I don't view this move as part of a greater aquisition move that Key may be positioning themselves to take, however, I don't like it.  I think it may just be Key's strategy initiative combined with some open space that they have on Tiedeman.  Who know's, they may have polled employees asking them where they would rather work. 

It's not glass half full. It's a simple fact that they are streamlining operations and saving space by creating a more collaborative work environment. Big deal. Companies do it all the time. They are also saving quite a bit of money. This is not some indication of weakness.

 

Key is streamlining office space because they've been downsizing their employees for years. If that's not a glass-half-full attitude, nothing is. As for it being an indication of weakness, when have you seen companies rightsize their operations in times of relative stability? It doesn't happen often. While other companies are recapitalizing for growth, Key is restructuring for efficiency. Don't say I didn't warn you.

 

I don't view this move as part of a greater aquisition move that Key may be positioning themselves to take, however, I don't like it.  I think it may just be Key's strategy initiative combined with some open space that they have on Tiedeman.  Who know's, they may have polled employees asking them where they would rather work.

 

I have a relative that works for Key in the Higbee building. My relative is not happy Key is moving them to Brooklyn.

This isnt anything to do with Key snubbing downtown or anything. This is all part of Keys right-sizing that was instituted a year/year and a half ago. Banks are continuously measured on a metric of how much expense it costs to earn one dollar. Keys ratio was about 80 cents spent for each dollar earned. They are currently working to bring that down to 60-70 cents per dollar, which is the desired ratio for the industry. Part of this involved right-sizing office space and employee numbers to Keys current size of a large regional bank. Before all of this started, Key was massively bloated compared to other banks its size. Also dont forget that since PNC devoured Nat City, they were catapulted to one of the largest banks, (number 9 in the US with $323B in assets), while Key is less than a third that size with $91B in assets and at number 28 nationally (http://www.relbanks.com/top-us-banks/assets). I would be more worried if Key was adding more space and employees at this point.

 

Im more interested in the Higbee building though, as when the casino bought it they has Key move all of their employees out. Now theyre coming back? interesting...

You'd be worried if Key were hiring more people? If only we had problems such as those.

Missed this one.......

 

L.A. group making big Ohio play, including possible purchase of Fifth Third Center

By STAN BULLARD

August 31, 2014 4:30 AM

 

There are 27 stories in the Fifth Third Center in downtown Cleveland. A story of a different sort is playing over its ownership.

 

Tier REIT Inc., the building's Dallas-based owner, is in talks to sell it and the Fifth Third Center office building on Capital Square in Columbus to Los Angeles-based Hertz Investment Group.

 

Sources familiar with the situation, who asked not to be identified because they are not authorized to discuss the Cleveland building at 600 Superior Ave., say Hertz bested other bidders for a two-building portfolio and is negotiating a purchase.

 

READ MORE AT:

http://www.crainscleveland.com/article/20140831/SUB1/308319996/l-a-group-making-big-ohio-play-including-possible-purchase-of-fifth

I thought this is the Gateway District??

 

Scene to get new home in downtown's NineTwelve District

By STAN BULLARD

September 11, 2014 2:40 PM

 

Alternative newsweekly Scene is about to get a new home on the top floor of a four-story building at 737 Bolivar Road just acquired by Lookout Realty Group LLC, which is led by Andrew Zelman, a principal in Scene’s ownership.

 

The building, originally built to house a powerhouse and repair station for trolleys a century ago, was acquired in 1994 by an affiliate of Cleveland Tomorrow as an experiment to foster redevelopment near the Gateway complex of what's now Progressive Field, immediately south of the structure, and nearby Quicken Loans Arena. It evolved into an office building with multiple tenants, many with an economic development bent such as Team NEO. Its prior ownership was led by home builder Zaremba Builders of Cleveland and other investors.

 

Zelman, CEO of New Euclid Media Group, said Lookout Realty acquired the building because it wanted to invest near the baseball field and the NineTwelve District, which recently has become home to apartments and hotels, with more on the way.

 

READ MORE AT:

http://www.crainscleveland.com/article/20140911/FREE/140919944/scene-to-get-new-home-in-downtowns-ninetwelve-district

I thought so too lol.

