email protected]) Siegel-Gallagher

Directors

Gabe Fernandez ([email protected]) Ryan Companies

Chase Gravengood ([email protected]) Millbrook Properties Wisconsin

Angela Hoehnen ([email protected]) Ogden & Company, Inc.

Elmer Megna ([email protected]) US Bank Kevin Rouby ([email protected]) Vanta

Kris Welsh ([email protected]) Core Realty

Professional Services Advisors Mike Grinker ([email protected]) Sid Grinker Restoration, Inc.

Mike Kenney ([email protected]) SP+ The  BOMA/AOMA Magazine is published quarterly. Subscriptions are an exclusive membership benefit. Members are welcomed to submit articles and ideas for publication. Items must be provided 30 days in advance.

Information herein was obtained from sources deemed reliable and believed to be accurate. No warranty or representation is made as to the accuracy thereof and is subject to correction.

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Education Sessions for BOMA's Annual Conference Are Now Available

Attend the 2016 BOMA International Conference & Expo where you can immerse yourself in the expertise, insights and opportunities you need to stay ahead on industry trends.

Education sessions offer fresh approaches, practical direction and tactical strategies for optimizing asset values, and all programs qualify for RPA, FMA, SMA and SMT renewal and continuing professional development credits. The six educational focus areas are: • Creating Asset Value;

• Building Operations and Management; • High Performance Buildings;

• Industrial Property Management;

• Leadership and Career Development; and Tenant Relations and Retention.

Explore all conference sessions and register today!

http://www.bomaconvention.org/boma2016/p ublic/enter.aspx?_zs=N5NiA1&_zl=2nU73

www.boma-wi.org

Building Owners & Managers Association of Wisconsin

New Overtime Regulations Impact Local Associations and Members

Last week, the U.S. Department of Labor issued new regulations under the Fair Labor Standards Act that extend overtime eligibility to millions of previously exempt workers. Starting December 1, employees who make less than $47,476 per year will qualify for time-and-a-half overtime pay when they work more than 40 hours per week. This marks a significant increase from the current minimum threshold of $23,660.

Employers can satisfy up to 10 percent of the salary threshold with non-discretionary bonuses, incentive payments and commissions as long as these are paid quarterly—annual discretionary bonuses do not count towards the threshold. Those employees who fit the description of “outside salespersons” remain exempt and do not face minimum salary requirements.

Subscription Access to the 2015 Office and Industrial EER Closing

Subscription access to the 2015 Office EER and 2015 Industrial EER is coming to a close; all access will expire on Friday, June 17. To save your reports, simply log in to eer.boma.org and run your report as normal. Once the report generates, select either “PDF” or “Excel” from the drop down menu above the header and click on the “export” button. You can access any report that is saved or printed off until you discard them, so we highly recommend that you do this before June 17, when you will no longer be able to access the live site.

SAVE THE DATE!

The 2016 Office EER and 2016 Industrial EER will be released on Monday, June 20, and members can renew their subscription at that time. Please contact BOMA International's Director of Research Joanne Arnold at [email protected] if you have any questions before that date.

GOLF OUTING

CORPORATE SPONSOR

Monday, July 11, 2016

North Hills Country Club • N73 W13430 Appleton Ave • Menomonee Falls, WI

www.boma-wi.org

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Building Owners & Managers Association of Wisconsin

Legislative News By: Sheldon Oppermann

Insight from a BOMA member on being a BOMA member.

It is an exciting time to be a part of Commercial Real Estate and a part of BOMA.

Commercial Real Estate is in demand. Investors decide on where to invest based on where they can get the best return for the least amount of risk. Typically the best returns have been in the Tier 1, 24 hour cities. However, because of the high demand, cap rates are compressed and the resulting high prices are driving investors to Tier 2 and Tier 3 cities. In particular the so called “18 hour cities.” In a recent Urban Land Institute survey 8 of the top 10 cities for Commercial Real Estate investment are 18 hour Tier 2 and Tier 3 cities. For Milwaukee and, as a result, the state of Wisconsin, as we are becoming a destination for CRE investment from outside of the state.

This brings me to why it is a good time to be a part of BOMA. 1. BOMA gives a Voice. Milwaukee is on the rise, has been for a little while now and shows no sign of stopping. The NML, Arena, and Couture all moving ahead. Transportation infrastructure finally breaking free of the “car only” mentality. Heck, we finally got Uber at the Airport! a. BOMA advocates for the property owners in our cities and on the state level. More than ever, our investors need local connections and a unified voice, especially the new investors making their way to Wisconsin. b. Decisions are being made now that will last generations. BOMA contributes to the decisions being made about trans-

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portation, infrastructure, taxation, etc. City planners and engineers as our advice, and listen to us. Our elected officials not only need to hear from us, but when the time is right need the support from us to give them the political cover they need to make long term positive decisions and not just bend to the short term headline grabbing popular opinion of the day. Our buildings have roots and cannot pick up and move to the next town (or state) over if we don’t like the way things are going. We cannot afford to be unheard. BOMA gives a voice.

2. BOMA builds confidence. With investment coming to Wisconsin from outside of Wisconsin, how is an investor to compare assets, or service providers with what they know from their past experience in other markets? BOMA members, BOMA buildings, that is how. We are a constant across the country and internationally, and not just our measurement standards. a. A TOBY award standards are consistent across the organization. A TOBY award winning building is a recognizable and consistent standard of Best in Class in every market. Make sure your Wisconsin building stands out. b. A BOMA 360 Building has been vetted by BOMA to be actually operating using Best Practices. Imagine making an investment knowing the property has been BOMA 360 certified as being managed in accordance with industry best practice year after year. Make sure an investor – (AND prospective tenant) can be confident the building has been (and is being) operated in the best possible way, using the collective knowledge of the industry. BOMA builds confidence.

www.boma-wi.org

Building Owners & Managers Association of Wisconsin

Meeting Reflections . . .

