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JUNE 2016 SFBWMAG.COM 7.95 S.R. Tommie The Wings of Success Where can we help you next Over three decades of experience advising clients on strategic acquisitions and dispositions and providing landlord representation tenant representation property management and construction management services. We bring you real estate solutions around the block or around the world. Fountain Square Boca Raton FL A 241 000 square-foot Class-A office property consisting of three buildings surrounding a cafe courtyard and a grand fountain. Minutes to I-95. Jupiter Med & Tech Park Jupiter FL This 186 000 square-foot med tech facility is located on a beautiful 16-acre corporate campus setting in the heart of the Jupiter Medical Center. City Centre Palm Beach Gardens FL A 93 700 square-foot office mixeduse plaza in Palm Beach Gardens offering retail and office tenants excellent choices at great rates. Golden Bear Plaza Palm Beach Gardens FL A 243 000 SF Class-A office complex with beautiful Intracoastal and ocean views with lush landscaping. Located just north of PGA Boulevard on US 1. Centrepark Office Buildings West Palm Beach FL A 479 000 square-foot collection of Class-A office buildings with access to everything... I-95 PBIA downtown and more. If you need it we ve got it 4400 PGA Boulevard Palm Beach Gardens FL This newly renovated 10-story 80 000 SF office building enjoys a highly visible and prestigious location at the intersection of PGA Blvd. and I-95. West Palm Beach 561 471 8000 Boca Raton 561 394 5200 Don t overthink transportation and logistics. That s our job. It s hard for you to grow your business when you re too focused on moving it. We ll get rid of your headaches by bringing you the Fleet Management Supply Chain and Dedicated Transportation solutions you need to improve - all backed by over 80 years of expertise. Discover how outsourcing with us can improve your fleet management and supply chain performance at Ryder and the Ryder logo are registered trademarks of Ryder System Inc. Copyright 2016 Ryder System Inc. JUNE 2016 3 How long have you dreamed of living on the water Right now Riva is building the perfect blend of both. The carefree living of a stylish condominium. Plus the casual leisure of a home on the water. Whether you travel by paddleboard or speedboat. Whether you host dinner parties for 20 on your oceanview terrace or moonlight cocktail parties on your private rooftop. Whether you relax at the gym and lap pool or indulge at the spa and sundeck. The elegant lifestyle at Riva is everything you expect in luxury waterfront living. PREMIER DEVELOPERS We are pledged to the letter and spirit of the U.S. policy for the achievement of equal housing opportunity throughout the Nation. We encourage and support an affirmative advertising and marketing program in which there are no barriers to obtaining housing because of race color religion sex handicap familial status or national origin. Oral representation cannot be relied upon as correctly stating representations of the developer. For correct representations make reference to the documents required by section 4 JUNE 2016 How long have you dreamed of living in the city And whether your home will be an exceptionally large 2 bedroom with sunsets and city lights a 3 bedroom with a 60 foot terrace over the river or a two-story penthouse with a private pool you ll find it under construction at Riva today for move-in next season. From 700K to over 3 million. Dream no longer. Visit our new sales center at 1200 E. Las Olas Boulevard. 954.233.3288. 718.503 Florida Statues to be furnished by a developer to a buyer. Obtain the property report required by federal law and read it before signing anything. No federal agency has judged the merits or value if any of this property. All features dimensions drawings graphic material pictures conceptual renderings plans and specifications are not necessarily an accurate depiction and are subject to change without notice and Developer expressly reserves the right to make modifications. TABLE OF CONTENTS 12 SPACES Pipeline creates spaces that spur community and collaboration 38 INNOVATION 40 DIVERSITY Leaders from UM MDVIP and ABB Optical Group on how to succeed 62 BEHIND THE MIC 66 TECH HUB Where to find value in real estate 23 PROFILE 64 NONPROFIT GOVERNANCE Board meetings that don t waste time How to create a laptop alternative Bill Kerdyk talks about commercial real estate golf and banking Businesses create supportive LGBT workplaces tap into new customers 24 MANAGEMENT PWC s Florida leader helps fuel growth in the consulting field 42 HEALTH CARE 50 WEALTH 56 LAW Cutting-edge tools to fight cancer 26 ENTREPRENEURSHIP 30 CEO CONNECT 34 TALENT 46 SPECIAL REPORT Have oil prices bottomed 68 SALES STRATEGIES Finding the REAL truth New type of incubator helps local companies with innovation Dad & Co. Fathers light the way 70 PEOPLE PASSION AND Three words that are key to your continued success PROFITS Michael Daszkal stands out as the leader of a top accounting firm 52 SFBW AGENDA Distilleries as a status symbol Tri-Rail stays on track an icon closes 72 FAMILY OFFICE 76 MOTLEY FOOL 80 GAMBLING Fiduciary The good F word Top recruiter discusses what it takes for employers candidates to match 36 ENTREPRENEURSHIP Miami attorney plays key role in keeping the Olympics on schedule 74 COMPETITIVE EDGE Don t apologize for good bets Be more interested than interesting AOL founder tells how to succeed in the third wave of the internet 58 REAL ESTATE Office industrial retail look robust amid questions about condo market 78 TAKING STOCK An Uber disappointment A poker champ s business-like approach 82 HISTORY VIEWPOINT Henry Flagler fathered a region 16 6 S.R. Tommie is steeped in Florida s history but her business is thoroughly modern JUNE 2016 COVER STORY You earned it we protect it For more than 75 years Brown & Brown has met the needs of the mass a uent community. Signi cant personal assets and wealth require a higher level of attention o en with unique coverage requirements not available on standard insurance policies. Our personal approach helps to identify client s long-term goals and create a customized risk management program which adjusts along with the client s nancial pro le. Linda Carry Veronica Jimenez Ann Marie Abreu Michelle Bergin Fort Lauderdale s Private Client Group Fort Lauderdale Division - 1201 West Cypress Creek Road Suite 130 Ft. Lauderdale FL 33309 Ph. 1-800-330-3241 Fx. (954) 771-9192 privateclientgroup bb Auto Aircra Bonds Condominium Collectables Flood Health Bene ts Homeowners Liability Marina Personal Property Umbrella Workers Comp LETTER FROM THE EDITOR Powering your bottom line right solution. right service. At Any time. 1-800-385-3187 Diverse Paths to Success The current hot-button LGBT issue seems to be mostly about transgendered people and bathrooms but there are still business leaders in South Florida who are living in a 1950s-era closet. The last bit was one of the takeaways from the panelist discussion at a recent diversity luncheon held by the Miami-Dade Gay and Lesbian Chamber of Commerce. I guess one shouldn t be too surprised given the pop culture success of Netflix s Grace and Frankie which is about two 70-something women who find out their husbands have been having a 20-year affair with one another. Our LGBT section this month timed to coincide with Editor-in-Chief Kevin Gale Pride Month in June is the first of a four-part series on diversity this year which will also embrace blacks Hispanics and women in the workplace. SFBW is a bottom-line-oriented publication and one of the main reasons we are doing these sections is that a lack of diversity can make a company roadkill in today s multicultural society. We also believe that celebrating and supporting diversity is the right thing to do. A report from UCLA s Williams Institute found fairly strong links between companies with LGBT-supportive policies and those with less discrimination improved health outcomes increased job satisfaction and greater job commitment. There is also a link to higher productivity and lower costs for employers which helps with profitability. In addition with groups such as the Human Rights Campaign scoring companies on how good their LGBT policies are there is a link between companies who do well with such policies and their ability to tap into the estimated 884 billion in buying power of the LGBT market. Gay marriage was a big issue in the presidential primaries but rights for transgendered individuals are the center of today s LGBT debate sparked by the law in North Carolina that would allow a person to only use bathrooms designated for their biological sex. The Human Rights Campaign indicates major change in how employers approach the transgender issue 40 percent of Fortune 500 companies offer transgender-inclusive health care coverage up from zero in 2002. And over 300 major businesses have adopted gender-transition guidelines for employees and their teams to establish best practices in transgender inclusion. What s somewhat interesting is that many gay and lesbian people struggle just like their heterosexual counterparts when it comes to their thoughts on people who are bisexual or transgendered. I don t get it They are lying to themselves or They re confused are not uncommon views. That just shows that diversity isn t always embraced by people even if they represent diversity themselves. Kevin Gale 8 JUNE 2016 Gary Press gpress EDITOR-IN-CHIEF AND SENIOR VICE PRESIDENT OF STRATEGY Kevin Gale kgale COPY EDITOR Sherri Balefsky CHAIRMAN AND PUBLISHER Creative ART DIRECTORS CREATIVE DIRECTOR Melanie Smit Alexander Hernandez Frank Papandrea Alisha Riddle Evelyn Robles Writers CONTRIBUTING WRITERS Malcolm Berko Gerald Czarnecki Chris Fleck Jim Fried Steve Garber Morgan Housel Linda Janasz . Leslie Kraft Martin Lenkowsky Darcie Lunsford David Lyons Julie Neitzel Arnold Rosenberg Greta Schultz Nick Sortal Photographers Downtown Photo Fort Lauderdale Ed Nercess (All Star Event Photography) Larry Wood Managing Director CLAYTON IDLE cidle Vice President of Business Development JILL HOROWITZ jhorowitz Market Directors JAMES CONSTANTINE LORI CASTLE jconstantine lcastle MELISSA SCHWARTZ GAIL SCOTT mschwartz gscott RICH LOPEZ JORDAN KNOWLES-BARTLEY rlopez jknowles OPERATIONS DIRECTOR DIRECTOR OF MARKETING & EVENTS MARKETING MANAGER Monica St. Omer monica Jennifer Barb jbarb Estefania Marin emarin Editorial Advisory Board Marc Brotman Brotman Nusbaum Ibrahim Founder and Partner Bob Birdsong OK Generators President Rick Case Rick Case Automotive Group Owner Monroe Gang Atlantic Partners CEO Gerald Greenspoon Greenspoon Marder Co-managing Director Howard Kaye Howard Kaye Insurance Michael Kaufman Kaufman Lynn Construction Founder President and CEO Michael Keeby Brown & Brown of Florida Executive Vice President Jeremy Larkin NAI Miami President Alan Levan BBX Capital Founder Gerry Litrento BankUnited Senior Executive Vice President Steven Mariano SunCoast Holdings Chairman and CEO Neil Merin Merin Hunter Codman Chairman Ed Pozzuoli Tripp Scott President Chris Roberts Lexus of Kendall President Ron Shuffield EWM President Rachel Sapoznik Sapoznik Insurance CEO Terry Stiles Stiles Corp. Chairman and CEO Thomas te Riele TD Bank South Florida Market President Mark Trowbridge Coral Gables Chamber of Commerce President and CEO Yamal Yidios Ytech International Jordan Zimmerman Zimmerman Partners Advertising Chairman and CEO SFBW Magazine 3511 W. COMMERCIAL BLVD. SUITE 200 FORT LAUDERDALE FLORIDA 33309 954.377.9470 FAX 954.617.9418 WWW.SFBWMAG.COM 2016 SFBW magazine is published by Lifestyle Media Group all rights reserved. SFBW is a monthly advertising magazine. All contents are protected by copyright and may not be reproduced without written consent from the publisher. The advertiser is solely responsible for ad content and holds publisher harmless from any error. Buildings that Give Rise to the Next Big Idea Kaufman Lynn Construction provides an array of construction management and general contracting services for both public and private clients throughout Florida. Ranked among the Top Contractors in South Florida we have partnered with South Florida s education community for nearly 20 years. Quality Buildings for Quality Educational Experiences. Miami Dade College Academic Support Center 561.361.6700 KaufmanLynn KaufmanLynnConstruction Company Kaufman-Lynn-Construction Lic. CGC 021732 KaufmanLynnConstruction SPACES A conference room at Pipeline Brickell Socially Spacious PIPELINE WORKSPACES CREATE COMMUNITY AND CONNECTIONS BY LESLIE KRAFT BURKE At first glance it appears that Pipeline is in the business of renting short-term high-design shared office spaces to individuals and companies in South Florida and Philadelphia. But Philippe Houdard says he and Todd Oretsky created Pipeline to offer much more spaces where people can find community and connections at work. Houdard the founder and former CEO of SkyBank Financial an electronic payment processing company based in Miami and Oretsky an attorney and member of the board of advisors to Florida International University s Pino Global Entrepreneurship Center created their first Pipeline property in 2012 on Brickell Avenue the space was meant to be shared by a diverse community of entrepreneurs startups independent professionals and small corporate teams. In 2014 they opened a Pipeline in Philadelphia followed by a Coral Gables location in 2015. In April a Doral location opened and this summer they expect to open in downtown Fort Lauderdale. Pipelines have members (not tenants) and those who have signed on locally include Google Uber HBO Telenovela Microsoft the Knight Foundation and IBM Houdard says noting that companies of this size typically lease space short term while waiting for offices to be built for specific projects or while in a staff growth phase. Each Pipeline location has 100 to 150 business members. We re really in hospitality not real estate Houdard says. The concept for Pipeline is part of a national trend Our world seems to have grown smaller as we have become disconnected from our neighbors and community. And there is a real human need to connect. Pipeline gives people access to others on a daily basis when they might not otherwise have it. The need for interaction and perspectivesharing is especially acute for those who work independently whether or not they are connected to a larger company Houdard says adding that the opportunity to network in an unforced setting at A workspace at Pipeline Coral Gables A private room at Pipeline Doral The Garden at Pipeline Brickell Pipeline is also valuable. For startups the interaction and opportunity to brainstorm with other businesses in diverse industries is also important. Amenities that foster collaboration among Pipeline s members include common areas such as cafes large event spaces living rooms phone booths (for calls requiring privacy) and technologically advanced conference rooms in various sizes. There also are several monthly events held at each location that feature speakers or are holiday-themed. Pipeline locations offer additional amenities important to businesses Houdard says including close proximity to city centers and easy access to coffee shops restaurants and other companies all of which facilitate convenient meetings with customers and vendors. Office leases which range in price from 650 to 3 000 per month are generally taken for a year but also are available for as little as three months. For 199 per month individuals can have access to Pipeline s flex-spaces tables in the open with Wi-Fi and charging facilities that provide the opportunity to work alongside others rather than individually. This also includes access to Pipeline s social spaces and events. People don t just come in and out of Pipeline they have a sense of community. It s about creating connections which creates value from the experience Houdard says. When you work at the headquarters of a large company it s easy to find motivation if your offices are designed to provide it. But to be a small business in isolation is difficult. We all appreciate the opportunity to get motivated get validated and bounce ideas off others. All of Pipeline s shared workspaces were designed by world-renowned architecture firm Gensler which gave each South Florida location unique features meant to inspire creativity concentration and productivity. Pipeline Brickell is designed with the philosophy of color therapy with natural lighting yellow furniture accessories and tropical views. The office features two all-white conference rooms an event space and a social lounge known as the The Garden an area with garden walls hanging chairs and writable walls where members can gather to exchange ideas. Pipeline Coral Gables reflects the architectural influences of the area with Mediterranean-style design elements and Spanish-inspired accent pieces such as a coat of arms a bull s head and a candelabra. Green is the central color representing the lush tropical canopy that characterizes the historic city. Pipeline Doral is inspired by elements of Doral s past and future. The shared workspace features a cafe that resembles a cargo container and an old-school music room where members can stimulate their minds with a selection of vinyl records and spin tables. Pipeline Fort Lauderdale embraces the city s proximity to the ocean its love for aquatic activities and its beach culture. Water is incorporated into the space s design representing one of the most important natural elements in the city. LOCAL FLAVOR 14 JUNE 2016 COVER STORY The Wings of Success S.R. Tommie is steeped in Florida s history but her business is thoroughly modern BY KEVIN GALE AND LEVI RICKERT PHOTOS BY LARRY WOOD S.R. Tommie s life and family are a bridge from Florida s rich Native American heritage to cutting-edge marketing in the digital era. Her great-grandmother escaped as a prisoner during the Seminole Wars in 1858 her grandmother use to scold her if she spoke in English and Tommie herself grew up in a migrant camp eventually spending nearly 26 years in Seminole Tribe of Florida s tribal government. For 10 years she saved the stipend paid to tribal shareholders to launch Redline Media Group which has provided creative advertising services to blue-chip clients such as Hard Rock HBO Staples Center Madison Square Garden Kia Harley-Davidson and Nike. Redline has a sleek state-of-the-art workplace with a large saltwater fish tank in the lobby blown-glass chandeliers a Zen garden and a studio with a cyclorama wall that s big enough to drive vehicles in for photo and video shoots. JUNE 2016 17 COVER STORY Redline combines creative and scientific principles such as the use of color messaging imagery and strategic placement to subconsciously impact consumers. Tommie also has a love of Native American art and owns Chupco Indian Art Gallery in Hollywood. The gallery is named in honor of her grandmother chupco is a Seminole Creek word meaning long or tall. FAMILY S TRIBAL IMPORTANCE The Seminole Tribe of Florida has a particularly rich history in the state. It fought the federal government in a series of three wars over roughly 40 years ending in 1858 and was never conquered. Tommie s great-grandmother Polly Parker is a key figure in that history. According to oral histories passed down by tribal members Parker was among 163 captured Seminoles that were on a boat from the Tampa Bay area to the Mississippi River as part of the Voyage of Tears relocation effort. Known for her ability to find herbs for medicine Parker went ashore during a refueling stop in the Panhandle accompanied by a guard and about 12 tribal members. She is credited with giving a signal that led to the successful escape of about six of them according to an account in the St. Petersburg Times headlined Polly Parker s escape gave life to Florida s Seminole Tribe. She then made an arduous journey back to the Lake Okeechobee area and to help repopulate the devastated tribe. Tommie says she has run into an amazing number of people who say Parker was their greatgrandmother too. Tommie s grandmother Sallie Chupco Tommie lived in a chickee a thatchedroof hut. Tommie s mother Minnie Tommie taught her about tribal culture JUNE 2016 19 Redline Media Group s logo symbolizes its founder s Seminole Tribe of Florida heritage as part of the bird clan and the language. She always instilled in me to respect our elders Tommie says. As part of that I spent my summers with my grandmother and learned the stories and lessons that she was taught by her elders. Her grandmother would not allow her to speak English. She told me Don t talk to me in white man s language Tommie says adding that she could get smacked for doing so. This was all in an effort to insure that I could speak and understand my Seminole Creek language. I hated it