This weeks Crains issue had a list of the largest buildings in Cleveland by rentable sq ft, on pg 22-23.  The Celebreeze Federal Building was listed as the largest building in Cleveland with a rentable area of 1,462,628 sq ft and is 100% leased.  Can that be correct?  The second largest building was Key Tower listed with a rentable area of 1,442,000 sq ft, 216,307 sq ft available, and 96.4% leased.  How is the building 96.4% leased but it has 216K sq ft available?  Am I missing something here? 

 

The Huntington building is listed as 71.2% leased and the Tower at Eriview is 69.1% leased.  Empty enough for apartment conversions?

The federal building has no rentable space. I'm not sure why that is even included for it. Google the square footage.

^I agree that it shouldn't be on the list---a typical business could not just rent space there even if it was available.

 

In any event, is it really bigger than Key Tower?

This weeks Crains issue had a list of the largest buildings in Cleveland by rentable sq ft, on pg 22-23.  The Celebreeze Federal Building was listed as the largest building in Cleveland with a rentable area of 1,462,628 sq ft and is 100% leased.  Can that be correct?  The second largest building was Key Tower listed with a rentable area of 1,442,000 sq ft, 216,307 sq ft available, and 96.4% leased.  How is the building 96.4% leased but it has 216K sq ft available?  Am I missing something here? 

 

The Huntington building is listed as 71.2% leased and the Tower at Eriview is 69.1% leased.  Empty enough for apartment conversions?

 

Re: Key - they took those numbers straight from the CoStar database.  While it is a great database for RE professionals, the data isn't always accurate.  It's only as accurate as what owners and brokers are willing to disclose.  Also, one way you can have high occupancy % but a lot of space available for lease is it there is sublease space available. 

 

EDIT: I checked - that space is available next year.  I assume it's the space Key is giving back.  So technically it is leased today, but it is also available for lease.

In any event, is it really bigger than Key Tower?

 

Did you Google it like I suggested? I did even though I really don't care how big the Celebrezze Federal Building is. It appears the best, most reliable result is this one:

 

https://www.fbo.gov/?s=opportunity&mode=form&tab=core&id=b2bcf09cb4c57126f4d98b38e711addc&_cview=0

 

It says: "The total building gross square footage is approximately 1,462,628 square feet; this includes the two basement levels and the 32 floors above grade."

In any event, is it really bigger than Key Tower?

 

Did you Google it like I suggested? I did even though I really don't care how big the Celebrezze Federal Building is. It appears the best, most reliable result is this one:

 

https://www.fbo.gov/?s=opportunity&mode=form&tab=core&id=b2bcf09cb4c57126f4d98b38e711addc&_cview=0

 

It says: "The total building gross square footage is approximately 1,462,628 square feet; this includes the two basement levels and the 32 floors above grade."

 

34 floors (incl basement levels) would be floorplates of 43,000 sf.  That can't be right. 

34 floors (incl basement levels) would be floorplates of 43,000 sf.  That can't be right. 

 

It is. The floorplates are huge. Use Google Earth to measure it -- which works since this building has no setbacks.

Worth reading, especially the 80-year-old figure noted below....

 

http://www.us.jll.com/united-states/en-us/Research/Cleveland-Office-Insight-Q2-2014-JLL.pdf?a5386274-9e64-4870-9b83-0c4374305d2f

 

Office Insight Office Insight

Cleveland | Q2 2014

 

Dearth of large blocks of Class A

space forecast renewal activity

 

 

Economy

As of May, total non-farm employment in Cleveland stood at 1,041,800

workers, representing an increase of 6,800 jobs or 66 basis points

year-over-year. Meanwhile, unemployment decreased to 6.6 percent,

down 0.6 percentage points year-over-year. Jobs growth among the

office-using employment sectors has been stagnant over the last year,

recording an annualized net reduction of 200 jobs in May. Professional

and business services posted the largest gains among the four sectors,

adding 1,200 to payrolls year-over-year, while financial activities

recorded the largest reduction in workforce, down 1,300 jobs year-over-year.

 

Market conditions

Leasing activity and touring velocity held steady across the metro in the

first quarter. The largest lease of the quarter was signed by the law firm

BakerHostetler, which inked a deal for five floors at Key Tower in

downtown Cleveland, though the firm won’t move into the city’s tallest

office building for another two years. The firm expects to move its

Cleveland attorneys and office staff, a total of about 300 employees, to

115,000 square feet at Key Tower in 2016 when the firm will celebrate

the 100th anniversary of its founding in Cleveland. The law firm now has

14 offices across the country and nearly 900 attorneys. BakerHostetler

signed a 15-year lease for floors 17 to 21 at Key Tower, absorbing

much of the space given back Key Bank when it signed a long-term

renewal in mid-2013.

