BOMA Membership: Excellent ROIEducation…Networking…Advocacy Mean Greater Profitability

Why do companies join BOMA?For more than a century the Building Owners and Managers Association has

been delivering tangible benefits to commercial real estate and allied companies to a network that has grown to more than 100 BOMAsin metro areas like the East Bay. BOMA collective-ly represents 16,500-plus members who own ormanage more than nine billion square feet of commercial properties.

“BOMA delivers,” says Manny Moreno, chairof BOMA Oakland/East Bay’s Membership andMember Services Committee and a commercialreal estate professional. “That’s why people in ourindustry who want to operate the most profitablefacilities join BOMA, take advantage of its educa-tional and networking programs and support itsgovernment advocacy goals.”

“There is a definite payback to membership,”says BOMA Oakland/East Bay Executive DirectorStephen Shepard. “BOMA provides training foremployees in the latest methodology, keeps indus-try professionals up to date on the latest code, regulatory and statutory developments—and

brings allied service professionals much closer together with property and assetmanagers to achieve industry-wide goals—like sustainability.”

Serving Oakland...Bayside Cities...and Along the 680 Corridor

BOMA serves every type of commercial facility throughout Alameda andContra Costa Counties: office buildings, industrial and retail. And we providemembership opportunities for firms that sell every type of product and serviceneeded for building operations.

Numerous firms that serve buildings reportedly generate much of their businessthrough active membership in BOMA. Their representatives serve on committees,help create events and provide financial and intellectual resources to BOMA.

Many BOMA members report enjoying the camaraderie of being with people atsocial events like golf outings, theme parties, luncheons and serving on committeeswith others who understand the unique nature of commercial real estate.

“Mixing business with pleasure can also deliver some ROI, because people tendto share insights and knowledge when they are relaxed sometimes more than sittingacross from each other in a conference room,” says Shepard.

2012-13 TOBY Winners

BOMA Beats ADALawsuit Abuses

BOMA 360 Buildings Get

Higher Tenant Scores

ADA reform legislation, supported by BOMA California, will curb lawsuitabuses arising from the Americans With Disabilities Act, while promotingincreased compliance with disabledaccessibility building codes.

A recent CoStar surveyshows that buildingsthat attain BOMA 360status are likelier toretain tenants. And aKingsley & Associatesstudy detailed the rea-sons in recent survey.

(See back page for details)

(See Page 8 for details)

555 12th Street (above left) and Century 21 2100 Franklin-2101 Webster Streets (above right)

Photo by Marlo Lao, Courtesy of Visit Oakland.

BOMA advocates for members’interests before local, state and federal governments.

What are 2013’s greatest challenges for commercial real estate in the East Bay…in California?

Overall, CRE transaction activity is likely to grow at a slower pace due to continued economic uncertainty. Given easier access tocapital, REITs have a greater opportunity todominate the transaction activity in the nearterm. While some may argue this isn’t ideal forthe smaller private real estate sector, which is alarge composition of East Bay CRE, growingcompetition from investors such as institutions

and private equity funds are not far behind. One of the larger issues is thatconduit lending, which investors depend on to finance non-trophy assets intertiary markets, has not experienced a meaningful recovery trend.

How can our industry best meet these challenges?

In the East Bay market, distressed assets will continue to be a key transaction catalyst, as lenders seek to permanently resolve troubled mort-gages. The good news is that economic indicators point to a better outlookfor the East Bay as the region continues down the path of recovery.

Industries supporting long-term strength of the East Bay, like health care,science, and technical services, are growing by some of the largest margins.As the cost of residential real estate in parts of the East Bay remains at historic lows, coupled with the lower cost of commercial real estate in theEast Bay as the most affordable in the Bay Area, we will likely attract theattention of the new and growing businesses that benefit from the continu-ing economic growth of the region.

