This has to be Amtrust/National General Insurance. They've acquired a lot of competitors in recent years and never really seemed to assimilate them into the corporate structure (except with their IT pare-down a year or so ago).

 

I see on Amtrust message boards that IT staff are expecting CIO Ariel Gorelik to announce another round of layoffs in his department.

Edited January 22, 20196 yr by KJP

1 hour ago, KJP said:

This has to be Amtrust/National General Insurance. They've acquired a lot of competitors in recent years and never really seemed to assimilate them into the corporate structure (except with their IT pare-down a year or so ago).

 

 

Interestingly, the building at E9th and Superior is featured on their website's opening screen.  Didn't they just beef up the Cleveland office a year or two ago, shifting jobs from NYC? I'm hoping this is a two steps forward one step back kind of thing. Any NYC job that doesn't HAVE to be in NYC is mismanagement.

Might be progressive

Do they have a presence downtown?

They already let Brantley, Miller, and Allen go.  Who's left?

 

3 hours ago, X said:

Do they have a presence downtown?

The strategy office

 

http://realestate.cleveland.com/realestate-news/2018/11/progressive_to_open_downtown_c.html

Just now, punch said:

The strategy office

 

http://realestate.cleveland.com/realestate-news/2018/11/progressive_to_open_downtown_c.html

 

Not Progressive. 

Despite Cleveland's economy turning a corner, its minority population is getting left behind. Job growth is nearly twice the national average here and new residents from out-of-state are taking those jobs. Poor residents can't reach 2/3 of the available jobs due to urban spawl and declining public transit funding. And if minorities want to create their own jobs, their prospects rank 48th among America's 50 largest cities. How can we improve this?

 

Cleveland ranks as one of the worst places for minority entrepreneurs to succeed

https://www.news5cleveland.com/news/local-news/investigations/a-better-land/cleveland-ranks-as-one-of-the-worst-places-for-minority-entrepreneurs-to-succeed

And some good news....

 

Keyfactor Raises $77 Million from Insight Venture Partners

Investment to Fund Continued Revenue Growth, Innovation & Customer Success

 

CLEVELAND, Jan. 22, 2019 /PRNewswire/ -- Keyfactor, a leading provider of secure digital identity management solutions, today announced that it has closed a $77 milliongrowth funding round with Insight Venture Partners, a leading global venture capital and private equity firm focused on high growth technology and software companies.

 

Keyfactor will use the investment to continue its accelerating market expansion and meet the growing demand for its comprehensive suite of solutions, including Keyfactor Command (a complete and scalable certificate management platform) and Keyfactor Control (providing end-to-end identity security in the IoT lifecycle). The company has doubled revenue year-over-year and now secures more than 500 million certificates for Global 2000 clients worldwide.

 

MORE 

https://www.prnewswire.com/news-releases/keyfactor-raises-77-million-from-insight-venture-partners-300781955.html

Since most manufacturing jobs aren't within a 90-minute one-way transit trip of hyper-poverty neighborhoods, new facilities have to be built nearer to the untapped labor. Where do you put the manufacturing facilities? Who will pay to assemble the properies? Who will pay to clean the polluted properties and provide legal safeguards to the investor/employer providing and operating the facility?

Edited January 23, 20196 yr by KJP

8 hours ago, KJP said:

Since most manufacturing jobs aren't within a 90-minute one-way transit trip of hyper-poverty neighborhoods, new facilities have to be built nearer to the untapped labor. Where do you put the manufacturing facilities? Who will pay to assemble the properies? Who will pay to clean the polluted properties and provide legal safeguards to the investor/employer providing and operating the facility?

 

This raises an interesting proposition, @KJP, and one I think worth addressing. I read Yuval Noah Harari's new book "21 Lessons for the 21st Century" recently, and he raises some good points... 

 

First, as automation begins to replace laborers, new careers will actually emerge from that. One example he offered is unmanned aircraft. Where in the past, you could use a pilot to fly over combat areas to take photos and video, then use a team of about 12-15 to dissect the pictures - now we have unmanned aircraft that require teams of 15-20 to fly, and an additional 30-40 personnel to capture and analyze the photos. However, these residual jobs are usually reserved for people who are already highly trained. 

 

So, we get confronted with the fact that unskilled workers may be replaced by new technology every 5-15 years, which would require several career changes and, to be frank, probably a feeling of exasperation from these laborers. 

 

I see areas in energy efficiency and coding as a new major sector of "blue collar" workers - neither should require a college degree and both will be evolving fields for at least the next 30-40 years. 

