Coping with challenging times - Volusia/Flagler Business Report
Transcription
Coping with challenging times - Volusia/Flagler Business Report
Focus on: DEVELOPMENT/CONSTRUCTION pages 10-16 July 21, 2008 Coping with challenging times: Mike Whaling of Daytona Beach engineering firm InfiniSys Electronics Architects. Area engineering firms responding to struggling economy in variety of ways … Page 10 PRSRT STD U.S. POSTAGE PAID Daytona Beach, FL Permit #150 2 July 21, 2008 Volusia/Flagler Business Report PDFA-0000739564 Hurry, hurry, hurry! The Mercedes-Benz Summer Love Event ends July 31st. Certain things we look forward to every summer. And then sorely miss when they’re gone. The Mercedes-Benz Summer Love Event is no exception with offerings that have something for everyone: thrill rides like the amazing C-Class; rides for the whole family like the safe, versatile M-Class; and even long romantic trips for two in a luxurious yet powerful E-Class Sedan. But hurry, this event leaves town soon. MBUSA.com/SummerEvent2008 Mercedes-Benz of Daytona Beach 1720 Mason Ave., (386) 274-4775 “Directly behind the Volusia Mall” Vehicles shown above may have optional equipment. ©2008 Mercedes-Benz USA, LLC For more information on Mercedes-Benz products, call 1-800-FOR-MERCEDES, or visit MBUSA.com. July 21, 2008 3 Volusia/Flagler Business Report 0000739948 ON THE COVER: Mike Whaling, vice president of InfiniSys Electronic Architects, an engineering firm in Daytona Beach. InfiniSys is one of several engineering firms in the Volusia-Flagler area that have made changes in response to the struggling economy. See story on page 10. Focus on: DEVELOPMENT/CONSTRUCTION pages 10-16 Inside: Action heroes: Local business boosters’ efforts in the Big Apple paying off … Page 4 July 21, 2008 Look who’s talking: Local firm Pevonia in discussions with cosmetics giant L’Oreal, sources say … Page 6 STOREWIDE SUMMER Sale Green for building green: VHBA advocates use of incentives to spur construction of energy-efficient homes … Page 16 Enjoy 10-50% Savings During the Entire Month of July Photo: Sean McNeil Coping with challenging times: Mike Whaling of Daytona Beach engineering firm InfiniSys Electronics Architects. (excluding Rolex & Swarovski) Area engineering firms responding to struggling economy in variety of ways … Page 10 INSIDE: Editor’s Notebook: Action heroes — Local business boosters’ efforts in the Big Apple paying off ..................................................................................................................................Page 4 Guest Commentary: Why buying existing commercial buildings over building from scratch may be best choice for some..................................................................Page 5 Look who’s talking: Local company Pevonia in discussions with cosmetics giant L’Oreal, sources say ........................................................................................................................Page 6 Briefs..................................................................................................................................................................Page 8 People on the Move ...................................................................................................................................Page 9 Jeffrey Gitomer: Sales guru offers tips on the best way to prevent ill customers......Page 18 Calendar of upcoming local business events ..............................................................................Page 19 Focus: Development/Construction Coping with challenging times: Area engineering firms responding to economic downturn in variety of ways..........................................................................................Page 10 Real Estate Roundup: Grand Am racing team building new digs in DeLand..............Page 12 The List: Area’s largest engineering firms ....................................................................................Page 14 Green for building green: VHBA advocates use of incentives to spur construction of energy-efficient homes ........................................................................................Page 16 Volusia/Flagler Business Report Connecting Business to Business July 21, 2008 Copyright © 2008 The News-Journal Corporation P.O. Box 9970, Daytona Beach, FL 32120-9970 Phone: 386-681-2737 E-mail: news@vfbr.com for editorial submissions ads@vfbr.com for advertising inquiries Web site: www.vfbr.com Manager: Paige Holley Senior Editor: Clayton Park Reporter: Chris Anderson Business Advertising Specialist: Debi Brand Graphic Designer: John Klipfel Photographers: Chris Anderson, Sean McNeil, David Tucker The Volusia/Flagler Business Report is published every other Monday. Press releases, calendar items and letters to the editor should be e-mailed to news@vfbr.com. People on the Move announcements should be limited to 50 words and accompanied by a photograph (head shot only; 300 dpi preferred). Calendar items should be submitted 30 days in advance of the event. Corrections The correction we ran in our July 7th issue regarding our 2008 Top Private Companies list contained a typographical error. MBI, a DeLand-based provider of direct-mail advertising services, is the 67th largest private company based in the Volusia-Flagler area, not 65th as incorrectly indicated in our correction last issue. A corrected version of the list, which ranks companies by 2007 revenues, is posted on our Web site, www.vfbr.com. Downtown Daytona Beach 150 So. Beach St. 386.255.1468 Hours: M-F 9:30-5:30 Sat 10-3 4 July 21, 2008 Volusia/Flagler Business Report Opinions Action heroes: Biz boosters’ efforts to tout Volusia-Flagler area at trade show in Big Apple paying off oaring gas prices, rising inflation, shaky consumer confidence, the credit crunch and continuing housing market slump have caused businesses to scramble for cover from the mounting economic storm that, for the most part, is beyond their control. During such perilous times, it would be nice to have superheroes to come to our rescue, like in the various blockbuster action flicks currently packing them in at the multiplexes this summer. Fortunately for businesses in the Volusia-Flagler area, such superheroes do exist – namely economic development folks such as Volusia County’s Department of Economic Development, the Daytona Beach/Halifax Chamber of Commerce’s Business Development Partnership (BDP) and, in Flagler County, Enterprise Flagler. Not content to sit on the sidelines and S Clayton Park Editor’s Notebook wait for economic development opportunities to come to them, these action heroes often take matters into their own hands by conducting trade missions to the far corners of the globe in search of companies that might be interested in relocating or expanding here or in buying the products and/or hiring the services of local manufacturers and suppliers. One recent example occurred at the 2008 Medical Design & Manufacturing (MD&M) East Expo, which took place in New York City in early June. The annual trade show draws more than 10,000 medical PDF-0000739968 Helping Bridge Business with Success Providing Accounting, Business and Computer Consulting Services Since 1964. Your Success Is Our Business 121 Executive Circle, Daytona Beach, FL 32114 Phone: (386) 257-4100 Fax: (386) 255-3261 www.jmco.com Photo: Phil Ehlinger Rick Michael (right), director of Volusia County’s Department of Economic Development, and John Kizer, a business specialist with the department, sit at a booth at a medical products industry trade show in New York that was held June 3-5. product development professionals from throughout the eastern United States and is described by its organizers as the medical device manufacturing industry’s largest event. Attending the event on behalf of our area were Rick Michael, director of Volusia County’s Department of Economic Development, three of his staff (business development manager Phil Ehlinger and business specialists John Kizer and Paul Mitchell), BDP Economic Development Administrator Sam Goodwin, and two area business execuSee NOTEBOOK p. 17 PDFA-0000739953 July 21, 2008 5 Volusia/Flagler Business Report Why now is the best time (for some) to buy existing commercial buildings ’m working with a client who is considering whether to buy a building in the Volusia-Flagler area. His business has occupied a nearby building for the past 15 years. He can’t make up his mind, even though his bank has said it will finance the purchase. It may sound like a cliché, but I truly believe now is the best time to buy existing commercial buildings if you intend to be an owner/occupier (as opposed to an investor). Here’s why: 1. The recent change in the way city and county services in