then but I wouldn t trade those smacks for anything in the world I know my language and am eager to learn more and more every day. Tommie s mother provided an example of a strong work ethic by working late into the night making Seminole dolls that she sold to help provide for the family and then fixing breakfast before the family boarded buses to pick crops in the orchards and fields. Tommie showed moxie early on too. When her mother bought a car that turned out to be bad the 11-year-old Tommie called the car dealer imitated a lawyer and spelled out the details of Florida s lemon law. Her mother got a call back and was told to come pick out a new vehicle. Tommie s first job with the tribe was covering for the receptionist during the lunch hour. How did that lead to success I did my job with pride and honor as if it was the only thing in my life she says. MAKING AN IMPACT Tommie worked her way up to full time at the Seminole Tribe. While she was pursuing a law degree at Nova Southeastern University Dr. Barbara Stephenson suggested to her class that they do a community impact project. Tommie came up with the idea of doing a talk show titled Inner Circle where she would go to the Seminoles six reservations and Native American conferences to interview tribal leaders department leaders and shareholders. Tommie says she thought it was important to bring communications from the inner tribal circle to tribal shareholders in general. The leaders of Seminole Broadcasting initially told her they did not have the budget for it. Tommie told them she would do it for free for six months to prove herself. She ended up doing the program for more than seven years. Health social services and recreation were frequent topics on the show which ran on a cable access channel on tribal lands. Eventually Tommie says she wanted to learn from the broader world improve her general skills and interact more with those who weren t part of the tribe so she took a job at the Club at Emerald Hills. I learned a lot while working at the country club from a diverse group of people that assisted me in becoming who I am today Tommie says. Tribal leader Mitchell Cypress who was president of the Seminole Tribe of Florida Inc. its board of directors and vice chairman of the Seminole Tribe of Florida 20 JUNE 2016 COVER STORY S.R. Tommie the tribal council hired Tommie back to do public relations in 1994. Her job primarily consisted of sharing the culture history and traditions of the tribe with those that sought to do business with them. LAUNCHING REDLINE MEDIA GROUP Tommie created Redline Media Group 13 years ago while still working with the tribe saying she saw a need to assist tribes in general with creative services. See the need fill the need is one of her mantras. One of the definitions of a redline is the final version of a document it indicates how Tommie wanted to position Redline as the final stop for clients advertising needs. Redline s first pitch was a project for the Ah-Tah-Thi-Ki Seminole Museum. However Tommie says its representatives were concerned that her rate was so low that the quality might not be there. She won over Museum Director Tina Osceola by offering to do the job for free if the museum did not like the service. Tommie succeeded and was paid. That was the beginning of a long and successful relationship with the museum. Cima Georgevich CEO of Redline since 2003 says the project symbolized the type of creative work that Redline does. The materials were important to help get the museum accredited by the Smithsonian. Too many creative agencies regard their clients as numbers so Redline strives to be an extension of their businesses Georgevich says this allows clients to focus on core business operations. Redline combines creative and scientific principles such as the use of color messaging imagery and strategic placement to subconsciously impact consumers. Redline uses a five-part strategy of learning about clients brainstorming collaborating designing and executing. Some of its campaigns have become iconic in South Florida such as the Live the Good Life campaign for the Seminole Casino Coconut Creek for which the creative team worked collaboratively with Emre Erkul senior VP of marketing at Seminole Gaming to bring the campaign to life. Redline s success has allowed it to give back to the community through Memorial Healthcare System and Joe DiMaggio Children s Hospital. Tommie also started a foundation Real Meaningful Gestures which raises money to assist those who are battling cancer. ENTREPRENEURIAL ART ENDEAVOR Tommie s interest in art led her to open Chupco Indian Art Gallery in 2002. The gallery is online ( and at 3621 N. State Road 7 in Hollywood. It specializes in handcrafted one-of-a kind items ranging from a 15 000 painting called Waterlily Lovers by Guy LaBree based on a Seminole legend to bronze figures of Native Americans such as medicine men and warriors including an 18 000 warrior statue by Jim Jackson. There are also more modestly priced fashion items and home decor accents. Earlier Tommie had a concept for a business that would combine a car wash and a coffee house. But due to circumstances beyond her control the idea did not come to fruition as she had hoped. Tommie talks freely about her spirituality which mixes Christianity and tribal customs and says she may not always be happy about the outcome of her endeavors but she always prays that something suitable will emerge out of every potential opportunity for business. No matter what the outcome is her faith remains strong. Symbolically Tommie envisioned the gallery and found a building filled with debris cobwebs and even dead animals. It turns out it was a former bird aviary which was pretty symbolic for a member of the Seminole Tribe s Bird Clan. Apparently some things are meant to be. The reception area at Redline Media Group PROFILE 22 JUNE 2016 GURU OF THE GABLES William Kerdyk Jr. talks about a career in real estate banking and golf BY KEVIN GALE PHOTOS BY ED NERCESS ALL STAR EVENT PHOTOGRAPHY William H. Kerdyk Jr. and his family have gone hand in hand with the growth of Coral Gables. Kerdyk s late father William H. Kerdyk Sr. served on the city commission for 28 years while Kerdyk completed his 20year run on the city commission in 2015. Among his proudest accomplishments is promoting the development of the city s trolley system which transports 1.5 million passengers a year. SFBW visited Kerdyk at the offices of Kerdyk Real Estate on Ponce de Leon Boulevard a few blocks south of Miracle Mile. Kerdyk was born at Doctors Hospital went to Coral Gables High School and then Florida International University. After graduating with a bachelor s in real estate Kerdyk worked for an uncle who had a residential real estate company that began in 1926. Kerdyk bought the company in 1992 when it was a sleepy residential firm he says. The business which has 45 associates is now 60 percent commercial real estate 25 percent residential and 15 percent management. Kerdyk also has achievements in banking and the golf industry. He is a former chairman of the Junior Orange Bowl Golf Tournament and organizes tournaments globally. He is also a partner in a business that manufactures golf clubs in China. Through the Junior Orange Bowl Kerdyk met a couple of Japanese businessmen and worked with them to start the Toyota Junior World Cup golf tournament in the 1990s. Kerdyk says he goes to Japan twice a year. If you would have told me when I was 10 years old that I would spend a year of my life in Japan I would have laughed he says. Not only is he an avid golfer his sister Tracy was on the LPGA Tour after being NCAA player of the Year in 1988. She s now a Realtor associate with her brother. In 2006 Kerdyk founded the Bank of Coral Gables which raised 20 million in capital. The bank got up to 220 million in assets but like many banks it had to shrink to meet regulatory requirements during the recession. We didn t have a lot of land loans he says. We didn t do crazy stuff. What we thought were good people just stopped paying us. It was brutal. Kerdyk is now on the board of First American Bank which acquired the Bank of Coral Gables in 2014. When asked about his views on Coral Gables real estate Kerdyk says the city has plenty of strength in its commercial market. He also sees retail real estate opportunity on Miracle Mile which is getting a 20 million makeover. Leasing rates are 35 to 60 a square foot compared with 100 to 150 on Brickell Avenue. I think you will see leasing prices and sales prices increase he says. Kerdyk points to the wave of new development too. For example Paseo de la Riviera is a 172 million project with 224 residential units and 252 hotel rooms on the site of a Holiday Inn on South Dixie Highway near the University of Miami. And developers Armando Codina and Jim Carr are planning a 16-story 214-unit apartment building at 2020 Salzedo Street a few blocks north of Coral Way near Le Jeune Road. The biggest project of all is Mediterranean Village at Ponce Circle a 1 million-square-foot project with 214 condos 15 town homes stores and a luxury hotel. The 218-foot-tall project will be topped by a two-story restaurant. With offices about a block away Kerdyk is positioned as one of the dwindling number of real estate brokerages that aren t part of a national network. Kerdyk says he competes by emphasizing technology and utilizing a growing number of research services. I think that my positives are that I have a strong name in south Miami-Dade County and I like the idea of having a strong local firm he says. No matter how many of these larger nationwide companies you get people still like doing business with brokers they can touch and know. Since leaving the Coral Gables city commission in April 2015 Kerdyk has brought more and more younger people into his firm saying I feel these people are hungry tech-savvy and smart. JUNE 2016 23 TALENT AND MANAGEMENT 24 JUNE 2016 Meet Tripp Davis PwC s Florida leader helps fuel growth in global giant s consulting business BY KEVIN GALE A lot of businesspeople know PwC once called PricewaterhouseCoopers as a powerhouse Big Four accounting firm but few of them probably realize just how big the company is in consulting. In 2015 the Financial Times reported that PwC s rapidly growing consulting business was a key reason it had hit 35.4 billion in revenue overtaking Deloitte as the world s largest professional services firm. PwC has more than 200 000 professionals. John Tripp Davis the new managing partner in Florida for PwC fits in with the firm s growth in consulting. He was on the accounting side earlier in his career but switched over to the consulting side more than 10 years ago. Prior to moving to Florida he was PwC s Midwest region and Greater Chicago market advisory leader. Now he leads 1 200 professionals across all of PwC s activities in Florida. I will be rebuilding our consulting business Davis said during an interview at PwC s office in downtown Miami s Wells Fargo Center. We see that as an opportunity to match up with our assurance and tax services in the market. Half of PwC s Florida professionals are in South Florida (the firm has offices in Fort Lauderdale in addition to Miami). Orlando Tampa and Jacksonville cover the rest of the state. Client size ranges from Fortune 50 and large private companies to individuals. Davis says he likes how Florida is performing from an overall business standpoint. This has been a strong area for the firm from a growth perspective he says adding that financial services were among the growth business sectors that attracted him to the state. We see an uptick in financial services throughout the entire state. Jacksonville is becoming a major spot for a lot of that activity. The Naples area is getting some traction too. We have a strong financial services practices here as well. There are also a number of technology companies coming to the state Davis says. Pharma life sciences and health services are on his radar too. Since arriving in Florida Davis says he s been impressed with the amount of private equity activity including businesses looking to acquire or be acquired. Miami s role as a hub of the Americas is also attractive. We are a global entity of member firms so we have a structure that connects all those member offices he says. We have a strong network and we can execute for our multinational global clients. PwC has made a series of acquisitions to boost its consulting business. In particular in 2013 it acquired BGT a digital advertising agency with offices in Hallandale Beach s Village of Gulfstream Park. That has evolved into PwC s Experience Center which offers what is called a sandbox experience. Think of it as a customer innovation center Davis says. We can bring in clients and do technology innovation and strategy. We are now starting to build that same experience across other cities like Chicago New York and San Jose. That was another reason I was excited to come down here. PwC has made some other major consulting acquisitions. In 2009 it bought the majority of BearingPoint s North American Commercial Services practice which gave it 800 professionals with technology and management consulting experience in multiple industries. Additionally PwC picked up 500 professionals in 2010 when it acquired Diamond Management & Technology Consultants. In 2011 PwC bought PRTM a global management consulting firm whose 700 professionals have expertise in strategy supply chain product development customer value management and business model innovation. In 2014 PwC bought Booz & Company and changed the name to Strategy&. It is designed to close the gap between strategy and execution. Clients like that we can instruct them on strategy execution and managing risk Davis says. They can ask us to be involved in the entire journey or parts of it. Tripp Davis Biography Early Life Grew up in the New Jersey area and attended La Salle University in Philadelphia graduating with a bachelor s in accounting and management information systems. Career Worked for two years with Arthur Andersen and joined PwC in 1994. He moved to Chicago in 1995 and transitioned into the advisory and consulting field more than 10 years ago. Civic Involvement He is on the board of Junior Achievement USA and the board of Ronald McDonald House in Chicago. His and his wife who is an attorney have three children. JUNE 2016 25 ENTREPRENEURSHIP Thomas Buchar has a passion for helping rhinos and the region s startup community BY KEVIN GALE TENDING TO THE ECOSYSTEMS 26 JUNE 2016 Swire unveils sprawling Brickell City Centre BY KEVIN GALE JUNE 2016 27 ENTREPRENEURSHIP Thomas Buchar s foundation supports The Rhino Orphanage In a region with a growing number of incubators and accelerators Thomas Buchar and Christopher Malter are promising a different twist on exit strategies. The co-founders of The South Florida Accelerator are partnering with local companies to amplify innovation efforts through an off-ramp model which will reduce risk for investors and provide a ready exit strategy for entrepreneurs Buchar says. is among the first companies to buy into the concept. The accelerator s first location will be at General Provision a collaborative workspace in Fort Lauderdale s FATVillage an emerging arts and technology neighborhood. Its strategic partners are Tim Hasse CEO of General Provision and Juha Mikkola a co-founder of Wyncode Academy which has a training location at the same address as General Provision. Malter and Buchar credit Greater Fort Lauderdale Alliance CEO Bob Swindell Berger Singerman Managing Partner Mitchell Berger State Sen. Maria Sachs and Broward County Commissioner Chip LaMarca with providing some of the guidance for their plans. Malter who is CEO of IMC an investment management company is a longtime leader in the region s technology and entrepreneurship scene. He s been involved in funding for Eyecast a cloud-based video surveillance company VCF a cloud-based video resume company aerospace company BRS telecom provider OpitcalTel FRI a neurological medical devices company and Foxconn s North American operations which have a location in western Broward. He also founded the Florida Venture Alliance in 2014 and the advisory group South Florida Technology Gateway in 2012. He served three years as chairman of the Florida Life Sciences Council appointed in 2007 by former Gov. Charlie Crist. He became president of the Building Owners and Managers Association in 2013. Buchar went to the University of Texas and worked as a defense department analyst before embarking on a broad range of international experience and entrepreneurial ventures which he talked about during a meeting at Fort Lauderdale s Sip Java. His first business venture was in 1991 selling satellite uplinks and downlinks. One of his clients was looking for cheap TV programming after spending a lot of money on Baywatch and 28 JUNE 2016 South Florida newcomer Thomas Buchar has teamed up with longtime tech scene leader Christopher Malter asked Buchar for help. Buchar started going to regional producers including Bob Wexler a tax partner at Kirkland & Ellis in Chicago who had a production company he bought out of a bankruptcy that produced two shows for USA Networks Cinemattractions a movie countdown show and Rock Around the World. Buchar marked up the price Wexler gave him. He made 67 500 or so on a deal for a network in Turkey and thought there must be 50 companies in the world that wanted this content. There were 1 000 he says. Buchar and Wexler went into business and syndicated programs in 60 countries under the name CGI Inc. They sold the assets and distribution network to Polygram in 1995 for tens of millions of dollars. Buchar made seven figures from the deal and Wexler made enough to retire to the south of France. Buchar has been involved in a lot of different things since then restaurant concepts financial services digital publishing and streaming video on demand (SVOD). Over the last seven years his focus has been on microfinance and mobile and static payment gateways. He was also chairman and founder of POM Solutions a mobile payments gateway that did business as Yezzi and was sold to a company in Mexico. His London-based investment company is called Viator BGB (the acronym comes from his dogs Bentley Gala and Bice). He has a passion for wildlife conservation and his nonprofit Nembeza Wildlife Foundation is a major sponsor of The Rhino Orphanage of South Africa among other endeavors. Buchar ended up in Southwest Florida in 2015 for family reasons and a friend suggested he check out South Florida. He spent a lot of the spring and summer flying around the Caribbean since he s a pilot and then got involved in Florida Atlantic University s Tech Runway when he decided to get serious about becoming integrated in the startup community. Buchar and Malter were introduced by Swindell and both serve on the alliance s venture capital committee. Christopher has primed this region for the last 20 years Buchar says. Buchar says local companies have problems finding acquisitions in South Florida and getting talent to relocate. The dilemma was similar to what Austin had in the mid-1990s when he was recruiting for Dell. You aren t going to be able to get people from Silicon Valley until you start creating wealth and experiencing liquidity events in the local technology ecosystem he says. He started looking at some of the region s anchor technologies such as enterprise HR systems communications platforms and software as a service (SaaS). The South Florida Accelerator expects to start operations in July in Fort Lauderdale and then launch and collaborate with accelerator programs at FAU and Nova Southeastern University. Buchar thinks the local investment community universities and family offices all can be enlisted into the process. He also expects people he knows from Silicon Valley New York Chicago and Austin to get involved. There s an abundance of potential investors in South Florida and Buchar says he s not afraid to guilt them into supporting local entrepreneurs as part of their civic duty. After all he says There are only so many boats and cars you can buy. JUNE 2016 29 CEO CONNECT POWERED BY The Numbers Guy Michael Daszkal stands out as the leader of a top independent accounting firm SFBW Chairman and CEO Gary Press interviews Daszkal Bolton Managing Partner Michael Daszkal Michael Daszkal co-founded Daszkal Bolton with one partner in 1992 today the public accounting and consulting firm has three offices with approximately 130 employees. The firm had a major challenge along the way In 2013 co-founding partner Jeff Bolton s Bahamas vacation turned to tragedy when he died in a swimming accident. Daszkal who is managing partner persevered to keep growth on target. Daszkal has expertise in audit and accounting strategic tax planning mergers and acquisitions due diligence and