GOVERNMENT DAY - MARCH 2, 2016

www.boma-wi.org

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Building Owners & Managers Association of Wisconsin

Meeting Reflections . . .

FEBRUARY LUNCHEON - FEBRUARY 9, 2016

APRIL JOINT LUNCHEON WITH IREM MILWAUKEE - APRIL 21, 2016

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www.boma-wi.org

Building Owners & Managers Association of Wisconsin

Meeting Reflections . . .

MAY TOUR OF 833 EAST MICHIGAN - MAY 11, 2016

www.boma-wi.org

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Building Owners & Managers Association of Wisconsin

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www.boma-wi.org

Building Owners & Managers Association of Wisconsin

Building Owners and Managers Association (BOMA) International Energy & Environmental Initiatives

BOMA Market Transformation Energy Plan and 7-Point Challenge

In July, 2007, BOMA challenged its members -- commercial real estate professionals -- to take voluntary steps to improve energy efficiency across their portfolios by 30 percent by 2012 in comparison to an average building. This challenge has been accepted by over 100 companies and organizations, representing over 2 billion square feet of office space. BOMA's Energy Efficiency Program (BEEP) and Sustainable Operating Series (SOS)

In 2006 BOMA launched the BOMA Energy Efficiency Program (BEEP), an educational initiative that teaches important no- and low-cost building operating strategies for optimizing equipment, people and practices.

More than 14,000 industry professionals so far have benefited from BEEP. CB Richard Ellis, Cushman & Wakefield, Grubb & Ellis and other companies have instituted the program as standard training for their employees.

In 2008, BOMA launched another major educational initiative, the Sustainable Operating Series, which helps property managers address broader sustainability issues, including recycling and measuring the return on investment of green initiatives. BOMA Energy Performance Contract (BEPC) Toolkit

In 2009, BOMA collaborated with the Clinton Climate Initiative on a groundbreaking model for energy performance contracting with the release of the BOMA Energy Performance Contract (BEPC) Toolkit. The BEPC model allows companies to perform energy efficiency retrofits by leveraging projected energy savings with energy service companies to fund loans from financial institutions. Building owners are thus able to make capital improvements without up-front cash - a highly attractive proposition. This new model looks to dramatically increase the number of energy efficiency retrofits and produce significant energy savings. BOMA Green Lease

In 2008 BOMA released the industry's first green lease guide for commercial buildings. Leasing strategies and terms in the BOMA Green Lease Guide incentivize tenants to reduce consumption of energy, water and materials; produce less waste; recycle as much as possible; and choose energy efficient and environmentally friendly products, furnishings and office equipment. The lease also includes enforceable language, where appropriate, to ensure that the tenant complies with the building's green practices.

The Green Resource Energy and Environment Network (The G.R.E.E.N.)

An industry online network designed to: • Highlight industry best practices • Provide updates on the latest trends, solutions and educational opportunities • Apprise members of important advocacy and code developments • Identify even more industry resources • On the web at www.boma.org/AboutBOMA/TheGREEN/

www.boma-wi.org

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Building Owners & Managers Association of Wisconsin

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www.boma-wi.org

Building Owners & Managers Association of Wisconsin

www.boma-wi.org

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Building Owners & Managers Association of Wisconsin

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www.boma-wi.org

Apartment Owners & Managers Association of Greater Milwaukee

www.boma-wi.org

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Building Owners & Managers Association of Wisconsin

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www.boma-wi.org

Building Owners & Managers Association of Wisconsin

GOLF OUTING Monday, July 11, 2016

North Hills Country Club • N73 W13430 Appleton Ave • Menomonee Falls, WI 10:30 a.m.-11:45 a.m. 11:00 a.m.-11:30 a.m. 12:00 p.m. 5:30 p.m. 6:30 p.m.

Registration, Lunch Putting Green & Driving Range Open Golf Clinic Golf — Shotgun Start Cocktails & Dinner Awards & Prizes

This event is limited to the first 144 golfers to register. Those registered after the limit will be placed on a waiting list. Registration includes lunch, dinner, clinic, golf, and beverages. Registration and cancellation deadline is Tuesday, July 5th. Full charge for cancellations after July 5. All attendees must be paid in full prior to outing. Paid attendees will be given priority. North Hills’ dress code requires golf attire.  Collared shirts, please. No sleeveless shirts, cut-offs or jeans. There is a two putt max.

CORPORATE SPONSOR:

BEVERAGE CART SPONSORS: Langer Roofing & Sheet Metal, Inc.; The Horton Group

GOLF CART SPONSORS: Interstate Parking Company; Pieper Electric, Inc. PRIZE SPONSOR:

CLINIC SPONSOR:

HOLE SPONSORS: Ace of Spray Brook Furniture Rental CBRE, Inc. CertaPro Painters Milwaukee CleanPower Colliers International CORT Business Services For Rent Media Solutions Innovative Signs Johnson & Sons Paving Landscape Concepts Management Paul Davis Restoration & Remodeling ServviceMaster Sherwin-Williams

PUTTING GREEN: Sid Grinker Restoration, Inc.

DRIVING RANGE SPONSOR: Waste Management LUNCH SPONSORS: CORE Realtyy Holdings Management, Inc.

DINNER SPONSORS: DeLuca & Hartman; Impark; M.M. Schranz Roofing, Inc.; Secure Fire & Safety COCKTAIL SPONSORS: Giertsen Company of Wisconsin; SP+ SNACK SPONSOR:

SIGN SPONSOR: Innovative Signs

Register TODAY at www.boma-wi.org

www.boma-wi.org

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