Florida can be funded away from traditional real estate taxes will only shift the tax burden across the board. Studies have shown that in many cases placing limits on property taxes have not shrunk public-sector spending. Local governments simply find new sources of revenue, such as fees and assessments. Case in point: the city of New Smyrna Beach is considering – for the first time — implementing a boat ramp launch fee. This is only the beginning. California in 1978 was the first state to overturn its method of paying for government with Proposition 13, which placed caps on property taxes. I witnessed this firsthand in the late 1980s when I worked for a company that was I John Wickert Guest Commentary renovating a shopping center in a Los Angles suburb. As director of leasing, I was responsible for creating the additional income stream to pay for those renovations. Upon completion of the project, it was estimated that it cost an additional 18 percent in non-construction costs to complete than it would have prior to passage of Proposition 13. My then-company never did work in California after that. 2. Many national retailers are still looking to expand and remain bullish on Florida. This view was expressed by several retailers who attended the recent International Council of Shopping Centers convention in Las Vegas in May. Two things have kept Florida relatively healthy despite the economic downturn: A. we are still creating jobs; B. people are still moving into the state. However, national retailers these days appear only interested in grade “A” locations, as opposed to secondary locations. In the past, retailers would say “Show me every- thing you’ve got.” Locally, one example of an “A” location for retailers is the intersection of Williamson Boulevard and Dunlawton Avenue/Taylor Road in Port Orange, just west of Interstate 95. In the next 12-24 months, you will see over 1 million square feet of retail space under development here. In addition to high traffic counts, the area offers desirable demographics: 86 percent home ownership; a median annual household income of $54,283; and 43 percent of residents who are between the ages of 35 and 64. 3. All the “easy” land in Central Florida has already been developed. For the most part, sites that remain undeveloped have impediments to development of some sort: the presence of environmentally sensitive wetlands; entitlements; insufficient infrastructure, etc. 4. Asking prices for commercial buildings have stabilized. If someone came to me a year ago to list a property for sale and were motivated sellers, we would look at comparable recent sales and add 10 percent to the asking price. Today, if you’re a motivated seller, you’re going to look at it the opposite way. I’ve seen more price adjustments downward in recent months than the other way around. I have a 33,120-square-foot manufacturing building for sale in Edgewater. If you were to build the same today, the land would cost $1.4 million. If you subtract that from the asking price of $2.6 million, it leaves $1.2 million, or $36 a square foot for the building. At today’s cost, the building be at least $55 a square foot to build. Buying the existing building therefore translates into a savings of $630,000 or $19 a square foot. Remember that real estate values in simple economic terms are driven by supply and demand. As demand starts to pick up, so will property values. This is true, whether it’s for a commercial property or a residential property. For the reasons I just mentioned, the cost of buying an existing commercial building in the Volusia-Flagler area today is typically less than the cost of building that same one from scratch. That’s why I say now is the best time to buy an existing building. ■ John Wickert, CCIM, is a commercial real estate broker with the NAI Realvest office in Daytona Beach. He can be reached at jwickert@realvest.com or at 386-7955713. 0000739552 0000739555 PARTNER PROFILE: ROBERT A. MERRELL, III Mr. Merrell graduated from Duke University and received his Juris Doctor, cum laude, from the University of Florida Levin College of Law. Mr. Merrell practices in the areas of zoning, environmental permits, comprehensive planning, code enforcement, and land development. He is a member of the Land Use and Environmental Law, Local Government Law, and Administrative Law Sections of the Florida Bar, as well as the Environment, Energy and Resource Section of the American Bar Association. Mr. Merrell is currently a member of the Surfcoast Chapter of the Florida Planning and Zoning Association, as well as the Daytona Beach/Halifax Area Chamber of Commerce. He previously held positions as the Chairman of the Volusia County Association for Responsible Development, Chairman of the Volusia County Environmental and Natural Resources Advisory Committee and member of the Board of Directors of the Red Cross Coast to Coast Chapter. Mr. Merrell served as a member of the Halifax and Indian River Task Force and the Volusia County Economic Development Strategic Planning Working Group. Mr. Merrell is a graduate of the Leadership Daytona Class of 1989 and is admitted to the United States District Court for the Middle District of Florida and the United States Court of Appeals for the Eleventh Circuit. w w w. sRe a .com e L ealty r l a o i Fi g o C o m m e r c Ind 386.274.1212 T WO PRIME PROPERTIES LOCATED IN THE EMERGING GATEWAY CENTER CLASS A OFFICE SPACE Occupancy First Quarter 2009 LPGA & Williamson Up to 20,000 SF For Lease Located adjacent to the Cornerstone Office Park. Just seconds east of I-95. Available For Lease at competitive rates. M ASON COMMERCE CENTER SW Corner of Williamson & Mason Available Now SERVING YOU. SERVING THE COMMUNITY. 150 Magnolia Ave., Daytona Beach, FL. 32114 - 386-255-8171 351 E. New York Ave. Ste. 200, DeLand, FL 32724 - 386-736-7700 www/cobbcole.com From 1,950 to15,360 SF Available For Lease Office, retail, showroom, warehouse, upscale storefront, roll-up rear door option. Call for tenant improvements and lease rate. 6 July 21, 2008 Volusia/Flagler Business Report Look who’s talking: Daytona-based Pevonia in discussions with cosmetics giant L’Oreal, sources say By Clayton Park Business Report Staff he majority owners of Pevonia International, a Daytona Beach-based maker of professional spa skincare products, have recently begun talks with French beauty products giant L’Oreal SA, the Business Report has learned. What is not certain is the nature of those talks, which could involve either a potential sale of Pevonia or perhaps a strategic alliance or licensing deal. A source close to the company, who spoke on condition of anonymity, confirmed speculation that Pevonia founders Philippe Hennessy and his wife Sylvie were in discussions with L’Oreal, but would not say what about. The Hennessys would not likely agree to sell their company unless they could continue to be significantly involved, said the source, who said neither Philippe or Sylvie, who are both in their 60s, have any plans to retire. The Hennessys, who moved to the United States from France in the 1980s, were North American distributors for French skincare products maker Matis prior to T launching their own company in 1991. Sylvie, a biochemist by training, is creator of the Pevonia skincare products line. She is also highly regarded within the industry as an educator and lecturer. Several spa trade publications have described Sylvie as an industry pioneer. Philippe, a former executive with 3M in Europe and AT&T International whose background is in engineering, is Pevonia’s president and chief executive officer. Pevonia products are sold exclusively in day spas and hotel/resort spas throughout much of the world. Celebrities who use Pevonia products reportedly include movie stars Angelina Jolie, Cate Blanchett and Matthew McConaughey. While the Hennessys have granted interviews to industry trade publications over the years, the couple have generally shunned the general media. A spokeswoman for Pevonia did not respond to a request from the Business Report to speak with the couple for this article. The source close to Pevonia said the Hennessys have declined requests for interviews with the Business Report because “they don’t want to be known locally in Day- tona.” The source described the couple as an American success story because “they started with nothing and turned it (Pevonia) into the largest professional skincare spa (products) company in the world.” Pevonia does not disclose its revenues. The source close to the company said a competitor’s estimate in the Business Report’s June 23rd issue that Pevonia’s annual sales were $15 million to $30 million “was way off. It’s much, much higher.” The source said Pevonia and the Hennessys’ other businesses employ a combined total of 70 to 100 people locally and at least 600 worldwide. The couple’s other businesses include Medicalia, which makes medical spa skincare products, Cosmopro, a maker of professional spa equipment, and the Sylvie Hennessy Academy of Esthetics & Spa Treatments. The companies are all based in Daytona Beach, in a 120,000-square-foot, multi-building complex at 280 and 300 Fentress Blvd. The Hennessys in February sold minority stakes in Pevonia and Medicalia for an undisclosed amount to TSG Consumer Part- ners, a San Francisco-based private equity group. Yasser Toor, a managing partner with TSG, told the Business Report in June that the Hennessys agreed to the Feb. 13 deal in order to raise capital to further grow Pevonia and Medicalia. The transaction did not involve the couple’s other businesses. L’Oreal has been aggressively expanding, largely via acquisitions. In 2006, the cosmetics giant, whose brands include Maybelline cosmetics, paid $1.2 billion to acquire Body Shop, a U.K.