 

Beyond that, 78% of Cleveland's minority children are born to single parents - this is likely a vicious cycle caused by the lack of economic and educational opportunities and will only continue to worsen until we pay attention to our poorest neighborhoods in a way that isn't a band-aid. That means local government incentivizing private investments in these neighborhoods. Unfortunately, that will always lead to displacement in some instances - but I believe it's an ends justify the means situation. Moreover, we need to demand that our local companies hire locally - even if that just means kids from Case, JCU, BWU, Hiram, Oberlin, Cleveland State, and Tri-C or even certain career centers, keeping students in Cleveland as professionals is critical. 

@YABO713 Good point about low-skilled jobs getting replaced by new technology on a regular basis. But there are some jobs that won't get replaced by automation either because the employer doesn't want to pay the up-front capital costs of automation (also requires low-paid workers to keep automation at bay, meaning a diminished ability to afford private transportation) or because the customer demands service and a human to provide it. I specifically avoid self-service check out lines at grocery stores, for example. I agree that employment in coding and energy efficiency, as well as urban farming, have fewer barriers to entry. Household repairs and construction are also jobs that seem pretty secure and could be more popular among inner-city job-seekers. And there's a lot of work to do in our older neighborhoods. There hasn't been a lot of money to address that, but I think that's starting to change with out-of-state investors as well as the county changing its housing program from a focus on demolitions to a focus on rehabilitation and new construction. Of course, it takes money to afford tertiary education. But this new Say Yes to Education program is a pretty big deal, IMHO https://www.cleveland.com/news/2019/01/free-college-tuition-starts-now-for-cleveland-students-as-say-yes-to-education-arrives.html

What is great about the craft brew industry is that these jobs are low skill but also great for mentoring and building of skills. They are hyper local jobs whereas the big macrobreweries are in automated plants with pretty specialized skills.  The microbreweries   often need  raw labor on bottling and canning lines or other chores in a brewhouse.  So its a great thing to have all these breweries popping up in mainly urban areas to help out local economies.  This has also become a thing with food, coffee, and microdistilleries and other consumables which are labor intensive because they are small scale.  

14 hours ago, KJP said:

Since most manufacturing jobs aren't within a 90-minute one-way transit trip of hyper-poverty neighborhoods, new facilities have to be built nearer to the untapped labor. Where do you put the manufacturing facilities? Who will pay to assemble the properies? Who will pay to clean the polluted properties and provide legal safeguards to the investor/employer providing and operating the facility?

 

Much as I dislike this new roadway, this makes me think of the Opportunity Corridor project.  Here's hoping it actually does make a difference.

As much as I disliked this road project, it does offer the opportunity to do what Terdolph said. The Kinsman neighborhood is becoming a place where food/beverage-related employers are emerging and growing like Orlando Bakery, Miceli Dairy, Green City Growers/Evergreen Cooperatives and Rid-All Green Partnership. Here's hoping that more will rise soon on this long Forgotten Triangle.

Republic Steel plans to reopen Lorain mill

Updated 6:08 PM; Posted 9:14 AM

 

By Olivera Perkins, The Plain Dealer

 

CLEVELAND, Ohio – Republic Steel hopes to reopen its Lorain mill, which has been idled for three years, in the spring, the company says.

The company, based in Canton, said in a news release that it “anticipates” starting production at its 9”-10” rolling mill in the second quarter of 2019 with more than 60 employees. About 200 worked at the plant when it was idled in 2016.

 

“Over 60 employees have been hired and completed training, and the mill has undergone a complete refurbishment,” the release states. “We have successfully run internal production trials, and now anticipate receiving sufficient orders to support moving to a production mode in the 2nd Quarter of this year.”

 

Good news, but it highlights the difficulty of trying to restore Cleveland's job market through manufacturing jobs.  This is a truly massive facility stretching 2.5 miles long, and covering an area over 7 square miles (I measured on Google Earth).  They are creating 60 jobs.  60 jobs.  Down from a grand total of 200 when it was closed in 2016.  Republic Steel operates a half dozen mills in total, with 2,000 employees.   I don't know how you rebuild a job market around such massive yet employment scarce facilities.  Certainly other manufacturing isn't steel mills, but the story is much the same at those places, too.  Manufacturing is getting so light in employment that manufacturers now talk about "lights out" manufacturing, where the run is set up, then everybody leaves and the machines do all the work.

