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Uncertainties weigh heavily on office market

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The Milwaukee area’s office vacancy rate will spike in 2004 to 17.2%, its highest point since The Reis Reports Inc. began tracking the rate in 1998.
The asking rent for offices in the Milwaukee region will slightly increase .3% to $17.81 per square foot in 2004, according to the Reis forecast.
Regional office space projections by several of the area’s commercial real estate brokerages corroborate the Reis forecast.
"A high volume of new construction projects in the metropolitan Milwaukee office market presented new challenges and opportunities that point to 2004 as the year to ‘back-fill’ excess space," stated the Grubb & Ellis/Boerke Co. in its new 2004 Commercial Real Estate Forecast for the Great Lakes States.
The downtown Milwaukee office market was a net gainer in 2003, reversing years of businesses moving out of the city to the suburbs.
Roundy’s Inc. moved from Pewaukee to the 875 E. Wisconsin building that opened up downtown last year. Bank One moved 750 jobs from Menomonee Falls to its downtown Milwaukee office building.
The reverse migration to downtown has enflamed competition among office property owners in the suburbs, according to the 2004 commercial real estate outlook that is being prepared by NAI MLG Commercial in Brookfield.
"Landlords in the suburban market have been very aggressive in pursuing new tenants and attempting to keep existing tenants. Concessions include free rent, increased TI’s (tenant improvements) and price reductions," the agency reported.
In downtown Milwaukee, a game of office musical chairs has been playing out as building owners and managers attempt to fill space that was vacated by tenants in 2003.
The Bank One jobs now occupy much of the space that was vacated when the Whyte Hirschboeck Dudek law firm moved out of the downtown Bank One building to 60,000 square feet of space in the new Cathedral Place building at 555 E. Wells St.
Federal government offices, including the regional offices for the U.S. Forestry Service, moved into 92,000 square feet of space at the Gas Light Building, 626 E. Wisconsin Ave., vacating space at the Reuss Federal Plaza, 310 W. Wisconsin Ave.
The downtown east office market’s vacancy rate at the end of 2003 was 17%, far less than had been feared by The Polacheck Co.
"In last year’s report, we exercised a great deal of caution, indicating that at the time we were riding the ‘calm before the storm,’" Polacheck stated in its new 2004 Market Review & Forecast. "Reference to the ‘storm’ hinted at the fact that there would be approximately half a million square feet of newly constructed or newly renovated office space available downtown, and we expected vacancies above 20%. We are surprised but happy to report that no severe storm materialized, and the vacancy rate is 17%."
Polacheck reports the following sub-market office vacancy rates in the region: Brookfield, 23%; downtown east, 17%; downtown west, 18%; Mayfair/
Wauwatosa, 15%; Northshore/Ozaukee County, 17%; Waukesha, 15%; West Allis, 29%; and Woodland Prime/northwest side, 19%.
The sore thumb in that report is West Allis, but Polacheck believes that city is turning the corner and is poised for a rebirth.
"With the recent renovation and addition to Summit Place, however, there is an excess of 100,000 square feet of high-quality new and loft office space available in this sub-market. There were several pre-leases that may bode well for this project," Polacheck said.
In Brookfield, some significant large tenants have traded spaces within the submarket, but smaller offices are abundantly available.
"Some small users have as many as 30 to 40 options available to them," Polacheck reported. "At the current time, there is nothing under development, so we expect this market to stabilize and provide few options for larger users. This will probably kick off another round of development, as new projects are built for larger users seeking space."
The south side of Milwaukee County will receive a boost when Northwestern Mutual Life Insurance Co. completes construction this year on it $125 million office building and parking structure along South 27th Street at the border of Franklin and Oak Creek.
The wildcards in the metro Milwaukee office market involve forces that local brokers and developers cannot control:
— The final shoe has yet to drop on the Bank One equation, as the company recently announced that it plans to be acquired by JP Morgan Chase for $60 billion. The fate of hundreds of Bank One jobs in Milwaukee is unknown.
— GE Medical is dangling its potential 300 high-tech jobs to the city and the suburbs, daring them to jump high with development incentives. Many of the GE Medical jobs are based at the Woodland Prime at Heritage Reserve complex in Menomonee Falls. Bruce Behling, president of Heritage Reserve Holding LLC, is hoping to keep them there. However, like his downtown counterparts and developer Peter Bell of the Pabst Farms project in Oconomowc, all Behling can do at this point is await word from GE Medical. "I think I had dark hair when it started, and I may be bald when it ends," Behling said.
— The City of Milwaukee and Milwaukee County are finalizing plans for redevelopment of land along the former Park East Freeway spur, which was demolished in 2003. Those plans could be subject to stipulations of living wages for the employees of the businesses that move to the strip. The stipulations and the pace of redevelopment could depend upon whom is elected the next mayor of the city.