-based global retail chain that sells natural bath and beauty products. Industry observers say L’Oreal bought Body Shop because of its desire to tap the growing market for “green” — i.e., environmentally friendly — skincare products. L’Oreal, earlier this year, acquired Yves Saint Laurent Beaute, a deal which gave the company licenses to several fragrance and cosmetic product lines, including the Stella McCartney and Oscar de la Renta brands. Pevonia, which touts its skincare products as “green” and is dominant in its market See PEVONIA p. 8 0000739551 Looking for a New and Unique Meeting Place? For the ultimate meeting or corporate retreat, seminar or holiday party, there is no place quite like The Tavern! SPACE for LEASE Call Chris DiNardo (386)212-5989 OFFICES Self Storage • Cars / RVs / Boats File Storage Pickup & Delivery Airport Depot, Daytona Beach 12 Convenient Locations! 1575 Aviation Center Parkway West of Clyde Morris off Bellevue At Daytona Beach Airport 480-960 SF .................. from $419/month 239-3536 TAVERN & CHAPEL in the GARDEN 5123 S. 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Isabelle Street 960 SF .......................... Office/Warehouse $1000 Doug & Andy Clark 1952 CLARK PROPERTIES SINCE www.AllAboardStorage.com July 21, 2008 7 Volusia/Flagler Business Report 0000739978 PDFA-0000739966 In Business to Write Business. Our Top Ten Recent Successes SM Look for New Notable Successes Our Action HOMEOWNER SUCCESSES Our Results 1 Cable contractor came to us after their workers comp was cancelled. $100,000 premium was going to $400,000. Employer would have to go out of business. Reviewed claims with insurer, focused on changes we had suggested. Insurer accepted the employer and the business was saved! Literally. 22 Homeowner asked us to review his home policy. Rated our 10 active homeowner companies and reduced his rates from $2300 to $716. 3 Bucket truck dealer was nonrenewed. Others would have given up, we did not. Found competitive market and client was able to concentrate on her business. 4 Reviewed general contractor’s liability coverage. Prospect became client and saved $28,000. 5 Auto dealer could not find inventory coverage including windstorm after he was cancelled by prior company. We were able to secure coverage on his $1.5 million inventory with windstorm. 6 Set up program to reduce workers comp experience mod. Program included hiring training, return to work and supervisor training. Prospect became client and mod went from 1.24 to .94. $75,000 saved over 3 years. We want to be your business partner when it comes to insurance protection. 7 Proposed our employee leasing program to contractor in place of his workers comp program. Prospect saving were over $70,000 Contact us today for quality business protection from Auto-Owners Insurance 8 Reviewed business liability program for a staffing company. Prospect became client and saved $9000 9 Marketed aviation condo property/liability to several companies. Prospect became client and saved $23,000 10 Reviewed contractor’s workers comp policy. Corrected experience modification factor. Client received $39,000+ refund 11 We ALWAYS put YOUR interests ahead of ours. W Company. We’ll take care of your business insurance, while you take care of business! ® The “No Problem” People Other Coverage Offered: • General & Professional Liability • Property • Business Auto • Workers’ Comp Ormond Beach (386) 677-4787 • Palm Coast (386) 446-3426 www.EastCoastInsurors.com Let us show you what we can do for You and Your business • Group Health • Risk Management • Employee Leasing • Garage Liability Ormond Beach (386) 677-4787 Palm Coast (386) 446-3426 www.EastCoastInsurors.com 8 July 21, 2008 Volusia/Flagler Business Report PEVONIA from p. 6 Briefs Halifax’s ex-marketing chief gets big severance package Halifax Health, operator of the VolusiaFlager area’s largest hospital system, recently agreed to pay its former chief marketing officer more than $100,000 as part of a resignation settlement, according to a legal document obtained by the Business Report. The $101,666 paid to Kathryn Hughes, who resigned May 30, included four months’ salary and $10,000 in “outplacement assistance,” according to the document. Hughes, as part of the settlement, agreed “to take all steps necessary” to secure the refund of a deposit paid by Halifax on her behalf to Hammock Dunes for club membership. The settlement agreement also stated that Hughes cannot work for a competing hospital for at least a year. Hughes also waived the right to pursue legal action for wrongful discharge. The settlement agreement also stipulated that “neither party shall defame the other in any way, or refer to the other party in such a manner as would tend to portray that party in a negative light.” Hughes left Halifax amid criticism from some in the business community for her decision to hire a Los Angeles film production company to produce a series of four television commercials for the hospital system, which draws a portion of its revenues from local taxpayers. The commercials cost $1 million to produce. Hughes also hired an out-ofstate ad agency to create a new logo for the hospital system, which was eventually scrapped. 42,000-square-foot store in The Promenade retail center on the northeast corner of Nova and Beville roads later this month. A spokesperson for the center’s owner, Boca Raton-based Woolbright Development Inc., did not immediately return a telephone call from the Business Report seeking comment. Ch. 11 filing raises questions about retailer’s plans for Daytona A South Daytona-based electronic water treatment system maker broke ground on July 10 on a 20,000-square-foot building at 1585 Industrial Drive that will become its new home upon completion of construction early next year. Griswold Water Systems currently leases a smaller space for its manufacturing operations at 3111 Opportunity Ct. The company plans to occupy 5,000 square feet in the new building and will lease the remaining space to other businesses, said Janeen Carroll, the company’s office and operations manager. ■ Steve & Barry’s, a Port Washington, N.Y.based casual clothing retail chain, filed for chapter 11 bankruptcy protection in early July, raising questions as to whether national retailer will continue with plans to open a store in Daytona Beach. The retailer, in announcing its plans to file for bankruptcy protection, said it planned to close more than 100 stores and that it would consider a full liquidation of its assets if it is unable to secure emergency financing. Steve & Barry’s was set to open a South Daytona company breaks ground on manufacturing plant niche, appears to match the profile of the kind of company L’Oreal is looking for. “L’Oreal has a strategy to diversify its distribution base, and spa is one of the targeted areas,” wrote Harold Thompson, a research analyst with Deutsche Bank in London, in an e-mail responding to questions from the Business Report. “This is partly why they bought the Body Shop. Not only did they want a ‘green’ brand to keep up with the times, but they also wanted a stand-alone retail format. So (it’s) very possible that they are in talks to enter the ‘spa’ channel in a more aggressive way.” L’Oreal is one of several public European companies Thompson monitors. He did not indicate having any specific knowledge as to whether L’Oreal was looking to acquire Pevonia, but agreed to answer questions in general terms. “(L’Oreal) has been excellent in acquiring relatively small brands, which it has then successfully globalised in its targeted distribution channel,” Thompson wrote. “L’Oreal is not shy of buying small as long as it sees great potential to globalise the brand in its specific distribution channel.” ■ Clayton Park can be reached at clayton.park@vfbr.com or at 386-681-2470. 