 

 

 

14 hours ago, X said:

 

 

 

Good news, but it highlights the difficulty of trying to restore Cleveland's job market through manufacturing jobs.  This is a truly massive facility stretching 2.5 miles long, and covering an area over 7 square miles (I measured on Google Earth).  They are creating 60 jobs.  60 jobs.  Down from a grand total of 200 when it was closed in 2016.  Republic Steel operates a half dozen mills in total, with 2,000 employees.   I don't know how you rebuild a job market around such massive yet employment scarce facilities.  Certainly other manufacturing isn't steel mills, but the story is much the same at those places, too.  Manufacturing is getting so light in employment that manufacturers now talk about "lights out" manufacturing, where the run is set up, then everybody leaves and the machines do all the work.

 

 

 

 

Still worth pursuing because they pay better than Amazon.  Some time back we had a discussion here about the Nashville economy, and for months afterward I kept getting ads like "Tennessee:  The place for your factory."  That should tell us something.

Here's better news. Unfortunately, these will likely be at their Highland Heights campus way over there in Western Pennsylvania... ?

 

 

2 hours ago, 327 said:

 

Still worth pursuing because they pay better than Amazon.  Some time back we had a discussion here about the Nashville economy, and for months afterward I kept getting ads like "Tennessee:  The place for your factory."  That should tell us something.

Cities and states still want manufacturing, but that's probably got more to do with tax revenue (they pay a lot and use few services) and the fact that it's politically popular, even if the actual job haul isn't much.

37 minutes ago, X said:

Cities and states still want manufacturing, but that's probably got more to do with tax revenue (they pay a lot and use few services) and the fact that it's politically popular, even if the actual job haul isn't much.

 

You list two very compelling attributes, and the political popularity stems from how desirable these jobs are. 

Manufacturing has a large multiplier effect too.  Although, automation may be affecting that as well.

In the 2015-2017 period, 12 of the top 20 Ohio patent recipients were in Northeast Ohio.  That's a nice portent for the state of R&D as well as future growth.

 

Source: Crain's Cleveland Book of Lists

Yes, I'm sure that multiplier effect is harmed by automation.  E. 28th St in Lorain used to be lined on one side with the steel mill and on the other with working class bars and restaurants.  When the employment there goes from thousands to dozens those places hurt bad.

 

1 hour ago, 327 said:

 

You list two very compelling attributes, and the political popularity stems from how desirable these jobs are. 

 

Expending public resources so that people can hang onto a dying way of life may be good politics, but I doubt it's good economics.

10 minutes ago, X said:

Yes, I'm sure that multiplier effect is harmed by automation.  E. 28th St in Lorain used to be lined on one side with the steel mill and on the other with working class bars and restaurants.  When the employment there goes from thousands to dozens those places hurt bad.

 

 

Expending public resources so that people can hang onto a dying way of life may be good politics, but I doubt it's good economics.

 

It's not seen as a dying way of life everywhere and 60 jobs is not a ceiling here.  It makes no sense to build a complex like the one in Lorain and not use it.  Even if it's nothing but robots paying income tax to the city that's better than letting a giant factory fall apart.  Those things don't grow on trees.

What's the opportunity cost of using 7 square miles of land for a robot city with 60 jobs instead of something else?

How to capitalize on Cleveland’s commercial real estate market

By: SBN Staff | 11:49am EST January 24, 2019

 

Commercial real estate deal making has been on the rise in the U.S. As tier one markets tighten, greater attention is being paid to secondary markets, such as the Greater Cleveland area, and even tertiary markets like the Greater Akron area. 

 

Buyers, sellers and even landlords are in a position to benefit as the buying frenzy continues and vacancy rates drop. However, their ability to capitalize on the current situation in the commercial real estate market is contingent on how well they work a deal. Buyers and sellers stand to have a greater chance of success if they keep on top of the activity in the market, and have a good deal team on their side.

 

MORE:

http://www.sbnonline.com/article/how-to-capitalize-on-clevelands-commercial-real-estate-market/

Innovest Global, headquartered in Chesterland, sounds like it's being built on the TransDigm model.  They went from 8 to 75 employees in 2018, from $58 thousand to $40 million in sales, and by the end of the year were profitable (although making a loss for the whole period). They forecast $50 million sales and $400K profit for 2019 without further acquisitions, although they expect further acquisitions. Innovest may be one to watch.

