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Home prices, rental rates surging in Jacksonville PAGE 3
July 5-July 11, 2018 jaxdailyrecord.com
JACKSONVILLE
Record & Observer ‘YOU NAME IT, Record & Observer IT’S HERE’
ForeignJACKSONVILLE aid could boost city Irma recovery
Amazon’s Westside warehouse for larger items can hold millions of them.
United Arab Emirates JACKSONVILLE wants to give $2.775 million to help “neediest families who were devastated” by storm.
Record & Observer
BY DAVID CAWTON STAFF WRITER
The Embassy of the United Arab Emirates is completing an agreement to award the city a $2.775 million grant to help areas hit hard by Hurricane Irma in September. Attorneys for both sides are working on the agreement in hopes of awarding the grant this year. According to a draft of the agreement, the city would oversee, manage and distribute the grant funds to government, business, and nonprofit agencies. The draft states that UAE Ambassador to the United States Yousef Al Otaiba “was deeply moved by the tragedy affecting Florida’s communities,” referring to Hurricane Irma which hit Jacksonville on Sept. 12. It says the grant will be allocated to have “the greatest benefit to the neediest families who were devastated by Hurricane Irma.” Mayor Lenny Curry said June 20 the grant was not completed but that the city expects to make an official announcement soon. The UAE made similar grants to other areas devastated by natural disasters. The draft agreement shows that of the $2.775 million, the Duval County School Board would receive $425,000. Another $250,000 would go to Builders Care Construction Inc., which provides affordable or no-
JACKSONVILLE
Record & Observer Photos by Dede Smith
The Amazon fulfillment center at 13333 103rd St. in West Jacksonville opened Oct. 1 and handles larger consumer items.
SEE AID, PAGE 5
BY KAREN BRUNE MATHIS EDITOR
A
mazon.com Inc.’s Westside fulfillment center is a million square feet of warehouse
space. It has the capacity to hold millions of items — its general manager estimates 3 million — depending on size and seasonality. That’s a lot of Instant Pots, microwaves, child car seats, ladders, power washers, bed rails,
Jacksonville-based TapImmune’s stock leads the pack PAGE 6 New council Finance chair predicts ‘good lift’ in revenue PAGE 8 OBSERVER MEDIA GROUP
printers, home air filters, high chairs, boxes of Rubbermaid containers, lawn chairs, dog food, kitty litter, garden tools, sports equipment and any other larger items that a customer might order through the e-commerce giant. And diapers, lots of diapers, such as for Amazon’s Subscribe & Save program. “It was interesting as I walked through the building yesterday,” said General Manager John Fogarty in June on the first day of summer at Amazon’s Cecil Com-
John Fogarty, general manager of the Amazon fulfillment center on the Westside, leads a team of about 1,000 full-time workers.
SEE AMAZON, PAGE 10
YOU SHOULD KNOW
Traci Jenks is the new Rotary Club president PAGE 12 VOLUME 1, NO. 5 • ONE SECTION
Page 2 • Thursday, July 5, 2018
Jacksonville Daily Record/Jacksonville Record & Observer
WHAT’S TRENDING
It’s not just about fun, it’s about the experience
Daily Record JACKSONVILLE
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KAREN BRUNE MATHIS EDITOR
Business look to capitalize as people look for more ways to invest their time. That hole in the ground along Interstate 295 east of St. Johns Town Center holds a deep meaning. It’s where the iFly Indoor Skydiving center is rising next to Topgolf, and both signify what the studies have been showing for years. People, led by those in their 20s and 30s, like to spend their money on experiences. Experiences represent time with family and friends, memories and social media opportunities. Millennials aren’t the only funseekers. Other age groups also like to try out new avenues for fun. That could be why Jacksonville is seeing new event venues, maybe not all as visible as iFly but new and different nonetheless. In recent weeks and months, we’ve reported about “experience” investments. For example, Indigo Float will provide water-filled pods designed to ease the minds and bodies of those who immerse for an hour. Orlando-based Mathers Social Gathering will create a swanky speakeasy on the second floor of a centuryold building Downtown next to Florida Theatre, itself an experience. Movie theaters, already competing for consumers’ time, are adding bars, recliners and the sensations of enhanced sound, movement and weather conditions. Car dealerships are making the purchase more consumer-interactive, including in-house high-tech communications. Those buying autos online also have some hands-on options. Carvana, for example, allows customers to drop a token into a machine and watch their cars be delivered from an eight-story “vending” tower. Those who like to eat out will have more choices, too. True Food Kitchen, a natural-foods dining chain, is coming to St. Johns Town Center. It sells the experience of
Jacksonville Daily Record, Jacksonville Record & Observer and Realty-Builder are a division of Observer Media Group Inc.
Special to the Daily Record
iFly uses a cushion of air to simulate skydiving.
eating healthy rather than just eating. The Southern Grounds coffee shop opened its second location and plans several more. The new San Marco site is next to railroad tracks, which provides the bonus of watching – and hearing – trains speed by. Some grocery stores are offering shoppers the option of sipping on a beer or glass of wine while they prowl the aisles. You also might have noticed all the “event venues” popping up in shopping centers, too, for people who need to rent space for parties, weddings and corporate events. We reported in March that Noah’s Event Venue, a nationwide company with more than 40 locations rented for weddings, was looking at Southside Quarter for its entry into Northeast Florida. Don’t forget the venues for trampoline, pingpong, go-kart, escape room and other enthusiasts. In 2016, CNBC reported that The Harris Poll group found that 72 percent of millennials prefer to spend more money on experiences than on material things. Eventbrite reports that millennials don’t hold the exclusive in dedicating income to experiences. “The demand for live experiences is happening across the generational board,” it says. Since 1987, The Harris Poll found that the share of consumer spending on live experiences and events relative to total U.S. consumer spending increased 70 percent. By the way, that was during the birth of the millennial generation. Now that I think about it, parents of millennnials started it all with trips to Chuck E. Cheese’s, Discovery Zone and, of course, theme parks. KMATHIS@JAXDAILYRECORD.COM @MATHISKB (904) 356-2466
REAL ESTATE Luxury apartments sell for $72 million Not only are thousands of apartments being built, existing communities are selling. Last week, Epoch Residential of Winter Park sold the Thornton Park apartments for $72.3 million to Centennial Holding Co. LLC of Atlanta. The community, at 8450 Gate Parkway W., was rebranded as Century Deerwood Park. It features 474 one-, two- and three-bedroom units and a private movie theater, clubhouse and executive center, fitness center, two pools and other amenities. The sale price was $152,531 a unit. While prices vary by the age and amenities of properties, the average sales price for 2017 was $91,739 a unit for the 63 Northeast Florida apartment transactions, according to Colliers International. Posted rents at centurydeerwoodpark.com range from $1,166 for a one-bedroom, one-bath unit to $2,001 for a three-bedroom, two-bath unit. Epoch Residential sold the project through Epoch-Thornton Park Apartments LLC on June 28 to Centennial Thornton Park LLC. Jones Lang LaSalle Multifamily LLC issued a $51.03 million mortgage. The 29.9-acre project was developed in 2007 and bought by Epoch in 2015 for $61.62 million.