Feb. 6. 2004 Small Business Times, Milwaukee

Auto dealers hope to create new car ‘mecca’

The far northwest side of Milwaukee could soon become the next hot spot for automobile dealerships. Bergstrom Automotive is moving its Chevrolet dealership from Menomonee Falls to a new dealership under construction near the company’s Hummer dealership at 11330 W. Metro Blvd., Milwaukee.
The new, 60,475 square-foot Chevrolet dealership is expected to open in mid-April. It will be the second dealership built along Metro Boulevard.
In addition, Russ Darrow Group plans to develop seven acres it owns between the Bergstrom Hummer dealership and the new Bergstrom Chevrolet dealership site.
Russ Darrow will most likely build a 22,000-square-foot Nissan dealership on its property and another 16,000-square-foot dealership, said company president and chief operating officer Russ Darrow III.
The Nissan dealership would be relocated from the company’s Brown Deer Road dealership. However, Darrow said plans for the Metro Boulevard property are not set in stone and a different brand could be sold there. Also, Darrow has an option to purchase additional land on Metro Boulevard and could build more auto dealerships there.
"I do expect to develop a dealership or two on the seven acres," Darrow said. "And I may do more across the street."
For now, Darrow is watching to see how Bergstrom Chevrolet does at its new location. Darrow said the area, just east of Highway 45 and south of Fond du Lac Avenue, could become an ideal location for auto dealerships in metropolitan Milwaukee.
"I think it’s going to be one of the better auto retail locations," said Darrow.
Florida developer August Urbanek has owned the property along Metro Boulevard since the 1950s. Several years ago, the city approved plans for an office building and a hotel on the site, but Urbanek could not obtain tenants.
About two years ago, Urbanek unveiled plans for a 380,000-square-foot shopping center there, but the project was strongly opposed by Milwaukee Alderman Tom Nardelli, who lives nearby, and other residents in the neighborhood.
Nardelli, who bought his home site from Urbanek, said he and most other residents have embraced the development of the auto dealerships.
"As a resident who lives in the subdivision immediately to the south, the introduction of auto sales in that area has not had a negative impact on our properties," Nardelli said. "The people that lived there accepted it.
"It will probably be a new mecca for auto dealerships there. It’s better to have that land developed and paying taxes than vacant," said Nardelli, who is running for the Milwaukee mayoral seat.
Urbanek said he owns 38 acres on the south side of Metro Boulevard. Urbanek hopes to attract three more auto dealerships and two other retailers, possibly restaurants.
Traffic access to the area needs to be improved to maximize the area’s potential, Darrow said.
Urbanek said 107th Street should be widened to four lanes between Fond du Lac Avenue and Good Hope Road.
"I’m going to watch the Bergstrom opening," Darrow said. "I’m watching the traffic patterns out there. I think the ingress and egress needs to improve."
Urbanek paid for an off ramp from northbound Highway 45 to Metro Boulevard, but traffic leaving the area or coming in from southbound Highway 45 must use Good Hope Road ramps.
Urbanek sought assistance from the city to build an overpass for Metro Boulevard over Highway 45 and add more ramps, but city officials denied the request.
"That’s a very expensive proposition," Nardelli said. "I don’t see a nickel coming out of the city. There’s no money for that."
Bergstrom acquired the former Falls Chevrolet dealership at N70 W12900 Appleton Ave. in Menomonee Falls in October and renamed it Bergstrom Chevrolet of Milwaukee.
Bruce Behling, president of Heritage Reserve Holding LLC, said his firm hopes to acquire the Appleton Avenue dealership property in Menomonee Falls. Heritage Reserve, which was formed by Strong Financial Corp. founder Dick Strong and other Strong officials, is developing the 120-acre area surrounding the Strong headquarters.
Bergstrom Automotive is based in Neenah. The company has more than 20 dealerships in Wisconsin, most in the Fox Cities area. The company now has two dealerships in the Milwaukee area. The Hummer dealership opened in 2002.
Bergstrom officials could not be reached for comment.

Feb. 6, 2003 Small Business Times, Milwaukee

Forget the kid gloves

Question: I’m having a really hard time getting along with one of my co-workers. She is really good at her job, she knows a lot about the work and can be a great help (when she feels like it). The problem is, if she’s not in a good mood, it’s like pulling teeth trying to talk to her. If she’s having a hard time on a project, I’ve learned to leave her alone. When I’ve brought this up to her, she’ll say something like, "You just don’t understand me." That may be true, but I don’t think she understands herself. Most of the time, I’m on pins and needles wondering if today is going to be a "good" day or a "bad" day. What do you think I should do to help her get a better handle on how she comes across to the rest of us?

Answer: Your question is one that I am sure many readers can identify with. Every workplace seems to have at least one employee who requires "kid gloves" treatment. The basic issue here is that your colleague sees herself differently than others see her. What needs to happen is that these differing perceptions need to be brought into alignment.
Each of us differs in the extent to which we are skillful in interpersonal exchanges. Just as some of us are gifted musicians and others of us are tone deaf, some of us are interpersonally graceful while others of us are all "knees and elbows." So, her existing interpersonal skills set and her desire to change will heavily influence how much she can improve.
Clearly, individual differences shape and affect our interpersonal interactions. Often, those differences are the basis for asking (or not asking) and answering (or not answering) the question, "Do you see me the same way I see myself?" Let’s be clear: This is a difficult question to ask and a difficult question to answer. That is true whether you are asking it of yourself or someone else. It is, by the way, the crux of the matter with regard to your colleague and her apparent unwillingness to look at herself through your eyes.
Because we tend to be so concerned with "face saving," we often interact with others in such a way that we do whatever we can to maintain our own self-image and help others to do the same. That means that we have a hard time letting others know what we really think about them. And we have a hard time opening up and soliciting candid feedback from those around us. So, we go about our business, engage in a lot of role-playing and pretend that everything is just fine. Meanwhile, tensions run high and camaraderie erodes.
One way this dynamic can be represented is through an information-processing model called the Johari Window. It consists of a 2×2 grid (i.e., a window) in which four regions are present. Whether information about a person is known or unknown to him/her and others determines the regions.
Here is a brief summary of each region of the Johari Window:
— Arena – This region contains information that is known to both you and others.
— Facade – This region contains elements you know about but that you hide from others.
— Blind Spot – This region contains all of those factors that others see in you but that you do not see in yourself.
— Unknown – This region contains those elements that neither you nor others see in you.