 

http://pdf.reuters.com/htmlnews/htmlnews.asp?i=43059c3bf0e37541&u=urn:newsml:reuters.com:20190128:nGNX33m7Sx

 

2 hours ago, Dougal said:

Innovest Global, headquartered in Chesterland, sounds like it's being built on the TransDigm model.  They went from 8 to 75 employees in 2018, from $58 thousand to $40 million in sales, and by the end of the year were profitable (although making a loss for the whole period). They forecast $50 million sales and $400K profit for 2019 without further acquisitions, although they expect further acquisitions. Innovest may be one to watch.

 

http://pdf.reuters.com/htmlnews/htmlnews.asp?i=43059c3bf0e37541&u=urn:newsml:reuters.com:20190128:nGNX33m7Sx

 

 

Cool. When are they moving downtown? ?

Everstream, headquartered in the Halle Building and bankrolled from Australia, with extensive Internet fiber lines in Ohio, Michigan, and Minnesota is embarking on a big expansion to downstate-Ohio markets, Kentucky, Indiana, Missouri, and Wisconsin.  In a December news release (which I don't believe was reported by the locals) they said they'd add 50 jobs downtown. 

 

Network expansion:

https://everstream.net/everstream-to-invest-300-million-throughout-midwest/

 

Downtown jobs:

https://everstream.net/everstream-announces-plans-to-create-90-new-jobs-in-ohio/

 

aww, a longtime local chain finally falls:

 

https://www.news5cleveland.com/news/local-news/cleveland-metro/pat-catans-art-and-crafts-stores-will-close-in-ohio-some-will-reopen-as-michaels

1 hour ago, mrnyc said:

aww, a longtime local chain finally falls:

 

https://www.news5cleveland.com/news/local-news/cleveland-metro/pat-catans-art-and-crafts-stores-will-close-in-ohio-some-will-reopen-as-michaels

 

I wonder if the Berea road store will survive as a Michaels.  It always seemed busy in there.  

I'm always intrigued when I see a concentration of out-of-state license plates at a new townhouse development in an inner-ring suburb like Lakewood. Especially when the plates are from populous states (two of which are losing population) like New York, Illinois and Pennsylvania. 

 

Edit: And I missed the car with the New Jersey plate across the street!

Edited February 6, 20196 yr by KJP

This is very good news for retaining and attracting young professionals!

 

Cleveland college grads doing a good job of finding college-level work

https://www.crainscleveland.com/economic-outlook/cleveland-college-grads-doing-good-job-finding-college-level-work

 

TUESDAY FEBRUARY 5, 2019 12:16 PM

Anderson Group opens office in Cleveland

Agency says its home to "three fast-growing industries."

 

SPRING TOWNSHIP, PA — The Anderson Group, the Spring Township-based marketing firm, has opened an office in Cleveland.

 

The agency said in a press release that it has hired Kasey Crabtree as its stratetic business development director.

 

"We chose Cleveland because Ohio is home to three fast-growing industries — financial services, healthcare and technology," said Anderson CEO and Brand Strategist Linda Anderson in a statement. "These are the core industry where our agency thrives."

 

MORE

https://www.readingeagle.com/money/article/anderson-group-opens-office-in-cleveland

And more good news...amazing! 

 

Thursday, February 7, 2019

Columbus-based M&A Advisory Firm Copper Run Opens Cleveland Office

 

Copper Run, a leading M&A advisory firm, has expanded to Cleveland to support rapid growth in demand for investment banking needs among middle-market companies. Copper Run’s new office is located in Independence.

 

The quickly growing firm has named Matthew Roberts as Vice President, leading northeast Ohio operations. Roberts, previously of MelCap Partners in Cleveland, will be responsible for sourcing and executing transactions with primarily middle-market companies, serving a variety of industries including manufacturing, business services, energy and healthcare.

 

MORE:

https://www.prweb.com/releases/columbus_based_m_a_advisory_firm_copper_run_opens_cleveland_office/prweb16087617.htm

Not to raise false hopes, but it appears the Arconic headquarters location is back in play.  The company plans to split again in two and Cleveland would appear to be a plausable location for one of the parts.

 

https://www.reuters.com/article/us-arconic-restructuring-idUSKCN1PX1IQ

They seem to already have two headquarters -- New York City and Pittsburgh, correct? And if I remember right, the office in NYC has only about 80 people. Anyone know what their Pittsburgh office has?

 

I see that the entire company has about 40,000 workers, which is about 10,000 less than Sherwin Williams which has about 3,300 HQ employees. By that ratio, Arconic could have about 2,500-2,600 HQ office workers. If they split roughly equally in half, 1,000+ HQ office workers would be a sizable HQ presence. They could take up a big chunk of The Ellipse at 45 E.9th St.