Established in 1912, the Financial News & Daily Record, now the Jacksonville Daily JACKSONVILLE Record, is published Monday-Friday and is the Official Court Newspaper of the Circuit Court and publisher of public notices in Duval County. Jacksonville Record & Observer is a free weekly business newspaper available in Downtown Jacksonville and key business nodes throughout Jacksonville. To find a location near you, visit jaxdailyrecord.com/rack-locations. Editorial content focuses on news and trends, with a concentration on development, law, companies, economic and industry trends and how local and state government affects business. Realty-Builder is a monthly publication connecting Northeast Florida’s real estate professionals and homebuilders. Content focuses on timely news, information and trends affecting residential real estate sales and construction, as well as events and legal issues impacting the industry. Visit Realty-Builder.com to request your free copy.
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Jacksonville Daily Record/Jacksonville Record & Observer
Thursday, July 5, 2018 • Page 3
ECONOMIC TRENDS
Home prices, rental rates surge in Jacksonville
REAL HOUSE PRICE INDEX
The First American Real House Price Index measures the price changes of single-family properties adjusted for the impact of income and interest rate changes.
Inventory for residential real estate not keeping up with demand, triggering increase in prices. BY MARK BASCH
April 2017-18 San Jose Las Vegas Jacksonville
CONTRIBUTING WRITER
Good news for owners of residential properties: Jacksonville is seeing some of the highest increases in home prices and rental rates in the nation, according to two reports released last week. First American Financial Corp.’s Real House Price Index for Jacksonville rose 14.3 percent from April 2017 to April 2018, the third-highest increase in the country. The only markets with bigger yearover-year increases were San Jose, California, at 23.9 percent, and Las Vegas at 18.2 percent. Meanwhile, a report by real estate technology and analytics firm RealPage Inc. found the monthly effective rent for an apartment in Jacksonville rose at an annual rate of 4.9 percent in the second quarter, also the thirdhighest increase. Only Orlando, with a 6.6 percent increase, and again Las Vegas, with a 5.8 percent increase, rose more. Of course, good news for property owners isn’t so great for people searching for a place to live. Title insurance company First American’s index measures housing prices in relation to consumers’ ability to buy homes, so an increase in the index means houses were less affordable. The index combines trends in home prices with changes in household income and mortgage rates to determine affordability. Nationally, home prices rose by 10.4 percent in the 12 months through April, while mortgage rates rose by 6.6 percent and household income rose 2.9 percent, First American said. That led to an 8.8 percent increase in its Real House price index. “It is not surprising that unadjusted house prices have increased so much,” First American Chief Economist Mark Fleming said in a news release. “Demand for residential real estate, along with a nationwide shortage of supply, has led to a historically tight inventory of homes for sale, which leads to quickly rising house prices,” he said. The good news is while household income didn’t keep up with the rise in home prices in April, the trend has been more positive since home prices
23.9% 18.2% 14.3%
U.S. snapshot April 2017-18 Home prices 10.4% Mortgage rates 6.6% Household 2.9% income
Bubble peak May 2006
200.33
Source: First American Financial Corp.
Apartment annual rental rates 2nd quarter 2017 vs. 2018
Housing price trends
Orlando Las Vegas Jacksonville U.S. average
The Monthly Home Price Index since 2000 for the Jacksonville market compiled by First American Financial.
105.76
but the values have not fully recovered But on the bright side for renters, the from the market collapse that began rate of growth is slowing, it said. more than a decade ago. RealPage also said rent growth tends The April index for Jacksonville was to peak in the second quarter. 19.37 percent below its May 2006 peak. “Even though demand generally Demand for apartments also is tight. holds up through late summer, by RealPage said the national apart- August or September there’s a tenment occupancy rate is 95 percent, and dency to position rents more conserJacksonville is in line with the rest of vatively in order to fill as many units as the country at 94.9 percent at midyear. possible before the seasonal slowdown Annualized rent levels have increased in leasing begins,” RealPage Chief The mostquarters, FANTASMAGORICAL stage musical for 32 consecutive after a Economist Greg Willett said in a news in the history national year-over-year increaseofofeverything! release. 2.3 percent in the second quarter, the MBASCH@JAXDAILYRECORD.COM firm said.
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began rising in 2011. “House-buying power, how much one can buy based on changes in income and interest rates, has benefited in recent years from a decline in mortgage rates and the more recent slow, but steady, growth of household income,” Fleming said. First American’s index of nominal home prices show Jacksonville prices, without adjustment for affordability, rose 6.48 percent in the 12 months through April. The index shows actual home prices have been rising steadily since 2011
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Page 4 • Thursday, July 5, 2018
Jacksonville Daily Record/Jacksonville Record & Observer
THE MATHIS REPORT
Park 295 project plans indicate four buildings PARK 295
The Newmark Phoenix Realty Group brochure for the Park 295 property, outlined in red, highlights its location near Jacksonville International Airport. KAREN BRUNE MATHIS EDITOR
NorthPoint Development plans to build 553,000-squarefoot speculative warehouse at site. Park 295 is envisioned to include a 1.1 million-squarefoot building next to the almost 553,000-square-foot speculative warehouse already planned at the northwest Jacksonville industrial park. No tenant is identified for either of those buildings or two others outlined on plans for the 167-acre park. The plan is a conceptual layout meant to show what would fit on the site. It’s not a final design. The inclusion of the large project coincides with Cecil Commerce Center Developer Hillwood’s report to the city about a prospect looking for sites in town for a 1 millionsquare-foot warehouse. It sparks interest. The St. Johns River Water Management District is reviewing a modification to a stormwater system for the property, which is south of Interstate 295 at southwest Duval and Armsdale roads. NorthPoint Development of Kansas City, Missouri, proposes to buy and develop the property. The water management district plan shows more detail than a city application approved last week that showed the 553,000-square foot building. The district plans show four buildings that would fit on the site: Building A – 118,965 square feet. Building B – 552,634 square feet. That is the first phase and comprises 50,000 square feet of office space and 502,634 square feet of warehouse space. It includes 402 parking spaces and 138 truck spaces, along with 12 ADA spaces and parking for 22 bicycles. Building C – 994,080 square feet expandable to 1,157,333 square feet with 246 truck spaces. Building D – 192,325 square feet with 50 truck spaces.