business financial planning. He is a trustee and a board member of the Boca Raton Chamber of Commerce as well as a trustee of the Greater Fort Lauderdale Chamber of Commerce. He serves on the advisory board to the FAU College of Business and is on the board of the university s Research Park. He is also active with New World Angels and PROPEL a group that advocates for education and leadership. Daszkal was interviewed by SFBW Chairman and CEO Gary Press at the clubhouse of the Polo Club of Boca Raton. The CEO Connect was sponsored by Greenspoon Marder and TD Bank. The following transcript has been edited for brevity and clarity. Tell us about your childhood. What did you see yourself doing when you grew up What led you to pursuing a degree in accounting I grew up in Detroit in the Eight Mile which you can see in the movie 8 Mile. It was sort of a tough place to grow up but I had a great mother and father and three brothers. As I got a little older my father who was an immigrant from a communist country moved us to Bloomfield Hills. He said When you Paul Metcalf Tony Scuderi and Daniel Herbst 30 JUNE 2016 grow up you will work for yourself. All four of his kids are successful entrepreneurs. I always did well in math. I took accounting in high school and really liked it. I enrolled in college as an accounting major and never looked back. I see you graduated from Eastern Michigan University in 1985. When did you meet Jeff Bolton I didn t meet Jeff until 1990 or 1991. He had this awesome networking group the Boca Enterprise. He didn t want to let me in because I was the competition. We became great friends and worked out at the Jewish Community Center and played basketball together. We spent about a year planning to get together. What was your strategy You have grown tremendously. We were lucky and we had a good plan in place. When Jeff passed way it s been almost three years we had a great buy sell agreement. We were able to buy him out. His family was happy with that although life is not the same for them. The year he passed away we grew about 8 percent. That was amazing because he was a rainmaker and a dominant force. You must be a prime target for an acquisition. Where do you want to grow We do get approached quite a bit there are not that many independent CPA firms. There s the mega firms such as Morrison Brown Argiz & Farra and Kaufman Rossin in Miami. We are the largest firm in Palm Beach County that s still independent. I don t know if there is a larger firm in Broward that s independent. We have been approached a lot. It s just not something I have been interested in doing. Tell us about a couple of key events that happened at your company and changed your direction. It has revolved around bringing in partners who have brought a new dynamic. Partner Tim Devlin brought a new discipline in tax services. Partner Kevin Reynolds specializes in health care. Whether it s international tax services or international consulting it s just bringing in the right talent. What s been your biggest challenge Probably when Jeff died. But aside from that the biggest challenge is being a full-time leader. Growing the business. Putting talent in place. Letting the CFO do their job. Letting audit managers do their jobs. Being able to delegate that s the biggest challenge. Rich Ducharme and Steven Breitbart Jessica and Noam Jackler Dale Millner and Erik Chafin Dennis Bedley and Andrew Thomson JUNE 2016 31 CEO CONNECT Left Doug Roberts Adam Marshall and Craig Podradchik Below David Buchsbaum and Elizabeth Hickman candidates from an economic standpoint who do you think would be able to serve the business community I m not a big believer of anyone who is extreme. I think Bernie Sanders is extreme. I think Ted Cruz is extreme he wants to abolish the IRS. I think Donald Trump might be good for business. When Bill Clinton was in office the economy was great but I don t think Hillary is the same. What are some of the hot growth areas and how is South Florida changing its economy I think there is a lot of money coming offshore. International tax work has been a driver in everything we touch. For five years I wasn t getting any new construction clients. Then we started seeing new construction clients. Health care is big such as treatment centers. Steven Friedman has 20 new treatment center clients for the firm. When you do have time off what do you like to do I love to play golf. It relaxes my mind and I can hang out with friends. I love being with family. I have three great brothers. I do yoga three times a week at night or on weekends. I do the hot stuff but not Bikram. That s too hot. What are some of the most important steps that high net worth individuals need to take care of I think they are constantly looking for more strategies to minimize their estate tax down the road. They are constantly looking for avenues for asset protection. I think the biggest thing is that they are looking for ways to make more money from their wealth. They are looking for yield and cash flow. We have a multioffice platform where we do their accounting and oversee the investment advisors and the asset allocation. We help structure on a fee basis. We do tax returns and planning and try to minimize Your firm is known for trying to get work life balance. We started to talk about work life balance 20 years ago. There has always been a talent shortage and work life balance is a differentiator to attract talent from bigger firms. We must have 30 to 40 employees that work 20 30 or 40 hours a week. However if you want to turbocharge your career and make a million dollars you can do that. Have there been more and more hours for you I think it s been brutal the last 25 years. Since the recession in 2008 I feel like everybody has to work harder to stay the same. I think it s been better in the last two or three years. Revenues went down 10 percent for the first time ever during the recession but then they went back in a good growth pattern. What do you look for personally and professionally when adding team members Most people have a master s degree at this point. I think the No. 1 quality is having a good energy level having a positive attitude and being a good communicator. You can t do a good job for clients unless you are good at communicating with them. I think finding the right personalities and people who show leadership helps with retention and servicing clients better. Of the remaining presidential 32 JUNE 2016 ABOUT OUR SPONSOR Steve Barnett and Elizabeth Figueroa their tax liabilities. We just don t sell them investments. What are some of the most common mistakes businesses make For small companies and growing companies it s probably that they don t have good systems in place. The owners are trying to work crazy hours and trying to do everything. Another is valuation can be unrealistic too high or low. When a business tries to get funding they can t get anything because they don t know what their company is worth. What are your thoughts and system in terms of values In our profession much like the legal profession everything we do and every product we issue with our client we have to sign under oath. We issue financial statements and have to provide assurance. I think the CPA by profession is very ethical. Nothing goes out the door without three or four people looking at it. What are your feelings on growing organically vs. acquisitions I strongly prefer the organic growth model. I ve done two small acquisitions. What is your leadership style I think my strategy has always been to work hard and lead by example. I think I m generous I hardly ever go to a meeting without bringing someone with me. I call it hands-on training and sideby-side working. I m always trying to do the right things. Greenspoon Marder was founded in 1981 by Co-Managing Directors Gerald Greenspoon and Michael Marder. Their vision entrepreneurial drive and unwavering commitment to client service has resulted in an Am Law 200 firm of more than 180 attorneys serving clients from 12 offices across Florida in Las Vegas and in New York. The firm was recently identified as one of the fastest growing large law firms in the United States by The American Lawyer. Now celebrating its 35th anniversary the firm offers an array of transactional litigation and regulatory practices and is particularly known for its real estate hospitality land use and zoning and broad litigation capabilities. The firm also has a significant private clients practice that includes trusts and estates marital and family law personal injury and criminal defense services. Greenspoon Marder is committed to providing excellent client service through a cross-disciplinary client-team approach. Our goal is to understand the challenges that our clients face build collaborative relationships and craft creative solutions designed and executed with long-term strategic goals in mind. We serve Fortune 500 middle market public and private companies start-ups emerging businesses individuals and entrepreneurs across Florida and the United States. For more information visit Offices Boca Raton Fort Lauderdale Miami Miami Beach Naples New York Las Vegas Orlando Port St. Lucie Tampa Tallahassee West Palm Beach David Bennett and Troy Sorel Satellite Offices Aventura Cypress Creek Miami - Merrick Pointe Columbia Maryland JUNE 2016 33 TALENT LoBello Knows Talent Acquisition Top recruiter tells what it takes for employers candidates to find the right match BY KEVIN GALE Joe LoBello understands the challenge employers face in landing the right talent in accounting finance and HR these days. The market is on fire right now says LoBello who is the executive vice president at Octagon Professional Recruiting. Unemployment is effectively zero for the people we are going after and it s an especially good market for what I call those mission-critical professionals. Generally those coveted employees are making 65 000 to 100 000 a year. There s also competition in the 100 000 to 150 000 range right above those senior staff professionals. Mid-size and large companies are all competing for the same talent and often the compensation ranges and the job functions are the same no wonder candidates can be so difficult to land. The key to success these days LoBello says is selling the corporate culture and even going beyond that. I ll go a step further to talk about the background and style of the actual manager the candidate would report to. That s where that client knowledge is so important he says. We are great listeners and we really take the time to assimilate all of that information and get that message communicated and create buzz about the client in the marketplace. LoBello has plenty of experience in his field. He was formerly a vice president at Kramer Professional Staffing a company developed by Octagon CEO Mitch Kramer. He also has a passion for martial arts which helps explain his disciplined approach to recruiting. LoBello grew up in West Palm Beach and had a tough experience after graduating from Forest Hill High School when his father died suddenly. The family had a restaurant bar and package store in Lake Worth called the Blue Marlin. For a while it had the only license in the county that allowed it to stay open until 5 a.m. LoBello delayed going to college for 34 JUNE 2016 18 months to keep the business running until it could be sold. He learned a lot from his uncle who was a silent partner and an executive at the famous Gorton s of Gloucester seafood company. He was a very intense results-oriented noexcuses guy LoBello says. He drilled into me the importance of budgeting and planning before making decisions. LoBello says he also learned a lot from his father who was more emotional and passionate in his decisions. After the business was sold LoBello was initially pre-med at Florida State University. He almost went to pharmacy school but decided he didn t want to be in school another four years and it probably wasn t the best fit for his ambitions. As you get older you realize you need to do things that are a better fit with your personality and demeanor he says. He wanted to get into sales and initially worked in the new tech division of the largest privately held staffing firm in the United States. He later joined an internet company in Boca Raton as a talent acquisition manager during the dot-com boom. The company had an IPO and LoBello worked at a rapid pace sometimes interviewing more than 15 people a day. LoBello met Kramer just after Kramer founded his eponymous staffing firm in August 2001. They both had a passion for martial arts loved the entrepreneurial nature of recruiting and staffing and had a desire to build a respected brand name in the South Florida marketplace. Then 9 11 happened. Here I am a young father and husband trying to get my career off in a new space LoBello recalls. It was kind of a surreal time. Everybody just seemed to be in a fog. However LoBello and Kramer built the business and opened a Boca Raton office in a few years. LoBello stayed a few years longer than Kramer after the company was bought out in 2006 by the same national firm with which he started his career but the former colleagues were reunited in late 2012. One of the keys to Octagon s success is the personal relationships its employees develop with clients and candidates. Some candidates want a work environment where they can get on the fast track for promotions others might need more work life balance. We are like a dating service for professionals LoBello says. The better we know our clients and our candidates both their personal and professional goals the better we are situated to make sure it s a good match for both of them. LoBello tries to coach each side on what questions to ask and how to make the most of interviews. As much as we like to make placements LoBello says. We really love to make great placements. Time to trade the corner office for your own little corner of the world A Transworld business advisor can get you there. Every day Transworld Business Advisors connects quality top-paying acquirers with business owners ready to sell and move on to the next stage in their careers. As the world leader in business sales franchising and mergers and acquisitions Transworld has access to a huge database of individual domestic and immigrating buyers and strategic corporations looking for the right business opportunity. And Transworld has the expertise to ensure any business sale goes smoothly. So whether you re ready to sell your business or buy an existing business or franchise contact a Transworld Business Advisor for a free consultation today. Andrew Cagnetta OWNER CEO 800.205.7605 t JUNE 2016 35 ENTREPRENEURSHIP AOL founder Steve Case at eMerge Americas 2016 Get ready for the third wave of the internet BY KEVIN GALE Entrepreneurs will need perseverance to prosper in the third wave of the internet says AOL founder Steve Case who gave a keynote talk at eMerge Americas 2016. Don t expect to wake up having just invented the next Snapchat type of application. According to Case the third wave will be similar to the first wave which introduced people to going online. As an example of the likely slog for entrepreneurs when AOL started only 3 percent of the population was online and their time spent online averaged only an hour a week. The second wave saw companies like Google and Facebook build on the capabilities of the internet and companies like Snapchat build on the capabilities of apps. The third wave will integrate the internet in more seamless ways throughout our lives. Health care education and the food industry are examples of where the internet meets everyday life Case says. Achieving success in the third wave will necessitate business partnerships and a more agile government to balance the need for innovation with safety regulations. For example there will be new rules for health care food safety drones and self-driving cars that will impact what entrepreneurs can do. The government however frustrating it may be at times will have a seat at the table Case says. Instead of grumbling entrepreneurs and businesses need to engage the government. In education Case sees a move to provide more information to teachers so they can meet the needs of individual students. Fitbit which involves an app and wrist device that counts steps is an example of innovation in the wellness field Case says. There s also a lot of investment in managing chronic illnesses such as diabetes. The cancer moonshot being led by Vice President Joe Biden is an example of investment in lifethreatening diseases. The third wave will also help further democratize where venture capital goes Case says adding that last year 75 percent went to California New York and Massachusetts. Plantation-based Magic Leap which raised 1.3 billion for its augmented reality system is an example of how other areas will start to grab more venture capital. Entrepreneurs used to have to be on Wall Street to be in financial services or in Hollywood to do movies. You don t have to do that anymore Case says. Regions have to figure out where they have a competitive advantage and attract talent. While leaders in some areas of the country are skeptical about such transformations Case points out that Silicon Valley was an area of orchards 75 years ago and Detroit was seen as the hottest place for technology. Dell in Austin and AOL in Virginia are examples of companies that helped fuel an entrepreneurial ecosystem Case says eMerge is an example of entrepreneurial forces at work in Miami. Case who is currently chairman and CEO of Revolution LLC a Washington D.C.-based investment firm he cofounded in 2005 was asked what he looks for in his investments. It starts with the question Could it make the world a better place he says adding that he hears a lot of ideas that just aren t interesting. Case wants ideas that solve important problems and create opportunity. He would like to see evidence that the business concept is working such as it is starting to attract customers. He quotes Thomas Edison to explain why Vision without execution is hallucination. 36 JUNE 2016 JUNE 2016 37 LEADERSHIP UM s Geoff Kirles MDVIP s Matt Hashem and ABB Optical s Paul Sherman give advice at the South Florida Executive Roundtable Advice on Innovation BY KEVIN GALE Many industries face innovative disruptive threats but getting businesses to realize that can still be a challenge. Paul Sherman CFO of ABB Optical Group was one of the panelists who discussed innovation and competitive threats at a luncheon of the South Florida Executive Roundtable at Fleming s Prime Steakhouse & Wine Bar in Coral Gables. SFBW was a media partner for the event which also included panelists Matt Hashem CFO of MDVIP a membership program that promotes wellness and rapid access to doctors and Geoffrey Kirles VP and treasurer for the University of Miami. Based in Coral Springs ABB is the largest U.S. distributor of contact lenses it stocks 2 million SKUs from the top four global manufacturers and offers overnight delivery. Sherman talked about how his company has looked at bringing innovation to the distribution of eyeglass frames a system that is currently fragmented. Patients often have to wait days for frames and lenses and ABB found many doctors weren t that motivated to change. If you want God to laugh show him your business plan Sherman said. You have to be able to adjust. Now doctors have to worry about companies such as Warby Parker which is heavily marketing frames online. ABB s research found about 52 percent of people leave doctors offices to buy their glasses elsewhere. Threats in the industry help our cause because it s the only thing that will make a doctor sit up and take notice Sherman said. MDVIP which is based in Boca Raton is an innovator in the health care field. For about 150 a month patients get more time with their doctor tailored wellness programs appointments the same or next day less time in the waiting room and referrals to top medical specialists. Doctors can give up the high-volume practice necessitated by low insurance reimbursement rates. A lot of money is being spent on innovation attempts in the 3 trillion health care industry which eats up 15 percent of GDP Hashem said but not all of the innovations will succeed. One innovator on MDVIP s radar is Qliance a Seattle clinic operator that provides primary and preventive care for a monthly fee. Seeing that the company was backed by Amazon founder Jeff Bezos and Dell founder Michael Dell caught MDVIP s attention but Qliance was bought by its CEO and president in March. Hashem described that as the investors stepping away. An article on GeekWire quotes the company s CEO as saying the company was near breaking even but it might not generate returns in the time frame desired by its investors. Hashem said he gained a perspective on innovation during the four years MDVIP was owned by Procter & Gamble starting in 2009. They look at innovation from the standpoint of pricing and driving higher margins he said. For example a new type of whitening toothpaste keeps Crest from just competing as a commodity toothpaste. Hashem says MDVIP has a matrix to help analyze the process of innovation. Time to market and the amount of capital required are considerations. While many innovations are project oriented costs savings are great examples of ways micro-innovations can make a business more efficient and productive he says. Kirles said innovation is incredibly broad at UM which is a major research and academic institution that also includes three hospitals. There are tough questions about what gets funded. For example the athletic director might argue that a 25 million indoor practice facility is vital for a football team that faces routine afternoon thunderstorms. Kirles says he tries to think of himself as an advisor so ideas get traction at the right time. Flexibility is needed during the innovation process you could be 90 percent of the way done and realize in the 11th hour that something s not right Kirles said. You don t completely kill it but realize it might not be the right path to execute what you thought six months ago. Two competitive threats that the university is mindful of are professors ability to move to other universities and the consequences of rising sea levels which are being studied by UM s Rosenstiel School of Marine and Atmospheric Sciences. Julio Frenk the university s new president believes the sea level issue will impact South Florida Kirles said. That s a potential huge disruption in the long run an institution called the University of Miami can t just move to Atlanta. 