1 hour ago, KJP said:

They seem to already have two headquarters -- New York City and Pittsburgh, correct? And if I remember right, the office in NYC has only about 80 people. Anyone know what their Pittsburgh office has?

 This is a second split.  First Alcoa split into Alcoa(new) in Pittsburgh and Arconic (NYC, except the new boss announced a future move to Northern Virginia). Now, after a vulture fund failed in a take-over attempt, Arconic is splitting itself into two pieces, with no hqs location specified for either piece. Cleveland is the regional headquarters for (at last count) four Arconic divisions, which, with Arconic's small hqs model,  makes a lot of their existing management local.  I'm guessing the Northern Virginia move is on hold while they sort out their future organization.

 

 

 

I may be reading too much into this, but I  find it interesting that the dateline on this rewritten press release from Arconic is "Cleveland, Ohio"

 

https://www.todaysmotorvehicles.com/article/nissan-arconic-invest-tenessee-021419/

 

Edited February 14, 20196 yr by KJP

^The magazine is published in Independence by GIE Media. 

Date lines are usually where the news is sourced/originates, not where it is written or published. For example, there are a number of articles on that website with other cities in the dateline, such as San Diego, Milwaukee, Detroit, etc.

Cleveland disputes AT&T’s claims that “a lack of urgency” is hindering 5G development, rebuts foot-dragging complaint

Updated Feb 13, 8:01 PM; Posted Feb 13, 8:01 PM

By Robert Higgs, cleveland.com

 

CLEVELAND, Ohio – Mayor Frank Jackson’s administration on Wednesday disputed AT&T’s contention that inaction by the city has thwarted the company’s efforts to invest millions into a 5G network in Cleveland.

 

The city granted nearly all the permits AT&T requested for new fiber lines, Jackson’s interim chief of staff, Sharon Dumas, wrote in a letter to the company that was obtained by cleveland.com.

 

The response is to a letter AT&T’s regional president, Adam Grzybicki, sent Feb. 8 to the mayor complaining that slow action by the city was hindering the company’s efforts to make Cleveland the first city in the nation with a 5G, or fifth-generation network, for wireless communication.

“We look forward to continuing to invest in the people and city of Cleveland,” Grzybicki wrote. “But currently, most of our investment plans are on hold, due to a lack of urgency from your administration.”

 

https://www.cleveland.com/cityhall/2019/02/cleveland-disputes-atts-claims-that-a-lack-of-urgency-is-hindering-5g-development-rebuts-foot-dragging-complaint.html

What an absurd response.  Granting nearly all the permits is like selling a car with nearly four wheels.  Either you have the permits or you don't.

5 minutes ago, 327 said:

What an absurd response.  Granting nearly all the permits is like selling a car with nearly four wheels.  Either you have the permits or you don't.

 

The response of people who have never worked in the "real world."   

 

I've been to enough City of Cleveland meetings to hear the administration higher-ups crafting this response.   

 

The COO of the City of Cleveland started as a water meter reader.   I'm not saying people aren't capable of rising up to high positions without a formal education....but clearly in Cleveland government this isn't the case....

 

2 hours ago, 327 said:

What an absurd response.  Granting nearly all the permits is like selling a car with nearly four wheels.  Either you have the permits or you don't.

 

 

Not necessarily. I took it to mean that given the assumed expansiveness of the network, AT&T probably had to apply for multiple permits for each of the locations they needed to work in. If there are 20 locations, then there should be 20 applications and then 20 permits. They may have issued 15, but not the other 5.

 

I more than anyone else here thinks the city needs to streamline its process, however the city does have 30 days to review plans and either give approval, rejection or ask for clarification. If these were all submitted on February 1st, we're not even halfway through that time frame.

Edited February 14, 20196 yr by Mov2Ohio

I'm sure Mayor Jackson was anticipating this and has an aggressive re-thought Plan-B package that can be on Bezos' desk this afternoon?  

 

Amazon pulls out of $3 billion deal to bring HQ2 to NYC

 

https://nypost.com/2019/02/14/amazon-pulls-out-of-3-billion-deal-to-bring-hq2-to-queens/?utm_campaign=iosapp&utm_source=facebook_app&fbclid=IwAR3Ph6nCatPAWi8aziPuFg-fpr2YKq7e-gM_yEFy4yvdHdTXMjFy25eB-NA