^I think the point is the civic responsibility a corporation has to a community.  As stated above US Steal does not have to be located in downtown Pittsburgh, but it chooses to maintain it's presence there to strengthen the region.  Same is true for PPG industries, another heavy industrial company that could locate elsewhere but is downtown Pittsburgh.  Same for Proctor and Gamble and downtown Cincy.  It just seems that some of the corporate leadership of our largest industries have abandoned downtown (Sherman Williams, Cliffs and others excluded) when they could have been part of the rebirth, and I agree that I think long term they will wish they had remained downtown.  Five years ago they just couldn't see the transformation that was about to take place.  I bet those decisions to move out would be different today.

^ I completely agree, however, hopefully one day, it's sheer desirability and a need to compete that brings companies downtown, as opposed to civic responsibility or obligation.

And in all fairness, Eaton did explore the idea of moving into the FEB development, however, when the recession hit, financing was pulled back, work halted at the site, Eaton packed up.  They did seem pretty serious.  I'm sure others know better. 

^ I completely agree, however, hopefully one day, it's sheer desirability and a need to compete that brings companies downtown, as opposed to civic responsibility or obligation.

 

This is true but I also think it's a chicken and the egg thing.  Would the downtown renaissance we're experiencing be even further along if more office workers were downtown by way of Eaton or Progressive or others?  Probably but we'll never know.  To your point I think those companies made decisions based on the reality of downtown at the time, and I think Eaton, for instance, maybe would have worked harder to make the lakefront site work or some other downtown option if they were deciding today and not 5 or so years ago. 

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?

 

It used to be having a downtown headquarters was a sign of being a large company.  It was more impressive to banks and government.  Plus accountants and clerks etc needed to be in the same building to exchange information with any kind of speed. 

 

I think that changed with Japanese competition.  Executives there typically came from engineering, and didn’t distance themselves from the plant level.  Ironically, these changes were more contrary to Japanese tradition than American, they came about at the suggestion of W. Edwards Deming, who impressed MacArthur and received his “recommendation”.

 

Here, people who were originally at the plant level preferred a HQ at or close to the plant, or at the very least saw no need to deal with traffic and parking every day.  Hell, all of the major corporate recruiters who work with manufacturing used to be downtown, and now only one (in Cleveland) is.

 

CERCLA had an impact as well because new companies pretty much exclusively locate on greenfields now.

 

As for Mentor, we’re off Tyler.  Well since our rather spectacular fire, one plant is off Tyler one on it.  It’s mostly manufacturing over here, and car dealers.  Companies around here seem busy.

 

^I think the point is the civic responsibility a corporation has to a community.  As stated above US Steal does not have to be located in downtown Pittsburgh, but it chooses to maintain it's presence there to strengthen the region.  Same is true for PPG industries, another heavy industrial company that could locate elsewhere but is downtown Pittsburgh.  Same for Proctor and Gamble and downtown Cincy.  It just seems that some of the corporate leadership of our largest industries have abandoned downtown (Sherman Williams, Cliffs and others excluded) when they could have been part of the rebirth, and I agree that I think long term they will wish they had remained downtown.  Five years ago they just couldn't see the transformation that was about to take place.  I bet those decisions to move out would be different today.

 

I'd hold the phone on US Steel. Their last CEO had plans to build a campus in the burbs for many years. Their lease is up next year. It's unknown if the current CEO will follow through with the campus, stay put or go somewhere else. And when PPG bought Akzo Nobel Paint, they shifted the HQ from Strongsville to ultra exurb Cranberry Twp., nowhere near downtown. And when Dicks Sporting Goods built their new HQ, again, it was in the burbs.

 

Either way, all markets see a little bit of both. Not every single company is placing offices in the inner city, no matter what market it is. There's benefits and reasons for both. I don't think every single young professional wants to be downtown just like I don't think every old white guy wants to be in the burbs. Enough with the stereotyping.

Well said.  Too much stereotyping on these boards from time to time.  And I love how you used " hold the phone!"  Haven't heard that in years!

