The place to be—the exhibit hall of the The Office Building Show
Innovation and Celebration Converge at BOMA’s Annual Convention
It was a party that could only happen in New York City when BOMA International celebrated 100 years of commercial real estate during the North American Commercial Real Estate Congress® and The Office Building Show, July 21-24.
From Dr. Alan Greenspan’s insightful outlook on the U.S. economy and the commercial real estate industry to BOMA officers ringing the Closing Bell on the New York Stock Exchange to honoring the best in office building management during the TOBY and Earth Awards Banquet, this year’s convention was 100 years in the making.
The Celebration Begins
BOMA/New York kicked off the convention Saturday evening with a spectacular Welcome Party at the World Financial Center Winter Garden. Attendees enjoyed cuisine representative of New York City’s five boroughs in the beautiful winter garden atrium and veranda. The evening concluded with a brilliant fireworks display over the Hudson River.
General Sessions to Remember
BOMA President and COO Henry Chamberlain (left) and BOMA Chairman Kurt Padavano report on the State of the Industry
BOMA International Chairman Kurt R. Padavano, RPA, CPM, FMA, SMA, and BOMA President and COO Henry Chamberlain, CAE, APR, kicked off Sunday’s general session with their insights into the State of the Industry.
Key Points from the State of the Industry Address:
- Projected moderate industry growth of 2.0 to 2.5 percent for 2007 after modest first quarter growth of .06 percent. There is still plenty of capital out there seeking investment, but rate changes and an increase in construction costs may hold development down.
- The rise in utility costs continues to push the business case for going green.
- Finding a qualified workforce is becoming increasingly difficult. The Select Leaders recent Job Barometer report details this trend of scarcity and demand.
- There are changes in leasehold depreciation that could affect the timing of depreciation. We need to keep capital gains taxes low so we can return dollars back to investors.
- BOMA is working with the Real Estate Information Sharing and Analysis Center (ISAC) on security and emergency preparedness issues. BOMA is also working closely with groups like the Real Estate Roundtable and BOMA Canada on pandemic flu preparedness.
- In the area of insurance, we are seeing some decreasing costs, but catastrophe insurance remains a problem. We need to deliver permanent solutions.
- The year of mergers and acquisitions had a big impact on all aspects of the industry from professionals to investors to associations.
- In the next 100 years we need to take our many tools and resources, such as our codes and chart of accounts, overseas as BOMA grows with the global market.
David Greenbaum, president, New York Office of Vornado Realty Trust (left) with Bruce Mosler, president and CEO, Cushman & Wakefield during Real Estate 360
One of the most highly anticipated sessions was Real Estate 360, where the industry’s “who’s who” gave attendees a 360 degree view of the biggest challenges facing property professionals. Bruce Mosler, president and CEO of Cushman & Wakefield, steered the year's most important commercial real estate discourse among elite panelists—David R. Greenbaum, president, New York Office of Vornado Realty Trust; Robert Merck, senior managing director and head of real estate investments at MetLife; Charles Nobs, managing director of UBS Financial; and Thomas Santiago, managing director of Citigroup.
The panelists touched on several topics including: The mergers and acquisitions trend, the recent tightening of the debt market, how near-shoring and off-shoring are affecting the industry, changes in space occupancy and the influx of foreign investment, as well as opportunities to invest overseas.
When asked what keeps them up at night, the panelists replied: talent management, that people think this is an “easy” business, the possibility of another terrorists attack, and complacency.
BOMA Chairman Kurt Padavano discusses the economic and industry outlook with Dr. Alan Greenspan
During the Monday General Session, BOMA welcomed one of its most esteemed speakers ever, Dr. Alan Greenspan. BOMA Chairman Kurt R. Padavano joined Dr. Greenspan onstage for a one-on-one conversation about Dr. Greenspan’s predictions for commercial real estate and the economy.
Immigration was among the topics discussed. Dr. Greenspan stated that “the rapid pace of innovation is requiring a real need for skilled workers, which we don’t have available.” He went on to explain that until the U.S. improves its education system, particularly in the areas of math and science, we will need to keep bringing skilled workers into the U.S. in order to say competitive.
On the issue of security, Dr. Greenspan stated that “while it’s impossible to know how another attack will affect our economy, the truth is the U.S. economy is extremely resilient and flexible.” This was in evidence after 9-11 when the economy took an initial hit but bounced back four-to-six weeks after the attack.