0000739559 0000739972 BUILDING YOUR BUSINESS IS OUR BUSINESS At Friends Bank “Everybody is Somebody To Us” Feel confident with our creative lending and years of commercial lending experience. SPECIALIZING IN: Warehouse/Industrial • Retail/Office Space • Restaurants/Salons Medical/Dental • Tilt Wall Construction/Steel Buildings New Commercial/Tenant Improvements Call Pete Klironomos or Sandra Kellogg • Owner Occupied/Investment – Commercial Projects • Commercial Mortgages – Lines of Credit Hands-On Supervision • Attention to Detail Project Completion On Time, On Budget • Commercial Lot Financing • Builder Lines of Credit 925 Beville Road Suite 1 South Daytona FL 32119 2222 SR44 New Smyrna Beach 208 S. Nova Rd. Ormond Beach 1504 S. Ridgewood Ave. Edgewater 386.767.0055 386.428.2299 386.671.9409 386.424.9669 Fax 386.767.3720 CBC057676 Paul Traider Owner Tom Arnold Owner w w w. f r i e n d s b a n k . c o m July 21, 2008 9 Volusia/Flagler Business Report People on the Move Bolling Johnson Dimitrakopoulos Aviation Radd Johnson has joined Trans Northern Airways, a Daytona Beach-based private jet charter company, as director of fractional ownership and charter services. Johnson previously worked as a business consultant in Daytona Beach and DeLand. Real Estate Rose Bolling has joined Hart & Associates Realty in Ormond Beach as a sales associate. Bolling previously worked as a sales associate at Ideal Realty/Keller Williams Realty Florida Partners in South Daytona. George Dimitrakopoulos has joined Adams, Cameron & Co. Realtors’ 759 W. Granada Blvd. office in Ormond Beach as an agent. Dimi- Kimball Melnechuk Bonner trakopoulos previously owned two restaurants in the Daytona Beach area. Waypoint Real Estate Consulting, a Palm Coast-based real estate sales and marketing consulting firm, has hired three employees: Cameron Kimball has joined the company as vice president of sales for its Abaco Beach Resort & Boat Harbour account in the Bahamas. Kimball previously worked as a sales representative with the Ginn Company. Shane Bonner has joined the company as a sales executive for its Abaco account. Bonner previously worked as a sales representative with the Ginn Company. Kurt Melnechuk has been named a sales executive at the company. Melnechuk will continue his role as director of sales and marketing of the company’s Abaco account. ■ How to submit items: The Business Report welcomes submissions of announcements about your company’s recent new hires, staff promotions and industry and/or community awards. E-mail announcements and photographs (individual headshots only; 300 dpi preferred) to news@vfbr.com. People on the Move announcements should include name and new title of the person, the company’s name, and the city where that person works or will work. Please include the person’s previous company and title. 0000740248 R E TA I L S PA C E F O R L E A S E West Volusia Retail Center Adjacent ➤ Kohl’s • Petco • Old Navy • Bed, Bath & Beyond • Michael’s • Ross • Famous Footwear Begin the design of your new space today!! ● Located in a strong performing retail in fast growing, dynamic West Volusia Co. ● Convenient access to Orlando Metro via nearby Interstate 4 and US 17-92. ● Strategically situated near under-served residential areas of Deltona, DeBary, DeLand and Orange City. Robert Chappell ● Each Tenant can be involved in the design of their space prior to completion. rchappell@chappellproperties.net C O N TA C T: 407.599.7772 Les Strasberg ● Each space will be separately metered for electricity, telephone, water & internet and all tenants may utilize space at their will. ● 112,000 square feet of Prime Retail and Professional Office Space from 1,200 square feet and up. 407.599.7772 lstrasberg@chappellproperties.net !" $%$&'$(') Treadgill Place & Harley Strickland Boulevard • Orange City 195 S. Westmonte Drive, Suite 1122 • Altamonte Springs • 407.599.7773 • w w w . c h a p p e l l p r o p e r t i e s . n e t fax 407.599.7771 10 July 21, 2008 Volusia/Flagler Business Report Focus: Development/Construction Coping with challenging times Area engineering firms responding to economic downturn in different ways By Chris Anderson Business Report Staff that we had to do it, but it’s the sign of the times,” said Mark Hampton, the firm’s presihe owners of InfiniSys Electronic Ar- dent. “If there aren’t as many projects going chitects in Daytona Beach recently decided to cope with the economic down- on, we don’t need people just sitting around, waiting for something to do,” Hampton said. turn in an unusual way. Quentin has completed about 40 projThey asked their employees to start ects so far this year, which Hampton said is working 10-hour days four days a week as oproughly a 60 percent drop from the number posed to the standard eight-hour days five of projects it had completed by this time last days a week. The change, which took effect in May, has resulted in cost savings, not only year. “It’s definitely a marked downturn from for the company but also for the workers, previous years,” he said. In another move to save on operating said Mike Whaling, InfiniSys’s vice president costs, the firm decided to consolidate its two of business development. “We did an analysis of things and saw offices into one location in June. “We think it that was the best thing to do,” Whaling said. will improve our overhead,” Hampton said. Quentin does a lot of work for local mu“We’re cutting down on the gas our employees use for their commute and cutting down nicipalities, such as designing or redesigning on the usage of electricity for our computers, waste water treatment plants and water drainage basins, said Hampton. air-conditioning, and other equipment.” Palm Coast engineering firm Atlas DeInfinSys isn’t the only engineering firm sign Group Inc. has laid off three employees in the Volusia-Flagler area to make changes in the last year and a half, reducing the size in response to the sluggish economy. Several area firms decided to lower op- of its staff to four people. “We didn’t want to (cut jobs), but we erating costs through layoffs and consolidahad to, said Curt tion of operations. Wimpee, Atlas Others have chopresident. “We saw sen to shield themwhat was coming,” selves from the he said, referring to downturn by diverthe economy. sifying its services. While Atlas Quentin L. focused largely on Hampton & Assoresidential projects ciates Inc., a Port a couple of years Orange-based enviago, the downturn ronmental and civil in new home conengineering firm, struction forced has laid off 12 emthe company to ployees in the past pursue more comyear, their top execPhoto: Sean McNeil mercial projects, utive said. Most InfiniSys employee Stewart Samyelson draws up a such as assisting were part-time in- wiring diagram on his computer at the engineering living facilities, spectors. “I hate firm’s offices in Daytona Beach. T Photo: Sean McNeil Mike Whaling, vice president of business development at InfiniSys. 0000739567 The & Oceanside Golf Country Club PDFA-0000739950 Is running your business getting in the way of growing your business? between the Atlantic & the Halifax Established in 1907, the Oceanside Golf & Country Club is an oasis in the heart of Ormond Beach. 18-hole Championship links, golf course, fine dining, tennis, swimming & more. O CC No tee times are a tradition! Club of Distinction With all the time you spend on Payroll, Insurance and Taxes, where does "getting the job done" fit it? Contact RMI today to see how our specialized PEO services and team of experts can help you streamline your benefits administration. For more information, Call Mark Dunn, General Manager (386) 677-7200 ext. 306 75 North Halifax Drive Ormond Beach • www.OCC1907.com 866.525.4764 rmi-solutions.com The Small Business PEO with Choices. Resource Management, Inc. July 21, 2008 11 Volusia/Flagler Business Report Focus: Development/Construction churches and banks, which makes up most of its business today, Wimpee said. “The fact that we’re a small company gives us the advantage of being able to adapt to things quickly,” Wimpee said. Atlas recently won contracts to work on two large retail projects in Lake County and one in Flagler County, Wimpee said. Atlas has completed about 30 projects so far this year, which is on pace with the company’s progress this time last year, Wimpee said. Ormond Beach engineering firm Zev Cohen & Associates Inc. is doing “pretty well during rough times,” said company President Dwight DuRant. “We’re thankful to be staying on course. We’ve been here for more than 30 years. Most of our clients are repeat customers, which we really appreciate, especially during times like these,” DuRant