The Johari Window gives us a framework for evaluating the way that we posture toward others. Ideally, the gap between our public and private faces is very small. In the context of the model, that means that the Arena is large. But, to have a large Arena, we must trust ourselves as well as others. We must be attentive to our Blind Spots and to our Facades. When we do so, we operate with greater authenticity, sincerity and genuineness. We accept ourselves for who we really are. And, we accept others for who they really are.
Trust is foundational to expanding the Arena. To let others see who we really are, we must be at peace with ourselves. We must have confidence that in opening up and sharing, we will not be rejected or hurt. For many of us, after a lifetime of unsatisfying and frustrating work and social relationships, the ability to trust is low. In that sense, if we are going to trust, we must be willing to take a chance by opening up, to ourselves and to others.
In order to encourage your colleague to take a look at herself, she will need to work on becoming more self-aware. Self-awareness is one of the hallmarks of emotional intelligence. It means being comfortable in sharing with others (i.e., examining the Façade) and having others share with us (i.e., inviting feedback about Blind Spots). In order to help your colleague to become more self-aware, you will want to make it safe for her to do so. Perhaps you can encourage this by taking the target off of her and putting it on all of you in the work unit.
There are a number of ways to do this. You may want to take another crack at a one-on-one discussion with her. This time, selectively disclose some of your weaknesses (i.e., share your Facade) in order to minimize the extent to which you appear to be attacking. Then, encourage your colleague to do the same. Try to develop a better understanding of the way you see each other. Clarify expectations for future interactions.
Additionally, you may want to look into the use of a team survey or 360-degree survey. By using some formal instrumentation, you structure the nature of the feedback and also involve the rest of the team. This builds a sense of, "We’re doing this together."
Further, you may want to do some team building, perhaps exploring something "outside the box" like a ropes and challenges experience. Again, the thinking behind this approach is to build feelings of esprit de corps — "We all have strengths and weaknesses. We are here to support each another."
In the final analysis, if your colleague is going to change her ways, she will have to learn to trust herself and the rest of her colleagues. Your task, therefore, will be to do what you can to build a safe environment that allows her to look at herself more objectively. Safety and trust will help her to share her feelings with you. And, over time, safety and trust will help her to be more open and receptive in listening to what each of you has to say.

Daniel Schroeder, Ph.D., of Organization Development Consultants Inc. (ODC) in Brookfield provides "HR Connection." Small Business Times readers who would like to see an issue addressed in an article may reach him at 262-827-1901, via fax at 262-827-8383, via e-mail at schroeder@odcons.com or via the Internet at www.odcons.com.

Feb. 6, 2004 Small Business Times, Milwaukee

Retail: Look for new names in the neon

For the southeastern Milwaukee retail industry, 2004 will be a watershed year in which many familiar store brands fade away and newer nameplates light up the neon.
Gone are many Kohl’s Foods, Sentry Foods, Rainbow Foods, Kmarts, Drug Emporium, Steinmart and Kids R Us stores.
In are Pick ‘n Save, Target, Wal-Mart, Home Depot, Kohl’s Department Stores, Petco, Linens-N-Things, Bed Bath and Beyond, Ashley Furniture, AJ Wright, Gordman’s, Michael’s Pier 1, Aldi, Trader Joe’s and Office Depot, all of which have announced expansion plans in southeastern Wisconsin.
The transformation of The Grand Avenue Mall into The Shops of Grand Avenue will be completed this year in downtown Milwaukee.
The former Capitol Court Mall in Milwaukee continues to be transformed into Midtown Center, and Bayshore Mall in Glendale will become Bayshore Town Center with $150 million in new development.
Old standbys, such as Southridge Mall in Greendale, will be upgraded, and the former Northridge Mall area on Milwaukee’s northwest side is being redeveloped into Granville Station.
"The unprecedented number of existing shopping centers being redeveloped over the past year has dominated Milwaukee’s retail market," noted NAI MLG Commercial, Brookfield, in its 2004 Wisconsin Market Overview, which has yet to be published. "Examples include the razing of the former Capitol Court Mall to make room for the 300,000-square-foot Midtown Center anchored by Wal-Mart. Mayfair Mall has benefited from the addition of over 80,000 square feet of second-level retail dominated by fashion-oriented stores such as Delias and the addition of P.F. Changs."
Meanwhile, the groundwork is being laid for the massive Pabst Farms project in Oconomowoc to attract up-scale retailers who in the past had ignored southeastern Wisconsin, and the Pabst City project on Milwaukee’s west side is recruiting trendy entertainment chains to revive the city’s night life.
In its 2004 Market Review and Forecast, The Polacheck Co., highlights the following trends in the region:

— Major retailers will have opportunities to enter underserved, densely populated markets, such as the Village Market of Hales Corners.