Not surprising, as rental rates increase in San Francisco and San Jose disproportionately to the East Bay, some companies vacate the former andmove to the East Bay. A good example of this trend occurred in 2007, asrates increased in San Francisco and San Jose but remained flat in the EastBay, net absorption turned negative in the dominant markets but spiked up briefly in Oakland. Finally, with rates rising in San Francisco and San Joseonce again, the East Bay may benefit from a windfall of new occupanciesfrom companies moving from other regions of the Bay.

What are your own goals for BOMA as this year’s president?

In 2013 my plan is to continue to guide the strategic leadership goals andobjectives established through our Board of Directors. Our focus will includegreater integration of committee leadership and board objectives. Providingfor increased membership involvement of both associate and principal members will also be an important goal, as well as alignment of our educa-tional and monthly program events. It is also true that we will partner withother BOMAs and local industry affiliates to broaden our community interestin common initiatives such as the Bay Area TOBY and EARTH Awards.

Thanks to Our 2013 Partners

2

Thebeau is President of BOMA Oakland-East Bay and Director ofOperations - Northern California LBA Realty.

Platinum PartnerUniversal Protection Service

Gold PartnersAble Services

ABMAlliance Roofing

PG&E

Silver PartnersArborwell

Biagini WasteCagwin & Dorward

Heathorn Mechanical ServicesHorner & Singer

Perfection SweepingSecuritasUnisource

Principal PartnersBramasole Properties LLCBrandywine Realty Trust

CBRECIM

LBA Realty

President’s Corner

Melody Thebeau

BOMA To-Do ListParticipate in the BOMA Experience

Exchange Report. Benchmark your

operating income and expense.

Become a BOMA 360 building and

show your leadership in best-

practices building operations.

Register for BOMA International's

Every Building Conference & Expo,

June 23-26, San Diego.

✔

✔

✔

Learn more at www.boma.org

Musician Scott Kirkpatrick is a perfect example of how someone can migratefrom a career far afield of commercial real estate into successful property manage-ment. He’s still composing and performing music, but Kirkpatrick has climbed theCRE and BOMA ladders. The Cushman & Wakefield Corporate Occupier &Investor Services Director in Walnut Creek has served as president of BOMAOakland/East Bay and has also been a guiding force on several committees.

Kirkpatrick has also taken full advantage of BOMA’s educational and networkingprograms. “From an educational standpoint, BOMI’s offerings are excellent college-level courses that cover a myriad of disciplines within the field of property manage-ment. Receiving my RPA was crucial for my integration from the music industryinto commercial real estate. From a networking perspective, I am indebted to theorganization for providing the basis for meeting some lifelong friends and acquain-

tances not only in the Bay Area but in many major markets in the U.S.,” he says.Joining BOMA Oakland/East Bay in 1987, he began serving on the Programs and

Educational Committees, but has since shifted his focus to government relations.“Today I am more interested in seeing how we can leverage our advocacy efforts to the extent that building owners take notice

and offer more support. Our legislative victories at the local, state and national level have really saved owners a tremendousamount of money, yet we still have a difficult time convincing some of them that there is value in their assets being memberbuildings,” says Kirkpatrick.

When Kirkpatrick isn’t managing properties, he’s making music, skiing, surfing, enjoying time with his 10-year-old daughterCaroline and mixing a little business and pleasure with his property manager wife Andrea.

Associate Profile

3

After hours, Scott enjoys playing the drums and composing music.

Scott Kirkpatrick, Director of Corporate Occupier

and Investor Services, Cushman & Wakefield

Sue Rinetti, Account Executive

ABM Janitorial Services

If you’re a member of BOMA and it isn’t paying off for you, chances are you probably haven’t met Sue Rinetti and heeded her advice. She’ll tell you quickly that if you don’t feel you’re getting a return on your investment in BOMA, it is probablybecause you aren’t taking advantage of its many opportunities to network, learn theindustry and gain career advantages.