said. DuRant said he expects the civil, environmental, and landscape architecture firm to complete more than 150 projects by the end of the year, which he said would be about the same as last year. Zev Cohen employs 55 workers. But as far as accounts receivables go, DuRant said the company is between 10 percent and 15 percent behind last year. “But we’re just happy to be able to hold our own, right now,” he said. Zev Cohen started offering road and transportation-related engineering work about a year ago in order to diversify its services. DuRant believes transportation will be- come a larger part of the company’s business over the next several years, maybe growing to as much as half of its annual revenue. Zev Cohen’s recent contracts include work on the Ocean Center expansion project in Daytona Beach, expansion of Halifax Health’s Daytona Beach campus, and the new Mori Hosseini Center at Daytona State College. At InfiniSys, the problem wasn’t getting enough business – it was rising utility costs and gasoline prices, said Whaling. Some of InfiniSys’s employees have long commutes and had expressed concern that soaring fuel pump costs could force them to find jobs closer to home, said Whaling. InfiniSys designs technology systems — such as television, Internet, phone networks and security systems — largely for apartment complex developers. Roughly 95 percent of the firm’s business is out of state, mostly in New York, New Jersey, Washington, D.C., Houston, and Austin, Texas. “Those are pretty good markets for us right now,” Whaling said, adding, “Some folks are taking a little bit longer to pay their bills, but things are good overall.” Whaling said the new four-day-a-week schedule “seems to be working” for his company. “We think it was the right decision.” ■ Chris Anderson can be reached at chris.anderson@vfbr.com or 386-681-2224. Photo: David Tucker Dwight DuRant, president of Ormond Beach engineering firm Zev Cohen and Associates. 0000739557 PDFA-0000739561 P alm Coast ’s P remier Jeweler Since 1990 Finally...Financial Strategies for Busy Business Owners and Executives Are you a business owner or executive who spends most of your time and energy creating wealth at work and keeping up with your personal commitments? If so, you may find that your personal wealth is not working as hard for you as you would like. 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Woodland Blvd., DeLand, FL 32720 446.4661 The Shops at Palm Harbor • 25-9 Palm Harbor Village Way • Palm Coast 12 July 21, 2008 Volusia/Flagler Business Report Focus: Development/Construction Grand Am racing team building new digs in DeLand A DeLand-based professional motorsports team is building a new, larger facility just west of the city’s municipal airport. Racers Edge Motorsports, which competes in the Grand-Am Rolex Series, is building a 12,000-square-foot headquarters on Eidson Drive. The company’s current offices are located at 1755 Lexington Ave. facility. Racers Edge is talking with another team about leasing the remaining space, Mirachi said. Short takes: Chris Anderson Real Estate Roundup Construction of the facility began in early May and is expected to be completed by early October. Jacobsen Contracting Inc. was hired as the project’s general contractor. Racers Edge leases its current 3,000square-foot office, which it moved to after moving from New Jersey two years ago. “If you’re going to race in the Grand-Am series, you might as well be closer to Daytona Beach,” said Jon Mirachi, company president. Photo: Chris Anderson Racers Edge Motorsports is building a 12,000-square-foot facility on Eidson Drive in DeLand. Mirachi said it was his plan to lease for awhile before owning a building. “It was always my intent to build a facility here, so we took a temporary facility while looking and making sure that we got the right lot.” Racers Edge will take up 4,500 square feet of the future 12,000-square-foot facility, as it plans to lease the remaining space to other motorsports teams. Racers Edge has signed a lease with Inspire Motorsports, which currently leases a space next door to the current Racers Edge Hotel/restaurant development planned in DeLand — An Orlando-based developer is planning to build a hotel and two restaurants near DeLand Municipal Airport. Ruba Properties Inc. is looking to build a four-story, 55,000-square-foot hotel and two franchise restaurants on Flightline Boulevard, just off W. International Speedway Boulevard. The site, at 811 Flightline Blvd., would be across the street from the offices of component manufacturer FloMet. Ruba Properties is currently courting mid-scale, franchise hotel chains that might be interested in a location on the site, said Natvar Nana, the company’s president. “We’re talking with several interested parties right now,” said Nana. The site is an ideal location for a hotel because of its proximity to the airport and a major highway: West International Speedway Boulevard, Nana said. “I think the main selling point for hote0000739974 PDF-0000740072 Ron Frederick Buddy Budiansky 120 S. Palmetto Ave., Daytona Beach, FL 32114 (386) 253-8565 HUNTER’S RIDGE STORAGE WAREHOUSE LAND ronfrederick@cfl.rr.com buddyb@ccim.net 386-334-8997 386-334-2865 HIGHLY VISIBLE CLASS A OFFICE SUITES Exceptional office suites in I-95 and 10.41 Acres approved for flex Downtown Daytona Beach locations. warehouse, storage warehouse and Suites available from 950 SF – RV/Boat storage. Excellent central 11,679 SF. Suites available location within the 2,000+ home beautifully finished and ready for residential development near the custom build-out. planned town center. $793,555. I-95 HOTEL SITE OUTPARCELS Construction has begun on the adjacent 88 unit Country Inn & Suites. High visibility and high traffic location. 1.7 Acres perfect for national sit-down restaurant $1,200,000 1.15 Acres excellent for bank or fast food $750,000. Prudential CRES Commercial Real Estate is a registered service mark of the Prudential Insurance Company of America, an independently owned and operated member of the Prudential Real Estate Affiliates, Inc. All information is believed accurate but not warranted. Price subject to change without notice. PDFA-0000739569 July 21, 2008 13 Volusia/Flagler Business Report Focus: Development/Construction liers is that a hotel there would receive a large and steady amount of business travelers,” Nana said. There are currently two national hotel chain locations within half a mile of the proposed hotel: a Holiday Inn and Comfort Inn. Nana said he’s also talking to several restaurant franchise owners about the site. “A well-known, national or regional restaurant would do well there,” he said. “There’s a need for that sort of restaurant in that area.” Ruba Properties chose the Flightline location, which will be the company’s first ever project in Volusia County, because of its potential, Nana said. “DeLand will offer tremendous opportunities for years to come. DeLand has a good growth path,” said Nana. “I see more businesses opening there constantly.” Most of Ruba Property’s past projects have been in Orange and Lake counties. * * * Paving the way — The city of DeLand recently began building a road northwest of the DeLand Municipal Airport in preparation for a future 50-acre industrial business park. The city, which already operates a business park near the airport, has awarded a $600,000 contract to Junior Davis Construction Co. in Kissimmee to build 2,800 feet of road to make way for the project. A $300,000 contract has also been awarded to McMahan Construction Company in DeLand to install infrastructure, such as pipes and utility lines. “This will give us the availability of land and opportunities to build business in the area,” said Dale Arrington, the city’s director of community development. “We’ll soon put together a marketing plan and begin marketing to businesses.” Arrington declined to specify what type of businesses it plans to market the new industrial park to. “We want high-quality companies here,” she said. Jenny Stumbras, executive director of the DeLand Area Chamber of Commerce, said, “Making room for more businesses will definitely be a positive” for the area. Construction of the road will begin in August and finish by early 2009. * * * Office project underway in DeBary; another in the works — An investment group, operating as Cinnamon Tree Professional Park LLC, recently broke ground in preparation for a three-story, 23,000-square-foot office building in DeBary, on Pond Court, just east of Enterprise Road. Construction is expected to be completed within nine to 10 months, said Anthony Ewen, a partner in the investment group. Holly Hill-based Michael Construction Inc. has been hired as the project’s general contractor. Ewen said the investment group has pre-lease agreements from several future Photo: Chris Anderson Infrastructure work is about to be installed for a future three-story office building in DeBary. tenants of the building. Spaces in the building are available for lease at a rate of roughly $24 a square foot a year, Ewen said. The investment group is also developing another office building just to the north of the future Cinnamon Tree Professional Park, on Summerhaven Drive, also in DeBary. The investment group, operating as Summerhaven Professional Center LLC, is planning to build a three-story, 12,600square-foot office building. “We’re scheduled to break ground by the end of the month,” said Ewen. Construction of the Summerhaven Professional Center should be finished by April, Ewen said. The asking lease rates for spaces in the planned building will be around $24 a square foot per year, he said. ■ Chris Anderson can be reached at chris.anderson@vfbr.com or 386-681-2224. PDFA-0000739955 0000739575 Our Reputation Is Building. Rabbit & Sons Construction Company is building a reputation. We deliver personal service, expert craftsmanship, individual attention, ready communication and job responsibility. COMMERCIAL AIR DUCT CLEANING Custom Building Healthier Air In Any Indoor Environment. 