— New construction in suburban areas will be located near the Interstate freeways, with new retail construction projects at I-94 and Highway 83 in Delafield; County Line Road and Appleton Avenue in Germantown and Menomonee Falls; South 27th Street in Franklin and Oak Creek; I-43 and Moorland Road in New Berlin and I-43 and Highway 60 in Grafton.

— Strip center development will be driven by "fast casual" restaurants, such as the Pickermann’s soup café in Oak Creek.

— Small tenants, often franchised businesses occupying less than 10,000 square feet, will flourish.

— "Dollar stores," such as Nothing Over a Dollar, Always 99 Cents, Dollar Tree, Dollar discount, Family Dollar and Dollar General, will continue to open new locations in the market.

— Niche grocery stores, such as Sendik’s, will open new locations.

— Restaurant concepts actively pursuing sites in strip centers throughout the market include: Baja Fresh, Chipotle, Qdoba, Potbelly Sandwich Works, Panera Bread, Bear Rock Café, Atlanta Bread, Noodles & Co., Chin’s Asia Fresh, Cold Stone Creamery, Starbucks and Caribou Coffee.

— Landlords will continue to scramble to find occupants for retail space now vacant after the closings of Kmart, Drug Emporium and Kohl’s Food stores.

Another trend that may be emerging is the introduction of the Wal-Mart Super Center concept into the Milwaukee-area market. The mega-chain has proposed building its first Super Center store in the market in Franklin.
However, the Franklin proposal is meeting resistance from citizens, aldermen and other businesses, who criticize Wal-Mart for destroying downtowns and local merchants, importing mass amounts of merchandise from China, paying low wages and providing few benefits for employees and creating traffic congestion.
Max Rasansky, president and chief executive officer of The Polacheck Co., says retail landlords stuck with vacant storefronts should be more willing to give local entrepreneurs a chance to break through in the market. Although they often don’t have much collateral to put up front to secure financing, those local storeowners are ideal tenants, because they work long hours and have more of a personal, vested interest in the success of the overall strip center, Rasansky says.
"Change is good. Change is inevitable," Rasansky said. "I’m very bullish on Milwaukee."

Feb. 6, 2004 Small Business Times, Milwaukee

Long-term impact

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Walworth County’s biggest business expansion may also be its most long-term expansion. Kikkoman Corp. last year launched a 10-year, $100 million expansion of its soy sauce plant near Walworth, in southern Walworth County.
Japan-based Kikkoman is the world’s largest producer of soy sauce products, with international sales of nearly $2 billion. It opened the Walworth plant in 1973 as the headquarters of Kikkoman Foods Inc.
Since then, the plant’s output has grown from 2.4 million gallons of soy sauce and related product to 25 million gallons.
Employment at the plant is expected to increase from 150 to 190 as the expansion progresses.
When the current expansion project is completed, capacity will rise to 34 million gallons.
The 2003 and 2004 portion of the project involves 40,000 square feet of additional space and $16 million in capital expenditures, according to Bill Nelson of Kikkoman
in Walworth.
The project is expanding the plant from 530,000 square feet to 710,000 square feet.
Bane-Nelson Inc. of Racine is the company’s general contractor.

Feb. 6, 2004 Small Business Times, Milwaukee

Hispanic business is focus of new UWM-based initiative

The Small Business Development Center at the University of Wisconsin-Milwaukee School of Continuing Education has developed El Centro Empresarial – The Hispanic Entrepreneurial Center.
The center will be formally introduced at a free community event March 5, from 5 to 8:30 p.m., at the United Community Center, 1028 S. 9th. St., Milwaukee.
Nelson Soler, a program director at the school, will oversee the new center.
"Our purpose is very clearly stated in our motto: Supporting Economic Strength through Hispanic Entrepreneurs," Soler said. "But the effect of this program is not limited to one segment of the community. The more stable and strong the Hispanic business community is, the healthier the economy is for the entire area."
In Wisconsin, 3,020 Hispanic- owned businesses generate more than $800 million in annual sales, and in Milwaukee the numbers are 750 businesses generating $193 million. Between 1990 and 2000, the population of the seven-county southeastern Wisconsin area rose 7%. Over that same time period, the Hispanic population in the city of Milwaukee nearly doubled.
Lucy Holifield, director of the UWM Small Business Development Center, says that growing an already impressive Hispanic business community in Milwaukee is the goal of the initiative. "There are many successful and thriving businesses out there. What we want to do is to help develop new ventures by supporting emerging entrepreneurs in the Hispanic community."
The March 5 kick-off event will feature presentations by Hispanic business owners and other community representatives. A resource fair will feature information from the state Department of Commerce and other financial resources. The resource fair also will feature information and advice from lawyers, bankers and others involved in the process of starting a new business.
Persons interested in attending the free March 5 kick-off are asked to RSVP by Feb. 15 to Soler at 414-227-3105 or nsoler@uwm.edu.