In her many years of BOMA membership, spanning two careers, she’s learned that getting involved in committee work is the key to success. As a new member, she first joined the Membership Committee. “What a great way to start!,” she says. “I was talking to people I never would have met. I spent time with the ‘decision-makers,’ people I never would have gotten close to only attending the luncheons.”

Since then, she’s moved on to the Associates Committee, which she chairs this year. It’s the primary event-planning committee and, as such, the panel that generates the most appreciation within the organization for the many enjoyable parties they create.

Rinetti says: “BOMA Oakland/East Bay has helped me so much in business. If youmake a five-minute impression on a decision-maker, your membership is worth it! My pet peeve is when people tell me theyaren’t renewing their membership because they don’t think it paid off. I ask them if they had gotten involved at all. Theresponse—I went to the lunches and no one talked to me. Well, if you don’t get involved, no one is going to get to know you.”

She’s taking her enthusiasm to the board this year, where her leadership will pay off for the whole organization.

Principal Profile

Sue is an avid San Francisco Giants fan.

4

Prepare Your Building for the Future of Telecom

For more information, contact:Dave Ellebrecht, Vice President/General Manager925.953.7027Dave.Ellebrecht@twtelecom.comwww.twtelecom.com

Make your building’s telecomnetwork accessibility a defining element of your value proposition!

Building owners and managers know that telecommunication infrastructureis one of the most critical features potential tenants look for.

Tenant access to ultra high-speed, secure, scalable networks that

support cloud computing, Internet and Business Ethernet is not

a luxury, it’s a necessity! And end to end fiber is a must—

copper can’t satisfy the growing appetite for bandwidth.

tw telecom is a leader in “future fitting” buildings,

providing next generation network connectivity that

meets all those needs and anticipates tenant growth

and technology advances. With our fiber optic network,

we connect to nearly 17,000 buildings in the U.S.

And our

fiber doesn’t

stop at the

building telecom

common area space (MPOE). We coordinate with your building engineer

and riser management company to vertically pre-position fiber optic

cable to all floors. Our unique, proactive approach conserves riser

space, minimizes disruption and facilitates fiber connectivity directly

to the tenant’s suite for optimum network performance and reliability.

The result is a “close the deal” selling point that sets your building

apart from other properties.

Please contact tw telecom to upgrade and “future-proof” your

property. Make your building’s telecom network accessibility a defining

element of your value proposition!

5

BOMA Events Mix Networking & FunBackpack to Briefcase Seminar: Etiquette Fall Golf Tournament

Texas Hold ‘em

Thanks to OurSponsors:Universal Protection

Service

CBRE 5 Star

Conference Center

Fun was had by all at our

Texas Hold ‘em night that

benefited Camp Wonder.

Left: seminar class learns valuable tips on business etiquette.

The winning foursome: Eric Brown, Brad Meyer, Brian Curl and Steve Nahm.

Top left: first and second place winners Tyler Morley, PD Larson Construction and ChuckGaskin, ABM. Top right: big winner Ebony Pickatay, LBA Realty. Lower left: volunteers Kathleen Taylor, Paul Davis Restoration; Becky Law, MCC Realty; and PK Green. Lower right: Singers: Denise Yee, PM Realty Group; Janet Burlinson, CustomizedCustodial; Mandy Newton, Varsity Painting. DJ Michael Ybarra, Century Lighting.

Event Sponsors

Main Event Sponsor

Township Building Services, Inc.

Bar Sponsors

ABM, Able Services, Calvac Paving

Table Sponsors

BSM, MCC Realty, Marble West,

Miller Star Regalia, Peacock

Construction, Perfection

Sweeping, Service Master

Restoration Services,

Universal Protection Service,

Waxie Sanitary Supply

Card Sponsor

Varsity Painting

Wine Sponsors

Arborwell, Cole Supply,

Paul Davis Restoration

DJ Sponsor

Century Lighting

6

7

PROVIDING SOLUTIONS TOSTORMWATER POLLUTION

Contact DPS for a FREE system inspection and evaluation.P 800-579-8819 | F 707-524-8188 | www.drainageprotection.com

Drainage Protection Systems (DPS)

Comprehensive Maintenance ProgramsComply with Federal, State & Local Regulations

Leading Service Provider since 1993

ADIVISION

OF KRISTAR ENTERPR

ISES

, INC.