 

Meanwhile, construction activity is scheduled to ramp up over the

spring months as a number of projects are set to break ground, the

largest of which is the new American Greetings’ headquarters, which

when completed is expected to be north of 500,000 square feet. The

new American Greetings’ headquarters is part of a larger third phase of

development at Crocker Park, a mixed-use venue on the west-side of

Cleveland. Along with the new headquarters, 300 new rental

apartments, a hotel and over 220,000 square feet of retail space are

planned. The combined project will cost $350 to $400 million and is

expected to be completed in the summer of 2016.

 

Outlook

Large blocks of space among Class A assets remain near non-existent

across the metro, which will limit large occupiers to either renew or

enter into built-to-suit projects such as Omnova and Arhaus have

recently done. For this reason, the second office phase at the Flat’s

East Bank is likely to kick off within the next 12 months. Given the

modest employment gains observed over the course of the last year,

we forecast office tenant demand will move sideways over the coming

months with activity primarily being with renewals or relocations.

 

Tenant perspective

Without a diverse employment recovery, Cleveland’s vacancy recovery

will lag. The sectors that support office employment growth,

professional and business services and financial activities, were two of

the slowest sectors to return after the recession ended. Collectively,

they have expanded by only approximately 2.0 percent per year since

2010. This is relatively meager growth compared to healthier

employment sectors, such as mining, logging and construction which

has grown at an 8.0 percent annualized rate over the same time frame.

This lackluster employment picture will result in relatively weak

demand growth over the forecast, and vacancies are expected to

remain elevated, particularly in the near term. Leasing activity has been

dominated by tenants taking small spaces. Only a handful of spaces

larger than 25,000 square feet were signed in the past several quarters.

And in downtown Cleveland, tenants have been taking even smaller

blocks of space, typically 10,000 square feet or less. Given the

employment picture, it seems the trend of right-sizing space will persist

for a few more years.

 

Landlord perspective

The delivery of the E&Y Tower and Eaton’s new headquarters caused

a disruption in fundamentals. While these projects did not disrupt

fundamentals themselves, since both of them have large tenants in

hand, the blocks of space left behind will be difficult for the market to

absorb given limited demand, particularly for outdated space. The

market appears to be correcting itself though, as strong downtown

apparent demand is enticing landlords to convert older office

properties into residential.

 

Supply continues to push its way through the development pipeline

due to an aging office stock across the metro. In the CBD for instance,

the average age of existing inventory is over 80 years old, While the

market average is 55 years. Case in point is the Intesa building, which

is expected to deliver 125,000 square feet of Class A space in the

East submarket in late 2014. This building is being marketed as a

cutting-edge project that will cater to both traditional and new age

biotech tenants. The building will likely attract tenants from around the

metro, causing more outdated space to sit on the market.

 

END

And some interesting trends developing downtown vs the suburbs. For example, downtown Class A vacancies are now slightly less than than suburban Class A, however Class B vacancies downtown are higher than Class B suburban. In this latest report, downtown is absorbing more office users while the suburbs are shedding them but not in significant numbers for either. It's a stagnant market, but increasingly apparent that more Class A inventory may be needed soon. While I'd love to see a tower built on Public Square, the new office inventories planned in the Flats East Bank, at Stark's nuCLEus and at Intesa in UC will probably be sufficient to meet the need for cutting edge office space for a while.........

 

Jones Lang LaSalle IP

Office Statistics

Cleveland | Q2 2014

http://freepdfhosting.com/a404d8a27f.pdf

 

 

EDIT: more data, including some slightly different findings while looking at the name transactions. But the theme is the same regarding the downtown office market: "Trading Places"....

 

Newmark Grubb Knight Frank

http://www.ngkf.com/Uploads/FileManager/2Q14%20Cleveland%20Office%20Market%20Report.pdf

 

 

On the 2nd page of the Jones Lang LaSalle report, where the analysis is broken up by CBD districts - there is 220,000 sqft under construction/renovation in the financial district.  Any idea what that is?