38 JUNE 2016 JUNE 2016 39 SPECIAL REPORT DIVERSITY Bob Swindell Embracing LGBT Diversity Businesses find lucrative markets and create supportive workplaces BY KEVIN GALE Figuring out where South Florida is in supporting lesbian gay bisexual and transgender inclusion can still be a challenge even four decades after Anita Bryant pressed for repeal of an anti-discrimination ordinance in Miami-Dade County. On one side Greater Fort Lauderdale Alliance CEO Bob Swindell says Anytime I travel people know South Florida is a tolerant location with diversity...They know it s a welcoming destination. In addition mainstream businesses such as a practice group at Merrill Lynch and a Cuba travel agency are embracing the LGBT community. On the other side during a Miami-Dade Gay & Lesbian Chamber of Commerce diversity luncheon attendees discussed how some gay business leaders are still afraid to divulge their sexual orientation at work living in a corporate closet. Some companies haven t developed a comprehensive LGBT approach whether it s with employees internally or consumers externally. One example of a company that s evolving is Royal Caribbean Cruises Ltd. (NYSE RCL) whose story was outlined at the luncheon by Grant Van Ulbrich the cruise line s director of diversity and inclusion. Van Ulbrich said that during his 12 years working at sea gay pride would be celebrated 40 JUNE 2016 Michael Covey Davis along I-95 the main corridor that runs through the crew area of ships. On shore however he attended a South Florida gay pride event and found Royal Caribbean wasn t a participant even though its ship Majesty of the Seas was being used by the event s organizers. We were so inclusive at sea but we forgot about what we do on land and the places we go he said. Van Ulbrich approached the chamber for advice and outlined to Royal Caribbean how it might be missing a business opportunity. The company started an LGBT advisory board. Van Ulbrich also suggested the cruise line hold weddings for same-sex couples on board. Let LGBT clients know they are safe on our ships Van Ulbrich said. He also suggested that Royal Caribbean promote diversity throughout all of its cruise line brands. His boss the chief revenue officer took him to the head of HR who said Grant you had a dream...and at Royal Caribbean we like to make dreams come true. Van Ulbrich said there is a lot of business opportunity in the LGBT market which is estimated at 750 billion in the U.S. Chamber President Steve Adkins estimated there are 1.2 million to 1.5 million businesses A pride parade in Cuba that are LGBT-owned in the United States. The National Gay & Lesbian Chamber of Commerce offers training on how businesses can connect with them. Diversity is also important when it comes to the workforce said panelist Josue Santiago who is change management leader at NextEra Energy s (NYSE NEE) Florida Power & Light. He said companies should create a comfortable inclusive atmosphere. For example does someone in a same-sex relationship feel comfortable enough to put a picture of their significant other on their desk He said it s the job of the company s leaders to have a commitment to make that happen. There are still industries in Miami-Dade County that are not affiliating with LGBT organizations because none of their employees are willing to be out in their industry Adkins said. And there are still presidents of organizations in the county who still aren t comfortable being out at work. We still have work to do he said. Carlos A. Valderrama of Cuba Travel Group ( is being inclusive of the LGBT market as part of his overall business plan which offers tours for a variety of interests such as culture history architecture and Judaism. While Cuba long had a reputation of being oppressive toward the LGBT community the Cuban government travel agency now supports tours that embrace LGBT travelers. The tours can include meetings with members of Cuba s Lesbianas Gays Bisexuales y Transg nero organization. When asked if he had any hesitation about having LGBT tours on his website Valderrama said Not at all. The gay market has just as many rights as the others markets. Valderrama also said he didn t see other travel agencies specializing in Cuba trying to reach the LGBT market. Michael Covey Davis a financial advisor and portfolio manager with Merrill Lynch s Davis Thompson Group said he had a client at a previous brokerage who was distraught when his husband died. He and business partner Julie Lynn Thompson were inspired to develop a thriving practice that includes the LGBT community. They take a holistic approach that typically involves accountants and attorneys. There can be sensitive issues such as when the husband in a heterosexual relationship comes out. It doesn t matter if they are straight or gay Davis said. What matters is that we are sensitive to the issue. Merrill Lynch has been very supportive Davis added. The Human Rights Campaign has given its parent company Bank of America (NYSE BAC) a top score of 100 on its Corporate Equality Index. The Charlotte North Carolina bank opposes a new state law prohibiting people from using bathrooms that do not correspond to their biological sex. The federal government in May warned the state that this violates the U.S. Civil Rights Act. National media coverage and boycotts of the state may be painting an unfair portrait Swindell said. He recently stayed at a North Carolina bed and breakfast and the gay owners said the town had been very supportive of their business down to the chamber of commerce coming to a ribbon-cutting. As for the boycott They looked mortified saying We are small gay business owners. We could be penalized [by losing business] as part of the backlash Swindell said. The alliance leader knows about backlash he had to cope with being outed as the owner of a business in the macho field of industrial supply. One of his former sales representatives went to work for a competitor and started trash-talking him because of his sexual orientation. One of his remaining salespeople said two customers no longer wanted to do business with them. Swindell handled the issue head on by scheduling an appointment with them. Swindell is a Republican with a conservative view on many issues. He became more publicly out in 2014 when he spoke in front of the Broward County Commission in favor of gay marriage. He was urged to do so by a Republican member of the commission who was being pressured by members of his party who weren t supporting gay marriage. This is not a Democrat or Republican issue Swindell said. This is about people. And we have a small-minded vocal minority that wants to demonize LGBT issues. Visit to see how the CIA has embraced LGBT diversity (http vlvFro). Diversity Series This is the first of a four-part series on diversity starting with June which is Lesbian Gay Bisexual and Transgender Pride Month. The upcoming sections will be August Black Business Month September Hispanic Heritage Month November Women s Business Month JUNE 2016 41 SPECIAL REPORT CANCER TREATMENTS Cleveland Clinic s Dr. John Greskovich with the Varian Edge radiosurgery machine Genetic diagnostics new drugs pencil-sized proton beams are latest cutting-edge tools BY MARTIN - On Target expression of the tumor itself not what it looks like under the microscope but what it looks like genetically. In other words today s cancer specialists and researchers are more focused on the genetics of a tumor rather than the specific type of malignant cell. Studying and storing each patient s genetic profile over time is leading to better and more targeted treatment methods says Paul Papagni executive director of Holy Cross Hospital s clinical research program. He looks forward to continued advances in the field. We are at the threshold he says. First and foremost with precision Medical experts used to treat most cancers by focusing solely on the tumors themselves. But with ever-advancing technology today s specialists can not only look deeper into the cancer cells themselves but also into a patient s own genetic makeup and how it interacts with the disease process. This better understanding of tumors has led to what doctors are calling targeted and precision techniques of treatment. More and more treatment is based on the genetics of the patient says Dr. Omar Rashid a surgical oncologist at Fort Lauderdale s Holy Cross Hospital. We re looking more at the genetic Dr. Stephen Nimer of Sylvester Comprehensive Cancer Center 42 JUNE 2016 medicine is getting the correct diagnosis from the beginning says Dr. Stephen Nimer director of Sylvester Comprehensive Cancer Center in Miami. We have many more ways of doing that. We can now subcategorize the different types of cancer cells with a lot of attention being paid to genetics. That can lead to specific forms of targeted therapy. Of increasing importance today is the use of immunology in the battle against cancer. Cancer immunotherapy uses the body s own immune system to fight cancer. We want to make the immune system stronger and the cancer cells weaker Nimer explains adding that specialists are using combinations of immune system-bolstering drugs and anti-cancer cell medications in what he describes as a tug of war battle. As an example Nimer says some cancer cells are able to camouflage themselves going unnoticed by a person s own immune system. Immunotherapy drugs are now being developed with good results to strip off this camouflage and allow the body s antibodies to recognize and destroy the malignant cells. Dr. George Daneker surgical oncologist and chief medical officer at Cancer Treatment Centers of America which is headquartered in Boca Raton says The cancer cells disguise themselves as not being foreign to the immune system s protective T cells and say Don t eat me. This new class of immunotherapy drug has shown great promise in fighting metastatic melanoma and even advanced forms of lung cancer. Dr. John Greskovich medical director of Cleveland Clinic s Radiation Oncology department has seen significant changes in the use of radiation to attack many types of cancer cells. We are using higher doses of radiation over shorter courses of treatment he says. We have more improved methods of targeting and delivery in one to five treatments. Tumors are destroyed when radiation is delivered over one to five treatments. Greskovich says doctors are now using high doses of radiation with today s technology in place of traditional invasive surgery. We can now perform radiosurgery with the most modern Dr. Matthew Ramirez of Palm Beach Children s Hospital advanced equipment called Varian Edge he says. Varian Edge enables doctors to more accurately localize and target tumors while minimizing any potential damage to healthy body tissue. Medical specialists are able to use advanced imaging while administering radiation doses. This allows us to demarcate the tumor from surrounding tissue Greskovich says. We can also estimate damage to surrounding tissue. By utilizing this new method of targeting tumors with high doses of radiation the curative rate of stage 1 cancers is now 85 to 90 percent Greskovich says. But one caveat remains We do have to catch it at a small size he says. If larger we can destroy the tumor but it might have already spread. The Varian Edge has the highest dose rate in the industry Greskovich says. We localize the tumor and aim the beam he explains adding that major progress has been made in cutting down on a treatment s side effects. When done precisely patients go home without side effects. Almost no one has side effects if treated this way. We don t want them to have side effects or have to change their lifestyle in any way. Daneker says the technology behind CT scans and MRIs hasn t really changed that much in improved diagnostics. It s really the software he says. New software is being developed with better delineation of images. With better-defined imaging more precise treatment methods will result. There s greater indication for both surgery and radiation but with greater precision in the application Daneker says. Long-term side effects from various forms of cancer treatment have oftentimes been an unfortunate fact of life. Dr. Matthew Ramirez who is director of long-term oncology at Palm Beach Children s Hospital says his program serves as a follow-up center. The main issue is screening for long-term side effects that can occur after the treatment pediatric cancer patients receive has ended he says. Ramirez says screening is not necessarily limited to cancer survivors but for those who underwent any cancer-related type therapy. For example immunodeficiency patients or bone marrow transplant patients have the same type of protocol. In view of today s more targeted forms of treatment Ramirez has seen some major changes in side effects. As the therapy has been more tailored to a patient s needs we re seeing fewer and less severe side effects he says. Of course with new forms of treatment including various new medications the possibility arises that in the future new side effects could emerge. With the newer drugs coming out we don t know the future Ramirez says. With longterm oncology follow up we know we may be coming up with new side effects. Ramirez says long-term follow-up Dr. George Daneker of Cancer Treatment Centers of America JUNE 2016 43 SPECIAL REPORT CANCER TREATMENTS departments are now established in many medical centers. He says if he notices a new side effect here in Florida he can report to his colleagues around the nation to see if they ve made similar observations. We have meetings every year on pediatric survivorship he says. Dr. Archana Maini a hematologist oncologist at Broward Health Medical Center sees immunotherapy as the current leader in all types of therapy. Today s rapidly advancing technology has provided the medical community with the means to make this possible. It s a needed thing she says. We already have the ammunition. Maini says only a small percentage of cancer is genetic in origin. The majority is environmental exposure to different toxins she says. We don t know what many of the stimuli are but some are well-known and researched like cigarette smoking. We know of certain viruses that can cause cancer. We are still far from finding why some cancers occur. In regard to the rapid increase in the amount of cancer-treating drugs being made available and being approved by the FDA she says I try to keep pace but sometimes I m surprised. She points to one particular usually deadly form of malignancy multiple myeloma. It starts in the bone marrow and spreads with no cure she says. Then last year in February a brand-new drug was approved. And by November another three drugs hit the market. Unfortunately Ramirez says most of the new cancer-fighting drugs are patented and approved to fight adult malignancies not usually pediatric cases. He attributes this to occurrences of children s cancer being comparatively small in number. Another cutting-edge form of cancer treatment is proton therapy a type of radiation treatment that uses protons rather than X-rays. A proton is a positively charged particle. Dr. Minesh Mehta deputy director of Baptist Health s Miami Cancer Institute says to target tumors they need to maximize the radiation dose into the tumor while minimizing the dose to surrounding healthy tissue. Pencil-beam proton technology is the most efficient modern form of proton treatment. It allows unprecedented ability to increase the dosage to the tumor while decreasing the radiation dose to normal tissue Mehta says. We now have an elegant opportunity to decrease the number of side effects. In the past proton therapy was delivered as a broad beam making it difficult to shape to tumors which can be asymmetrical. Mehta says historically curative radiation therapy lasted five to eight weeks with a treatment every day amounting to 25 to 40 treatments. Consider the potential with the duration of treatment being reduced with proton therapy to maybe being done in a week or two Mehta says. The number of medical facilities though now increasing with proton therapy equipment is still relatively small because of its high cost. Miami Cancer Institute is slated to have one available for use by either late summer or early fall 2017. Dr. Luis Raez medical director of Memorial Cancer Institute also points to the many new cancer drugs that have hit the market in recent years. Unlike cancer treatment in years past today s treatments are becoming more and more engineered to fight specific tumors and leaving neighboring cells untouched. It used to be like carpet bombing you d hit a large area killing bad guys as well as good guys he says. Now doctors are able to use a targeted approach based on a tumor s molecular profile. This approach hasn t cured some cancers as yet he says but it has extended Broward Health s Dr. Archana Maini people s lives and quality of life. It s a much more rational approach Raez says. Raez sees promise for the future. In recent years more than 30 types of oral agents have been approved for fighting cancer. People can take the medication at home and not at the hospital undergoing chemotherapy he says adding vaccinations and other methods of immunotherapy continue to be introduced. We have to put the immune system back in charge. Cleveland Clinic s Dr. John Greskovich Baptist Health s Dr. Minesh Mehta 44 JUNE 2016 CELEBRATE SUMMER In addition to our amazing chocolates we also have Gourmet Caramel Apples and our delicious Coconut Cashew Crunch. Make sure to stop in today and try our new specialty milkshakes and sundaes created as we Celebrate Summer SO MUCH MORE THAN CHOCOLATE Hollywood Fort Lauderdale Weston Plantation Boca Raton Greenacres Lake Worth Palm Beach Gardens CelebrateWithHoffmans HOFFMANS.COM JUNE 2016 45 SPECIAL REPORT FATHERS LIGHT THE WAY FOR FUTURE GENERATIONS TO SUCCEED BY ARNIE ROSENBERG AND MARTIN LENKOWSKY Dad & Co. amount of pressure placed on us. It was just kind of expected. Ken 46 and Eric 50 never met their great-grandparents but they know their story well They came to New Jersey from Austria in the early 1900s and saw the opportunities presented when electric lighting began replacing gaslights. It was in the bedroom of Arthur Max and Ethel s son and Ken and Eric s grandfather that the patriarchs opened their first showroom. The first retail store in Newark followed in 1924. Arthur eventually took the reins of the company and in 1973 when he was ready to retire he moved to Florida and brought Capitol Lighting with him. Ken and Eric weren t exactly dropped into comfortable executive jobs in the family business. Both began at the ground floor literally and an early age. When my father took Eric and me to work he gave us the dirtiest jobs Ken remembers. One summer I opened 100 cartons of shades in sweltering heat in the East Hanover New Jersey warehouse. We started at the bottom. The benefit is that we know what it takes to do every job at the company. What they didn t know was how to make the difficult choices facing them in 2010. We had a very flat organization run by committee with six Lebersfelds in the company Eric says. My father and uncle (Max Lebersfeld) were still