Feb. 6, 2004 Small Business Times, Milwaukee

Major brownfield, greenfield projects on tap in Racine County

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As developers look to the greenfields of western Racine County and lands along the I-94 corridor, including those in the new village of Mount Pleasant, redevelopers are looking to the brownfields of eastern Racine County for some major initiatives.
The downtown renaissance continues in Burlington and in Racine, with Burlington farther along on its renewal, including a significant investment in infrastructure, says Gordan Kacala, executive director of the Racine County Economic Development Corp.
Burlington has invested heavily in its riverfront project and in street, sewer and water infrastructure, renewing its downtown and, at the same time, improving traffic flow through the community and laying the groundwork for new projects. Those will include development of a Chancery restaurant on a brownfield. Other redevelopments on the horizon are the Bel-Mur Enterprises factory property and an old gas power plant.
Congress last year approved a $225,000 grant to help clean up the Bel-Mur complex. Burlington intends to match federal funds and has advanced plans for housing on the property, which is near downtown.
The Burlington upgrades are part of an overall development of the Highway 36 corridor through Racine County, notes Kacala. "The Highway 36 corridor is a huge growth area," he says.
Among that development is a Wal-Mart Super Center, which opened along Highway 36 on Burlington’s north side in January, providing 350 jobs. It’s the second Super Center for Racine County, the other one being in Mount Pleasant. A 31-acre site adjacent to the Burlington Wal-Mart has been tabbed for residential development.
Meanwhile, redevelopment continues in downtown Racine, "with some major brownfields initiatives on the agenda" for this year, Kacala notes. Those projects include the 14-acre Jacobsen-Textron site on the city’s south side — a brownfield which will be cleaned up with the help of grants. Demolition of the 480,000-square-foot building is about to take place, which will be followed by soil remediation and development into a new business park or multiple parks.
Racine also is seeking proposals for the former Walker Manufacturing plant on the lake. The site could become residential. Roadwork and streetscaping in downtown Racine were completed last year. The downtown is expected to see continued new investment by businesses and developers.
Elsewhere, Mount Pleasant’s incorporation as a village is expected to lead to more development of that former township surrounding Sturtevant with, eventually, more than 2,000 acres opened for development.
Mount Pleasant officials expect the population bordering Racine could double to 40,000 within the next 10 years and that the community will become a southeastern Wisconsin development hotbed.
That development will be fostered by the agreement extending sewer and water service west from Racine to I-94, which is on Mount Pleasant’s western border.
Village officials see major development at the I-94 interchanges with highways 20, 11 and KR, which is the Racine-Kenosha border.
The deal extending sewer services west will benefit Racine, which is earmarking some of the sewer service revenues for redevelopment of blighted areas.
Sturtevant will see continued development of MLG Commercial’s The Renaissance business park, with extension of Renaissance Boulevard opening more land in the 390-acre park accessible for development.
Development proposals for The Renaissance this year include two automobile dealerships, which would be the park’s first retail operations.
In general, Kacala sees a "pretty good year" for Racine County in 2004. While there weren’t a lot of job-producing projects during the economic slowdown, the county held its own, despite its reliance on manufacturing. Nearly a third of its employment is in manufacturing, which, nationally, took a heavy hit during the recession. "We even gained 200 jobs when the state lost 15,000," Kacala said.
With the economy on the upswing, development proposals have picked up dramatically, he adds.