^I think the point is the civic responsibility a corporation has to a community.  As stated above US Steal does not have to be located in downtown Pittsburgh, but it chooses to maintain it's presence there to strengthen the region.  Same is true for PPG industries, another heavy industrial company that could locate elsewhere but is downtown Pittsburgh.  Same for Proctor and Gamble and downtown Cincy.  It just seems that some of the corporate leadership of our largest industries have abandoned downtown (Sherman Williams, Cliffs and others excluded) when they could have been part of the rebirth, and I agree that I think long term they will wish they had remained downtown.  Five years ago they just couldn't see the transformation that was about to take place.  I bet those decisions to move out would be different today.

 

I'd hold the phone on US Steel. Their last CEO had plans to build a campus in the burbs for many years. Their lease is up next year. It's unknown if the current CEO will follow through with the campus, stay put or go somewhere else. And when PPG bought Akzo Nobel Paint, they shifted the HQ from Strongsville to ultra exurb Cranberry Twp., nowhere near downtown. And when Dicks Sporting Goods built their new HQ, again, it was in the burbs.

 

Either way, all markets see a little bit of both. Not every single company is placing offices in the inner city, no matter what market it is. There's benefits and reasons for both. I don't think every single young professional wants to be downtown just like I don't think every old white guy wants to be in the burbs. Enough with the stereotyping.

 

True, there's no one size fits all. 

 

The trends seem to be that technology businesses are moving into downtown areas, manufacturing away.  Finance, law, trading, and affiliated businesses remain in downtown areas.

Let me ask you all a question. Whether or not you think it's absurd, whether or not it has any bearing on the truth, what if the main, sole and only reason (stay with me here) that employees en masse voted to move from a downtown location to a suburban location was because of the cost of parking? What if that was, in essence, the number one reason they decided to leave. What is your response to that?

 

I know parking sticks in the craw of many here. But I also know it's a huge, huge issue for large companies who have a bulk of their workforce coming in from out of town. Indeed, one of the key selling points of the job I took in June was the $2000 a year I would be saving in parking annually. It was a lateral move from a salary standpoint, but I came out ahead on things like that and the health care.

 

I talk to a LOT of suburban people every day. I think the "oh, downtown is scary" thing is really not that relevant for daytime office workers. It's busy and crime during the daytime is really very low. People aren't afraid to leave their office building to go out to lunch. But I think the parking thing is a real problem for this area. I know it's normal. I know other cities also charge. But we also have a LOT of suburban people working downtown who simply do not want to pay for parking.

 

Is there anything that could be done about this? What if, by eliminating the cost of downtown parking completely, businesses would stay where they are and not move to the suburbs, for example? I know this is pie in the sky and it will never happen, but I think this is a major, major reason why workers would vote for a move to a suburban location.

Let me ask you all a question. Whether or not you think it's absurd, whether or not it has any bearing on the truth, what if the main, sole and only reason (stay with me here) that employees en masse voted to move from a downtown location to a suburban location was because of the cost of parking? What if that was, in essence, the number one reason they decided to leave. What is your response to that?

 

I know parking sticks in the craw of many here. But I also know it's a huge, huge issue for large companies who have a bulk of their workforce coming in from out of town. Indeed, one of the key selling points of the job I took in June was the $2000 a year I would be saving in parking annually. It was a lateral move from a salary standpoint, but I came out ahead on things like that and the health care.

 

I talk to a LOT of suburban people every day. I think the "oh, downtown is scary" thing is really not that relevant for daytime office workers. It's busy and crime during the daytime is really very low. People aren't afraid to leave their office building to go out to lunch. But I think the parking thing is a real problem for this area. I know it's normal. I know other cities also charge. But we also have a LOT of suburban people working downtown who simply do not want to pay for parking.

 

Is there anything that could be done about this? What if, by eliminating the cost of downtown parking completely, businesses would stay where they are and not move to the suburbs, for example? I know this is pie in the sky and it will never happen, but I think this is a major, major reason why workers would vote for a move to a suburban location.

 

You're right. I have a friend whose employer in Columbus is thinking of moving from out east by the airport to downtown and paying for parking is his main concern. And he lives in the city and his commute would be shorter going downtown.