The park is owned by HG Industrial Commons LLC and HG Industrial Partners LLC, both of Elgin, Illinois, near Chicago. They bought the property in 2008 and 2009 as the national recession stalled real estate development. Newmark Phoenix Realty Group represents the current ownership and is working on the deal with NorthPoint. “It is NorthPoint’s plan to deliver a 553,000-square-foot speculative building in the first quarter of 2019,” said Ladson Montgomery, senior vice president and principal of Newmark Phoenix Realty Group, last week. Montgomery deferred further comment until the property is purchased. The site is about 2.5 miles south of Jacksonville International Airport and is west along I-295 from the Dames Point and Blount Island marine terminals. It is across the interstate from an Amazon.com fulfillment center. The city Concurrency Reservation Certificate signed last week describes the NorthPoint project as a high cube warehouse, which primarily is used for the storage or consolidation of goods before distribution to retailers or other warehouses. Prosser Inc. is the agent. NorthPoint is a privately held firm active in 16 states. Its beyondthecontract.com website says it developed more than 49 million square feet of industrial space since it began in 2012. Its largest customer is General Motors, which it helped to develop supplier parks to
support manufacturing operations. Other customers include Amazon, Walmart, Grainger and UPS. Newmark Phoenix Realty Group is the exclusive agent for the land, which is entitled for up to 2.1 million square feet of industrial development, according to a marketing brochure.
Buc-ee’s submits more plans for 104-pump station
Buc-ee’s, the Texas-based convenience store chain, submitted site engineering plans to the St. Johns River Water Management District on June 22 and to St. Johns County on June 26 to develop its 13.71-acre site at 655 World Commerce Parkway at southwest Interstate 95 and the International Golf Parkway interchange. England-Thims & Miller Inc., the consulting engineer, prepared plans for a 53,254-square-foot, singlestory building with 104 fueling stations and 392 parking spaces. In May, Buc-ee’s revised its plans with St. Johns County, reducing the number of fuel pumps from 120 to 104 and parking from 417 to 392 spaces. The company also shifted the front entrance to face World Commerce Center Parkway and relocated the fuel canopies to the sides of the building. Once the county's site engineering review is approved, Buc-ee’s can can apply for a building permit.
Special to the Daily Record
An artist’s rendering of the Buc-ee’s in Denton, Texas.
RETAIL NOTE L’Occitane en Provence will renovate its St. Johns Town Center store at 4663 River City Drive, No. 107. No contractor is listed for the $100,000 project.
DEVELOPMENT NOTE Johnson & Johnson Vision seeks a permit to install manufacturing equipment at its 7500 Centurion Parkway contact lens plant. Turner Construction Co. is the contractor for the $250,000 project.
FOOD NOTES McDonald’s wants to rebuild its Mandarin restaurant at 11682 San Jose Blvd., at Loretto Road. In plans filed with the city and in a letter to the St. Johns River Water Management District, McDonald’s Corp. says it wants to demolish the existing restaurant and replace it with a 3,906-square-foot building, which is smaller. CPH Inc. is the consulting engineer. McDonald’s also will remodel three St. Johns County restaurants at 490 Florida 13 N. in Saint Johns, at $400,0000, and at 1870 Florida A1A S. and 101 Nature Walk Parkway in St. Augustine, at $450,000 Each.
Cecil on tap for fire station, backup call center The St. Johns River Water Management District is reviewing a permit application from the city for construction of Fire Station No. 73 and a 911 emergency call center at 5845 and 5847 Aviation Ave. in West Jacksonville The 2.53-acre site is at northeast Aviation Avenue and Airman Drive near Cecil Airport. Goodson, Nevin & Associates is the consulting engineer. Plans also list Auld & White Constructors LLC and Ebert Norman Brady Architects. Plans show a proposed 11,000-square-foot, fourbay fire station at 5845 Aviation Ave. and a proposed 13,333-square-foot backup 911 call center at 5847 Aviation Ave. There also is a small storage building. City Council enacted an ordinance last year appropriating almost $3.8 million to the project from a Jacksonville Aviation Authority and Florida Department of Transportation grant and a transfer of $2.15 million of the city funding
appropriated in the Capital Improvement Plan for the fire station. The request authorizes an interlocal agreement between the city and JAA that provides for the city to build the new station on property owned by JAA and for operating and lease agreements for Fire Stations No. 73 and 56. A city legislative fact sheet says Fire Station No. 73 was included in the CIP as a relocation of Fire Station No. 56 but because of economic development announced in the area, the Federal Aviation Administration requires First Station No. 56 to remain at its location on the runway inside Cecil Field. The 2017-21 Five-Year Capital Improvement Plan will be amended to increase funding for the Fire Station No. 73 project and the No. 56 renovation. The city said the 911 center is separately funded through the Capital Improvement Program through Safer Neighborhoods. KMATHIS@ JAXDAILYRECORD.COM @MATHISKB (904) 356-2466
Jacksonville Daily Record/Jacksonville Record & Observer
Thursday, July 5, 2018 • Page 5
Jacksonville Transportation Authority bond rating: Standard & Poor’s supports the ‘AA’ rating with a stable outlook for JTA’s local option gas tax revenue bonds, series 2015. First Coast YMCA is the first Armed Services YMCA in Florida: The partnership serves to strengthen support of local service members and their families through wellness programs, summer camps and events. New flights to Dallas: Southwest Airlines will add nonstop service between Jacksonville and Dallas (Love Field) on Jan. 7. Infrastructure, jobs spending: The Florida Job Growth Grant Fund is investing $85 million in state infrastructure and workforce training. Gov. Rick Scott said 33 projects will receive awards, 11 of which are in rural communities. Schools receive “A” grades: River City Science Academy received “A” grades from the Florida Department of Education at three of its four Duval County campuses for the 2017-18 school year. The River City Mandarin, middle high and elementary schools received an A grade.