Feb. 6, 2004 Small Business Times, Milwaukee

Grand Avenue rebirth is nearly complete

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By the end of 2004, Joseph Weirick believes The Shops of Grand Avenue will be fully leased with retail tenants.
That would be a remarkable recovery for downtown Milwaukee’s primary retail center and quite an accomplishment for Weirick, president of Polacheck Property Management Corp., the mall’s redevelopment company.
"We expect by the end of this year, Grand Avenue will be a much different place for the holidays," said Weirick. "We plan to have the mall nearly fully leased and fully functional."
With T.J. Maxx, Linens-N-Things and Old Navy set to open in the mall in late March, Grand Avenue can spend most of the year focusing on attracting new customers and regaining those lost when the mall was in transition.
Weirick said the original concept of the renovation was to re-establish an anchor on the east end of the mall, which was lost when Marshall Field’s left its Plankinton Avenue home in 1997.
Polacheck and its development partner, Faison & Associates, Charlotte, N.C., have been revamping the Wisconsin Avenue entrance and the mall’s interior design since 2001. They have created four junior anchor spaces in the Plankinton Arcade to provide more variety for urban shoppers.
Linens-N-Things and T.J. Maxx each will fill 30,000-square-foot spaces on the first floor, and an 18,000square-foot Old Navy will reside on the second floor.
The fourth 18,000-square-foot space on the second floor has yet to be leased.
"We will also be adding exterior blade signage, canopies around the east end and architectural lighting on the Plankinton building," Weirick said.
As the downtown population continues to rebound, The Shops of Grand Avenue aims to focus more on downtown residents in a three- to five-mile radius. By contrast, suburban malls focus on a 30- to 50-mile radius.
"We want to serve the unique urban market that is downtown," said Weirick. "The downtown residential market is growing, and areas like Marquette and Bayview are underserved for retail."
According to Weirick, about 60 stores are open in the mall, occupying about 85% of the available space. Weirick is looking for additional tenants to offer merchandise not necessarily available at suburban malls.
"We are working hard to fill the rest of the mall, and we have had a lot of interest from many different retailers," said Weirick. "We want good retailers, good local merchants with unique products, from apparel to jewelry and so on."
To attract more customer traffic, Weirick is targeting both the downtown residential population and the downtown daytime worker who may reside in the suburbs.
He is working closely with nearby condominium developers and Marquette University to arrange welcome packages for new tenants. The packages will include coupons for stores located in Grand Avenue.
Weirick expects the daytime population to be more active in shopping after eating lunch at the Grand Café food court, Potbelly’s or Applebee’s.
The Shops of Grand Avenue will try to accommodate daytime customers with merchandise offerings as well.
"We need a mix. We need all kinds of shoppers," said Weirick. "We need the Walgreen’s shoppers as much as we need the Express shoppers."
The downtown population has grown from 7,155 in 1990 to 12,660 in 2003, according to the Milwaukee Department of City Development.
Current downtown residential projects that will be key to the rebirth of The Shops of Grand Avenue include: the 75 Boston Lofts apartments being developed above the Boston Store by the Mandel Group; the 135 Majestic Milwaukee Lofts affordable apartments being developed in the Majestic building by Gorman & Co., Madison; and the Milwaukee Convention Center Hotel group, which plans to develop a new hotel on Fourth Street and Wisconsin Avenue.
Pedestrian traffic near The Shops of Grand Avenue has received a boost from the opening of the Borders Books & Music store on the east side of Plankinton.
Construction is scheduled to begin this spring on the Pabst City entertainment mecca, which will include 600 housing units, 450,000 square feet of entertainment retail space and 55,000 square feet of office space to downtown’s west side, according to John Ferchill, Pabst City developer.
Rather than thinking of Pabst City as a competitor, Weirick views all of the new downtown developments as positive for The Shops of Grand Avenue.
"Pabst City will help fill in business between downtown events. Right now, the entertainment we have is good, but restaurants cannot survive by depending on Bucks games and the symphony for business," Weirick said.
Once Grand Avenue is finished, Weirick hopes to see the north side of Wisconsin Avenue, which is receiving a boost from Mo’s restaurateur John Vasallo, to be redeveloped next.
"Mo’s steak house has done a good job. I think it should keep going down the street," said Weirick. "I think putting tenants back into the Ruess Federal Plaza is important for the city, and the renovation of the Grand Theater are important for the revitalization of West Wisconsin Avenue."

Feb. 6, 2004 Small Business Times, Milwaukee

Just a minute – with Dean Fitting, president & CEO, Ozaukee Bank

Company address: N69 W5269 Columbia Road, Cedarburg

Company Web site: www.ozaukeebank.com
Industry: Banking
Number of employees: 220
Company’s assets under management: $1.15 billion
Family: Wife Francine; son Ryan; daughter Angie; dog Chelsea

What’s new at your company?: "Last year, Ozaukee Bank reached the $1 billion mark in total assets under management. That was a milestone that caused me to stop and reflect on changes leading to our growth. One recent change was the opening of the first Ozaukee Bank Business Center in downtown Milwaukee. Our goal was to bring the community bank strengths of Ozaukee Bank to downtown Milwaukee. Another initiative that was recently brought to market is our new wealth management model."

What will be your company’s main challenges in the next year?: "To be successful, you must train yourself to look beyond what you see. In community banking, many times that requires us to think like entrepreneurs. After the outstanding mortgage refinance boom of the past two years, we will return our focus to balancing growth."

If interest rates rise in late 2004, what kind of impact will that have on your bank? "Should interest rates rise, it would be the result of an improving economy, rising employment levels and increased retail and manufacturing activity. This should be positive for the bank’s clients and result in additional opportunities for Ozaukee Bank. Of course, as a bank, we would always prefer to see rates rise slowly."

Do you have a business mantra?: "Making a difference. For all Ozaukee Bank associates, this phrase has become our business mantra, as we continually look for ways to make a difference in the lives of the people and businesses in the communities
we serve."

From a business standpoint, who do you look up to?: "Herb Kelleher, founder of Southwest Airlines. He was an entrepreneur who took a start-up airline and turned it into the most successful airline in America with a simple formula – engage the hearts and minds of all employees."

What was the best advice you ever received?: "It’s not only advice, but has become my favorite saying: ‘See the world through the eyes of a child.’"

What do you do like to do in your free time? "My interests include reading, youth soccer, volleyball, skiing and travel."

Feb. 6, 2003 Small Business Times, Milwaukee

Performance

Question: We are considering holding our sales staff accountable for demonstrating performance in certain sales-related skill areas. How should we determine the skills to measure?