On the 2nd page of the Jones Lang LaSalle report, where the analysis is broken up by CBD districts - there is 220,000 sqft under construction/renovation in the financial district.  Any idea what that is?

 

Probably the Cuyahoga County Administration HQ. It is 220,000 square feet. At first I thought it was an improperly listed Flats East Bank office building, which is also supposed to be 220,000 sf (although not yet officially under construction) until I saw the county administration building. Though I'm surprised to see it listed in a market report since a private office user can't lease space in it, and therefore it is not "on the market." Oh well.

Huh.  At first, I thought it was a mislabled FEB phase II too.  Oh well indeed.

Brown Gibbons Lang moves to One Cleveland Center

By STAN BULLARD

September 26, 2014 3:45 PM

 

Investment banking firm Brown Gibbons Lang & Co. has opened for business at a new, full-floor Cleveland office on the 25th floor of One Cleveland Center, 1375 E. Ninth St., a block northwest of its former home on the ninth floor of the 1111 Superior Building.

 

Brown Gibbons had been at 1111 Superior since name partner Mike Gibbons, who launched the company in 1989, moved the business there in the early 1990s. Wendy Neal, a Brown Gibbons spokeswoman, said the firm’s new office has 19,555 square feet, about 25% more than the 15,555 it had at 1111 Superior, better known as Eaton Corp.’s former home.

 

Brown Gibbons specializes in investment banking for the middle market. It’s hiring in its aerospace, energy and environmental services, and food and beverage practices and has grown in all of its practice sectors over the past year.

 

READ MORE AT:

http://www.crainscleveland.com/article/20140926/FREE/140929848/brown-gibbons-lang-moves-to-one-cleveland-center

Maybe this is the right spot? Noticed this leaving work today. I was literally just thinking the other day that this building aside from CVS is such a waste of space and sidewalk frontage. It would be nice it some sort of retail could take this over!! East Ninth and Rockwell.

Maybe this is the right spot? Noticed this leaving work today. I was literally just thinking the other day that this building aside from CVS is such a waste of space and sidewalk frontage. It would be nice it some sort of retail could take this over!! East Ninth and Rockwell.

that must be for just the first floor because the Catholic diocese is occupying the other floors of that building, and they aren't likely to move any time soon :P

On the 2nd page of the Jones Lang LaSalle report, where the analysis is broken up by CBD districts - there is 220,000 sqft under construction/renovation in the financial district.  Any idea what that is?

 

East 9th to East 12th

On the 2nd page of the Jones Lang LaSalle report, where the analysis is broken up by CBD districts - there is 220,000 sqft under construction/renovation in the financial district.  Any idea what that is?

 

East 9th to East 12th

 

Thanks for the response - I appreciate it.  My question was about where the 220,000 sqft of construction/renovation was occurring within the financial district.  Particularly, what building.

"@cbreCleveland: #Cleveland CLASS A #OFFICE SPACE RULES THE DAY AS MORE OFFICE TO #RESIDENTIAL CONVERSIONS ARE PLANNED, CBRE 3Q report

http://t.co/p4LaUOn34c"

Here's a market report you can actually read without subscribing/registering......

http://www.ngkf.com/Uploads/FileManager/3Q%202014%20Cleveland%20Office%2010%207.pdf

 

 

A market summary is available at the link below, but the full report requires registration......

http://www.marcusmillichap.com/research/researchreports/reports/2014/08/12/cleveland-office-research-report

Frantz Ward will move to 200 Public Square

 

The Frantz Ward LLP law firm has leased two floors for new offices at 200 Public Square and plans to relocate next April from Key Tower, at 127 Public Square.

 

The 29th and 30th floors of the former BP Tower offered the firm something it has never had before, said Christopher G. Keim, a partner and member of the management committee who chaired Frantz Ward's search.

 

 

Frantz Ward went through an exhaustive search for new space and reviewed its options with Key Tower before switching trophy towers on Public Square, Keim said. It even saw proposals for two new office buildings and space in a retrofitted building before settling on 200 Public Square, although Keim declined to discuss the plans in any detail.

 

http://www.crainscleveland.com/article/20141019/SUB1/310199984/frantz-ward-will-move-to-200-public-square

^I bet one of those proposals was the second office building in the Flats East Bank.  Would have been nice if they had gone there as it would have jump started the construction.  Wonder what the other building was?  Could it have been Stark Nucleus?