Last year’s election produced a two-third’s“supermajority” of Demo-crats in the California

legislature that have broad taxing authority, in spite of any Republican opposition. Some Bay Area legislators areleading tax-hike efforts.

The California Against Higher Property Taxes (CAHPT)coalition of business organizations is renewing its effortsthis year to oppose new tax-hike proposals—especially“Split-Roll” legislation offered by Senator Mark Leno (D-San Francisco) that would allow local parcel taxes forschools to pass with 55 percent of the vote, instead of thetwo-thirds currently required.

“Increasing property taxes will only hurt California’ssmall businesses, workers, consumers, seniors and taxpay-ers and further damage our state’s struggling economy.We don’t need more new taxes placed on California tax-payers,” says CAHPT.

Meantime, BOMA California reports that Assemblymember Rob Bonta (D-Oakland) has also introduced aparcel tax measure that may even be of more concern for owners of non-residential property, as its effect will be to create a de facto split roll property tax at the locallevel. The bill, AB 59, (Bonta) would specify that the provisions requiring uniform application of taxes shall notbe construed as limiting a school district from assessingtaxes in accordance with rational classifications among taxpayers or types of property, thereby abrogating theholding in Borikas v. Alameda Unified School District.

Advocates of this policy would like to be able to charge a much higher property tax to commercial proper-ties versus residential properties making it easier to passsuch taxes with the voters in the district by keeping therate low on actual voters while hiking them on businesseswho are unable to vote.

Concerned? Let your legislators know your position.

Californians Organize Against Higher Taxes

State Issues Report

8

• A compelling benefit that beats the

high cost of gas and parking?

• Smart mitigation for your new

development or expanded business?

• A better way to go green?

The answer is the AC Transit EasyPass.

Employee and residential groups get an

annual transit pass that goes anywhere

AC Transit goes—anytime!

Don’t miss out! EasyPass is loved by

residents, employees, developers, and cities.

It’s easy to get going and start saving!

www.actransit.org/easypasseasypassinfo@actransit.org (510) 891-5444

AC Transit buses serve the

East Bay, San Francisco,

and the Peninsula.

Is your business missing something?

Innovation inMechanical System Design

Installation and Service

Services Provided• Guaranteed & Preventive

Maintenance• 24/7 Emergency Support• Energy Star Benchmarking• Building Monitoring• And Much More

510.569.1300www.hmservice.biz

Serving the Bay AreaSince 1932

Tenants and brokers are increasingly looking for the “BOMA 360” logo in buildinglobbies. And there’s a reason why. Studies have shown that buildings with this distinctionhave higher tenant satisfaction scores. To become a BOMA 360 building, a building must have attained the highest industry standards in building management and opera-tions, safety and security, training and education, energy conservation, sustainability and tenant and community relations.

"In this competitive marketplace, commercial property professionals need to findways to differentiate their assets," said BOMA International former Chair Ray H.Mackey, Jr., partner and chief operating officer, Stream Realty Partners, L.P.

BOMA 360-designated buildings in the East Bay include: 180 Grand Ave. (Oakland),2100 Powell (Emeryville), 555 City Center (Oakland), Pacific Plaza (Walnut Creek),Pleasanton Corporate Commons (Pleasanton) and 1300 Clay Street (Oakland). For more information about BOMA 360, visit www.boma.org.

BOMA 360 Buildings Increase Tenant Satisfaction

Proper cleaning productsand procedures are key tothe health and productivity

of building occupants.Unisource emphasizes

products that meet LEEDcriteria, making going green

good, practical business!