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Fl State Certified CAC052446 DUCTZ of St. Johns, Volusia & Flagler Counties Call us for your next job: 386-673-0802 14 July 21, 2008 Volusia/Flagler Business Report Focus: Development/Construction Largest Engineering Firms Upcoming lists: Ranked by Licensed Engineers Ranked byNumber Numberofof Licensed Engineers ■ August 4 Nonprofit Organizations ■ August 18 Mortgage Companies ■ September 1 Title Companies For more information call: 386-681-2457 Engineering Firm Top Local Executive/Title Address, Phone, Website Number of Offices Areas of Specialty Number of Licensed Engineers Total Staff 1 SEIDCON, Inc. P.D. "Patti" Immel 106 Edward Dr. (Temporary Office), Palm Coast 32164 (386) 437-7323 www.seidcon.com 4 Information Assurance/Security Engineering, IT System Integration, Quality Assurance & Independent Validation 173 203 2 Wade Trim/Tomoka Hal Burroughs, President 21 Land Surveying, Civil Site Engineering, , Water Resources, Transportation, Landscape Architecture, Urban Planning 115 400 3 CPH Engineers Inc. Kamran Khosravani, CEO and David Gierach 1410 LPGA Blvd., Ste 148, Daytona Beach 32117 (386) 274-1600 www.wadetrim.com 520 Palm Coast Parkway SW, Palm Coast 32137 (386) 445-6569 www.cphengineers.com 14 Civil, Planning, Landscape, Architecture, Environmental, Survey 63 357 4 Universal Engineering Services Inc. Brian C. Pohl, Branch Manager 911 Beville Road, Daytona Beach 32119 (386) 756-1105 www.universalengineering.com 17 Geotechnical, Environmental, Construction Materials Testing 36 580 5 Nodarse & Associates Inc. Leila Jammal Nodarse, P.E. 9 Geotechnical, Construction Material Testing and Threshold Inspection, Environmental Consulting 24 228 6 Zev Cohen & Associates, Inc. Dwight M. DuRant 4 General Civil, Landscape Architecture, and Environmental 9 53 7 InfiniSys Electronic Architects Richard Holtz, CEO 3 Low Voltage Engineering, Apartment Technology, Technology for Universities 8 14 8 Ghyabi & Associates Inc. Maryam Ghyabi, CEO 3 Transportation Planning, Civil 6 50 Singhofen & Associates, Inc. Robert Gaylord 2 Municipal/Stormwater Management Land Development Engineering 6 17 10 Quentin L. Hampton & Associates Inc. Mark Hampton, President 3881 S. Nova Road, Port Orange 32127 (386) 761-6810 www.qlha.com 1 Waste Water Plants, Water Plants, Storm Water Facilities, Construction Administration, and Construction Representation. 5 33 11 Sliger & Associates, Inc. Dione Sliger Bazile; Tony Bazile; Joe Zapert; Steve Kruger and Pete Barber 3921 Nova Road, Port Orange 32127 386.761.5385 sligerassociates.com 1 Land Surveying and Mapping 4 30 Mark Dowst, President 536 N. Halifax Ave. Ste. 100, Daytona Beach 32118 (386) 258-7999 1 General Civil, Surveying, and Landscaping 3 13 Pete Zahn, President 240 S. Palmetto Ave., Daytona Beach 32114 (386) 252-0020 www.zahneng.com 1 General Civil, Land Planning, Permitting 3 10 N/A Land Resources, Water Resources, Transportation 2 7 1 Electrical and Technology Infrastructure 2 7 1 Certified Umpire for Dispute Resolution, general engineering, investigations, reports. 2 5 1 Civil Engineering / Landscape Architecture / Land Planning 1 4 12 Mark Dowst & Associates Inc. Zahn Engineering Inc. 14 17 123 North Orchard Avenue, Suite 1A, Ormond Beach 32174 386-673-5440 www.nodarse.com 300 Interchange Boulevard, Ormond Beach 32174 (386) 677-2482 www.zevcohen.com 482 Fentress Blvd., Suite N, Daytona Beach 32114 (386) 236-1500 www.electronicarchitect.com 1459 North US Highway 1, Suite 3, Ormond Beach 32174 (386) 677-5499 www.ghyabi.com 377 Palm Coast Parkway SW, unit 5, Palm Coast 32137 386-986-3501 www.saiengineers.com 50 Leanni Way Unit C-4, Palm Coast 32137 (386) 447-4993 www.arcadis-us.com 232 Bay Street, Daytona Beach 32114 Dickens & Associates, Inc. Edwin W. Best 386-253-1511 www.DickensAssociates.com 2642 Sunset Dr., New Smyrna Beach 32168-5610 P.E., CEO and Kennedy Consulting Service Doyle Kennedy, (386) 427-4045 President email: KennedyConsulting@cfl.rr.com 50 Leanni Way, Suite B4, Palm Coast, 32137 (386) Atlas Design Group, Inc. Curt Wimpee 446-8288 www.atlasdg.com Arcadis B Libbey Webb, Operations Manager CSI Engineering Mike Cash, President 605 W. New York Ave., Suite C, DeLand 32720 (386) 740-1454 1 General Civil, Site Planning, Environmental Studies 1 5 Innovative Engineering Solutions Inc. Glenn Skarani, president 25 Seacrest Drive, Ormond Beach 32176 (386) 405-5351 1 Electrical - Mechanical, Industrial, Consumer Products, Fixturing 1 5 M&M Systems, Inc. John Condorodis, president 4 West Tower Circle, Ormond Beach 32174 (386) 676-7335 www.mmsysinc.com 1 Industrial & Commercial Controls, UL508A Panel Shop, Hardware & Software Development 1 23 The is is ranked by by number of licensed engineers. FirmsFirms mustmust have have an office in Volusia and/or and/or Flagler counties to be included the list.on Some firmsSome on theFirms list reported The engineering engineeringfirms firmslist list ranked number of licensed engineers. an office in Volusia Flagler counties to be on included the list. on the list that are companywide figures thatthe include engineers and staff outsidecompanywide of the Volusia-Flagler listbased is based company reports. Only companies thatthat responded to our request for information headquartered outside Volusia/Flagler area reported figures.area. ThisThis list is on on company reports and only companies responded to e-mail our email request for are included. are For included. more information, contact the Business Report at research@vfbr.com. information For more information, contact the Business Report at research@vfbr.com. B Local staff figures. Arcadis is a worldwide company. Volusia/Flagler Business Report July 21, 2008 15 0000740073 16 July 21, 2008 Volusia/Flagler Business Report Focus: Development/Construction Green for building green VHBA promotes use of incentives to encourage construction of energy-efficient homes By Chris Anderson Business Report Staff he city of DeLand recently began offering incentives to home and commercial property builders that go green. The Volusia Home Builders Association, a private organization that represents home builders throughout the region, hopes the county and other cities within Volusia will follow DeLand’s example. DeLand’s city commission voted unanimously in March to reward builders that construct homes and commercial buildings that are more energy efficient and environmentally friendly than standard-built homes and buildings. The incentive program became effective July 1. Under the city’s new program, if a developer builds a home or commercial property that is certified as green by standards set by the Florida Green Building Coalition, the developer will have reduced permitting fees, an expedited review of the building’s plans, and a 15 percent reduction in water and sewer impact fees on that structure. Those incentives could result in savings T for builders ranging from a few hundred dollars to as much as several thousand dollars per unit, said Greg Blose, director of government affairs for the VHBA. The association in early July announced its creation of a “model ordinance” for green building that it is encouraging local governments throughout the Volusia-Flagler area to adopt. Volusia County is currently reviewing a proposed green building ordinance that would be similar to what the VHBA has proposed, Blose said. Matt Adair, chief building official for the city of DeLand, said the VHBA played a role in the