^I bet one of those proposals was the second office building in the Flats East Bank.  Would have been nice if they had gone there as it would have jump started the construction.  Wonder what the other building was?  Could it have been Stark Nucleus?

 

Probably was.

I apologize if this is not appropriate to post here but I was in The Superior Building today and saw a picture on the wall of "the counting room". I couldn't believe it was the same building. After some research I found some information about how beautiful and ornate this building used to be. Is there really nothing left of the old lobby, etc?!

^I bet one of those proposals was the second office building in the Flats East Bank.  Would have been nice if they had gone there as it would have jump started the construction.  Wonder what the other building was?  Could it have been Stark Nucleus?

 

Maybe something from Weston too? We've seen new construction proposals from them several times over the years. Nothing ever seems to get off the ground.

Vacancy of Class A and B down to 18.6% and asking rates up to $18.89.

 

"Downtown Cleveland has seen positive net absortion in the office market in five of the last six quarters."

 

http://www.downtowncleveland.com/media/228481/q3_2014_spreads-2-.pdf

This is a press release distributed via BusinessWire. It is not copyrighted:

 

http://www.businesswire.com/news/home/20141028006153/en/Answers-Opens-Office-Downtown-Cleveland#.VFqYIjTF98E

 

Answers Opens New Office in Downtown Cleveland

Expansion of Answers Cloud Services Includes Former Easy2 Technologies

October 28, 2014 10:58 AM Eastern Daylight Time

 

CLEVELAND--(BUSINESS WIRE)--Answers Corporation, the parent company of top-10 Internet property Answers.com (source: Quantcast) and a premier provider of cloud-based voice of customer solutions, announced today that it has leased office space at The Ohio Savings Bank Building at 1111 Chester Ave. in downtown Cleveland. The new workplace will initially be home to more than 30 Answers Cloud Services (ACS) team members, most of whom joined from the former Cleveland-based Easy2 Technologies, a leader in online and mobile merchandising content and technology that was acquired by Answers in August 2013.

 

“Answers feels very much at home in Cleveland. We’re excited to be part of its fast-growing tech scene and we look forward to tapping into local talent to grow our team,” said David Karandish, Chief Executive Officer of Answers. “The new office supports the company’s plans to hire additional engineers, sales and client services personnel as it expands its enterprise products and services.”

 

Rico Pietro, Principal, Cushman & Wakefield Cleveland, advised Answers on the new lease. “We’re thrilled that Answers is contributing to the evolution of Cleveland from a Rust Belt city to a budding tech town,” said Pietro. “NineTwelve District, Answers’ new neighborhood, has a lot to offer--a mix of office spaces, cool downtown residences and the innovative green space Perk Plaza.”

 

“We are very excited to have such a solid quality of a tenant as Answers Corporation. The company enhances our multi-tenant building greatly,” noted Mark Larkman, Senior Vice President, Regional Director of Corporate Real Estate Services for New York Community Bank (NYCB). NYCB is the owner of The Ohio Savings Bank Building.

 

Headquartered in St. Louis with offices across the globe, Answers empowers consumers and brands by connecting them with the information they need to make better-informed decisions. Consumers seek authoritative information on Answers.com, the leading Q&A destination on web and mobile; and brands and organizations leverage Answers Cloud Services for world-class SaaS solutions to harness the voice of the customer to measure and improve the customer experience.

 

Answers was recently awarded the Top Workplaces award in St. Louis based on the results of employee surveys conducted by WorkplaceDynamics, LLP, a leading research firm on organizational health and employee engagement. Answers offers a competitive compensation and benefits package that includes 100% company-paid health, life and disability insurance and performance-based bonuses.

 

About Answers Corporation

 

Answers’ mission is to empower consumers, brands and organizations by connecting them with the information they need to make better-informed decisions. The Answers Platform leverages the sizable reach of the top-10 Quantcast site Answers.com, along with its leading cloud-based solutions from ForeSee, Webcollage and ResellerRatings, to enable businesses and organizations to engage with customers at every interaction point, drive investment decisions from customer insights and deliver content that powers the customer experience. This platform helps businesses measure and improve the multichannel customer experience, resulting in better business results. Answers is headquartered in St. Louis with offices in Ann Arbor, New York City, Silicon Valley, Cleveland, London, Vancouver and Tel Aviv. For Answers, visit http://www.answers.com.