The cost of parking is THE issue for many people. I work is a suburban office and when we explored moving downtown the cost of parking ultimately killed the deal. If our employees paid the expense then they viewed it as a pay decrease. if the company picked it up then we would be adding a monthly cost of $150 per employee, per month. Also public transportation isn't a viable option when you need to drop off a child at daycare.

 

No one in the office expressed concern over crime and many people were genuinely excited about being downtown. However the parking expense offsets the lower rents downtown. Also parking is getting very tight in some office building garages. Getting 1 space for every 1500 square feet leased is a problem.

 

Obviously this is an issue in any urban environment but for a small company parking is largely viewed as an unnecessary expense/hassle.

I think it's much more of an issue for Cleveland businesses than perhaps other urban centers, and I think it has to be addressed. A friend of mine is opening up a 2nd cafe location and when she was contemplating the business and polling people online about different aspects, she couldn't believe how much people said they wouldn't come if there wasn't free parking.

This is getting off topic.

It's related, but is not on the actual topic, sorry about that. In the interest of getting back on topic, does anyone know what will happen to the Penton building in terms of titling? The title is almost expired and they are no longer headquartered here in Cleveland, so I'm wondering what the building will be named next.

FWIW, the IRS already allows employers to offer generous tax benefits to offset commuter parking costs, so "we" are already doing something about this even if not covering the entire cost.  If anyone isn't excluding their parking costs from their taxable income, they should be on the phone with their HR department to ask why their employer doesn't offer the program. Granted, this benefit helps high-income people the most (have to love our regressive tax expenditures).  Also employer-provided parking (up to $250/month) isn't subject to income tax unlike other forms of compensation. I actually think it's a great policy for employers to pay for their employer's parking but also offer a cash-out option.  I suspect a lot of people who think they really want free parking would prefer a $200 check on the first of each month (or a free RTA pass and a $100 check).

 

I understand that parking costs are real and a big turn-off for a lot of folks, but an expensive public program to pay for everyone's parking sounds like a terrible idea.  $2000 per employee for parking pretty much wipes out the city's income tax collection on those folks, many of whom (most, probably) would be working downtown anyway, because I doubt this type of program would really influence employer location decisions all that much.

 

[Oops, I hadn't refreshed before posting, so didn't see MayDay's note.]

It's a legitimate discussion, just not for this thread.

Check out the High Cost Of Free Parking discussion in the roads/bikes general transportation section of the transportation board. EDIT It's here:

http://www.urbanohio.com/forum2/index.php/topic,22128.0.html

 

Meanwhile....

 

Companies use urban locations to attract young IT staff. Strategy works for older workers too. http://t.co/wW3jBqbzoM via @networkworld

Well, it's close to downtown.... :)

 

John G. Johnson Construction moving headquarters to Flats

By Plain Dealer business staff

on November 14, 2014 at 7:27 AM

 

CHAGRIN FALLS, Ohio - John G. Johnson Construction Co. is moving its current Chagrin Falls headquarters to 1284 Riverbed St. in the West Bank of the Flats district.

 

The newly renovated 7,500 square foot space more than doubles their current office size. "We want to have a greater Cleveland presence," says Business Development Manager Matt Large on the impetus of the move. "We feel that moving to Cleveland is a smart investment for JGJ to do right now. A lot of our construction projects are in Cleveland and the surrounding counties. Cleveland is happening, we want to be part of it."

 

READ MORE AT:

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

Rosetta is changing, but Cleveland stays in plans

By CHUCK SODER

November 16, 2014 4:30 AM

 

Rosetta's Cleveland office has shed about a hundred employees since mid-2013. Right around the time that the digital marketing firm started shaking things up.

 

Since then, the New Jersey-based company has replaced its CEO twice — the new CEO, Eric Healy, is based in Cleveland — and named several new executives. Their decisions already are having a big impact on Rosetta and its Cleveland office.

 

And lately Rosetta's owner, Publicis Groupe, has been making even bigger changes:

 

MORE:

http://www.crainscleveland.com/article/20141116/SUB1/311169970/rosetta-is-changing-but-cleveland-stays-in-plans

The article omitted that 1220 Huron Road is being converted to housing, one of two-dozen buildings downtown of more than 10 stories that were, are or will be converted. Seems there's a few software companies in 1111 Chester now....