city’s decision to offer incentives to builders to build homes and commercial buildings that are more energy efficient. “We always wanted to have some sort of incentives program for smarter, greener building,” said Adair. “The VHBA helped sort things out for us.” Blose said his organization started talking with Adair and the city about the incentives several months ago. “We’re trying to spread the word out there about green building,” Blose said. “It’s On the Net: www.volusiahomebuilders.org www.floridagreenbuilding.org www.usgbc.org the right thing to do.” Blose said the VHBA wants local municipalities to adopt the standards for green building established either by the Florida Green Building Coalition or the U.S. Green Building Council as well as to offer incentives. Steve Reeger, special projects coordinator and building science specialist with Daytona Beach-based ICI Homes, said it’s important that the buyer, not the builder, be the ultimate decision maker in whether their home or commercial building is green. “It cannot be mandatory,” said Reeger, whose company is one of the Volusia-Flagler area’s largest builders of custom homes. “We do not need more regulations. Let us be creative and let the consumers decide what they want us to do and what they are willing to pay. ... If the consumer is not willing to write a check (to make the structure green), it’s a waste of time.” Home builder/developer Jerry Johnson, owner of The Johnson Group in New Smyrna Beach, said the appeal of a green home or commercial building is getting stronger, especially as the price of utility bills increase. “The return for us on all this is a better chance to sell a house where the owner will pay a smaller water and electric bill,” said Johnson. “It may cost them $25 more a month on their mortgage, but they may save $250 on the utility bills. Water and electric are going up. We need to educate people on the benefits of green.” The Florida Green Building Coalition’s Web site describes a green home as “an energy-efficient home that incorporates multiple environmental, ecological, and sustainability features that materially enhance the built environment… such as efficient materials, low water use, and native landscaping.” As for whether the VHBA thinks other cities will adopt the ordinance, Blose said, “It should be a relatively easy sell.” ■ Chris Anderson can be reached at chris.anderson@vfbr.com or 386-681-2224. 0000739549 DOWNSIZING DOESN’T HAVE TO MEAN DOWN-THE-DRAIN ROLL INTO A SELF-DIRECTED IRA Not that you need another downside to downsizing, but after a layoff, your retirement plans may need immediate attention. I can help ensure your hard-earned accounts continue working hard for you. Call me today and learn how a Raymond James Self-Directed IRA can make all the difference in your future. Alexis Lenssen, CFP® Vice President, Investments 410 Seabreeze Blvd., Daytona Beach (386) 252-5571 • 1-800-342-2933 Fax: (386)252-5393 alexis.lenssen@raymondjames.com RAYMOND JAMES® & A S S O C I AT E S , I N C . Member New York Stock Exchange/SIPC © 2008 Raymond James & Associates, Inc., member New York Stock Exchange/SIPC 58881007E 10/07 Individual solutions from independent advisors July 21, 2008 17 Volusia/Flagler Business Report PDFA-0000739962 NOTEBOOK from p. 4 tives, David Slick Sr., president of Command Medical Products in Ormond Beach, and John McDonald, a sales engineer with American Industrial Plastics in Daytona Beach. The county’s Department of Economic Development purchased a booth space, which it shared with American Industrial Plastics. Slick also spent time during the three-day trade show sitting at the booth to talk to passersby who were interested in finding out more about Volusia County. Ehlinger said the county’s economic development team took turns alternating between manning the booth and walking the trade show floor, handing out informational materials about the area (including copies of the county’s annual Corporate Guide and Economic Development Quarterly publication), as well as gathering contact information from various attendees who might be worth following up on. Goodwin, whose group operates separately from the county’s economic development department even though both have the same overall goal, spent his entire time at the trade show walking the floor. Ehlinger said he and the county’s team particularly honed in on medical products manufacturers located in the northeastern U.S., where the cost s of living and doing business are much higher than in central Florida. The county team, which contacted dozens of target companies prior to the trade show to try to schedule a time during the event when they could meet, came away with a number of promising leads as a result, said Ehlinger and Michael. One of the companies they met at the trade show, a manufacturer based in Maryland, has already come to Volusia County for a follow-up meeting and tour of available sites for a potential 15,000- to 30,000-squarefoot distribution center, said Ehlinger. The company, which makes stringent antiseptic solutions used in hospitals, could make a decision on whether to open the distribution center here within the next two months, he said. The center, which would initially employ up to 20 people, might also be eventually expanded to include manufacturing operations, he said. Goodwin said he came away with a number of promising leads as well. “We sent out 40 postcards (following the trade show) to companies that have shown an interest” in possibly relocating or expanding to the Volusia-Flagler area, the BDP official said. One company, a medical products maker in Pennsylvania, has already expressed a desire to visit the area to look at sites for a potential 10,000-square-foot manufacturing plant, Goodwin said. Economic development action heroes, we salute you. ■ WITH AN EXACT REPLICA OF TODAY’S NEWS-JOURNAL ON YOUR COMPUTER. Clayton Park can be reached at clayton.park@vfbr.com or at 386-681-2470. PDFA-0000739958 Electronic Replica I N V E N T O RY LIQUIDATION ALL LOTS MUST GO!!! 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I’m talking about the health and well being of your customers. How healthy is their relationship with you? What’s your cost of keeping them healthy? Is it on the rise? Let me give you a clue about the cost of customer health. It pales in comparison to the cost of losing them. Have any customers that are in poor health? Have any customers who are sick (of you)? Sick of dealing with you? Dying to replace you? What’s the cost of that? If your customer is angry — think of them as having business illness. They’re deathly sick of you! Like human illness it has various stages of debility. Once discovered, you will go to all lengths, and spend thousands of fruitless dollars to try to save the patient. But if the illness is discovered too late, the patient is likely to die. You could have spent far less dollars and prevented this illness from occurring. Instead of waiting until your customer is terminally ill, why not institute a customer wellness program to prevent illness from occurring in the first place? Hey, wait a minute. That sounds too easy! HERE’S A WAKE UP CALL: Prevention is the best way, the easiest way, and the least E expensive way. It’s also the competition prevention way. Here is my Customer Wellness Program — a success formula for serving memorably and keeping customers loyal. (NOTE: It will require that EVERYONE on your team buy it, buy in, get in the groove — the customer awareness groove — and get service healthy.) 1. Establish benchmarks. Minimum acceptable standards, methods of response, decision parameters, a list of every reason a customer calls, a list of every customer complaint, a list of every customer expectation, and a documented “best response” to each of those situations. 2. Empower employees with specific actions to decide based on your benchmarks. Empower everyone to say yes. Only empower senior management to say no. 3. Start with “YES!” Everyone needs to start with attitude training FIRST. Get there by whatever positive means it takes. 4. Train everyone in your business. Starting with YES! Attitude and developing OFFICE & WAREHOUSE SPACE fundamental skills in achieving goals, understanding yourself and your co-workers, developing pride, accepting responsibility, listening to understand, effective communicating, embracing change, making decisions, memorable service, and working as a team. 5. Develop a standardized “gripe response” formula. Train everyone in your organization to execute it perfectly. 