doing the lion s share of decision-making. But we needed to make a lot of very challenging decisions. Our May issue paid tribute to mothers who work with their offspring to create successful businesses. This issue takes a look at fathers who ve done the same. We start with a fourth-generation family whose business goes back to when electric lights were just taking off and also highlight families in the yachting furniture and real estate fields. CAPITOL LIGHTING There s no executive suite at Capitol Lighting. Walk through an unassuming door at the back of the Boca Raton showroom and you ll find a modest office shared by Eric Lebersfeld president and chief marketing officer his brother Ken CEO and their father Herman co-chairman of the board who at 78 is his sons most valued counselor he still comes to work three days a week. The third- and fourth-generation Lebersfelds are keeping this 92-year-old family business thriving. Its 10th store opened in Fort Lauderdale in May and is the company s first location in Broward County. A Doral location opening later this year will be its first foray into Miami-Dade. The brothers who had to make tough decisions to keep the company afloat through the Great Recession don t take for granted the legacy they ve inherited from their great-grandparents Max and Ethel Lebersfeld who started the company in 1924. There was always the expectation we would come into the business Eric says. But there was not a tremendous By the end of 2011 they had downsized the operation from 215 employees to 140 and restructured management with a leadership committee with four Lebersfelds and six non-Lebersfelds. The decisions were painful but necessary Eric says. They were especially hard on Herman. My father came home that night and told my mother I just got fired Eric says. Nearly 700 retail lighting showrooms closed between 2009 and 2013 but Capitol Lighting survived. Today the retail operation has evolved into smaller stores serviced by larger stores in a distribution center model. The company s internet operation which began in 1994 also plays an increasingly important role in the future of the company. But the work ethic and the personal commitment today s leaders inherited from their father continue to be a key to Capitol Lighting s success. Our dad always taught us to look at things from the other guy s point of view Ken says. Don t offer a deal that you wouldn t take yourself. Don t take anything for granted. Be grateful. He s not one to sit you down and give you advice Eric says. He would always lead by example. He was always out on the sales floor always had his hand in the customer experience. And he would never say I told you so or I would have done it differently. He would ask What did you learn from that Eric and Ken recognize the legacy they ve been given by three generations 46 JUNE 2016 The Lebersfelds Ken Herman and Eric JUNE 2016 47 SPECIAL REPORT The Rosciolis Heather Robert and Robert Jr. of Lebersfelds before them. We feel a great responsibility to continue that as leaders of this company Eric says. Ken s children 23 and 26 have mapped out career paths that don t include Capitol Lighting. And it s too early for to say if Eric s kids 14 and 16 will be Capitol Lighting s fifth generation. The path is open just not determined says their dad. We have a family culture here. We all care about each other he adds. Running the team like Ken and I are family attitudes are just ingrained they re part of the culture. That s going to be our winning formula for success. ROSCIOLI YACHTING CENTER Robert Roscioli founder and CEO of Roscioli Yachting Center in Fort Lauderdale has found a way to separate the bond between business and family during working hours. Walking past the gate coming in it s business he says. Walking past the gate going home it s family. Roscioli a native of Philadelphia works with daughter Heather and son Robert Jr. Heather is general manager involved with the administrative end of the business. She does the payroll for 125 people he says. Rob is more on the artistic side. He helps more with the painting but also helps in the administrative department. Roscioli s children became actively involved in the family business at an early age. In fact Heather began helping out part time when she was just a sixth-grader. Now both children are stockholders in the company. They earned it Roscioli says. We couldn t have done this without the family. As soon as Roscioli finished high school he knew he wanted to work around boats. He headed to Florida and got his first job cleaning and then finishing boats. I worked my way up to brushpainting he says. Then a new material for spraypainting came Daniel and Clive Lubner along. No one else knew how to apply this material. That s how I built my business he says. After many years I had the opportunity to rent an actual shipyard. I m a risk taker no risk no reward. Roscioli has been mentored by a few heavy-duty names along the way including Ray Kroc founder of McDonald s and Charles Walgreen. He now uses what he learned. I love mentoring my workers he says. I try giving them the opportunity to be somebody. He says he mentors his children the same way he does his other employees. They have to earn everyone s respect he says. They are not treated any different from any of the other guys in my yard. Roscioli does credit his children s hard work and creativity with the company s ability to be innovative. Working together has allowed us to create great synergies and even greater products such as our newest R58 Sports Cruiser which we are really excited to debut in October he says. However he admits that working with family can be difficult. You really 48 JUNE 2016 SPECIAL REPORT David and Pedro Martin can t be that tough he says. We are a family business and everyone we hire we want them to feel they are a part of our family. CLIVE DANIEL HOME Founding Clive Daniel Home in 2011 came naturally for Clive Lubner and his son Daniel. We have sawdust in our blood Daniel says pointing out how their family has been involved in carpentry for generations owning furniture stores both in the U.S. and in the family s native South Africa. My dad owned a successful chain of furniture stores named Robb & Stucky. He had one in Boca and in 12 other locations. Daniel first joined his father s company in the late 90s but things were a bit different back then. There were a lot of layers between us he admits. But now we work hand in hand. Sometimes we disagree but usually I wind up seeing he s right. We have a great partnership adds Clive who specializes in merchandising and product development. Daniel s excellent with social media advertising and marketing. He s also doing well on the financial side of the business. He s got his left brain and right brain working. There s nothing like working with him Daniel says of his father. He s got a great vision in terms of where design is going. We feel our merchandise is on the cutting edge of what our clients are looking for. He adds that his dad has done a wonderful job teaching him the business. He s been a great mentor a great sounding board. With his experience he s seen every type of situation. As for separating family from business it s not easy for the Lubners. One of our core conversations revolves around work because that s where our passion lies Daniel says. We talk about the things we enjoy. There s no such thing as separation Clive adds. When you love what you do it carries through all hours of the working day. TERRA GROUP Terra Group is a Miami-based development firm founded in 2001 by Pedro Martin and his son David. Before joining his dad in the family business David earned his MBA as well as a law degree. He had also built and later sold a coffee shop in his college town. He always wanted to do real estate Pedro says and he saw this as an opportunity. Our family grew up in Miami we saw the city s evolution David says. I thought it was the time to work with my father who had built a great reputation. Pedro a native of Cuba left the communist island in 1961 to move to Michigan where he was raised. Both father and son followed similar career paths. Prior to working in real estate development Pedro had been a partner in a large law firm. In addition he has both an MBA and an engineering degree. It kind of all worked together Pedro says. You always think of doing something but never get around to starting it. Pedro says David went to very good high schools and played baseball and basketball. His dad was his coach. I m very competitive so he got very competitive Pedro adds. Both father and son say the working dynamics between them has always been good. When we started together he had gotten out of school and learned the business well not only from me but from the other mentors Pedro says. I think he got a little bit from everyone. In the first few years I listened and learned a lot David says. We learned to communicate in business not as father and son. Over the first few years the lines were blurred. We adversely learned the discipline of communication and respect. We would have our discussions but at the end of the day we knew we d have each other s back. We treated them as debates not as fights. We learned as we grew adds Pedro. In terms of setting boundaries between family and business sometimes it s not easy. However they at least try to somewhat curtail business talk when with family. I try to avoid it maybe make it 5 percent out of respect says David noting his dad has nine grandchildren. I only hope I can be as good a father and husband as he s been. He s been a role model. Not just in business but as a father. JUNE 2016 49 WEALTH The Bottom of the Barrel Rising and falling oil prices have been a major factor for the U.S. and global economies in the last few years. Prices recently have taken an upward turn so what does it mean for consumers the economy and investors We asked Troy Sterba senior vice president and wealth management manager at Gibraltar Private Bank & Trust who explained what has happened and what to expect next. Give us a bit of historical context on oil prices which were trading near 44 a barrel near the start of May. From the end of 1984 through the beginning of 2004 the price of a barrel of oil was consistently under 30. Except for the spike at the start of the first Gulf War prices stayed low until 2004 when they started climbing to a peak of 145.25 per barrel on July 3 2008 amid a strong global economy. Six months later though the Great Recession was unfolding and oil hit a low of 31.41 per barrel. Oil recovered a bit more quickly than equity markets as the world s emerging economies (China Brazil Russia and India) continued to grow. The price for a barrel of oil passed 113 in May 2011. What happened in the middle of 2014 to send prices down There were several factors that contributed to the recent decline. I would say that the primary factor was the questions that emerged from China and other emerging markets as they faced slower economic growth. If their economies began to slow down their appetite for oil would certainly decrease. Also there was a growing view that the Federal Reserve would begin to raise interest rates as the U.S. economy strengthened. Just the threat of rising interest rates strengthened the U.S. dollar which had a direct impact on the price of oil which is priced globally in U.S. dollars. With a strong U.S. dollar oil suddenly was more expensive for countries to import. Another factor at this time was a rising supply of shale oil from U.S. producers. We had a situation which continues to this day of softer demand for oil globally with an oversupplied market. The good news for consumers is that U.S. fuel savings have totaled nearly 10 billion as compared with the same period last year according to AAA. The bad news is that oil and prices at the pump have risen steadily since February. Recent tightening of oil supplies proposed coordinated efforts by oil-producing nations and OPEC to restrict output and a weaker U.S. dollar have contributed to this latest move. So what s next So far OPEC has not reached agreement to curb output and there were continued signs of a glut at the beginning of May. Even after announcements of production cuts have been made in the past many OPEC members have historically continued to produce at prior levels because they need oil revenues to sustain government spending and social programs. Certainly economic conditions will need to continue to improve globally for the demand part of the equation to catch up with the oversupply of oil. One thing for sure is that oil prices will continue to be a volatile asset that moves not only on supply and demand fundamentals but is also influenced by geopolitical developments currency valuations exploration (or the lack thereof) and pure market speculation. What sort of strategies do you talk about for clients these days We remain positive on developed international markets with the U.S. in a monetary tightening cycle and Europe and Japan continuing to ease. We remain slightly underweight on emerging market equities based on the risk return profile of that asset class. We are maintaining an underweight to bond allocations in portfolios from last year in anticipation of yields continuing to rise as the Fed raises rates. We see value in municipal bonds as the historical spread between taxable and tax-free bonds remains wide. Market volatility has been somewhat subdued over the past several years however it has recently been on the rise. We maintain positions in core alternative strategies as effective ways to moderate risk and provide further diversification as we expect market volatility to continue in 2016. Troy Sterba 50 JUNE 2016 PRESENTED BY FA M I LY O F R E C R U I T I N G C O M PAN I E S CALL FOR NOMINATIONS SFBW s Third Annual Apogee Awards will recognize distinguished leaders in the region s executive in each category will be honored for Miami-Dade Broward and Palm Beach counties. C-suite from chairman CEO COO and president to CFO CIO CMO and HR leader. An signature-events apogee Please visit our website for more information and to purchase tickets. TO NOMINATE VISIT OUR WEBSITE Gold Sponsors Silver Sponsors SFBW AGENDA Nanette Watson of South Texas Distilling Winery and Brewery near Homestead.) As outlined on and during her talk Watson wants to raise 50 million with a minimum raise of 5 million and a projected internal rate of return of 23 percent. Limited partners will be the first to receive a 6 percent preferred return followed by a partnership split of 75 percent to the limited partners and 25 percent to the general partner. Another rum company South Florida Distillers in Fort Lauderdale recently announced an expansion of its distillery to a 4 600-square-foot location on South Federal Highway. See for more coverage. Distilleries are the new How Tri-Rail status symbol expansion was almost derailed You ve undoubtedly seen noticed the wave of craft breweries popping up all over South Florida but Nanette Watson s idea for a craft distillery could be the next hot thing. She visited South Florida as part of a Family Office Association meeting in Palm Beach to talk about South Texas Distilling LLC. As president and managing member she wants to offer a model of sustainability growing the corn agave and sugar cane for making spirits. She s starting with rum. We are disrupters Watson says. We are taking what is traditionally a large and industrial-based business and coming in as craft distillers. Millennials are looking for locally made spirits and investors are looking for sustainability. The concept for Watson s project includes the agricultural land a sugar mill a barrel-aging warehouse a visitor center a store a cocktail bar and an events center in the Padre Island area of Texas. (South Florida has a similar concept with the Schnebly Redland s A two-part SFBW series about rail mass transit earlier this year talked about how Tri-Rail was expanding service to downtown Miami via a new interchange in Hialeah. However Executive Director Jack Stephens of the South Florida Regional Transportation Authority parent of TriRail had to do some rapid maneuvering after the Florida Legislature failed to pass an insurance indemnification measure to cover accidents for the new service. Without that the whole deal involving SFRTA All Aboard Florida and the Florida Department of Transportation was ready to fly apart. Without legislative action Tri-Rail couldn t get FDOT state funding for the new link. A deal passed by the SFRTA board in April will replace 20.2 million in state funding 16.2 million in rail infrastructure 3 million for a safety system and 1 million for access to the tracks. After the board meeting Stephens was poised to start looking for a lender to provide the money most likely a commercial bank loan. Tri-Rail wants to split its existing service along the railway next to I-95 some trains would still go to Miami International Airport while others would head to downtown Miami using the same station as the Brightline high-speed service from Miami to Orlando. Ultimately Tri-Rail A rendering of the new Pompano Beach Tri-Rail station which will be completed in August 52 JUNE 2016 would like to have a Coastal Link commuter service along the FEC. Meanwhile a new headquarters for SFRTA will be finished Aug. 3 at the TriRail stop near Sample Road in Pompano Beach. The building will be the first LEED Silver certified station and have solar panels on the roof. The stadium as star Cranes install the support structures for the canopy on Sun Life Stadium As preseason approaches for the Miami Dolphins the biggest star these days is arguably the team s stadium which is nearing the end of a 450 million renovation. The countdown to kickoff is less than three months away with the first home preseason game on Thursday Aug. 25 against the Atlanta Falcons. The construction is visible in the distance to travelers along Florida s Turnpike and SFBW found an even better view from the northbound exit ramp at 199th Street. The concrete pillars that will support the roof now stretch above the upper deck and trusses are now being attached to the top. The metal towers that will support the suspension cables for the canopy soar even higher. Rows of roof trusses are also visible on the west side of the stadium waiting to be hoisted into place. According to 92 percent of the fans will be in the shade for a Sept. 1 kickoff. Large HD screens (1 472 inches or nearly 41 yards) will be placed in each corner of the stadium instead of above the middle of the end zones. Will chambers combine There s an old saying that South Florida businesspeople don t pay attention to county lines. Now there s a move to tear one down when it comes to the Greater Miami Chamber of Commerce and the Greater Fort Lauderdale Chamber of Commerce. The groups are exploring a merger that would help create a better regional voice and provide more benefits for members. A memorandum of understanding was signed by the executive committees of each group and a final decision is expected by the end of the year. This is a great opportunity to provide even better service leadership and value for businesses throughout South Florida while allowing us to operate more costeffectively for our members says Christine Barney chair of the Greater Miami Chamber of Commerce and CEO of rbb Communications. The Greater Miami Chamber has always been a regional chamber serving Palm Beach to the Keys and there are many issues that are more effectively addressed with a regional approach. There are already many existing synergies between our two groups says Heiko Dobrikow chair of the Greater Fort Lauderdale Chamber of Commerce and general manager of the Riverside Hotel. By consolidating our power bases we increase our ability to shape key issues regionally while continuing to address the matters that impact our local businesses and economy. A task force will study other national models currently used in Houston St. Louis and Orlando to explore the merger of the chambers. The Fort Lauderdale chamber had 1.39 million in revenue and 1.39 million in assets for 2014 while the Miami chamber had 3.69 million in revenue and 2.04 million in assets for 2013 according to the latest data on GuideStar. The Miami chamber was first with 4 500 members while the Fort Lauderdale chamber was sixth with 1 400 members according to a list of largest chambers in the South Florida Business Journal. A Las Olas icon disappears About 10 years ago Louis Flematti sold the site of his restaurant French Quarter located just north of Las Olas Boulevard. It became the site of the 30-story Amaray Las Olas which has a coffee bar yoga studio swimming pool billiards lounge dog spa and dog park for residents. Fans of French cuisine were consoled by the fact that Flematti s Cafe de Paris was still open on Las Olas but he recently