Call today, and one of our ISSA-certified Green

Cleaning Professionalswill perform a complimentary

review of your building!

800-864-7687www.UnisourceWorldwide.com

9

President Obama’s reelection, coupled with a Democratic

majority in the U.S. Senate and a largerDemocratic minority in the U.S. House, meansrenewed focus on issues ranging from energyuse to climate change (both mentioned inObama’s inaugural address), higher taxes andlegislation supported by labor unions, such as“card check.”

BOMA members who want to influence federal legislation and regulations must maketheir views known through their members ofCongress as well as directly to the White Houseand relevant federal agencies.

One of the best ways to track governmentactions that influence the way you do business is to regularly visit www.boma.org and click on the Advocacy tab. BOMA’s trained govern-ment relations team keeps its fingers on theWashington pulse.

Checking out BOMA International’s web-site also keeps you abreast of developmentswithin your industry on a national level and incities around the country.

NOTE: East Bay area congressional leadersare Senators Dianne Feinstein and BarbaraBoxer (who represent everyone in the State of California). U.S. Reps. George Miller, MikeThompson, Barbara Lee, Jerry McNerney andEric Swalwell represent various East Bay dis-tricts in the House of Representatives. You canlearn more about their positions on the issuesand obtain contact information by visiting the website www.house.gov. For Senators Feinsteinand Boxer, visit www.senate.gov.

FYI: For an in-depth report on issues facingcommercial real estate this year, order BOMAInternational’s 2013 Issues Reports, an essentialBOMA publication that highlights BOMA’sadvocacy agenda for the 2013 year on legisla-

tive, regulatory and codes issues. It covers issues such as energyefficiency tax incentives, catastrophe insurance and leaseholddepreciation. Visit www.boma.org.

National Issues Report:

News from Washington

Make Sure BOMA’s Voice is Heard

10

With Gratitude to Our Sponsors

Main Event: Alliance Roofing and LBA Realty

Drink Sponsors: Able, Bauer’s Intelligent Transportation,

BWRS, Waxie Sanitary Supply

Food Sponsors: Cole Supply, Marble West, PD Larson

Construction, ThyssenKrupp

DJ Sponsors: Coast Landscape, Otis Elevator

Photo Sponsor: Universal

Protection Service

Napkin Sponsors: ABM, Georgia

Pacific

Party Favor: McNevin Cleaning

Holiday Party at The Claremont

Top photo: BOMA friends celebrateLower left: Ed Ma, Able; and JeneaneJennings, CAC Real Estate ManagementLower right: Sue Rinetti, ABM; MarilynBanks, Crosspoint Realty; KarenCowan, Restoration Management; LynnLinhares, California Plaza

BOMA Oakland East Bay’s annual Holiday Party

was a festive occasion at The Claremont.

11

Faleschini Leaves Great BOMA Legacy

All people die, but a fewspecial people live on in thehearts and minds of those they influenced. Who theywere and what they represent-ed endures in those of us whoknew them. Such a man wasGary Faleschini, as evidencedby the many eulogies that fol-lowed his death last year and asseen by the tears and numerous stories told about him by thosein his many business circles.

What did Gary leavebehind that is profitable for the

rest of us? Beyond the natural warmth that he projected to all,Gary left some very practical business strategies for success thatwe can all use. His three decades of success in the janitorial-sanitary industry were built to some extent on his personalcommitment to learn all he could about the buildings industry.

He did this by participating in commercial real estate activitiesfar beyond his responsibilities as a vendor of products. Heknew he could more effectively provide for his clients if heunderstood their greater business challenges. He did this primarily through leadership positions at BOMA Oakland/East Bay and BOMA San Francisco.