6. Ask your customer to help you serve them better by asking, “What’s up Doc?” or “where does it hurt?” Listen to discover your customer’s most important characteristics in a relationship with you. Ask them where you can improve. Ask them to evaluate your strengths and weaknesses in those areas of prime importance to them. Find out their perceptions, and match them to yours. Modify or change your characteristics and perceptions to meet theirs. 7. Evaluate your own strengths and weaknesses. Make a plan for weakness improvement that has a deadline and measurable results. 8. Identify your competitive advantages (your super strengths). Play to those as often as possible. To identify them, ask customers. 9. Stay in front of your customer more than your competition. Develop tools that aid that process (newsletters, faxes, articles, gifts, tickets). 10. Train everyone to serve exceptional- ly and memorably every time a customer is encountered. Treat every customer as though they were a celebrity. 11. Surprise your customers as often as you can. Exceed their expectations in a memorable way. You know what it feels like when you are surprised — do it to someone else. Get people talking about you. 12. Decide you are willing to go the extra mile. Sometimes extra effort is required to make service happen. You have to have a willingness to go the extra mile to achieve it. 12.5 Your report card is unsolicited referrals. Unsolicited referrals are the measure of your success, the testament of your quality, and your ability to serve. Think you can do it? Think you and every co-worker in your company can make customer wellness happen? Want my opinion? You have no choice. Wellness and healthcare are two of the biggest issues in America. Make the wellness of your customers is your biggest issue. ■ Jeffrey Gitomer, president of Charlotte, N.C.-based Buy Gitomer, is a consultant who gives seminars and conducts Internet training programs on selling and customer service. He is also the author of “The Little Red Book of Selling.” He can be reached at salesman@gitomer.com or at 704-333-1112. 0000739572 0000739571 Attractive Office Park Environment (Across from the new Cadillac dealership) 1,500 to 30,000 sq. ft. Holly Business Park, 1011 Eighth St., Holly Hill 3,000 to 12,000 sq. ft. Fentress Business Center, 795 Fentress Blvd., Daytona Beach www.seiproperties.com 386-257-1943 3,000 SF Professional Office with high traffic and visibility on Nova Road. Built-out and ready for occupancy - Easy access with ample parking. Ideal for attorneys, accountants and business professionals. 8,505 SF Business Office in great central location Flexible interior space built-out with large open areas and ready for occupancy. Ample parking and easy access from both Nova Road and Third Street. Ideal for all types of businesses and professional uses. For information contact: 386-258-8771 or 386-566-0694 or rweinberg@rwcontractors.com July 21, 2008 19 Volusia/Flagler Business Report Calendar Upcoming local business events July Thursday 17 street Grill, 100 E. New York Ave., DeLand. Info: 734-4331. Monday 21 Ormond Beach Chamber of Commerce, executive committee meeting, 8 a.m. at na Yacht Club, 1201 S. Riverside Drive, New Smyrna Beach. Info: 428-2449. chamber, 165 W. Granada Blvd., Ormond Beach. Info: 677-3454. Bob Evans Restaurant, 1711 Dunlawton Ave., Port Orange. Info: 761-1601. Ormond Beach Chamber of Commerce, new member reception, 5-7 p.m. at chamber, 165 W. Granada Blvd., Ormond Beach. RSVP: 677-3454. Port Orange/South Daytona Chamber of Commerce, after-hours, 5 p.m. at Family Days Lakeside Community Center, 1999 City Center Cir., Port Orange. Info: 761-1601. August Ormond Beach Chamber of Commerce, board meeting, 8 a.m. at chamber, 165 Friday 1 W. Granada Blvd., Ormond Beach. Info: 677-3454. Southeast Volusia Chamber of Commerce, networking breakfast, 7:30 a.m. at Smyr- Port Orange/South Daytona Chamber of Commerce, board meeting, 8 a.m. at Thursday 24 Volusia Home Builders Association, executive committee meeting, 4-6:30 p.m. at VHBA office, 3520 W. International Speedway Blvd., Daytona Beach. Info: 226-1414. Tuesday 22 Southeast Volusia Chamber of Commerce, business after-hours, 5-7 p.m. at All About Floors, 124 S. Ridgewood Ave., Edgewater. Info: 428-2449. Small Business Development Center, business planning workshop, 6-9 p.m. Southeast Volusia Chamber of Commerce, membership committee meeting, noon at chamber, 115 Canal St., New Smyrna Beach. Info: 428-2449. Port Orange/South Daytona Chamber of Commerce, board meeting, 4 p.m. at chamber, 3431 Ridgewood Ave., Port Orange. Info: 761-1601. street Grill, 100 E. New York Ave., DeLand. Info: 734-4331. Port Orange/South Daytona Chamber of Commerce, morning mix and mingle, 8 a.m. at Floridian Bank, 1696 N. Clyde Morris Blvd., Daytona Beach. Info: 761-1601. Tuesday 5 Daytona Beach/Halifax Area Chamber of Commerce, new member reception, Monday 28 Volusia Home Builders Association, board meeting, 5:15-6:30 p.m. at VHBA office, 3520 W. International Speedway Blvd., Daytona Beach. RSVP: 226-1414. at Daytona Beach College’s DeLand campus, 1155 County Road 4139, DeLand, building four, room 133. Info: 506-4723. Wednesday 30 TBD. Info: ashley@benedictadvertising.com. Wednesday 23 Daytona Beach/Halifax Area Chamber of Commerce, Business Development Friday 18 Port Orange/South Daytona Chamber of Commerce, business forum, 7:45 DeLand Area Chamber of Commerce, networking group, 7:30 a.m. at Main- a.m. at chamber, 3431 Ridgewood Ave., Port Orange. Info: 761-1601. 5 p.m. at Gene’s Steak House, 3674 W. International Speedway Blvd., Daytona Beach. RSVP: 255■ 0981, ext. 229. How to submit items: Partnership annual after-hours event, 4:30-7 p.m. at Halifax River Yacht Club, 331 S. Beach St., Daytona Beach. Cost: members pay $10; non-members pay $25. Info: 255-0981. E-mail notices of upcoming business events for possible inclusion in the Calendar at least 30 days in advance of the event to news@vfbr.com. Events must be held either in Volusia or Flagler counties and must be of a business nature. PDFA-0000739952 Volusia/Flagler Business Report’s Nomination Requirements: 2008 YOUNG BUSINESS LEADERS AWARDS Eligibility. Nominees must be over 18 and under 40 years of age on October 13, 2008. There is no cost to submit nominations. The 2008 Young Business Leaders Awards will recognize and spotlight young, local business leaders making a difference in our business community. Selected winners will be professionals, under the age of 40, who have reached a significant level of success in their careers. They will be profiled in the October 13th issue of the Volusia/Flagler Business Report. Inside: Criteria. In choosing honorees, the Business Report staff will consider vision and leadership, innovation, achievement, and impact on business and community involvement. Nomination Form. Forms must be submitted online at www.vfbr.com Deadline. 5:00 p.m., Friday, September 5, 2008. For more information call (386) 681-2457 or email: nominations@vfbr.com. Area manufac VMA expo … turers showcased at Page 8 October 15, 2007 2007 today! Flagler’s other boom County leads nation – in GDP growth? … Page 4 Business Scene Young Business Leaders Nominate the young leaders you know Property tax deba te Why shifting is a bad idea burden on to businesses … Page 28 Meet this year’s winners – Pages 14-27 PRSRT STD U S POSTAGE PAID Daytona Beach FL Permit #150 Daytona Beach Young Professionals Group, networking social, 6-8 p.m., location DeLand Area Chamber of Commerce, networking group, 7:30 a.m. at Main- families Employees and their families of News-Journal Corporation and subsidiaries/affiliates are not eligible for nomination. Previous winners are not elibible eligible for nomination. 20 July 21, 2008 Volusia/Flagler Business Report PDFA-0000739558 On May 1st, 1967, Ormond Beach Memorial Hospital opened its doors to our community. Back then, the hospital had 96 beds. Today, the hospital now known as Florida Hospital Ormond Memorial, has 205 beds, a Cancer Institute, the Memorial Heart Institute and an Emergency Department guarantee of seeing a health care provider within 30 minutes of walking through the doors. With advancement comes growth and the need to expand. A new Florida Hospital currently under construction on Williamson Avenue is set to open its doors in the summer of 2009. The 718,000 square foot facility—double the size of the current hospital—will sit on 135 acres featuring all private rooms with window views. The medical campus will include a child learning center for hospital employees, a community wellness center with outdoor trails and a community education center. This new hospital will be better equipped for starting up new medical services that we can offer to the community and our medical staff will be able to provide even higher levels of care. Find out what’s new at Florida Hospital Ormond Memorial by checking out our new website, www.floridahospitalormond.org.