Crowley awards: Crowley Maritime Corp. was honored for its Puerto Rico relief efforts in the wake of Hurricane Maria by The Seamen’s Church Institute. Also, 82 Crowley-owned or managed vessels received Jones F. Devlin Awards for outstanding safety records in 2017. New partnership: The Jacksonville Daily Record and Leadership Jacksonville entered into a corporate partnership. The Daily Record will sponsor The Lead Story in Leadership Jacksonville’s monthly newsletter. JAA award: The Jacksonville Aviation Authority is the winner of a 2018 Inclusion Champion Award presented by Airports Council International - North America. JAA is the 2018 Medium Hub Inclusion Champion for encouraging greater working relationships with disadvantaged businesses in the community while promoting workforce diversity, outreach and advocacy. Renovation complete: Community First Credit Union completed the renovation of its branch at 1451 S. Third St. in Jacksonville Beach. Compiled by Scott Sailer
Promotions, hirings and happenings for business people in Northeast Florida. Send items to ssailer@jaxdailyrecord.com
Shane Williams joined the North Florida Land Trust board of directors. Williams is renovation manager for the Southeast with Guild Mortgage. Williams
Architectural Shingles
DAYCARE Kids USA, 8720 Collins Road, contractor is Crabtree Construction Co., 9,613 square feet, new building, $800,000. OFFICE, BANK, PROFESSIONAL BB&T, 200 W. Forsyth St., contractor is Zabatt Power Systems Inc., generator replacement, $300,000. RESTAURANTS Starbucks, 11850 McCormick Road, contractor is Bay to Bay Properties LLC, 2,539 square feet, two permits for new building, $458,000.
Aid: CONTINUED FROM PAGE 1
PEOPLE ON THE MOVE
Community Hospice & Palliative Care President & CEO Susan Ponder-Stansel accepted appointments as a board member of United Way of St. Johns County; board member of the National Association for Home Care & Hospice; and board committee chair of the Florida Hospice and Palliative Care Association’s Quality and Regulatory Committee.
AMUSEMENT RECREATION Johnson Family YMCA, 5700 Cleveland Road, contractor is Auld & White Constructors LLC, 5,579 square feet, expansion, $2.48 million.
cost construction services in Northeast Florida. The nonprofit Habitat for Humanity of Jacksonville Inc. would be awarded $400,000. T h e l a rge s t p o r t i o n , $900,000, would go to the Sulzbacher Center. The city would retain $800,000 of the grant and would focus that on improving parts of North Jacksonville, near the Ribault River. The city, working with the other recipients, would provide computer labs at William
DEVELOPMENT TODAY
These are the largest commercial building permits by price issued Monday by the city of Jacksonville.
BUSINESS IN BRIEF
ROOFING Caven Dental, 11386 Lamb Tail Lane, contractor is Barber & Associates Inc., new roof, $114,000. Timberwalk at Mandarin Apartments, 10263 Whispering Forest Drive, contractor is Reliable Roofing of Florida Inc., roof replacement, $46,787. Audi of Jacksonville, 11401 Atlantic Blvd., contractor is Martin Roofing Services Inc., new roof, $10,000. SIGNS VyStar Credit Union, 214 N. Hogan St., contractor is Heritage Signs Inc., projecting sign, $6,000. Sabores de Colombia, 9825 San Jose Blvd., No. 20, contractor is Novalux Signs Inc., wall sign, $2,400. Compiled by Scott Sailer
M. Raines and Jean Ribault high schools, make improvements to Charles Reese Memorial Park and provide home repair and restoration services to the Ken Knight Drive neighborhood. Of course, the terms of the agreement could change as attorneys for both sides continue to review it. City Chief Administrative Officer Sam Mousa said any appropriation of the grant money requires approval of City Council. No timeline was given for a final version of the agreement. DCAWTON@ JAXDAILYRECORD.COM (904) 356-2466
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Jacksonville Daily Record/Jacksonville Record & Observer
THE BASCH REPORT
No revenue, but TapImmune leads pack MARK BASCH CONTRIBUTING WRITER
Company developing immunotherapy treatments for cancer up 139 percent this year. In business school, you’ll learn several methods to determine the value of stock, usually based on metrics like earnings, cash flow or dividends. Of course, the actual stock market doesn’t work that way. The price of a stock often is determined by speculation about the future, rather than actual financial data. So it shouldn’t be surprising that the best performing Jacksonville-based stock in the first half of the year comes from a company with absolutely no revenue, and no real certainty about when it may begin selling anything. TapImmune Inc., which has been developing immunotherapy treatments for cancer, jumped 139 percent in the first six months of this year. All of the gain came after the company agreed to merge with another pharmaceutical development company that also has no products on the market, Marker Therapeutics Inc. TapImmune’s stock actually was lower for the year when that merger was announced May 15, but the stock has tripled in price since the announcement as investors speculate about the potential cancer treatments that could come from the company. TapImmune moved its small headquarters office from Seattle to Jacksonville in 2015 when it began trials of a breast cancer treatment at the Mayo Clinic. Although it still is a development-stage company, its relationships with Mayo and other major cancer researchers, including the Memorial Sloan Kettering Cancer Center in New York and pharmaceutical firm AstraZeneca, gave TapImmune credibility. Similarly, Minnesota-based Marker has a relationship with the Baylor College of Medicine in Houston. Investors are betting that the two companies with strong ties to cancer researchers have a good chance of developing profitable therapies. The merged company, which will operate under a so-far unannounced new name, will be headquartered in Houston near the Baylor center.
ParkerVision stock down 38 percent At the other end of the scale for Jacksonville companies is another firm that often has reported no quarterly revenue, but ironically did begin to report sales in the last two quarters. Wireless technology developer ParkerVision Inc. began
Special to the Daily Record
TapImmune moved its headquarters from Seattle to Jacksonville in 2015 when it began trials of a breast cancer treatment at the Mayo Clinic.
marketing its in-home Wi-Fi product called Milo last fall, but early sales have not lived up to investor expectations. In fact, first-quarter sales were lower than the fourth quarter of 2017. ParkerVision’s stock fell 38 percent in the first half of this year.
JinkoSolar optimistic about solar markets
JinkoSolar Holding Co. Ltd. last week reported lower firstquarter earnings amid concerns that political decisions in China and the U.S. could affect the markets for its solar panels. However, officials of Chinabased JinkoSolar, which plans to open a solar panel plant in Jacksonville in the fall, expressed optimism about its markets. “The U.S. market continued to show strong vitality and a great potential despite the impact from Paris. The only uncertainty is the potential escalation of trade wars,” said Gener Miao, vice president of global sales and marketing, in the company’s conference call. Investors have been concerned that U.S. demand for solar panels would decline after President Trump withdrew the U.S. from the Paris climate agreement last year. Miao said the U.S. market is “realistically stable” and “our manufacturing facility in Florida is expected to begin delivering product in the second half of the year.” JinkoSolar’s outlook in its home country was clouded a month ago by China’s decision to cut subsidies for solar proj-
ects and suspend construction of new solar farms. “Despite the strong initial reaction to the new policies, we remain optimistic about the demand of the Chinese market for the full year 2018,” CEO Kangping Chen said in JinkoSolar’s earnings release. “We believe the Chinese government’s new policies to have relatively limited impact on our operations over the short term, and we remain confident in our future business prospects and the longterm growth of the industry overall,” he said. JinkoSolar reported sales in the first quarter dropped 28 percent to $728 million, and adjusted earnings fell from 36 cents a share in the first quarter of 2017 to 5 cents this year. Roth Capital Partners analyst Philip Shen had downgraded JinkoSolar to “sell” a month ago because of the new policies from China. Despite the low first-quarter earnings, he heard enough from the company last week to upgrade his rating back to “neutral.” “JinkoSolar may be betterpositioned to navigate a challenging market than we previously thought,” Shen said in his research note. “JinkoSolar may be able to maintain shipment volumes with support from growing demand in emerging markets and margins could actually improve as a result of lower supply chain costs.” The company has an agreement in place to ship solar panels made in Jacksonville to NextEra Energy, and Shen said its contracts like that with “long-term, stable utilities” are a plus.