Answer: There are two main areas that you need to consider. The first is whether or not the salespeople know what they need to know about the skills required to do their jobs. The other is to measure whether or not a salesperson actually uses those skills. You may consider measuring and rewarding both.
The first step is to look at the specific job requirements. Then, identify the skills that directly relate. For instance, the skills required for inside or outside salespeople may vary. It doesn’t make much sense to hold someone accountable for skills that he or she is not trained in or doesn’t have knowledge of.
Once you have identified the skills, craft a knowledge assessment. If a salesperson fails any given segment of the assessment, he or she will require remedial training before you can expect accountability in terms of performance.
Lastly, ask salespeople to demonstrate how they use the skills to affect sales outcomes. But don’t measure whether or not they can demonstrate the skills in a role play. It doesn’t prove that they are actually using their skills. Instead, look at specific examples of how they have used their skills to impact sales success. Anecdotal examples work quite well for that type of measurement.
Then, make sure you reward sales performance. Use a carrot, not a stick.
Following are some of the most typical skills to measure for sales roles.

Adjusting to customers
— Utilizes a consultative sales approach to outsell the competition.
— Identifies their sales style and how it effects interactions with customers.
— Identifies the dominant behavioral style of customers.
— Adjusts sales approach with customers based on their dominant style.
— Identifies the preferred language of customers.
— Adjusts sales approach with customers based on their preferred language.

Prospecting
— Analyzes most profitable sales efforts.
— Demonstrates telephone-prospecting skills.
— Assesses potential in existing accounts.
— Creates sales call objectives.
— Identifies and develop strategy for key influencers.
— Utilizes customer profiling to develop account strategy including planning meetings with the customer.
— Develops, prioritizes and maintains a market and territory plan.

Building relationships
— Builds trust and rapport.
— Utilizes profile information to build long-term relationships.
— Develops a strategy for building relationships with key influencers.
— Improves customer satisfaction by addressing individual customer needs.
— Utilizes customer profiling information to increase customer satisfaction.
— Utilizes creative problem solving to develop long-term customer strategies.
— Identifies issues and solutions specific to each customer’s business goals.
— Handles stalls and objections
— Clarifies stalls to the sale.
— Categorizes and develops answers to most common objections.
— Overcomes stalls to most common objections.
— Turns price objections into total cost opportunities.
— Demonstrates value for each customer.

Consultative selling
— Assesses individual needs and wants of customers.
— Applies benefits and features appropriately in order to emphasize value for the customer.
— Utilizes questioning skills appropriately in customer interactions.
— Utilizes the consultative sales approach on sales calls.

Closing andgaining commitments
— Recognizes opportunities to gain commitments.
— Utilizes closing techniques to gain commitments and shorten the sales cycle.
— Recognizes and acts on buying signs.
— Applies convincer strategies where appropriate.

Negotiation
— Utilizes a collaborative approach to negotiation.
— Plans for successful negotiations, including evaluating powers and making concessions.
— Identifies tactics utilized by buyers.
— Applies the rules of successful winning negotiations.
— Uses win-win negotiation techniques, so both seller & buyer win.
— Plans for the different reasons that people negotiate.
— Recognizes their negotiation style and the negotiation style of the buyer.
— Makes successful concessions to improve profitability.
— Recognize powers and strengths in negotiation.
— Handles buyer tactics.

Marcia Gauger is the president of Impact Sales, a performance improvement and training company with offices in Wisconsin, Florida and Arkansas. You can contact her at 262-642-9610 or marciag@makinganimpact.com. Her column appears in every other issue of SBT.

Feb. 6, 2004 Small Business Times, Milwaukee

Rejuvenate your career with healthy diversions

To stay healthy, business executives occasionally need to pop up out of the bunkers of their companies and careers and divert their energies somewhere else, even if it may seem frivolous.
That’s the belief of Maggie Jacobus, a certified lifestyle coach for the Covenant Healthcare Center for Complementary Medicine in Mequon.
Jacobus advises all of her clients to "make time for joy and enjoyment."
Area colleges such as the University of Wisconsin-Milwaukee, the Milwaukee Area Technical College, Marquette University, Cardinal Stritch University and Alverno College offer non-credit personal development classes that can be a source of energy release or a much-needed mental break for busy professionals.
"If you engage in creativity and other skills, it is more beneficial to you and makes your time at work that much more focused and productive," Jacobus said. "If interests like writing, yoga or interior design appeal to you, they can fill you up and give you energy and joy."
The non-credit courses are offered year-round for adults as part of each college’s school of continuing education.
From history and cooking classes to acting, you do not have to be a student of the collage to enroll, and most of the classes are offered for less than $200.
All of the colleges offer evening and Saturday classes that typically involve a one- to four-session commitment that can easily be worked into a busy schedule.
At UWM, business people can learn interior design basics or how to decode dreams. They can sign up for four evenings with a personal trainer to learn how to relieve head, neck and shoulder tension or improve their golf games.
If longer commitments or business-related classes are of interest, UWM also offers eight-week language and culture classes, as well as computer program, business writing and productivity workshops.
"We follow trends in the marketplace when selecting courses to offer," said Lucy Holifield, director of the Small Business Development center at UWM’s School of Continuing Education. "Some key trends are enriching types of programs, like art and theater, and parents that work during the day might enjoy a massage class for couples, yoga or cooking."
Holifield said the School of Continuing Education also offers a variety of business classes for people to use either as an outlet or to enhance their skills, and the downtown location above The Shops of Grand Avenue is convenient for businesspeople working in the area.
"We also offer classes on time management to help balance a busy life," Holifield said.
Cardinal Stritch University offers many different types of non-credit, personal enrichment courses, according to Vicki Bohman, spokeswoman for the school.
"Tap dancing, writing children’s literature, photography, languages for travelers, assertiveness training, spirituality, wellness. We really run the gamut here," Bohman said.
Jan Jensen, a doctor of chiropractic and a licensed acupuncturist at the Jensen Health and Energy Center, Wauwatosa, said it is important from a neurological perspective to constantly learn new things. According to Jensen, learning helps to strengthen the brain and keep people young and healthy.
"It is also the concept of fun," said Jensen. "The Wisconsin winters are dreary and can be hard on the nervous system and mood."
Jensen said the ethnic cooking classes offered at colleges can be physically beneficial, as well.
"It is very important to be able to cook a variety of foods, because you tend to eat better when you cook it yourself. You are in control, and you can learn about the types of spices and things that you are actually eating."
MATC’s courses can be both enjoyable diversions and effective allocations of time, according Jim Gribble, spokesman for the technical school.
"We think it is a terrific way for people to discover an interest, and if it leads to a hobby or a career, it improves their lives," Gribble said.
Gribble said MATC also offers its non-credit courses out of each academic department, including crafts, hospitality and motorcycle riding and safety.