 

Contacts

Answers Corporation

Cristina Dinozo, 646-502-4777 x145

[email protected]

or

ICR, Inc. for Answers

Joe Ferrary, 646-277-1281

[email protected]

Millennials driving job growth in downtown Cleveland: the Mix

 

CLEVELAND, Ohio -- Millennials are emerging as a key force in the revival of downtown Cleveland as employers court their skills by appealing to their desires for an urban lifestyle.

 

That's one conclusion to take away from the most recent quarterly report of the Downtown Cleveland Alliance, which shows a downtown tech cluster growing in size and diversity.

 

http://www.cleveland.com/business/index.ssf/2014/11/study_finds_millennials_drivin.html

 

I haven't seen any mention here, but this article mentions that Inforce Technologies is moving from Garfield Heights into the IDEA Center in Playhouse Square.

Millennials driving job growth in downtown Cleveland: the Mix

 

CLEVELAND, Ohio -- Millennials are emerging as a key force in the revival of downtown Cleveland as employers court their skills by appealing to their desires for an urban lifestyle.

 

That's one conclusion to take away from the most recent quarterly report of the Downtown Cleveland Alliance, which shows a downtown tech cluster growing in size and diversity.

 

http://www.cleveland.com/business/index.ssf/2014/11/study_finds_millennials_drivin.html

 

I haven't seen any mention here, but this article mentions that Inforce Technologies is moving from Garfield Heights into the IDEA Center in Playhouse Square.

 

Comment battle is amusing.  The momentum Downtown is undeniable. 

 

What were AG and Eaton thinking??  Come on Progressive and/or Parker Hannifin...c'mon down. :D

AG is at least moving to where you can live, work, play, shop in a walkable setting. Yes it's a faux urban setting, but so many don't notice or care what the difference is.

 

Eaton sucks. It's run by old white men who make old white men decisions. Their relocation out to pasture makes old white men happy and is a big f-u to young and future prospective workers. Some folks working at this company may not notice or care about the anti-social location either, but those aren't the people I want on my team. I want workers who like to be part of a larger whole.

Millennials driving job growth in downtown Cleveland: the Mix

 

CLEVELAND, Ohio -- Millennials are emerging as a key force in the revival of downtown Cleveland as employers court their skills by appealing to their desires for an urban lifestyle.

 

That's one conclusion to take away from the most recent quarterly report of the Downtown Cleveland Alliance, which shows a downtown tech cluster growing in size and diversity.

 

http://www.cleveland.com/business/index.ssf/2014/11/study_finds_millennials_drivin.html

 

I haven't seen any mention here, but this article mentions that Inforce Technologies is moving from Garfield Heights into the IDEA Center in Playhouse Square.

 

Comment battle is amusing.  The momentum Downtown is undeniable. 

 

What were AG and Eaton thinking??  Come on Progressive and/or Parker Hannifin...c'mon down. :D

 

You don't want Progressive.  The only way you get them is if they build/take over their own building, with integral parking, and turn it into a fortress.  That's their corporate culture, like Apple's.

Millennials driving job growth in downtown Cleveland: the Mix

 

CLEVELAND, Ohio -- Millennials are emerging as a key force in the revival of downtown Cleveland as employers court their skills by appealing to their desires for an urban lifestyle.

 

That's one conclusion to take away from the most recent quarterly report of the Downtown Cleveland Alliance, which shows a downtown tech cluster growing in size and diversity.

 

http://www.cleveland.com/business/index.ssf/2014/11/study_finds_millennials_drivin.html

 

I haven't seen any mention here, but this article mentions that Inforce Technologies is moving from Garfield Heights into the IDEA Center in Playhouse Square.

 

Comment battle is amusing.  The momentum Downtown is undeniable. 

 

What were AG and Eaton thinking??  Come on Progressive and/or Parker Hannifin...c'mon down. :D

 

You don't want Progressive.  The only way you get them is if they build/take over their own building, with integral parking, and turn it into a fortress.  That's their corporate culture, like Apple's.

that wasn't completly true with their previous discussion about moving downtown.  Eaton was a fool for moving out of downtown and I bet the age of their work force shoots up.