Gary’s second major contribution was taking a long-termperspective in cultivating relationships. Instead of narrowlyfocusing only on people who could purchase the line of products he represented, he tried to be a useful friend to almosteveryone he met in the greater CRE industry. He freely sharedhis knowledge and extensive network with anyone—neverexpecting an immediate payback. Simply put, he became thesort of person everyone wanted to know and was treasured byall who experienced his friendship.

BOMA Oakland/East Bay Executive Director StephenShepard says, “Gary had a personal passion for BOMAOakland/East Bay and our mission to serve the CRE commu-nity and profession. This passion was contagious, and it motivated many. This loss has created large shoes to fill.”

Gary Faleschini was a loyal BOMA member and friend.

Telling customer prospects how your company’s services

or products benefit them—using statistics, photos,

graphics, charts and testi-

monials—is the most effec-

tive way to increase sales.

How much money did your

product save building

operators? Were tenants more

productive in their space

after your tenant-improve-

ment project? Can you

improve service delivery? Are your innovations producing

healthier buildings? You can describe benefits like this in

What’s The Best Way to Reach Your Target Audiences?

Green product or service providers: Reach your prospects in a special Sustainability Report

that will be presented at the BOMA Bay Area EARTH Awards event on May 16. As a bonus, the report

will also be included in the Spring issue of BOMA San Francisco Views. There are opportunities for

both display ads and sponsored reports. Email ellen@easoncom.com to learn more.

display ads. You can also

demonstrate the value you

deliver by purchasing a special

sponsored report in a BOMA

publication that your target

audiences are likely to read. Sponsored reports in

BOMA Horizons are

very persuasive.

And you can use

them in your own

marketing and

promotion—both

print and online.

Contact Ellen Eason

415.596.9466

ellen@easoncom.com

To Feature Your Company

hen a building wins a TOBY award it conveys several very tangible benefits that translate into amore profitable operation. Being an “Outstanding

Building of the Year” in a particular category sends multiplemessages to owners, brokers, tenants and prospects and

others. Judged by a jury of peers, the winners can legitimatelyclaim they are doing the best job of any other building in theirarea in a particular category.

Even entering the TOBYs contest means everyone involvedin operating the building is proud of their accomplishments.

In & Around Your BOMA

By Stephen Shepard,Executive Director

BOMA Oakland/East Bay

WCelebrating TOBY Winners

BOMA HORIZONS is published by Eason CommunicationsLLC for BOMA Oakland/East Bay

Editor: Henry Eason

Ad and Art Director: Ellen Eason

Eason Communications LLC

To advertise, contact: Ellen Eason at415.596.9466 or ellen@easoncom.com

About BOMA Horizons

Just getting ramped up for the contest renews a buildingteam’s commitment to the very best practices in many categories: tenant relations, energy management, environ-mental compliance, emergency preparedness, personnel training and community relations. This effort improves abuilding’s performance, which translates into value for all concerned.

For these reasons, I applaud the Center 21 Team at 2100 Franklin-2101 Webster Streets and the 555 12th StreetTeam for an incredible showing in winning the 2013 TOBYAwards in their categories: the first for buildings of 500,000to 1 million square feet and the second for buildings of250,000 to 499,999 square feet.

Earning an award will also allow regional winners to automatically achieve the minimum required points in as many as four of the six sections of the BOMA 360 application. In addition, BOMA International approved a $300 discount off the BOMA 360 application fees for all regional TOBY winners.

The TOBY Awards Committee will be hosting a TOBY101 Workshop in March in conjunction with the luncheon. Ihope you will come and see what is required to submit for theTOBY. Let’s not only have a showing locally in every categorybut regionally—and nationally. I guarantee that participatingin the process will improve your building’s performance.

The victorious Century 21 team celebrates its hard work and recognition at the annual TOBY awards event.

PRSRT STDUS Postage

PAIDOakland CA

Permit No. 3729

Printed on recycled paper.

BOMA Oakland/East Bay1000 Broadway, Suite 200-KOakland, CA 94607

510.893.8780www.bomaoeb.org