Feb. 6, 2004 Small Business Times, Milwaukee

More women filling bank management roles

More women filling bank management roles

By Katherine Michalets, of SBT

When customers walk into the new St. Francis Bank branch office in Oak Creek, they will notice eight smiling faces, all of which belong to women.
As one of seven all-female branches in the St. Francis Bank system, the Oak Creek office at 125 E. Puetz Rd. offers its employees many opportunities, according to Kim Jankowski, the Oak Creek branch manager and assistant vice president.
Jankowski is one of 17 female branch managers employed at St. Francis Bank. With 23 branches, female branch managers are the majority at St. Francis Bank.
Indeed, the banking industry, long the denizen of men in business suits, has increasingly become more receptive to women.
"There has not been so much an increase of women in banking. I would say women in management positions, I’ve seen a definite increase in that," said Judith Gauvin, executive vice president-human resources at St. Francis Bank.
Women at St. Francis Bank hold 32 of 70 (44%) of the company’s officer positions. Of the 590 employees at the Brookfield-based corporation, 440 employees are women.
Lisa Wolf, senior vice president of marketing at St. Francis Bank, believes opportunities such as training and the support of tenure attract female employees and help retain them.
St. Francis Bank does not discourage the hiring of male employees, Jankowski said, but instead hires "the best candidate at the time."
Cynthia Loew, executive director-community relations for the Milwaukee-based Merchants & Manufacturers Bancorporation (MMBC), has seen a change in the roles that women play in banking.
"In my opinion, the last 10 years have seen a change, and women are finding themselves in leadership positions in banking," Loew said.
In fact, Lincoln State Bank and Franklin State Bank, subsidiaries of MMBC, both have female presidents.
Cheryl McCollum, director of communications for the Wisconsin Bankers Association, said that for the first time, two women are on the Wisconsin Bankers Association’s board of directors. "We are noticing more and more women joining the association and committees," said McCollum.
Women also are becoming more involved in the Wisconsin Bankers Association’s Leadership Development Program, a training program for future bank leaders. According to McCollum, four of the 20 participants were women this year.
Amelia Macareno, senior vice president and commercial lender at Lincoln State Bank in Milwaukee at 1000 N. Water St., also sees an increase of women in banking.
"We are starting to see more and more women in key leadership positions," she Macareno said. "I am proud of our organization because there are quite a few women in key leadership positions."
Macareno believes women tend to have skills that make them good bank employees. "Women bring a lot to banking. They are very customer service orientated, and they have good management skills. They also have good analytical skills," she said.
"From an employer perspective, I know that women are good listeners, and they are very dedicated. They are very empathetic and work hard to resolve any kind of customer situations that might come up," Jankowski said.
"Banking is orientated towards women, especially teller positions and retail bankers," said Donna Sweet, president of Franklin State Bank.
At the two branches of Franklin Sate Bank, 19 out of 20 employees are women, and the only male works part-time.
MMBC currently employs 303 women and 108 men.
Carla Breunig, executive vice president of MMBC subsidiary Layton State Bank, said that 80% of retail banking positions are held by women. However, at the bank’s executive level, that number is reversed, with 80% of positions held by men.
Marshall & Ilsley Corp. (M&I Bank) has the largest banking presence in Wisconsin. Headquartered in Milwaukee, M&I has 12,128 employees in 251 branches in seven states. Female employees are in the majority with 7,863 women at M&I.
Women also hold about 48% of the company’s officer positions.
M&I has a long history of supporting women in banking, according to Patty Cadorin, vice president and corporate communications director.
"M&I appointed Wisconsin’s first female bank officer in 1926 and through its history has continued to value the contributions of female officers and executives throughout the company," Cadorin said.
The number of women officers at M&I tend to increase every year, Cadorin said.
Although more women are attaining higher positions in banks, Macareno sees room for improvement.
"Women don’t have as much access to mentoring as men do," said Macareno. "I think that it is a dynamic time for women to be in banking. I would encourage anyone in college to consider a career in banking."

Oct. 17, 2003 Small Business Times, Milwaukee

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