AG is at least moving to where you can live, work, play, shop in a walkable setting. Yes it's a faux urban setting, but so many don't notice or care what the difference is.

 

Eaton sucks. It's run by old white men who make old white men decisions. Their relocation out to pasture makes old white men happy and is a big f-u to young and future prospective workers. Some folks working at this company may not notice or care about the anti-social location either, but those aren't the people I want on my team. I want workers who like to be part of a larger whole.

 

Oh puhleeeez....

 

Eaton moved because it made sense for them to do so.  A Company like Eaton will have no problem attracting skilled workers no matter where they are located.  And pray tell, aren't you sterotyping a bit? 

Suburban Chicagoland employers are having a hard time attracting young talent. You mean to tell me that Greater Cleveland is so much more attractive that we're immune to such issues here?

Suburban Chicagoland employers are having a hard time attracting young talent. You mean to tell me that Greater Cleveland is so much more attractive that we're immune to such issues here?

 

Are ALL suburban chicago employers having trouble?  Or is it just those that don't pay well or who are essentially offering dead-end jobs.  I was speaking specifically about Eaton.

 

 

Suburban Chicagoland employers are having a hard time attracting young talent. You mean to tell me that Greater Cleveland is so much more attractive that we're immune to such issues here?

Honestly, I think the problem with suburban Chicago is alot of the big office parks are out in Itasca, Naperville, Oak Brook, Hoffman Estates etc.  Minus Oak Brook, in traffic, those locations are an hour outside the city.  Hoffman and Itasca could be even more at times.  At least with Beachwood and Independence, you can live in the city, and be in Independence in 10 to 15 minutes, and Beachwood in 20.  If it is the case, I could see why suburban Chicago is struggling.  You have to live in the suburbs if you work there. 

Are ALL suburban chicago employers having trouble?  Or is it just those that don't pay well or who are essentially offering dead-end jobs.  I was speaking specifically about Eaton.

 

 

Because of the whole "urban thang" that many creative, young people want. It's been in all the papers....

Suburban Chicagoland employers are having a hard time attracting young talent. You mean to tell me that Greater Cleveland is so much more attractive that we're immune to such issues here?

 

Are ALL suburban chicago employers having trouble?  Or is it just those that don't pay well or who are essentially offering dead-end jobs.  I was speaking specifically about Eaton.

 

 

 

Eaton makes things, as does Parker Hannifin.  Manufacturing doesn't happen much any more in the central cities themselves.  Headquarters complex have to reason to be in dense expensive surroundings.  In any case, a lot of their creative work unrelated to making stuff gets farmed out.  That related to production happens at plants and/or labs.

Suburban Chicagoland employers are having a hard time attracting young talent. You mean to tell me that Greater Cleveland is so much more attractive that we're immune to such issues here?

 

Are ALL suburban chicago employers having trouble?  Or is it just those that don't pay well or who are essentially offering dead-end jobs.  I was speaking specifically about Eaton.

 

 

 

Eaton makes things, as does Parker Hannifin.  Manufacturing doesn't happen much any more in the central cities themselves.  Headquarters complex have to reason to be in dense expensive surroundings.  In any case, a lot of their creative work unrelated to making stuff gets farmed out.  That related to production happens at plants and/or labs.

Is that the case with Eaton or Parker Hannifin?  Yes or no?

 

Why did these two particular HQ's need to be in "dense expensive" buildings? 

Is work Contracted out?  Yes or no?

 

As Downtown grows residential, the thought that these company's relocated to the 'burbs will come back to haunt them.

Suburban Chicagoland employers are having a hard time attracting young talent. You mean to tell me that Greater Cleveland is so much more attractive that we're immune to such issues here?

 

Are ALL suburban chicago employers having trouble?  Or is it just those that don't pay well or who are essentially offering dead-end jobs.  I was speaking specifically about Eaton.

 

 

 

Eaton makes things, as does Parker Hannifin.  Manufacturing doesn't happen much any more in the central cities themselves.  Headquarters complex have to reason to be in dense expensive surroundings.  In any case, a lot of their creative work unrelated to making stuff gets farmed out.  That related to production happens at plants and/or labs.

Is that the case with Eaton or Parker Hannifin?  Yes or no?

 

Why did these two particular HQ's need to be in "dense expensive" buildings? 

Is work Contracted out?  Yes or no?