“Our upgrade to Neutral reflects the company’s increased overseas diversification and ability to maintain the integrity of company contracts,” he said.
Competing plans in court for artifacts from the Titanic Two years after the owner of artifacts from the RMS Titanic filed for Chapter 11 bankruptcy reorganization, the case continues in U.S. Bankruptcy Court in Jacksonville with two competing plans to resolve it. Premier Exhibitions Inc., owner of 5,500 artifacts from the famed ocean liner that sank in 1912, had hoped to resolve the case by auctioning off its assets in February. But that auction was canceled. With Premier’s exclusivity period to file a reorganization plan expired, a committee of stockholders of the publicly traded company filed its own plan last month to establish a liquidating trust to sell off the assets. But Premier followed by submitting an agreement to sell its assets for $17.5 million, subject to potentially higher bids coming in at auction. Both the equity committee’s restructuring plan and the company’s plan for a sale will be heard at a hearing July 25 in U.S. Bankruptcy Court in Jacksonville. In a disclosure statement filed with its plan, the equity committee said it is asking for the liquidating trust “in order to bring these cases to a conclusion in a manner that the equity committee believes is in the best interest of the debtors,
their estates and all having an interest in them.” In a filing for its proposed sale, Premier said “the debtors and their professionals have been unwavering in their pursuit of a viable sale process which would yield the highest and best return for the benefit of the debtors’ estates.” Based on its “substantial” marketing efforts, Premier said the proposed sale “represents the highest and best offer from a potential buyer with the demonstrated financial ability to expeditiously close the transaction.” Premier is headquartered in Atlanta but it filed for Chapter 11 reorganization in June 2016 in Jacksonville because the company and some of its subsidiaries are incorporated in Florida. Premier’s stock continues to trade in the OTC markets, with the price dropping from near $5 in January to close to $1 recently.
Rayonier AM’s lignin plant opens
“We believe the Chinese government’s new policies to have relatively limited impact on our operations over the short term, and we remain confident in our future business prospects and the long-term growth of the industry overall.”
LignoTech Florida, a joint venture of Jacksonville-based Rayonier Advanced Materials Inc. and Norway-based Borregaard ASA, officially opened its lignin plant in Fernandina Beach last week. The companies announced the joint venture in June 2015, with Rayonier AM owning 45 percent and Borregaard owning 55 percent. The companies said it would create 50 jobs when opened. In a news release, Rayonier AM Chief Executive Paul Boynton said the plant opened on time and within its $110 million budget. Rayonier AM said the plant will process lignin, a natural component of wood, “into value-added products that provide environmentallyfriendly alternatives to fossil fuel-based products used globally in construction, agriculture and other industrial applications.”
Kangping Chen JinkoSolar CEO, in the company’s earnings release
MBASCH@ JAXDAILYRECORD.COM
Jacksonville Daily Record/Jacksonville Record & Observer
Thursday, July 5, 2018 • Page 7
BY SCOTT SAILER • EDITORIAL RESEARCH DIRECTOR
Accommodation and food services jobs account for the largest percentage of workers in the five-county Jacksonville area. Those jobs are the top categories in Nassau and St. Johns counties, while health care jobs are top in Baker and Duval. Retail trade leads in Clay County. Baker County
% total
% total
Duval County
% total
Nassau County
% Total
St. Johns County
% total
28
0.5%
110
0.2%
321
0.1%
375
1.9%
399
0.7%
Mining, quarrying and oil & gas extraction
0
0
11
0
133
0
0
0
1
0
Utilities
0
0
462
0.9%
2,191
0.5%
106
0.5%
97
0.2%
286
4.9%
3,516
7.2%
24,401
5.2%
912
4.7%
3,072
5%
88
1.5%
1,270
2.6%
22,805
4.8%
1,309
6.8%
2,411
4%
Wholesale trade
140
2.4%
794
1.6%
21,814
4.6%
515
2.7%
2,450
4%
Retail trade
737
12.7%
8,443
17.3
57,224
12.1%
2,216
11.4%
9,127
15%
Transportation & warehousing
850
14.6%
824
1.7%
25,374
5.4%
1,060
5.5%
700
1.1%
Information
45
0.8%
1,143
2.3%
8,968
1.9%
170
0.9%
488
0.8%
Finance & insurance
83
1.4%
1,336
2.7%
50,685
10.7%
281
1.5%
2,074
3.4%
3
0.1%
772
1.6%
7,494
1.6%
241
1.2%
1071
1.8%
90
1.5%
3,642
7.5%
32,489
6.9%
938
4.8%
2,628
4.3%
Management of companies and enterprises
0
0
252
0.5%
7,953
1.7%
15
0.1%
173
0.3%
Admin. & support, waste mgt. & remediation
99
1.7%
1,784
3.7%
43,417
9.2%
951
4.9%
3,569
5.9%
731
12.6%
6,094 12.5%
27,451
5.8%
2,068
10.7%
7,540 12.4%
1,587
27.3%
7,437 15.3%
63,810
13.5%
1,969
10.2%
7,289
12%
Arts, entertainment & recreation
14
0.2%
1,324
2.7%
5,204
1.1%
497
2.6%
2,149
3.5%
Accommodation & food services
367
6.3%
5,838
12%
43,224
9.1%
4,184
21.6%
Other Services (excluding public administration)
104
1.8%
1,467
3%
11,983
2.5%
608
3.1%
2,746
4.5%
Public administration
561
9.7%
2,190
4.5%
16,107
3.4%
945
4.9%
3,436
5.6%
Job Agriculture, forestry, fishing & hunting
Construction Manufacturing
Real estate and rental & leasing Professional, scientific and technical
Educational Services Health care and social assistance
Total
5,813
Clay County
48,709
Source: U.S. Census Bureau and Florida Department of Economic Opportunity September 2017
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Registration/pay online www.naiopnefl.com Registration Deadline: Monday, July 30th For more information contact Carmel Buchanan, 904/730-8075 or naiopnefl@comcast.net NAIOP Member: $35 | Non-Member or Guest: $50 VIP Table of 8: $350 for NAIOP Members | $500 for Non-Members (includes table signage and preferred seating)
473,048
19,360
9,477 15.6%
60,897
THE DATA PAGE
Jacksonville area jobs by industry
Page 8 • Thursday, July 5, 2018
Jacksonville Daily Record/Jacksonville Record & Observer
THE CAWTON REPORT
New finance chair expects ‘good lift’ in revenue “We’re going to test the assumptions of the revenues, making sure they’re real and repeatable and then we’re going to do the same with expenses.”