announced the 50-year-old restaurant was scheduled to close by the time this issue of SFBW was printed. Flematti sold the property to the Las Olas Company during the recession but SFBW AGENDA Left Louis Flematti s Le Cafe de Paris was scheduled to close last month. The tower behind it was previously the site of his French Quarter restaurant. Below An interior view of Le Cafe de Paris. is now planning to travel with his wife. There was no immediate word from the Las Olas Company the largest property owner on the street on what would happen to the property. Allied expands in Oakland Park Allied Kitchen & Bath is giving a boost to the Downtown Oakland Park Culinary Arts District with a new 10 000-square-foot showroom at 3484 NE 12th Ave. The city has been working to reinvigorate the downtown whose biggest attraction is currently Funky Buddha Brewery. Funky Buddha really put us on the map. But we want people to have a full experience says Kathleen Margoles community and economic development director for the Community Redevelopment Area of Oakland Park who envisions a street full of retail where people can hop from place to place. We are actively recruiting restaurants art galleries clothing stores anything that would attract more people to downtown. Allied Kitchen & Bath s second location is an extension of the current showroom located at 616 W. Oakland Park Blvd. and showcases kitchen models including several functional interactive models in addition to a broad display of cabinetry appliances custom closets decorative hardware bath displays plumbing lighting flooring outdoor kitchens and home accessories. Oakland Park Mayor Tim Lonergan along with other local dignitaries joined Allied Kitchen & Bath founders Bill and Joe Feinberg and brothers Rob and David Feinberg for the ribboncutting ceremony of the new location. FPL presented Habitat for Humanity of Broward County with a 20 000 donation that was accepted by Bill Feinberg who is the Habitat chapter s chairman. The Feinbergs and local dignitaries celebrate the opening of Allied Kitchen & Bath in Oakland Park 54 JUNE 2016 DEBT.COM FINANCIAL SOLUTIONS Options to reduce your credit card debt student loan payments & high interest rates Financial Tools Credit Correction Credit Counseling Student Loan Consolidation Tax Resolution Services Collector Harassment Loan Resources Visit today or call 800-810-0989 for additional information. LAW Miami attorney plays key role in helping Olympics operate smoothly BY DAVID LYONS The rush is on in troubled Brazil to wrap up construction projects in time for the 2016 Summer Olympics. With roughly three months to go before the opening ceremonies in early August a delegation from the International Olympic Committee reportedly concluded that thousands and thousands of little things are left to be completed from hotels to transit projects to venues such as an indoor cycling track. But it s not all that bleak according to Miami construction lawyer Jerry P. Brodsky a partner and director of the Latin American practice group at Peckar & Abramson. Earlier this year Brodsky and lawyers from Construlegal an alliance of construction law firms in the Americas were appointed by the Rio 2016 Organizing Committee to develop and run a program of dispute resolution boards to ensure that an array of temporary structures are completed in time for the games to start as scheduled on Aug. 5. There is a tremendous amount of construction and preparations that have to be accomplished for the games to start on time Brodsky says. There are great opportunities for things to go amok. Every host city has to be very careful. The projects overseen by the boards include a media center temporary pools portable buildings spectator stands interiors for the Olympic Village and fire detection and suppression systems. In the past cities that hosted the Olympics would end up being saddled with facilities that sat idle long after the games Peckar & Abramson s Jerry Brodsky had concluded. People who live there don t use the facilities Brodsky says. To avoid that London for example engaged in the concept of building temporary structures. After the 2012 Summer Olympics ended the temporary structures were removed. Brodsky who is fluent in English Spanish and Portuguese and certified by the Florida Bar as a construction law specialist is well-suited to lead the effort to establish the dispute board system. He represents international and domestic general contractors construction managers sureties and other construction professionals in the U.S. and throughout Latin America and the Caribbean. He s been involved in negotiations mediations arbitrations and the litigation of construction contract claims and he also serves as referee and dispute board member in international disputes involving construction of infrastructure projects in Central America. There are many parts of the world like the United States where these dispute boards are very common he says. For example public agencies such as the Florida Department of Transportation use them to keep highway projects free of delays and work stoppages. In Brazil there was no experience with dispute boards. They knew about the models but did not adopt them. The [Olympic] organizers wanted to use dispute boards but they didn t have experienced people and that s when they contacted me. Brodsky says he and a firm partner in Sao Paolo designed a program for the Olympics that includes the training of board members and chairs. There are now boards in place to ensure the completion of between 40 and 60 construction projects. All of these people needed to be trained he says. That was the first challenge. There are now a total of 99 trained board members and chairs many of whom are attorneys. Others are psychologists and other professionals with technical backgrounds who have experience in construction projects. Most are Brazilians but others were imported from elsewhere in Latin America. We were looking for people that would be good at helping to solve problems Brodsky says. The other challenge we had was that while we could train 56 JUNE 2016 people none of them would have any experience of working on a dispute board. For us that was too much of a risk to take. The solution was to enlist people from places like Mexico Chile Peru and Honduras with dispute board experience. To help secure buy-in from Brazilian officials Brodsky summoned help from the Seattle-based Dispute Resolution Board Foundation a nonprofit organization dedicated to promoting the avoidance and resolution of disputes worldwide. Despite the corruption controversies that have all but paralyzed the leadership of the Brazilian government Brodsky says the Olympics are largely insulated from the chaos. The Olympics more than anything else in Brazil are handled with white gloves in terms of transparency corruption and ethics he says. It was very important for the Brazilians to have not just Jerry Brodsky s dispute board program but something with institutional support. I went to the Dispute Resolution Board Foundation and told them I had an opportunity to put something together for the Olympics. They said Where do we sign up Thus far the projects overseen by the dispute boards Brodsky established have been running smoothly. The reports I have are pretty good. They seem to be running on time he says adding The Olympics have never been delayed. And they are not going to be delayed now. David Lyons is a past editor-in-chief of the Daily Business Review. He is principal of Lyons Strategic Communications of Fort Lauderdale. Duane Morris Grows Duane Morris LLP has added five partners to its Miami office from Carlton Fields Robert A. Zinn former president of Akerman joined the corporate practice group William D. Rohrer and Anastasios G. Kastrinakis joined the firm s tax practice which is part of the corporate group Marsha G. Madorsky joined the wealth planning practice group and Roger S. Goldman joined the real estate practice group. In a statement Zinn a specialist in the automotive industry called Duane Morris a great fit for us adding that the firm is well-known for its collegial culture collaborative approach and business savvy. Founded in Philadelphia Duane Morris has more than 750 attorneys in the U.S. and internationally. The firm opened its Miami office in 1999. COI access connecting Centers of Influence Corporate Lobbying Strategy Execution Talent Advisors JUNE 2016 57 SPECIAL QUARTERLY REPORT COMMERCIAL REAL ESTATE Blips in residential not spreading to commercial sectors BY DARCIE LUNSFORD Wait for it...Wait...Still waiting. While cracks like growing inventory have begun in South Florida s condo-centric residential market that has not spread so far into commercial real estate according to the latest data from CBRE. And while most experts predict cyclical softening even in the hale-and-hearty retail industrial and office markets within the next 24 to 36 months they do not expect another 2008 when the residential market fell apart. Rental rates across all three South Florida counties and across all commercial sectors continued their acceleration in the first quarter of the year. Vacancy rates also largely fell across the region compared to a year ago. Miami-Dade County retail where 2.3 million square feet of projects are in the pipeline continues to impress market watchers. Vacancy dipped an additional 20 basis points in the first quarter to 3.2 percent while rents bumped up about 2 percent. Vacancy rates retreated to 5.3 percent in Broward County and 5.2 percent in Palm Beach County as rents rose. Meanwhile the region s office markets which have lagged in the post-recession recovery gained real year-over-year momentum. In Miami-Dade County where much of the new office construction is taking place rents rose nearly 8 percent in the first quarter. Miami s 132 552-squarefoot Three Brickell City Centre greeted its first tenant when the Akerman law firm moved into its 110 508-squarefoot offices. Office vacancy fell by 1.5 percentage points to 12.5 percent. In Broward County which saw the delivery of its first major institutional- quality office project since the Great Recession office rents jumped 6 percent. This upward pressure on rents is led by strong rent growth in the western suburbs and downtown Fort Lauderdale. Overall market vacancy fell 30 basis points to 15.7 percent. Palm Beach County which has still seen no major new office construction in this recovery had its 10th consecutive quarter of rent growth up 3 percent. Vacancy also continued its decline but at 18.9 percent it remains the highest in the region. We ve had more than 300 000 jobs added to South Florida over the last five years. Nearly 40 percent of these are officeusing jobs. Not surprisingly we ve seen 7.7 million square feet of office absorption over that same period says Christian Lee vice chairman of CBRE. Projections are for only modestly less job growth over the next five years so one would tend to expect similar absorption. With limited office construction underway we expect upward pressure on office rents to push growth well beyond typical cost-of-living increases. South Florida s industrial sector continues to show its economic chops. In Miami-Dade County where nearly 3 million square feet of new distribution hubs and warehouses have gone up in the last 36 months the vacancy rate fell slightly to an uber-tight 3.4 percent. Rents jumped 4 percent. For the rest of this year I expect the pipeline of development to remain at or below demand levels says George Pino president of State Street Realty which handles leasing for many of the new large industrial buildings in suburban Miami- Dade County. Pino says Miami industrial rents are also likely to continue to rise. Currently there are 7.5 million square feet of projects already out of the ground or planned. Pino says he is concerned that if the current development pace doesn t ebb rents could drop and vacancies could rise. Demand for industrial space in Broward County hit positive territory for the eighth consecutive quarter. More than 250 000 square feet in two new industrial buildings opened in the first quarter in addition to the 1 million square feet completed last year and 800 000 square feet completed the year prior. Even so vacancy remained unchanged at 6.3 percent year over year. Rents rose 3 percent. Palm Beach County saw about 1 million square feet of new industrial space come out of the ground last year but vacancy still slid by 1.3 percent to 3.4 percent. Rents rose 4 percent. But if the housing market does continue to cool it is likely ripple out into the supply-oriented industrial sector. Carpet furniture marble appliances... There is going to be a bit of a reduction in space needs for those industry sectors says industrial real estate veteran Michael Silver a first vice president at CBRE. I don t think it is as large of a percentage of the market as it was back in 2007 2008 and 2009. Freelance writer Darcie Lunsford is a former real estate editor of the South Florida Business Journal. She is the senior VP for leasing at Butters Group and is avoiding a conflict of interest in her column by not covering her own deals. 58 JUNE 2016 CBRE MARKETVIEW SNAPSHOT BROWARD COUNTY OFFICE Q1 2016 Plantation leads in construction VACANCY RATE Commercial NET ABSORPTION (SF) Commercial UNDER CONSTRUCTION (SF) Commercial DIR. ASK RATE (S SF NNN) Commercial 20.9% Cypress Creek (24 680) Cypress Creek 0 Cypress Creek 14.73 Cypress Creek 18.4% Downtown CBD (165) Downtown CBD 0 Downtown CBD 14.99 Downtown CBD 12.6% Plantation Plantation 38 885 26 864 Sawgrass 0 Plantation 23.64 137 349 Plantation 13.7% Sawgrass 16.84 Sawgrass Sawgrass 10.7% Southwest Broward 3 623 Southwest Broward 0 Southwest Broward 18.35 Southwest Broward 14.8% (731) 67 710 21.33 MIAMI OFFICE Q1 2016 Airport Doral and downtown Miami lead in construction VACANCY RATE Airport Doral NET ABSORPTION (SF) Airport Doral UNDER CONSTRUCTION (SF) Airport Doral DIR. ASK RATE (S SF NNN) Airport Doral 10.1% Aventura Aventura 131 360 Aventura 246 085 Aventura 26.45 44.07 Biscayne Boulevard 4.6% Biscayne Boulevard 5 484 Biscayne Boulevard 88 555 Biscayne Boulevard 16.8% Brickell Brickell 12 535 128 217 Coral Gables 20 180 Brickell Brickell 37.54 41.25 Coral Gables 12.1% Coral Gables 129 676 Coral Gables 9.5% Downtown Miami (17 183) Downtown Miami 116 576 Downtown Miami Downtown Miami 37.64 35.33 18.5% PALM BEACH COUNTY OFFICE Q1 2016 No new office construction VACANCY RATE Boca Raton 34 488 280 000 NET ABSORPTION (SF) Boca Raton UNDER CONSTRUCTION (SF) Boca Raton DIR. ASK RATE (S SF NNN) Boca Raton 17.4% Boynton Beach (23 604) Boynton Beach 0 Boynton Beach 18.76 Boynton Beach 29.3% Delray Beach 541 Delray Beach 0 Delray Beach 15.33 Delray Beach 46.5% North Palm Beach 8 105 North Palm Beach 0 North Palm Beach 13.08 North Palm Beach 12.2% Palm Beach 4 231 Palm Beach 0 Palm Beach 18.91 Palm Beach 13.6% West Palm Beach (7 354) West Palm Beach 0 West Palm Beach West Palm Beach 41.95 19.07 19.1% 28 305 0 JUNE 2016 59 CBRE MARKETVIEW SNAPSHOT CBRE MARKETVIEW SNAPSHOT BROWARD COUNTY INDUSTRIAL Q1 2016 Speculative warehouse construction growing to meet demand VACANCY RATE Coral Springs NET ABSORPTION (SF) Coral Springs UNDER CONSTRUCTION (SF) Coral Springs DIR. ASK RATE (S SF NNN) Coral Springs 8.3% Northeast Broward 4 654 Northeast Broward 59 904 Northeast Broward 7.25 Northeast Broward 6.5% Pompano Fort Lauderdale (28 541) Pompano Fort Lauderdale 403 369 Pompano Fort Lauderdale 7.66 Pompano Fort Lauderdale 4.3% Southeast Broward (17 850) Southeast Broward 0 Southeast Broward 7.41 Southeast Broward 7.2% Southwest Broward Southwest Broward 166 574 28 269 West Sunrise 30 000 Southwest Broward Southwest Broward 8.19 0 7.62 West Sunrise 7.4% West Sunrise West Sunrise 7.6% MIAMI INDUSTRIAL Q1 2016 Industrial construction tops 2.5 million square feet VACANCY RATE Airport Doral 21 837 0 8.44 NET ABSORPTION (SF) Airport Doral UNDER CONSTRUCTION (SF) Airport Doral DIR. ASK RATE (S SF NNN) Airport Doral 3.7% Central Dade 99 428 Central Dade 462 211 Central Dade Central Dade 9.89 9.89 0 8.12 Hialeah 3.4% Hialeah Hialeah 213 336 3 057 Kendall Tamiami Hialeah 2.1% Kendall Tamiami 1 022 989 Kendall Tamiami 6.82 Kendall Tamiami 1.0% Medley 2 560 Medley 0 10.01 10.01 Medley Medley 3.6% South Dade 33 524 South Dade South Dade 944 154 South Dade 8.33 9.60 9.60 3.4% PALM BEACH COUNTY INDUSTRIAL Q1 2016 West Palm Beach leads in construction VACANCY RATE Boca Raton 2 602 0 NET ABSORPTION (SF) Boca Raton UNDER CONSTRUCTION (SF) Boca Raton DIR. ASK RATE (S SF NNN) Boca Raton 5.5% Boynton Beach (5 146) Boynton Beach 0 Boynton Beach Boynton Beach 9.99 8.57 Jupiter 2.0% Jupiter Jupiter 64 820 39 959 Lake Worth 0 Jupiter 2.3% Lake Worth 0 Lake Worth Lake Worth 9.01 8.11 Riviera Beach 1.0% Riviera Beach Riviera Beach 87 428 3.9% 8 238 West Palm Beach 250 000 Riviera Beach 0 West Palm Beach 8.05 West Palm Beach West Palm Beach 3.3% (16 393) 443 410 8.85 60 JUNE 2016 BROWARD COUNTY RETAIL Q1 2016 Hollywood leads in construction VACANCY RATE Fort Lauderdale NET ABSORPTION (SF) Fort Lauderdale UNDER CONSTRUCTION (SF) Fort Lauderdale DIR. ASK RATE (S SF NNN) Fort Lauderdale 5.3% Hollywood (49 985) Hollywood 149 328 Hollywood Hollywood 18.93 9.5% Northwest Broward Coral Springs (6 426) Northwest Broward Coral Springs 300 000 Northwest Broward Coral Springs 19.81 Northwest Broward Coral Springs 5.2% Pompano Beach 66 268 Pompano Beach 0 Pompano Beach 17.65 Pompano Beach 5.4% Southwest Broward (17 542) Southwest Broward 10 351 Southwest Broward 18.75 Southwest Broward 3.8% 11 440 76 753 24.47 MIAMI RETAIL Q1 2016 Downtown Miami and Brickell leads in construction VACANCY RATE Aventura NET ABSORPTION Aventura UNDER CONSTRUCTION Aventura DIR. ASK RATE (S SF NNN) Aventura 1.3% Brickell (17 750) Brickell 0 Brickell 32.31 Brickell 1.0% Downtown Miami 4 469 Downtown Miami Downtown Miami 568 042 Downtown Miami 81.37 23.74 Kendall 6.8% Kendall 7 463 Kendall Kendall 563 508 117 714 35 391 Miami Beach 2.6% Miami Beach Miami Beach 32.71 Miami Beach 5.3% Northeast Dade (30 469) Northeast Dade 110 454 Northeast Dade 58.26 Northeast Dade 3.8% PALM BEACH COUNTY RETAIL Q1 2016 Lease rates increase 11 percent year over year VACANCY RATE Boca Raton East 16 799 38 580 23.72 NET ABSORPTION (SF) Boca Raton East UNDER CONSTRUCTION (SF) Boca Raton East DIR. ASK RATE (S SF NNN) Boca Raton East 4.4% Boca Raton North 33 389 Boca Raton North 38 160 Boca Raton North 25.36 Boca Raton North 1.2% Boca Raton West 1 300 Boca Raton West Boca Raton West 52 506 Boca Raton West 34.44 30.05 Boynton Lantana 2.5% Boynton Lantana 7 265 Boynton Lantana 37 000 Boynton Lantana 6.2% Delray Beach 37 153 Delray Beach 0 Delray Beach 17.95 Delray Beach 5.1% West Palm Beach 6 016 West Palm Beach 35 147 West Palm Beach 21.67 West Palm Beach 6.6% 180 840 28 438 15.98 JUNE 2016 61 BEHIND THE MIC What s Next After Wynwood BY JIM FRIED A banner for the Wynwood Business Association On this month s show we talked about urban development in Miami and what real estate investing trends across the country are going to look like. We even got a glimpse of the future when we met some terrific young people. I had a great conversation with Chaim Cahane an investor in the neighborhoods that are close to Miami s urban core. He initially invested in Wynwood but started buying in areas such as Little River and Little Havana as pricing increased in Wynwood. He works with capital partners from New York and provides them with local representation. Chaim is redeveloping a number of buildings in Wynwood including the Wynwood Arcade at 50 NW 24th St. and seeing strong tenant demand. He is also the first developer in Wynwood to secure a Fortune 500 company Revlon. He sees no letup in demand for infill locations in Miami. He and his investors are actively seeking more opportunities. We also talked to Mark Cosenza a senior vice president at Inland Real Estate Acquisitions. He buys properties all across the country and also helps Inland to secure financing. He sees a big push to acquire assets with solid well-defined cash flow such as apartments grocery-anchored retail centers and self-storage facilities. He also sees Miami as a market in which he would like to invest that may be a bit overheated. Pricing is high in South Florida but he thinks he will eventually be able to buy here. Mark thinks many other markets provide better investment opportunities. For example Tampa Orlando Jacksonville and other second tier markets still offer value. Inland also develops its own project and can act as a joint venture partner. We also had one of my favorite guests of all time Reinaldo Cardenas and his debate coach Davalyn Suarez. They were joined by Nalisa Saati program director of the Miami-Dade Urban Debate League (MDUDL). We discussed MDUDL and its impact on the young people in our community. Reinaldo is our future he is smart confident and well-spoken and he made a great impression on the show. We discussed how the Urban Debate League brings young people from across South Florida together so that they can build confidence and learn the techniques that will help them communicate successfully in the future. You can hear each of these interviews in their entirety at Look for our show Thursdays at 6 p.m. on 880 AM in Miami. 