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7/16/2010
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$1.50/JULY 19 - 25, 2010
Vol. 31, No. 28
Athletic club redo may get moving
Asterisks now come with free checking
“We’ll run the port based on the facilities today.” – William Friedman (below), CEO, Cleveland-Cuyahoga County Port Authority
Banks eye revenue in fees, relationships
New investor plans hotel for downtown building
By ARIELLE KASS akass@crain.com
By STAN BULLARD sbullard@crain.com
Court filings signal the longplanned renovation of the former Cleveland Athletic Club Building may be starting to come together, albeit at the hands of a different investor than Eli Mann, who has owned the property since 2007 and secured state aid to remake it into apartments. A suit filed by lender Waring Investments Inc. of Clifton, N.J., in Cuyahoga County Common Pleas Court to collect a past-due, $2.9 million loan to CAC Buildings Properties LLC, which is controlled by Mr. Mann, was settled out of court June 30, according to court records. Terms of the settlement were not disclosed, although Judge Brian J. Corrigan retained authority to enforce the private settlement. Investor Ned Weingart of Cleveland Heights views the settlement as good news because his investor group, CAC Club Ventures LLC, will demand clear title to close the purchase of the 15-story building at 1118 Euclid Ave. before its option to buy expires next month. Tom Yablonsky, executive vice president of the Downtown Cleveland Alliance, which promotes downtown redevelopment, said, “Anything that clears up the situation with the property might help get the project started.” The four buildings Mr. Mann controls just east of East Ninth Street are the most blighted set of properties on Euclid between Public Square and the city’s Theater District. Although a settlement with Mr. Mann’s lender may go far toward advancing a sale of the CAC Building, other unpaid bills linger for entities controlled by Mr. Mann. For one, the Kohrman, Jackson & Krantz law firm of Cleveland sued another of Mr. Mann’s legal entities
MARC GOLUB
Port changes course New CEO steers maritime agency toward less lofty goals in a marked departure from previous grandiose vision By JAY MILLER ■ jmiller@crain.com
T
he Cleveland-Cuyahoga County Port Authority, with the hiring of a new CEO, is getting back to basics. By choosing as its head William Friedman, the former executive director of the Indiana Ports Commission, the Port Authority board has a leader whose expertise is in running waterfront cargo operations and whose inclination is to play the hand he’s dealt. “We’ll run the port based on the facilities today,” he told Crain’s editorial board last Monday, July 12. “We’ve got plenty of land right now,” Mr. Friedman said. “We can move a lot (of cargo) right now.” See PORT Page 4
As a consumer, Pete Collins has noticed banks are doing less advertising for their free checking accounts. As the managing director of Aurorabased business intelligence firm Collins, Williams & Associates, he thinks he knows why. “To make up their lost revenue, they’re going to have to do something,” Mr. Collins said. “The era of fees INSIDE: Promos, is coming again such as cash in a big way.” and electronics Mr. Collins, are some banks’ himself a former selling points for banker who now new products. focuses on busiPage 5 ness intelligence for banks, said he thinks banks will continue to de-emphasize free checking, looking instead to both fees and relationships as they seek more revenue sources. However, he doesn’t foresee all customers paying for their accounts — including those at banks where free checking is a thing of the past. Mary Kay Bean, a spokeswoman for Chase, put “air quotes” around the phrase free checking, as it is See FREE Page 5
INSIDE Help wanted Local law schools say some firms are seeking unpaid interns in place of summer associates, with some employers favoring students earlier in their law school careers with the belief that they are less likely to expect a job in the near future. Read Arielle Kass’ story on Page 3.
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SPECIAL SECTION
We honor 12 distinguished business leaders for their contributions ■ Page W-1
CrainsCleveland.com