DAVID CAWTON STAFF WRITER
Greg Anderson says Mayor Curry’s budget should see additional spending on infrastructure and public safety. When City Council begins reviewing the third budget of Mayor Lenny Curry’s first term in August, a new Finance Committee chair will be in place. “My background is financial and I tend to focus on the numbers first,” said Greg Anderson, who will lead the committee in 2018-19. Anderson represents At-Large Group 4 and is a former council president. Outside of council, he is a senior private banking officer with TIAA Bank. Council President Aaron Bowman selected Anderson to chair the committee. Joyce Morgan is vice chair and members are Lori Boyer, Reginald Gaffney, Bill Gulliford, Jim Love and Sam Newby. Beginning Aug. 16, Anderson will oversee the weekslong process of reviewing Curry’s proposed budget, which will include an estimated $189 million in capital improvement projects for the 2018-19 fiscal year according to WJXT TV 4. Anderson said he expects the next budget to have “good lift in terms of revenue.” “The good news is we should see more investment in infrastructure and with key public safety initiatives,” he said. Since early April, the Mayor’s Budget Review Committee reviewed each city department’s budget. Curry presents the general fund draft to council in July. Anderson said he’s seen the notes from those meetings and believes he’ll have a good idea of the mayor’s priorities
Greg Anderson City Council Finance Committee chair
File image
when the committee begins its review. “What I can say is it provides an opportunity for us to get ahead of the curve on some of the issues the city faces, mainly around infrastructure,” said Anderson. “You’ll also see some new initiatives, some investment in waterfront activation Downtown,” he said. The budget review is changing this year because of a scheduling conflict for Bowman, who will be away from Jacksonville working on business recruitment as senior vice president of JAXUSA Partnership, the economic development division of JAX Chamber. Council members approved legislation June 26 allowing the mayor to present his budget July 23, a one week delay, so Bowman could attend the Farnborough International Air Show in the United Kingdom. It is an annual economicdevelopment event attended by chamber representatives. Anderson said the compressed schedule will not affect the scope of the analysis. “In fact, I believe we’re
going to have an even stronger review,” he said. This is Anderson’s second time as Finance chair. He served in the role during Guillford’s council presidency in 2012-13. Anderson said his approach is simple. “We’re going to test the assumptions of the revenues, making sure they’re real and repeatable and then we’re going to do the same with expenses,” he said. “Then, we’re going to look at the priorities and make sure we’re in agreement.” Anderson said he expects the committee to run smoothly, considering the experience provided by its members. Gulliford is a former finance chair and council president. Love is entering his last year on council. Boyer and Gaffney return to the committee from the 2017-18 year. Boyer also is a former council president. “I think this committee is going to be very good,” said Anderson. “The level of experience combined with the district representation is really healthy and balanced in my
opinion.” He said Boyer is “steeped in the details of the CIP budget” and that Gulliford “brings a lot of experience.” Anderson, a Republican, also is more aligned with Curry’s office than his predecessor, Garrett Dennis. Dennis, a Democrat who represents District 9, often used his position as Finance chair to push back on the executive branch’s budgetary and other initiatives. He also received some criticism from city department heads during last year’s budget review for what some considered long and unproductive meetings. For example, Jacksonville Sheriff Mike Williams, who was scheduled for 1½ hours, spent most of a day answering questions unrelated to his budget. Former JEA CEO Paul McElroy spent 2½ hours answering questions, even though JEA was allotted 45 minutes on the agenda. When asked about those criticisms, Dennis said he was being prudent.
THE FINANCE COMMITTEE
Greg Anderson, chairman Joyce Morgan, vice chairman Lori Boyer Reginald Gaffney Bill Gulliford Jim Love Sam Newby
Anderson said he’s ready for the committee to spend time “looking at the numbers and making informed decisions based on that review.” “I’ve said this in the past, the city works best when the legislative and executive branches work around a shared vision,” said Anderson. “I think we have an opportunity from a budget standpoint to understand that shared vision and put the numbers in place,” he said. DCAWTON@ JAXDAILYRECORD.COM @DAVIDCAWTON (904) 356-2466
CITY HALL IN BRIEF
Jacksonville Landing owners challenge permit requirement In a motion filed June 28 in the 4th Judicial Circuit, Jacksonville Landing Investments Inc. asked Judge Virginia Norton for injunctive relief from a policy imposed by the city of Jacksonville requiring the company to obtain a Special Events Permit before having an outdoor event at the Jacksonville Landing. City attorneys on June 14 issued JLI a letter stating that it no longer would let the Sleiman Enterprises company Norton hold large outdoor events without a permit. It is the first time the city has changed its policy since the Landing opened in 1987. The motion is part of a 2017 lawsuit initiated by JLI accusing the city of breach of contract. According to the Jacksonville Ordinance Code, city-owned property is exempt from the policy, which JLI says is reason for the court to rule in
its favor. JLI owns the three buildings comprising the marketplace, while the city owns the land beneath it. The Independence Day celebration was exempt, as are any other events scheduled within 90 days of the June 14 letter.
Brosche files bill to confirm Green new inspector general Based on the June selection by the Inspector General Selection and Retention Committee, City Council member Anna Lopez Brosche introduced legislation June 26 confirming Lisa Green as the city’s Inspector General. Green has been with the city Office of Inspector General since February 2015, serving most recently as deputy inspector Green general. Her starting salary of $140,000 could be raised $10,000 if she completes state inspector general certification. James Hoffman submitted his resignation letter May 21 after one year on the job. His last day in office was June 8.