 

Company behind Answers.com moves Cleveland office to Ohio Savings Bank Building

By CHUCK SODER

November 17, 2014 9:45 AM

 

The company behind the popular website Answers.com has moved its Cleveland office into the Ohio Savings Bank Building, 1111 Chester Avenue.

 

Answers Corp.’s 30-plus local employees didn’t have to move far: The previously worked out of an office on the seventh floor of the building at 1220 Huron Road, which is less than half a mile away.

 

The St. Louis-based company acquired a local office when it bought Easy2 Technologies in August 2013.

 

READ MORE AT:

http://www.crainscleveland.com/article/20141117/FREE/141119821/company-behind-answers-com-moves-cleveland-office-to-ohio-savings

Superior Avenue portfolio sees ownership change; ArtCraft Building first to be renovated

By Michelle Jarboe McFee, The Plain Dealer

 

CLEVELAND, Ohio -- An ownership shift on Cleveland's Superior Avenue could lead to large investments in existing buildings - and longer-term development prospects - along one of the major corridors leading into downtown.

Global X, a company that specializes in tax credits and other real estate financing tools, recently acquired a stake in a cluster of buildings, land and parking lots just east of the central business district. The quiet deal gives Global X a significant say over what will happen north and south of Superior between East 22nd Street and the Inner Belt

 

http://www.cleveland.com/business/index.ssf/2014/11/superior_avenue_portfolio_sees.html#incart_river

That's some pretty huge news and may be more than just office development. So it probably belongs in a development thread -- but which one? It's kind of a no-man's land. A decade ago, Councilman Cimperman was trying to brand this area as the Art Quarter but it never caught on.

That's some pretty huge news and may be more than just office development. So it probably belongs in a development thread -- but which one? It's kind of a no-man's land. A decade ago, Councilman Cimperman was trying to brand this area as the Art Quarter but it never caught on.

 

Campus district?

 

http://www.campusdistrict.org/find-us

Just in case you missed it, and judging by how many jobs are involved, you probably did!

 

Gas Natural, Inc., a publicly traded company, moves HQ to downtown Cleveland from Mentor

By Michelle Jarboe McFee, The Plain Dealer

on December 04, 2014 at 1:28 PM, updated December 04, 2014 at 4:22 PM

 

CLEVELAND, Ohio -- A publicly traded natural-gas distributor is shifting its headquarters from Mentor to downtown Cleveland, in a small deal getting outside applause from city economic-development officials and downtown advocates.

 

Gas Natural, Inc. recently signed a sublease at the chisel-shaped One Cleveland Center tower on East Ninth Street. The move, already under way, should be finished within a few weeks. The company has put its former headquarters complex, the historic Matchworks Building in Mentor, up for sale.

 

....At the outset, Gas Natural will bring just 15 jobs downtown. Over the next few years, the company could add eight more headquarters positions. The city has approved a job-creation grant of up to $36,500 for Gas Natural, which will receive the money over a three-year period based on employment and payroll.

 

MORE:

http://www.cleveland.com/business/index.ssf/2014/12/gas_natural_a_publicly_traded.html

I'm guessing this is partly due to the fact that Rick Osborne, who was ousted from the company this summer, also owns the Matchworks Building

Some market data in this otherwise-development story....

 

December 21, 2014

Cleveland’s Charter One Bank Building Changes Owners

By Adrian Maties, Associate Editor

 

...In its third-quarter market report, Marcus & Millichap said that development in downtown Cleveland and a resurgence of office construction in suburban submarkets are propelling the local office market forward this year. Investor interest in the Cleveland metro is strong, but sales activity over the past year has been limited due to the low number of  quality assets available for sale.

 

The real estate investment services firm also said that office sales during the year were concentrated in the Downtown and East Cleveland submarkets, as well as Summit County. Another recent downtown sale was that of the Halle Building, which K&D Management LLC purchased from Forest City Enterprises Inc. for $20 million.

 

With office completions down in 2014 compared to the previous two years, Marcus & Millichap expects the market to attract more and more investors as the existing buildings fill up and are listed for sale.