62 JUNE 2016 LOCATION LOCATION LOCATION Prime Fort Lauderdale Office Space for Lease 2101 W. Commercial Blvd. Office Space For Lease 5 Story Class A 94 350 SF Office Building with marble entry and lake views. Located 1.2 miles west of I-95 with easy access to Florida s Turnpike. Close to hotels retail and restaurants. 11 miles from Fort Lauderdale - Hollywood International Airport and adjacent to the Ft. Lauderdale Executive Airport. Ammenities include covered surface parking 24-hour building access security cameras dry cleaning service automotive detailing. Building signage available for full floor tenant. Management and securty officer on-site. Commerce Point Office Space For Lease 3511 W. Commercial Blvd. Fort Lauderdale FL 33309 Commerce Point offers office ready suites with excellent Commercial Boulevard visibility. Recently remodeled common areas. Separately metered HVAC system. Close proximity to restaurants cafes hotels financial institutions and shopping destinations. Availability of smaller suites for immediate occupancy. Excellent access to I-95 and Florida s Turnpike. Cypress Court Office Space For Lease 6360 NW 5th Way Fort Lauderdale FL 33309 Cypress Court has office ready suites available. Abundant parking 5 1000 ratio. Recently remodeled common areas. Separately metered HVAC system. Close proximity to restaurants cafes hotels financial institutions and shopping destinations. Excellent access to I-95 and the Florida s Turnpike. WILLIAM J. KAHN at 954.540-6490 JUNE 2016 For Leasing Information contact 63 NONPROFIT GOVERNANCE What do you do at board meetings BY GERRY CZARNECKI If you are part of a typical board your meetings probably follow a pattern that is in direct opposition to what governance professionals would recommend and it is probably time for you to start challenging that pattern. Does this pattern sound familiar An infrequent meeting that starts with a socializing time then a call to order a quorum call the approval of minutes an explanation of each ministerial proposal or motion then presentations by committee chairs the treasurer and the president or executive director. Once a year a budget is proposed the board approves the budget and is informed on the state of fundraising. The meeting ends with an adjournment and a thank you for all who attended. If that is where you are then you are typical. If you are busy in your professional or personal life you probably question the value of the time commitment. But wait it does not have to be that way. Here are some suggestions to improve the process Make certain that the board decides to meet only as frequently as is required to make a meaningful contribution. Unless you are in crisis once a month may be too much and once a year is probably too infrequent. Ensure that the board fully understands the difference between governance and management even if you need to get training on that. Ensure the board controls the agenda do not defer to the president. Ensure that all materials to be reviewed and discussed in the board meeting are sent to the members at least a week in advance. Have management prepare an executive summary (one pager) for all topics in the materials and that is the only material they will speak to in their presentation. Have the board decide that all members will have read the advanced materials and that management will not simply present the entire board book at the meeting. Limit discussion on ministerial matters by using a consent agenda that allows all of those to be approved in one motion. Limit reports and presentations by any person or committee to 10 minutes recognizing that questions by board members may extend the time. Limit the allocation of time for routine operational updates and dashboard reporting on operations to less than 50 percent of the meeting time. Limit the show and tell and maximize engagement by the board. Encourage board member inquiry. Focus on issues where the board can add value. Insist that a major element of meeting time is spent on key strategic issues. If you change your meetings in these ways you may work harder and be more intellectually challenged but you will feel like you are contributing. Try it. You will like it. Gerry Czarnecki is founder and chairman of the nonprofit National Leadership Institute ( which helps boards of nonprofit organizations become strategic assets to the leadership team. His extensive background as a C-suite executive and CEO is coupled with current board leadership of corporate and nonprofit organizations. He is also chairman and CEO of the Deltennium Group. Contact him at 561.293.3726 or gmc 64 JUNE 2016 JUNE 2016 65 TECH HUB iPad Pro Citrix Receiver X1 Mouse create laptop alternative BY CHRIS FLECK For the past two months I have left my laptop in the office and used only my iPad Pro for mobile work. On my desk I still want a large display and multiple monitors. But when I m roaming to office conference rooms working from home or traveling I ve switched over to the iPad Pro exclusively to get the full experience. GEAR Belkin B2B064 Sleeve Offers good iPad protection plus a zipper pocket for accessories Apple Smart Keyboard The smallest lightest integrated option Citrix X1 Mouse Essential for navigating Windows apps hosted on XenApp Apple Pencil Great for drawing and notes Lightning to HDMI Connector Good for presentations APPS Citrix Receiver Provides access to my XenDesktop Virtual Desktop and Windows work apps SAP etc. WorxMail Secure work email WorxWeb Secure web browser WorxNotes Work notes Citrix ShareFile Document storage allows online or offline access with sync GoToMeeting Online meetings Messages For work and personal messages Slack For team engagement With this setup you can definitely leave your laptop at home (or work) and do everything you need. There are many pros and a few cons. PROS Lightweight the iPad Pro is only 1.6 pounds plus 11 ounces for the Smart Keyboard. I tried other keyboards but I liked the ease of flipping to tablet mode with the Smart Keyboard. Battery The 10-hour battery life makes all-day work easy. Cellular The option for built-in cellular data makes the iPad Pro more mobile than most laptops. Mouse Using the Citrix X1 Mouse makes all the difference when connected to a virtual desktop or Windows app. Right-click drag and drop scroll everything works as expected. Stylus The Apple Pencil works great for native apps like drawing or editing photos. It feels better than any other stylus I have tried. It also works well inside a XenApp session and can be used instead of the mouse. Comfort The ability to easily rotate and sit back in couch-surf mode with touch is something I do almost every evening and is preferable to a laptop. Split screen The coming version of Receiver enables the Split View feature. I often have my virtual XenDesktop in three-quarters of my display and local Slack or Messages in the onequarter sidebar. CONS Offline There are still times when working offline is required. I can use the native apps but full-feature PowerPoint is not an option. Keyboard lighting The Apple Smart Keyboard keys are not backlit which is a problem in dim light. Logitech and others have backlit keys but are heavier Screen sharing Sharing the local screen in a GoToMeeting (or other web meetings) does not work due to iOS limitations. The remote Virtual Desktop can be shared but not a local app. Chris Fleck is on the board of the South Florida Technology Alliance and vice president of emerging solutions for Citrix Systems (NASDAQ CTXS) a Fort Lauderdale company that provides secure delivery of applications and data. 66 JUNE 2016 Entrepreneurs Organization The Entrepreneurs Organization (EO) is a global business network of 11 000 business owners in 150 chapters and 48 countries. Founded in 1987 by a group of young entrepreneurs EO enables small and large business owners to learn from each other leading to greater business success and an enriched personal life. The EO South Florida chapter is one of the top 5 chapters worldwide and helps leading entrepreneurs learn and grow through peer-to-peer workshops once-in-a-lifetime experiences and connections to experts. Visit Ask a South Florida Entrepreneur Jason Bowen Cesar Quintero CEO Fit2Go Meal We cook and deliver fresh healthy meals daily so that you can eat smart at your office Proudest Accomplishment I was able to transition from a doit-all type of leader to empowering my employees to understand their direct impact on our business success and profitability through an Open Book Culture. This resulted in achieving better quality food and surpassing our customers expectations. Greatest Challenges Our mission is to make eating healthy simple to follow. We deliver over 1200 meals per day within 3 hours around most of South Florida so logistics is always a challenge. We developed proprietary software to help us with online ordering customizing dishes and effective delivery processes in order to guarantee convenience and freshness. What motivates me I get energized by entrepreneurship and seeing how it can change people s lives and help communities thrive. I mentor high school entrepreneurs with NFTE I also volunteer in a couple of Entrepreneur Council boards. What do you love about what you do I m always ecstatic when our customers share how much we have helped them with their wellness goals. Most people have a hard time finding healthy choices for lunch in the office so I m glad we can help make it convenient for them. Most memorable EO Experience A leadership training I went to a couple of years ago where we did whitewater rafting at midnight and had a survival lesson with a Navy Seal. What distinguishes your company We make eating healthy convenient freshly made every day online ordering fully customizable menu no contracts pay as they go. Recent Book Scaling Up by Verne Harnish JUNE 2016 CEO- Consumer Information Bureau We have developed a program that helps consumers maximize their credit score and protect their identity. This gives our customers piece of mind and allows them to enjoy the numerous benefits of having good credit. Proudest Accomplishment When I look back and realize that I have developed a business with integrity that has improved the quality of life for over 50 000 of our customers. Greatest Challenges Trying to find enough time in the day to balance my passion for business with the love for my family. As a new father there is nothing more that I look forward to than spending time with my son and beautiful wife. What motivates me I have a passion for solving problems and turning ideas into reality. I love the constant pursuit of building a better mousetrap. What do you love about what you do Every day is a challenge and you never know what it will bring. I have a very clear vision for the business. I love clarifying that vision with my team and leading them to success. Most memorable EO Experience Being honored to serve on the Board of Directors and traveling to Vancouver to attend the Global Leadership Conference. Being around such an amazing group of passionate entrepreneurs was life changing. What distinguishes your company Our program uses proven strategies that focus on the five key factors that go into a credit score. Most of our competitors only focus on one of those factors. This results in our program being the fastest easiest and most effective way to maximize your score. Recent Book Good to Great by Jim Collins 67 SALES STRATEGIES Finding the REAL Truth BY GRETA SCHULZ Jeremy arrived early at the office of Steve Collingsworth president of Collingsworth Manufacturing Company so he could sit in the parking lot and review in his head what he wanted to say. He practiced each step of his presentation exactly what he would say and how he would say it. He knew that his PowerPoint slides were perfectly in order and were just what he needed to land this account. He knew what this company needed because he had called on other companies like this and helped them just like he could help this one. Jeremy took a deep breath and walked into the building. I ve got this one down he thought and proceeded in the door. Once the pleasantries were over Jeremy got right down to business. Mr. Collingsworth I have been with my company for the past three years and our company has been in business for over 50 years. We are the leader in our industry and have worked with lots of companies like yours and have been able to meet the needs that you have. Well that s why I agreed to meet with you Jeremy Collingsworth replied. We do have a need for a product like yours and this might be a good fit. I m glad you did Jeremy said proudly. Our product line has the best reputation for the least failures on the job. Therefore downtime is the lowest in the industry which will keep you up and running more efficiently. Great Jeremy but our service department isn t sure if they can retrofit your model into our existing equipment Collingsworth said. Oh I wouldn t worry about that Jeremy replied. We do it all of the time and with companies who have bigger problems than yours. As a matter of fact I brought a PowerPoint presentation that I believe will help you understand why we re No. 1 in the industry. After the presentation Collingsworth said Thanks for the presentation Jeremy but I am still a little concerned about our existing equipment and the retrofit we ll need to do. We can t afford any downtime with the change or production could be compromised. Mr. Collingsworth I understand that is a concern but we do this all of the time. Don t worry we can handle it Jeremy said. Jeremy then said goodbye and promised a proposal in a few days. After he left Collingsworth buzzed his assistant and said When that proposal comes in just round file it. What happened Jeremy ignored the real issue that Collingsworth wanted addressed and kept telling him what he felt was important. Guess what No one cares what you think is important only as it applies to them. Jeremy missed lots of opportunity to really dig in and deeply understand what his prospect s issues were to assure Collingsworth that not only he could solve the problem but help him understand how. The result Jeremy may very well have the best product for Collingsworth Manufacturing but his prospect didn t see it that way. When a prospect gives you a hint of a need address that need directly by asking really good pointed questions. For example Tell me more about the retrofit concern Have you had that issue in the past in looking to change products What happened What did you do to address it at that time How did it affect production and at what cost These types of questions would not only have given Jeremy a real insight into the issue it would have also given Collingsworth confidence that Jeremy knew and could address HIS issue. A quick wrap up Stop telling about how great you and your company are (no one cares). Ask what some of the prospect s concerns are and then dig deeper to truly understand the issue. Don t be so quick with a solution even it if is correct you haven t earned the right so early in the process to give one. Listening is you best sales tool not your product knowledge. Greta Schulz is president of Schulz Business a sales consulting and training firm. She is a best-selling author of To Sell is NOT to Sell and works with Fortune 1 000 companies and entrepreneurs. For more information or free sales tips go to and sign up for GretaNomics a weekly video tip series or email sales questions to greta 68 JUNE 2016 Denholtz Associates wishes to thank Attractive Affluent C-Suite page is looking for South Florida companIES that want strong double digit revenue growth. Charles Foschini CBRE Stuart T. Kapp Proskauer Todd E. Lehder Wilentz Goldman & Spitzer P.A. for their valuable contributions to our recent acquisition of the Tampa Bay Times headquarters. For advertising and event sponsorship opportunities please call 954-377-9491 or email info OFFICE INDUSTRIAL RETAIL RESIDENTIAL 14 Cliffwood Avenue Suite 200 Matawan NJ 07747 732.388.3000 BUSINESS OPPORTUNITIES IN CUBA 14 YEARS OF MARKET EXPERIENCE - Exploring possible opportunities - Creating relationships - Learning the system of how business is conducted - Learning the business structure that is in place SERVICES - Identify opportunity in respective industry - Identify counterpart in that respective industry - Coordinate meeting with counterpart in that respective industry - Organize meeting with industry appropriate counterpart -Organizing groups for participation in trade fairs and conferences in a wide range of industries Cuba Travel Group LLC US Presence 746 W Flagler St. Coral Gables FL 33134 Ph. 786.621.5578 Fx. 786.621.5577 Info Cuba Presence ADDRESS IS FORTHCOMING Cell CubaTravelGroup JUNE 2016 69 PEOPLE PASSION AND PROFITS THREE WORDS THAT ENSURE YOUR CONTINUED SUCCESS BY STEPHEN GARBER I Heed Help You re a successful leader. You re making your way to the top if you re not already there. You are an expert in your field a trained professional a prosperous entrepreneur and a highly effective leader. However the words I need help are the three most important words to ensure your continued success. I get that very few of us think we are rewarded for saying I don t know I am not sure what to do or I need help. It just wasn t the way to the front of the line or the next promotion. However as our world of work and collaboration becomes more technical and moves even faster the path to success is more and more about teams communicating cooperating and collaborating to deliver great results together. Yes sometimes we are asked to do so with people teams or organizations that we don t know well or with whom we are competitively vying for some reward or advancement. It can be hard to trust them. In this case it doesn t seem logical to ask for help but it is. Working together is the only way to really get ahead even if it s with the perceived competition. Being trustworthy is the rocklike foundation of any relationship whether in life or at work. When we trust and are trusted relationships prosper. In my work during the last 30 years of helping teams prosper the power of vulnerability is the one most compelling and often counterintuitive concepts. Most of us think of vulnerability as a weakness. Dr. Bren Brown who has studied vulnerability as a leadership principle for years and consults some of the most successful companies on earth says Vulnerability sounds like truth and feels like courage. Truth and courage aren t always comfortable but they re never weakness. Here is what I ve learned using this concept Vulnerability is actually our greatest and most accurate measure of courage. Without knowing we are vulnerable we cannot be courageous. Vulnerability represents uncertainty risk and emotional exposure. If we are honest with ourselves we feel vulnerable a lot Vulnerability is seen by many of us as courage in you and weakness in me. The reality is that the more we change the view of vulnerability in our minds to a positive the more success we have as leaders as teams and as businesses. Try it. Tell someone who presents a challenge to you that you need their help. Your kid(s) your partners the teams you lead. Maybe they will judge you as being weak. More likely they will step into that invitation and offer you support in surprising and powerful ways. Your work will be easier. They will likely feel empowered. Your life will be better. Steve Garber is director of Third Level Ltd. Contact him at 561.752.5505 or sgarber 70 JUNE 2016 JUNE 2016 71 THE FAMILY OFFICE The Good F Word Fiduciary BY JULIE NEITZEL Many investors are not aware that the financial services industry operates under two main standards of care suitability and fiduciary. Depending on which of these two operating standards applies an advisor may be allowed to recommend investments with poor performance records or those that pay the advisor and his firm high commissions and fees these recommendations primarily benefit advisors their firms and the money managers not the investor. Adding to the confusion the title of advisor is broadly used in the financial industry. It s difficult to tell if a representative is a broker or a financial product company agent governed by the more permissive suitability standard or an advisor operating under a fiduciary standard. Identifying whether a fiduciary or a suitability standard applies can be difficult since large financial organizations operate brokerdealer trading investment banking fee-only and a range of other businesses to which one or both standards may apply. (Fee-only means they are not compensated via commissions.) This issue has been highlighted recently in the extensive press coverage about the new Department of Labor rule requiring financial advisors who deal with retirement accounts to act in their clients best interests under a fiduciary standard. The financial services industry spent millions of dollars lobbying against this standard primarily because it will decrease revenues for lines of business that are not currently subject to it (the majority of financial industry business). Acting in a fiduciary capacity is more expensive for financial service companies. In the past few years a number of marquee names have resolved allegations of breaching their fiduciary duties by paying settlements totaling in the billions and disclosing certain conflicts of interest with their clients including recommending their clients buy their proprietary higher fee mutual and hedge funds. How do these different operating standards affect clients Stockbrokers or agents who work for companies that distribute financial products typically are held to a lower standard known as suitability. In layman s terms a financial product may be sold to investors as long as it s generally suitable for a certain class of investors based on a clients financial status tax status and investment objectives even if there are lower cost and significantly better-performing comparable investments. As a general matter the suitability standard allows brokers or advisors to recommend products to clients that are in the best interests of their firms rather than in the best interests of their clients. By comparison fiduciary advisors are required to put clients best interests first including instances regarding investment costs. Typically a fiduciary advisor s sole source of compensation is a fee paid by the client for investment advice. These are known as fee-only advisors. Note however this too can be confused since some brokers may charge a fee as well as accept commissions and categorize themselves as fee-based. Most clients hope their investment professionals have their best interests at heart regardless of the firm s operating model. Nonetheless it s important to ask the right questions to determine where your advisor s duty of loyalty lies with you or with his firm. These questions may include Do you have a legal obligation to act in my best interests Do you (or your firm) receive any compensation for my account other than the fees I pay you Additionally public resources like FINRA s online BrokerCheck system are available to check advisor and broker backgrounds to determine if there has been any misconduct reported. Not every advisor truly has the clients best interest at heart but if you work with an advisor who operates under a fiduciary standard you should get investment advice and not product sales and your interests are required to be put first. Julie Neitzel is a partner and advisor with WE Family Offices in Miami and a board member of the Miami Finance Forum. Contact her at julie.neitzel or 305.825.2225. 