Among the other topics areas Dr. Greenspan spoke to were social security and medicare, energy dependence, tax issues affecting commercial real estate and the continued volume of capital still being invested in real estate transactions.
BOMA Takes Over Wall Street
BOMA International and BOMA/New York Officers ring the Closing Bell on the New York Stock Exchange
BOMA International Chairman Kurt R. Padavano rang the Closing Bell of the New York Stock Exchange on Monday, July 23. Padavano was joined by officers from BOMA International and BOMA/New York. The Closing Bell ceremony also marked July’s National Skyscraper Month. The city of New York proclaimed July National Skyscraper Month to celebrate 100 years of commercial real estate and BOMA’s 100th anniversary, and to acknowledge the economic impact that the commercial real estate has on New York City and the country as a whole.
The Office Building Show – the Industry’s Premier Marketplace
Innovation and energy efficiency were repeated themes at this year’s Office Building Show. A record number of top suppliers presented their products and services in one of the largest BOMA tradeshows in recent history now produced by BOMA International and Buildings magazine. Back by popular demand, the BOMA Green Pavilion and ENERGY STAR® Showcase featured the leading providers of environmentally friendly and energy-efficient products and services.
The Industry’s Best Education
With more than 40 education sessions in 11 tracks, property professionals once again came out to participate in the most comprehensive educational forum in the industry. Delegates packed into educational sessions on topics ranging from green buildings to emergency preparedness to globalization. Just prior to the BOMA Congress, the Medical Office Building Seminar, also held in New York City, smashed all prior attendance records with more than 400 delegates.
TOBY and Earth Awards – a Night to Remember
Changing of the Guard – Kurt Padavano inducts Brenna Walraven as BOMA’s first female Chairman
The TOBY and Earth Awards Reception and Banquet was a fitting finale to BOMA’s most successful convention ever, and the site of a centennial birthday bash that few will forget. BOMA former officers and executives from 1970s to today joined the celebration as the industry honored the “best of the best” in property management and welcomed BOMA’s first female Chairman, Brenna Walraven. In her acceptance speech, Walraven talked of the significance of BOMA’s 100th anniversary. “Anniversaries are a celebration of the past and a pep rally for the future,” said Walraven. “The founders of BOMA had the foresight to see the need for an association serving the commercial real estate industry. They set the stage for a long and successful future – a future that is an honor and a privilege to be part of.”
TOBY and Earth Award Winners
Earth Award
Adobe Systems Incorporated, Cushman & Wakefield and BOMA/Silicon Valley
Medical Office Building Category
Westgate Medical Center, Cambridge Healthcare Management, Inc. and BOMA/San Antonio
Government Building Category
90 Church Street, Boston Properties and BOMA/New York
TOBY winners in the over 1 million square feet category, The Towers at Williams Square
Suburban Office Park Low Rise Category
Pacific Ridge Corporate Centre, Brandywine Realty Trust and BOMA/San Diego
Suburban Office Park Mid-Rise Category
LakePointe Office Park, Childress Klein Properties and BOMA/Carolinas – West Virginia
Industrial Office Park Category
Eagle Hill Business Park, Liberty Property Trust and BOMA/Carolinas – West Virginia
Renovated Building Category
First City Tower, CB Richard Ellis and BOMA/Houston
Historical Building Category
The Hurt Building, Harbor Group Management Company and BOMA/Atlanta
Corporate Facility Category
USAA Phoenix Campus, USAA and BOMA/Greater Phoenix
The 2007 Awards Banquet closes with music and dancing
Under 100,000 Square Feet Category
Courvoisier Centre I, Jones Lang LaSalle, and BOMA/Miami-Dade
100,000 – 249,000 Square Feet Category
Maitland Promenade II, Triple Net Properties, LLC, and BOMA/Orlando
250,000 – 499,000 Square Feet Category
Two Memorial City Plaza, MetroNational and BOMA/Houston
500,000 – 1 Million Square Feet Category
Fourth & Madison, Hines Interests Limited Partnership, and BOMA/Seattle-King County
Over 1 Million Square Feet Category
The Towers at William Square, Cousins Properties Services Inc., and BOMA/Dallas
Siemens highlights the BOMA Convention on Times Square