Jacksonville Daily Record/Jacksonville Record & Observer
Thursday, July 5, 2018 • Page 9
Gilmore, Hagan team up Lobbyists’ clients include Hillwood, The PARC Group. FROM STAFF
C
onsultants and lobbyists Jim Gilmore and Chris Hagan formed Gilmore Hagan Partners LLC. They registered with the state May 29, paid for a county business license and will work out of offices at 800 W. Monroe St. “We’ve seen a lot of action in Northeast Florida,” said Hagan, whose experience includes governmental affairs director for the Northeast Florida Builders Association. Gilmore, a longtime lobbyist, spent years driving economic development deals through government with business partner Jim Catlett, as Infinity Global Solutions LLC. Josh Cockrell remains on the team to manage work in Clay County. Taylor Mejia began as an intern and remains with the team. Their clients include Hillwood, the developer of AllianceFlorida at Cecil Commerce Center, and The PARC Group, which is developing eTown. Hagan remains on the Jacksonville Planning Commission. Special to the Daily Record
Jim Gilmore and Chris Hagan formed Gilmore Hagan Partners LLC.
REAL ESTATE
Top 10 sales of the week BY SCOTT SAILER • EDITORIAL RESEARCH DIRECTOR
Here are the top 10 real estate sales in Northeast Florida, comprising Baker, Clay, Duval, Nassau and St. Johns counties. The sales were recorded June 25-29.
File image
The Baymeadows Festival Shopping Center sold for $5.3 million, $432,000 less that it did in 1998.
$5,300,000
$4,100,000
$1,660,000
$1,650,000
$1,500,000
8602 Baymeadows Road, Jacksonville, Duval County
3815 Duval Drive, Jacksonville Beach, Duval County
623 Ponte Vedra Blvd., Ponte Vedra Beach, St. Johns County
24716 Harbour View Drive, Ponte Vedra Beach, St. Johns County
23 Maria Place, Ponte Vedra Beach, St. Johns County
Type: Baymeadows Festival Shopping Center Size: 10.02 acres Buyer: 8552 Baymeadows Road LLC Seller: TSO Baymeadows LP Previous sale: $5,732,000 in 1998
Type: Single-family Size: 0.48 acres Buyer: John P. and Loree Eckstein Seller: Richard G. and Nancy Morrison Previous sale: $2,400,000 in 2010
Type: Condominium Size: 1,910 square feet Buyer: Frederick A Smith III and Karen Sikes Seller: Jerry S. and Virginia K. Wilson Previous sale: $1,200,000 in 2014
Type: Single-family Size: 1.34 acres Buyer: Dana and Pricilla Ciraldo Seller: Steven C. and Blanche R. Koegler Previous sale: $919,000 in 2005
Type: Single-family Size: 0.51 acres Buyer: Oystein and Andrea Valberg Seller: Timothy R. Martin Previous sale: $1,290,000 in 2006
$1,475,000
$1,350,000
$1,255,000
$1,205,000
$1,200,000
2350 Riverside Ave., No. 105, Jacksonville, Duval County
1670 U.S. 1 S., St. Augustine, St. Johns County
377 Royal Tern Road S., Ponte Vedra Beach, St. Johns County
1267 Marian Drive, Fernandina Beach, Nassau County
230 15th St. S., Jacksonville Beach, Duval County
Type: VillaRiva Condominium Size: 3,000 square feet Buyer: Susan Dubow Seller: Douglas M. and Janet C. Ross Previous sale: $1,225,000 in 2016
Type: Commercial Size: 0.96 acres Buyer: Dominic and Teresa Mercurio Seller: Hillsboro Harpeth Corp.
Type: Single-family Size: 0.82 acres Buyer: Eric S. Burgess and Kimberly B. Valetutto Seller: Douglas C. and Barbara K. Asper Previous sale: $995,000 in 2001
Type: Single-family Size: 1 acres Buyer: Ronald F. and Deborah L. Price Seller: Alexandra C. and Matthew T. Maddox Previous sale: $727,500 in 2003
Type: Single-family Size: 3.3 acres Buyer: David D. and David R. Davis Seller: Kathy G. and Timothy S. Millard Previous sale: $670,000 in 2013
Page 10 • Thursday, July 5, 2018
Jacksonville Daily Record/Jacksonville Record & Observer
Photos by Dede Smith
Amazon workers use trolleys to move merchandise inside the 1 million-square foot fullfullment center at Cecil Commerce Center.
Amazon: 1,000 work at Westside center CONTINUED FROM PAGE 1
merce Center warehouse. “We have a bin of probably 400 boxes of pool noodles sitting right next to bin of area rugs,” Fogarty said. “You name it, it’s here.” The Northwest Jacksonville fulfillment center near Jacksonville International Airport handles small consumer items, such as books, electronics, bottles of shampoo and small toys. That warehouse opened Sept. 1 and hosted media and elected officials April 6 for a tour. The West Jacksonville center at 13333 103rd St. opened Oct. 1 to less public fanfare. There, Fogarty leads a team of about 1,000 full-time workers and last year added 500 more for the holidays. Seasonal hiring is based on demand. It handles larger consumer items, generally up to 50 pounds. MOVING THE MERCHANDISE
Goods move in and out quickly, stacked in racks, retrieved, processed, labeled and sent by conveyors to the outgoing trucks and then shipped by various routes to customers based on their delivery needs. Within a few hours after a customer clicks “buy,” the items are picked, packed and shipped to meet the promised delivery date. “One of the reasons we’re here is to add that speed-to-market to our customers in Jacksonville, in Northeast Florida, in Florida in general,” Fogarty said. “The way our system works is if you place an order, our goal is to get that order on your doorstep
The Amazon fulfillment center at 13333 103rd St. was developed in AllianceFlorida at Cecil Commerce Center.
The fulfillment center handles larger consumer items, but also combines orders that include smaller goods sent in from other centers.
on the day that we promised,” he said. Northeast Florida customers might get their goods from a Jacksonville fulfillment center, but not necessarily. When an order is placed, “it goes through a pretty elaborate algorithm. It looks at what buildings have the inventory,” Fogarty said. The ordered inventory might be in one of several centers. Amazon has more than 100 operating fulfillment centers in the United States and Canada, including 10 in Florida. “Then, which can get it to you on the day that we promised to get it to you?” That narrows it to one or two, depending on the customer’s location. “And then the last thing it will look at is, what’s the cheapest transportation cost? A lot of
The variety and quantity of inventory stocked at the fulfillment centers are determined by Amazon, which figures out how to place goods in the warehouses where they can be delivered the fastest and most economically to customers. At Cecil Commerce Center inventory arrives by carriers — coming into one side of the building and shipped out on the other side. “You’ll see all sorts of stuff,” Fogarty said. Inventory changes seasonally but some items are year-round, such as fishing poles in Florida. More than half of Amazon’s inventory stems from Fulfillment by Amazon, which is the service for third-party sellers. Amazon can ship their items directly to customers and offer Amazon Prime benefits, free shipping, and other services.
times for us, we may not deliver in the local area unless you’re asking for it next day because it’s cheaper to ship it, say UPS Ground, out of Tennessee or South Carolina, as opposed to shipping it UPS nextday out of this building,” he said. SHIPPED ALL OVER
Fogarty has seen packages shipped from the Westside center to California and internationally. “It really just depends on what inventory we have in the building and where that inventory is placed throughout the network,” he said. Orders leaving the Cecil Commerce Center facility might be shipped to customer locations across the U.S. Amazon works with delivery partners, including United Parcel Service, FedEx and the U.S. Postal Service.