 

MORE:

http://www.cpexecutive.com/cities/cleveland/clevelands-charter-one-bank-building-changes-owners/1004109854.html

^New entrance.

Office market continues to downsize

Northeast Ohio vacancy rate rises to 20.8% in 2014; industrial sector, however, is in "expansion phase'

By STAN BULLARD

Originally Published: January 11, 2015 4:30 AM  Modified: January 12, 2015 9:14 AM

 

Despite steadily declining inventory, Northeast Ohio's industrial market continued to make progress, while its fragile office market — thanks to the addition of new buildings to the market and client downsizing — tiptoed back a tad in 2014.

 

That's the bottom line in long-awaited industrial and office market surveys forecasting year-end conditions in 2014 that just were released by the NAI Daus real estate brokerage of Beachwood.

 

By the numbers, the industrial market's vacancy rate declined to 6.92% at year-end from 7.69% at the like time in 2013.

 

Office vacancy, meanwhile, inched up to 20.8% at the end of 2014 from 20.5% in the NAI Daus survey of occupancy in multitenant office buildings that either have tenants or are being actively marketed.

 

MORE:

http://www.crainscleveland.com/article/20150111/SUB1/301119985/office-market-continues-to-downsize

Signet Enterprises in Akron expands to Cleveland

Published: January 28, 2015 - 03:00 PM

Beacon Journal staff report

 

A University of Akron graduate is leading the latest new company formed by Signet Enterprises, the Akron-headquartered company that is one of the state’s largest financial investment companies.

 

Mike Paparella, also a graduate of the University of Notre Dame, is heading Signet Capital Advisors, which is located in the Hanna Building in Cleveland. Signet Advisors provides merger and acquisition advice, as well as other services, including assistance on financing debt, to middle market companies.

 

Paparella has 25 years experience in advising companies concerning investment banking and business strategy.

 

MORE:

http://www.ohio.com/news/break-news/signet-enterprises-in-akron-expands-to-cleveland-1.562226

K&D Group set to buy Keith Building at Playhouse Square - but not for apartments

 

CLEVELAND, Ohio -- The K&D Group Inc. plans to buy another downtown Cleveland office building. But this time, the apartment landlord isn't plotting a residential overhaul.

 

Doug Price, K&D's chief executive officer, confirmed this week that the company has a contract to purchase the Keith Building in the theater district. The deal, set to close in mid- to late March, is the latest in a spate of acquisitions for K&D, which bought downtown's Leader Building and Halle Building last year.

 

Unlike those other properties, earmarked for apartment conversions, the 21-story Keith Building isn't set for a transformation. It's a pure office play, driven by a shrinking supply of cheap corporate space and K&D's need to find a home for businesses displaced by the downtown residential boom.

 

http://www.cleveland.com/business/index.ssf/2015/02/kd_group_set_to_buy_keith_buil.html#incart_river

Good long term play by K&D.

 

Is this K&D's entry into commercial real estate (besides the limited office space in Reserve Square)?

I'm very happy to hear that they are not turning it into apartments. I would also assume that they wouldn't buy it unless they plan to be aggressive in othering packages to office tenants that will be displaced through their other conversion projects. As much as I've been excited to hear all the recent news regarding Leader, Standard, CAC, etc, I am worried that downtown will lose business that'll end up finding office space in the burbs. Very promising news.

^Plus, as we've discussed on these boards before, devoting tax credits to these office conversions starts looking a little silly if their vacancy is due to landlord relocation incentives.  I trust the folks reviewing the applications are aware.

Bendix Commercial Vehicle Systems to leave Elyria HQ, but remain in Northeast Ohio

Bendix Commercial Vehicle Systems LLC is staying in Northeast Ohio, though it’s leaving its longtime Elyria headquarters. The company, which last fall announced it was exploring a headquarters move, said in a news release that it will “construct a new headquarters in Northeast Ohio, expected to be within a 20-mile radius of its current Elyria location.”

http://www.crainscleveland.com/article/20150225/FREE/150229903/bendix-commercial-vehicle-systems-to-leave-elyria-hq-but-remain-in

 

Interesting that they picked 20 miles as their range which would barely include downtown Cleveland. I have to think something like Avon or Westlake is their primary target. But 20 miles.... Makes me wonder.