 

As Downtown grows residential, the thought that these company's relocated to the 'burbs will come back to haunt them.

 

Allow me to turn the question around:  what corporate benefit is there to a downtown headquarters location for a manufacturing company?

 

I can see why a law firm, bank, accounting firm, or creative firms like advertisers or net startups would be there.  But for a company making components or durable goods, I honestly don't see the corporate benefits, and that's the business I'm in.

 

 

Because the smart, young, educated workforce they need want to be located downtown and live nearby.

 

And because by locating at the center of the region you can draw from a larger workforce than when you sit on one side of the region.

 

Let me ask...why did Eaton, for instance, once choose to locate downtown?

I'm with ERocc on this one. Manufacturing is loud, can be smelly, and requires layouts and loading access that may not always be available downtown. And while I'm all for putting as many businesses in Cleveland as possible, I think the current residential renaissance would collide with any manufacturing renaissance. The two don't mix well.

 

Well, except in Mentor, apparently. Hey, let's build a gas station next to a welding plant, next to a preschool, next to Lubrizol! Don't worry, kids, that dizzy feeling is learning!

 

On the flip side, I don't think Eaton is doing much manufacturing in the toilet bowl on the hill, so that argument doesn't apply. It's where they wanted to be. So be it. That's the great thing about Cleveland. You can get anywhere in 20 minutes.

Allow me to turn the question around:  what corporate benefit is there to a downtown headquarters location for a manufacturing company?

 

I can see why a law firm, bank, accounting firm, or creative firms like advertisers or net startups would be there.  But for a company making components or durable goods, I honestly don't see the corporate benefits, and that's the business I'm in.

 

I agree, not every corporate HQ needs to be in the downtown area. Would it be better if they were, or course it would. But let's be glad Eaton, Parker, and AG to name a few, all made the decision to keep their HQ's in the Cleveland area.

 

What is sad, but at the moment cannot be changed, is the fact that Cleveland has lost so many HQ'd co's in the last 20+ years (TRW, CVS {formally Revco}, OfficeMax, ect).

 

Cleveland is fortunate enough to have a short commute to almost any direction from the core of the city, so if employees of Eaton, Parker, and AG to name a few, want to live downtown, they can, and still not have to drive a half hour or more to get to work as does so many commuters in LA, NYC, or Chicago.

 

P&G in Cincinnati has its corp HQ in the heart of downtown, and so does Applied Industrial Materials here in Cleveland, so there are still consumer and manufacturing co's that stay in their cities core.

 

Let's be glad for what we have, and work to bring other corp HQ's to not only the heart of downtown, but any area of Cuyahoga County.

 

Let me dream a little here. If I could have my desires, HIMSS would move its HQ from Chicago; CVS from (I think) CT; Cardinal Health from Columbus, and many others that are in my dreams to downtown CLE,  the city I love so much, and want to thrive even more then it already does. But in order for the CLE to gain corp HQ's from other area's it has to have the educated workforce co's need, and other requirements too.

 

Studies are showing that the CLE is gaining a higher educated workforce, and hopefully this will cause my dreams to come to fruition in the future. For now, let's work to keep the co's we have, grow them here, and show the world that the CLE is a great place to live, work, and play.

 

 

 

I'm with ERocc on this one. Manufacturing is loud, can be smelly, and requires layouts and loading access that may not always be available downtown. And while I'm all for putting as many businesses in Cleveland as possible, I think the current residential renaissance would collide with any manufacturing renaissance. The two don't mix well.

 

Well, except in Mentor, apparently. Hey, let's build a gas station next to a welding plant, next to a preschool, next to Lubrizol! Don't worry, kids, that dizzy feeling is learning!

 

On the flip side, I don't think Eaton is doing much manufacturing in the toilet bowl on the hill, so that argument doesn't apply. It's where they wanted to be. So be it. That's the great thing about Cleveland. You can get anywhere in 20 minutes.

 

I think this is the salient point.  How much manufacturing does US Steel do at its namesake tower in downtown Pittsburgh?  And did Sohio/BP America do any refining on Public Square?  The marketers, accountants, analysts, CEO etc. don't need to be anywhere near a plant.

 

Fwiw, though, Sherwin-Williams does some (but far from all) of its R&D downtown, but those facilities are in the Flats rather than up the hill in the Landmark Office Towers.