Sellers store their products at Amazon fulfillment centers and Amazon picks, packs and ships the orders. The rest comes from millions of partners that sell their products on Amazon. Holiday items start arriving in mid-October, which is when seasonal hiring generally starts. Fogarty joined Amazon about seven years ago. Kyle Cherry, inbound senior operations manager, joined six years ago. “The associates that have come in are creating a culture within the building,” he said. “It’s been fantastic for us to always have people that want to be coming to work,” he said. “It’s been a lot of fun.” KMATHIS@JAXDAILYRECORD.COM @MATHISKB (904) 356-2466
Jacksonville Daily Record/Jacksonville Record & Observer
Thursday, July 5, 2018 • Page 11
ABOUT AMAZON ON WESTSIDE More about Amazon.com Inc. at Cecil Commerce Center: Location: 1 million-square-foot warehouse on 86.5 acres at 13333 103rd St. in AllianceFlorida at Cecil Commerce Center. It is climate-controlled through fans and ventilation. Opened: Oct. 1, 2017. Employees: 1,000 full-time; hired 500 seasonal employees for the 2017 holidays. Employees commute from 5 to 45 minutes. Center operates on two 10hour daily shifts. Inventory: In general, goods less than 50 pounds but larger than a kitchen microwave. Property ownership: Cecil Commerce Center master developer Hillwood developed the project and sold it in January for almost $95.5 million to New York-based Gramercy Property Trust Inc. Amazon leases the center. Photos by Dede Smith
Packages are packed and shipped to area residents or as far away as California or internationally, depending on the item.
MORE AMAZON IN JACKSONVILLE Employs 3,000 people among four Amazon centers. The other three: Pecan Park: A 2.4 million-square-foot multilevel center with a base footprint of 855,000 square feet in Northwest Jacksonville at 12900 Pecan Park Road to handle small consumer items. Bulls Bay: An almost 240,000-squarefoot Westside Industrial Park sortation center at 4948 Bulls Bay Highway that serves as a “mid-mile” delivery process in which Amazon sorts customer orders by ZIP codes before handing off to delivery partners for final delivery. Alta Lakes: A 63,000-square-foot delivery station in North Jacksonville at 11084 Cabot Commerce Circle. Alta Lakes Commerce Center is where Amazon manages its own last-mile delivery to local customers.
TAX INCENTIVES In October 2016, City Council approved almost $7.1 million in taxpayer incentives for the $116 million fulfillment center, described as a 1 million-square-foot, 1,200-job product distribution center. Of those jobs, 325 will be paid an average of more than $50,000 a year. The remainder would be warehouse workers likely making $12-$15 an hour, or at least $25,000 a year. All the jobs would be created by the end of 2019. The city also approved $18.4 million in incentives for the $200 million Northwest Jacksonville location.
The Cecil Commerce Center fulfillment center employs about 1,000 full-time workers.
ADVERTISING SOLUTIONS To Grow Your Business Let me help grow your business with smart marketing strategies based on your goals, putting my 30 years of marketing experience to work for you.
Contact Jay Lesowitz The Westside fulfillment center is one of several Amazon facilities in Jacksonville. It is called JAX3. The Northwest Jacksonville Center is JAX2.
jlesowitz@jaxdailyrecord.com or 904-356-2466 for a personalized FREE consultation. JACKSONVILLE
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YOUR SHOULD KNOW
Page 12 • Thursday, July 5, 2018
Jacksonville Daily Record/Jacksonville Record & Observer
TRACI JENKS BY KAREN BRUNE MATHIS • EDITOR
Traci Jenks is senior director with Cushman & Wakefield and was installed as the 2018-19 president of the 230-member Rotary Club of Jacksonville, the first Rotary in Florida when established in 1912. I’ve been a commercial broker for 15 years, but I’ve been involved in real estate since I graduated from college. I’ve been involved since 1990. I was a marketing major and a developer from Atlanta spoke to our class about building and developing and making a difference. That’s when I decided that’s what I wanted to do.
ABOUT JENKS Title: Senior director Organization: Cushman & Wakefield
I moved to Jacksonville in 1992 and got a job with Barnett Bank. I handled the sales for people who were being relocated. We purchased their homes and then sold them. In the early ’90s there was a recession, so there were a lot of foreclosures. I got moved into the department that handles foreclosures, so I started working on residential and commercial foreclosures and selling those on behalf of the bank. I did that until the merger with NationsBank. We handled the sale of excess bank branches. Then the merger with Bank of America happened and I went to look and see what other opportunities were out there. I ended up talking to Jerry Mallot (JAXUSA Partnership president) at the chamber just to see what companies were coming to the area. He said, “We’re looking for someone in our department that has a strong real estate background,” so I ended up working there for 2½ years. I got to know so many of the business leaders and how to do public-private partnerships. Trammell Crow Company then recruited me, and that was 15 years ago when I decided to make the move into commercial brokerage. At first, I was like, “There’s no way I want to do this. I don’t want to work straight commission.” They were able to give me a salary to start out, plus commission. It
Age: 49
Special to the Daily Record
helped bridge the gap until I felt comfortable doing full commission. I enjoy working with people and it’s a business where it’s all about relationships. It took getting to know the market and the different tenants and the decision-makers. It takes a couple of years to really get where you want to be in commercial real estate. I’ve been a member of Rotary for 10 years. They asked me to be president and I jumped at it. A lot of the leaders of our community have been president of this club, so it’s a huge honor for me. Our motto is “Service Above Self.” Part of what I’m going to be doing as president is
coming up with a service project that we can become known for in the community. My big goal is to have fun. During my presidency, we’re going to have a lot more social events and opportunities for networking. We live on the Ortega River and we have a boat, so we love boating. I love hanging out with my friends and doing things with my family, with my 12-year-old. I work out a lot at Orangetheory Fitness. We love to travel, so we have a lot of travel plans this summer. KMATHIS@JAXDAILYRECORD.COM @MATHISKB (904) 356-2466
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Education: BBA from University of Georgia with a major in real estate; CCIM designation, considered a doctorate in real estate investment. Family: Husband Mark, son Henry (12) and dog Blue and cats Forrest and Bootsy Hometown: Lilburn, Georgia, northeast of Atlanta. Hobbies: Boating and working out at Orangetheory Fitness