 

I'm betting on Avon or Westlake as well. Probably way more popular with workers.

I wouldn't throw out North Olmsted either.  I could see the city incentacizing them more so then Westlake or Avon. 

I would be beyond excited if it was downtown. But yeah, it's most likely one of the outer-ring suburbs on the west.

Bendix Commercial Vehicle Systems to leave Elyria HQ, but remain in Northeast Ohio

Bendix Commercial Vehicle Systems LLC is staying in Northeast Ohio, though it’s leaving its longtime Elyria headquarters. The company, which last fall announced it was exploring a headquarters move, said in a news release that it will “construct a new headquarters in Northeast Ohio, expected to be within a 20-mile radius of its current Elyria location.”

http://www.crainscleveland.com/article/20150225/FREE/150229903/bendix-commercial-vehicle-systems-to-leave-elyria-hq-but-remain-in

 

Interesting that they picked 20 miles as their range which would barely include downtown Cleveland. I have to think something like Avon or Westlake is their primary target. But 20 miles.... Makes me wonder.

 

I'm betting on Avon or Westlake as well. Probably way more popular with workers.

 

Crocker Park is my hunch.

Bendix Commercial Vehicle Systems to leave Elyria HQ, but remain in Northeast Ohio

Bendix Commercial Vehicle Systems LLC is staying in Northeast Ohio, though it’s leaving its longtime Elyria headquarters. The company, which last fall announced it was exploring a headquarters move, said in a news release that it will “construct a new headquarters in Northeast Ohio, expected to be within a 20-mile radius of its current Elyria location.”

http://www.crainscleveland.com/article/20150225/FREE/150229903/bendix-commercial-vehicle-systems-to-leave-elyria-hq-but-remain-in

 

Interesting that they picked 20 miles as their range which would barely include downtown Cleveland. I have to think something like Avon or Westlake is their primary target. But 20 miles.... Makes me wonder.

 

 

The 20 mile search area probably just lets them use downtown as a negotiating tool against the west suburban office landlords.

^I guess it would have to be west side property owners rather than landlords as the article indicates they want to construct their new headquarters.

Cross-posted in the 75 Public Square thread:

 

North Point Properties acquires Rockwood Center for $2.5 million, moving firm from downtown Cleveland

http://www.crainscleveland.com/article/20150304/FREE/150309920/north-point-properties-acquires-rockwood-center-for-2-5-million?X-IgnoreUserAgent=1

This is a sentence I haven't heard in a loooonnnnggg time

 

NAI Daus: Future bright for Cleveland office market

 

In the Class-A office category in Cleveland’s CBD — a sector that NAI Daus says includes 11 buildings — the vacancy rate stood at 15 percent at the end of 2014. That’s down a bit from 15.23 percent at the end of 2013, and makes this sector the strongest of all the office submarkets in the Cleveland area. A big boon to the area has been the Ernst & Young Tower in the Flats East Bank neighborhood. As NAI Daus reports, a flow of tenants has moved to this new office tower. This has provided opportunities for tenants currently in Class-B office buildings to upgrade to more efficient and higher-quality space.

 

An important trend in the CBD office market is the continuing conversion of obsolete Class-B and -C office buildings to apartment buildings. Like many Midwest markets, Cleveland has seen its downtown core become a hotspot for those who want to rent in walkable neighborhoods. Because of this, NAI Daus officials predict that during the next 24 to 36 months the Cleveland market should see a steady reduction in vacancies in the Class-B and Class-C office categories.

 

http://www.rejournals.com/2015/02/23/nai-daus-future-bright-for-cleveland-office-market/

Whatsamatta with Marriott?? Don't they know that no one wants to work downtown??

 

Marriott to move HQ to attract young talent: http://t.co/xUneZM085Z

 

"I think it’s essential we be accessible to Metro" - CEO Arne Sorenson

I like how the new Façade of the Celebreeze building looks. Makes it look like a building built this century!

55 Public Square potentially could become apartments...

 

Loan for 55 Public Square is sold for $12 million loss

 

..."The vacancy level also makes the building a candidate for potential conversion to apartments.

 

As it is more than 50 years old, 55 Public Square is old enough to be eligible for federal and state historic preservation tax credits that have been crucial to the rise of residential living downtown, according to Tom Yablonsky, executive vice president of Downtown Cleveland Alliance.

 

Yablonsky said it might qualify for historic tax credits as a midcentury modern office building, but winning such a designation requires detailed studies. Residences at 1717, which was converted to apartments from offices at 1717 E. Ninth St. in a project using tax credits, went up in 1959. The building adjoining 55 Public Square — the 75 Public Square office building — was purchased this year by an affiliate of Valley View-based Millennia Properties Co. for future conversion to apartments."

 

http://www.crainscleveland.com/article/20150322/SUB1/303229988/loan-for-55-public-square-is-sold-for-12-million-loss

Gee, I think the 275,000 square foot of offices from 55 Public Square, as well as those being nudged out of other buildings, should move next door -- to the Jacobs lot! :)

I don't think the offices will be pushed out of that building anytime soon. It was only back in August 2013 that First National Bank moved their regional HQ there (along with the naming rights), and I'm sure it wasn't a short term lease.

 

Nation's oldest labor union will leave downtown Cleveland for Independence (photos)

By Michelle Jarboe McFee, The Plain Dealer

on March 24, 2015 at 1:09 PM, updated March 24, 2015 at 2:25 PM

 

CLEVELAND, Ohio -- The nation's oldest labor union is leaving downtown Cleveland, ending a 150-year headquarters run near Public Square.

 

The Brotherhood of Locomotive Engineers and Trainmen announced on its website and Facebook page Friday that it has purchased a suburban office building as its new digs. A longtime occupant and former owner of the Standard Building, just north of Public Square, the union is part of a wave of tenants being displaced from cheap downtown space as developers plot office-to-apartment conversions.

 

The brotherhood, which represents 55,000 active and retired members, sold the 21-story Standard Building for $3.9 million in July. Since then, the union has leased its offices from Weston, Inc., a local developer planning a largely residential makeover of the half-empty building.

 

MORE:

http://www.cleveland.com/business/index.ssf/2015/03/nations_oldest_labor_union_wil.html

Here's the M&M report: http://www.marcusmillichap.com/research/researchreports/reports/2015/02/13/cleveland-office-research-report

 

Mar. 26, 2015

Market Snapshot: Cleveland Office Operations to Return To Pre-Recession Levels in 2015

By Adrian Maties, Associate Editor

 

Marcus & Millichap predicts that 2015 will be a good year for the Cleveland office market. In its Cleveland Office Research Report for 2015, the commercial real estate brokerage firm said that developers will hold back on new office construction. And, with companies expanding, hiring and leasing new space, the market’s office operations will return to pre-recession levels.

 

According to Marcus & Millichap, new development will be limited this year. Developers will only deliver 71,000 square feet, down from last year’s 292,000 square feet and well below the five-year annual average. They will also start work on more conversion projects that will turn obsolete office buildings into apartment complexes, relieving competition among existing office space. One such example is the Halle Building, one of Cleveland’s oldest landmarks. Forest City Enterprises sold the 400,000-square-foot office property last year, to K&D Management LLC, for $20 million. The new owner now plans to turn the structure into apartments.

 

The 2016 National Republican Convention is expected to bring 50,000 people to Cleveland. According to market analysts, this will have an economic impact of around $400 million. This positive outlook has already motivated local companies to continue to relocate or expand in the metro area. Marcus & Millichap reports that office users will add 4,500 new jobs this year. The total employment will rise by 1.6 percent in 2015, as companies are expected to hire as many as 16,500 workers.

 

MORE:

http://www.multihousingnews.com/market-data/market-snapshot-cleveland-office-operations-to-return-to-pre-recession-levels-in-2015/1004117646.html

It's only a 13-person firm and a mere 8,000 sf, but they've been in Beachwood since 1981. Why the move? Because it will mean a shorter commute for the CEO. Why else??

 

Towering view energizes Spero-Smith for the future

http://www.crainscleveland.com/article/20150328/FREE/150329844/towering-view-energizes-spero-smith-for-the-future