72 JUNE 2016 Where Improving Your Swing And Your Bottom Line Go Hand-In-Hand T he Greater Fort Lauderdale Chamber of Commerce creates partnerships in support of programs that strengthen companies and create a stronger community. Business leaders benefit from coming together to share and learn. From power lunches to lead groups to a day on the greens let s partner on building a better Fort Lauderdale. Become a member and EXPERIENCE BETTER BUSINESS today Visit join or call us at 954-462-6000 for more information. FTLCHAMBER.COM JOIN 512 NE 3rd Ave. Fort Lauderdale FL 33301 Info 954-462-6000 JUNE 2016 73 COMPETITIVE EDGE Be more interested than interesting How mindfulness empowers us and others BY LINDA JANASZ When you interact with someone who is distracted how does it make you feel Likely you experience disconnection or even a sense of frustration. Perhaps they rush through conversations or even check their phone. Not surprising we instinctively feel detached when someone s gaze wanders as this affects the same brain region as when our mind wanders as seen in neuroscience research. Studies even show that the act of checking one s phone during conversation reduces our sense of connection. Before Ian the director of sales for a software manufacturer started practicing mindfulness (a mental state achieved by focusing one s awareness on the present moment with acceptance) he often felt overwhelmed and distracted. He also noticed that his sales were declining. When I felt stressed I found it difficult to be present during meetings Ian says. Mindfulness has allowed me to show up and give my full attention to what I am doing. Not only has it enabled me to feel calmer and less stressed but I am enjoying work and sales have notably improved. Ian now uses all of his interactions as an opportunity to practice being focused and engaged. Colleagues and clients see him as being more likable. Karen an associate said that she feels important and worthy in Ian s presence. Managing and cultivating presence is a skill we can learn that has great value. Leaders naturally leverage this trait influencing and empowering those around them. In contrast to the idea that some individuals naturally have this gift studies have shown that we can strengthen our connections with others by practicing mindful presence. Not only does this practice bring more meaning and joy to our own experience but it also has the power to improve and enhance professional and personal relationships. 9 WAYS TO EMPOWER MINDFUL CONNECTIONS 1. Seeing eye to eye Eye contact is one of the most powerful ways to connect and cultivate authentic connections by being present and engaged. Practice by using the mirror to sustain focus. 2. Patience during conversation By paying full attention during conversations and not interrupting or rushing you demonstrate care thoughtfulness and compassion. 3. Be more interested than interesting Rather than thinking about your next question give your full attention and demonstrate interest. 4. Active listening Be patient focused and attentive. Try not to interrupt but rather notice what the person is saying. Listen to both words and tone. 5. Enthusiasm When warranted encourage others by using authentic praise for their ideas and actions. 6. Modulate your speech patterns Notice how modulating your speech may impact others. Vary the speed pitch and tone to show interest and care. 7. Confidence By focusing on someone else we appear more authentic and relaxed. This practice can improve our confidence and reduces stress. By truly focusing on someone else we get outside of our challenges and thoughts and become more engaged with others. 8. Savvy speaking The only way to know your customer is to be fully present which allows you to notice how others are responding to you. When you are speaking mindfully your message becomes clear and you can be truly heard. 9. Approach interactions with a purpose Whether you are leading managing buying or selling show up and be present with each interaction. By practicing present awareness you improve your ability to notice and be noticed. By practicing mindful connections you become more creative and intuitive which leads to improved productivity and enhanced motivation. By being more interested than interesting you show others that you hear them see them and most importantly that you understand them. Finally effectively connecting with others is one of the biggest indicators of success and joy. Linda Janasz is a researcher mindfulness practitioner transformational coach keynote speaker and Registered Yoga Teacher (RYT 200) and holds a Ph.D. She developed a six-week Mindfulness Meditation and Movement (MMM) Training program that has helped thousands of individuals in and out of the workplace. Visit for more information and upcoming programs. 74 JUNE 2016 INVESTING REINVENTED Miami is transforming right before our eyes. In a city full of endless possibilities why not own a piece of the magic It s your city invest in it. 175 SW 7th St. 2101 Miami FL 33130 786.220.5964 JUNE 2016 75 WEALTH It Was a Good Bet BY MORGAN HOUSEL Warren Buffett has many disciples. Hedge fund manager Mohnish Pabrai is one of them and has excellent long-term returns to show for it. The investing community began paying attention to Pabrai around 2007. Regulations mandated that his portfolio holdings be publicly disclosed which spawned a group of investors who piggybacked his ideas. One company in which Pabrai invested heavily was a lender called Delta Financial. Unfortunately Delta Financial went bankrupt within months. This is usually when a high-profile investor apologizes and vows to never make the same mistake again. But Pabrai didn t. Soon after Delta Financial went under he did an interview with SmartMoney magazine basically saying he d do the same thing again. Investing is a game of probability. Sometimes when you make favorable bets you still lose them. Even a blue chip could go to zero tomorrow he told the magazine. With Delta Financial the company didn t have enough financial strength that was probably a mistake on my part. I think of it as a favorable starting blackjack hand where unfavorable cards showed up afterward. When asked whether he would do the same thing if he could do it over again he said It was a good bet. No matter your strategy investing is a game of probabilities. And even really high-probability bets won t always work out in your favor. Just as you can be right for the wrong reasons you can be wrong for the right reasons. Amazon CEO Jeff Bezos wrote in his recent letter to shareholders Given a 10 percent chance of a 100 times payoff you should take that bet every time. But you re still going to be wrong nine times out of 10. You can be wrong half the time and still make a fortune. The best stock-pickers are often wrong a third of the time or more. According to a study by J.P. Morgan 40 percent of stocks in the Russell 3000 Index lost 70 percent or more of their value from 1980 to 2014. But the overall index grew 30-fold during that period because about 10 percent of companies did sensationally well. It applies to general investing too. Having a down year or even a down decade doesn t necessarily mean you made a mistake or should change your strategy. It means you re playing a game of probabilities that doesn t add up to 100 in every time period. Instead of asking Are the odds of success in my favor ask Are the odds of failure enough to ruin my life The odds that stocks will fall 30 percent this year are pretty low but if a 30 percent decline in your stock portfolio will prevent you from paying your bills stay the hell away from stocks. As Charlie Munger once put it Assume life will be really tough and then ask if you can handle it. If the answer is yes you ve won. That s a good bet. Motley Fool co-founder David Gardner (whose growth-stock newsletter was the best performing in the world as reported by The Wall Street Journal) and his brother Motley Fool CEO Tom Gardner just revealed two brand-new stock recommendations. Together they ve tripled the stock market s return over the last 13 years. Take this shortcut link (http ijBhr2) to be among the first people to hear about their newest stock recommendations. 76 JUNE 2016 Dr. Certified PlasticMan Daniel Surgeon Board 851 Meadows R.d. Boca Raton Fl 33486 Like Follow & Subscribe 77 JUNE 2016 TAKING STOCK An Uber Disappointment BY MALCOLM BERKO Dear Mr. Berko Our Morgan Stanley stockbroker will let us get in early on Uber stock but we d have to invest a minimum of 250 000. We have the money but investing that much in one stock makes me nervous. Morgan Stanley says Uber is worth 63 billion and we must purchase a minimum of 5 100 shares at 48.77 a share. This could be the chance of a lifetime our broker says. Morgan Stanley can t let us see audited financials but my husband s convinced Uber is gold Your opinion LS Oklahoma City Dear LS Anyone investing 250 000 without reading an audited financial statement must be dumber than a three-legged wombat that quacks. Stupid is as stupid does. If you d like to find out how stupid buy Uber and then in three months tell your Morgan man to sell your 5 100 Uber shares. The difference between what you paid for Uber and what it sells for will measure your stupidity. Uber s CEO Travis Kalanick recently told the financial media he s in no hurry to take his fast-growing ride-hailing company public. And hundreds of enthusiastic investors who dropped billions into Uber because they were told the company is worth 63 billion are profoundly disappointed. Travis said the initial public offering could be three to five years away. He blithely told CNBC that he doesn t need public capital markets and prefers the flexibility offered by private funding. Translation Travis is telling the world that Uber s problems are bigger than he s willing to admit. He doesn t want investors to know Uber is hemorrhaging money with the velocity of a gushing water main. And he doesn t want investors to know that his company s income statement balance sheet and cash flow statements may be smoldering in ashes. Travis knows that the Securities and Exchange Commission requires a company filing an IPO to provide full disclosure in the prospectus. Full disclosure might be ruinous. Travis is having too much fun taking millions from ignorant panicstricken suckers begging for stock and frantic that they may miss the next Apple or Microsoft. Taking money from these patsies is enormously easier than taking money from informed investors via a prospectus. Why bother going public Well Uber s auditors and lawyers whoever they are I can t locate the identities of either must tacitly agree. Travis added a few other puerile reasons for delaying an IPO that must have made good sense to him. However I remember participating in a Texas cattle roundup 60 years ago and hearing the tallyman tell a wrangler that the best time to brand a steer is when the iron is hot. And there are numerous investors (stupids) who think Uber is hot. Considering today s market they believe that Uber could take off like a Titan rocket. However there s a possibility that Uber s real value is no more than that of a bucket of night soil and a public offering could create a Bernie Madoff-like scandal. Be mindful that you re not allowed to see an audited report. This may be the reason that Travis needs three to five years plus lots of voodoo to get his numbers ready his taxis clean and his drivers in line and licensed. Therefore for your information I would like to ask some questions What were Uber s 2015 and 2014 revenues What were Uber s profits in those years What were Uber s losses in those years What does Uber s balance sheet (assets and liabilities) look like Finally how can anyone imagine that a secretive Uber which has never earned a dime has lost billions and may never earn a profit is worth 63 billion The answer must be those psychedelic and hallucinatory drugs. Fidelity Putnam T. Rowe Price Tiger Global Management Vanguard The Hartford and other mutual funds stupidly wrote checks and invested heavily in this unicorn. Now some of these big names are getting nervous and I wouldn t be surprised if Fidelity marked down its 1.4 billion Uber investment and others did the same. Buy 5 100 shares of Uber only if Morgan Stanley will guarantee against loss. Some brokers do that for good clients. See more of Malcolm Berko s twice-weekly columns at Please address your financial questions to Malcolm Berko P.O. Box 8303 Largo FL 33775 or email him at mjberko To find out more about Malcolm Berko and read features by other Creators Syndicate writers and cartoonists visit the Creators Syndicate website at 78 JUNE 2016 Hangar 9 only venue directly on the runway Co n t a c t u s fo r d e t a i l s o n o u r exc l u s i ve ve n u e 954.917.1020 info Events Weddings Galas Bar Bat Mitzvahs Fund Raisers Corporate Functions Not for Profit SLEventCatering JUNE 2016 79 GAMBLING Poker champ takes a business-like approach BY NICK SORTAL I think a very big part of being an entrepreneur is diversification says 29-year-old Jason Mercier. His main source of income Not the stock market. Not real estate. Not even the restaurant business. It s poker. Mercier a Hollywood Florida native has been ranked the world s No. 1 poker player winning 16.4 million in tournament poker. But the days of poker players being cowboy-like figures with 100 bills stuffed in their pockets are long gone. Mercier and others like him have to be good businessmen in order to have successful careers says World Poker Tour commentator Mike Sexton now 68 who has been a poker pro since 1985. People would ask me the difference between players of today and of the past and truthfully it s their education level Sexton says. Players are much smarter they eat better and exercise more. It s just a different environment more like the PGA Tour or the NFL or the NBA. Mercier for example Jason Mercier must balance expenses taxes sponsorships and as he says diversification. It s important to never have all your eggs in one basket he says. But I have a lot of money in play. His gambling basket includes both cash and tournament poker sports betting and playing open-face Chinese poker on his phone. He also invests in real estate and has a food-delivery business. Mercier says he has an accountant with deep knowledge of gambling tax law and keeps track of entry fees for which he estimates he has paid more than 5 million. Only 10 percent of the players earn money in most tournaments so competitors often swap pieces of each other. The general public doesn t have a good idea of how much action is being bought sold and swapped Mercier says. I ll sell a lot of action on myself to reduce risk which a lot of players do. Poker players make all kinds of proposition bets on things you might never think of. He says he had a heavy action on fellow pro Olivier Busquet who won a mixed martial arts fight against JC Alvarado another poker player on April 21. Mercier who attended Sheridan Hills Christian School and then Florida Atlantic University built up a bankroll playing poker online then won 1.3 million in 2008 at age 21 in San Remo Italy. He then hit for 325 000 in Barcelona and was on his way. You need some kind of liquid amount but there should be an amount you don t need Mercier says. Having it not sit in a bank is important. I ve been working on it since San Remo. On April 20 Mercier entered a 25 500 buy-in tournament at the Seminole Hard Rock Hotel & Casino in Hollywood. The event allowed players to re-enter after they were knocked out Mercier entered three times only to finish 14th. The top 13 received prize money and Mercier who had his eye on 658 000 had he won went home with nothing. Sometimes variance in poker will chew you up and spit you out then step on your face as you are lying on your back helpless he says. It can be a brutal game sometimes but I can t ever be too upset at a card game that has made me a millionaire and gives me all the freedom in the world. Nick Sortal s gambling news appears daily at 80 JUNE 2016 A Global Force in the Information Technology Arena We are a global company with 100 Years of combined experience placing IT professionals ALL while experiencing 28 quarters of consecutive growth. Our services of staff augmentation contract to hire direct hire and retained search will help you attain your business goals. Ask us about our Resource Concierge Program 6001 Broken Sound Pky. Suite 506 Boca Raton FL 33487 561-912-9363 main office info Meet Some of Our clients Blue Cross Blue Shield WebMD Guardian Citigroup TD Ameritrade Morgan Stanley Avon Weight Watchers JUNE 2016 81 HISTORY VIEWPOINT Henry Morrison Flagler shown in 1910 was key to South Florida s development (Gearhart Collection HistoryMiami) There are many ways to describe Henry Morrison Flagler railroad developer real estate mogul or partner of John D. Rockefeller in Standard Oil. But one of his greatest titles by far is the Father of Miami. After all he s credited for turning what had been a swampy coastline into one of the world s most popular tourist destinations. It all started when Flagler moved to Florida in the early 1880s after making his fortune with Standard Oil. He landed in St. Augustine in 1883 but was unimpressed with the railroads and hotels so he decided he would build his own. After much success in St. Augustine Flagler rapidly took his rails southward through the undeveloped shoreline to Palm Beach where he built the Breakers hotel and the Royal Poinciana which was then the largest resort hotel in the world. Down the palm-lined coast a widow named Julia Tuttle had watched the transforming influence of the railway and convinced Flagler to take his tracks further south. On April 15 1896 the first train arrived at the Miami River with a load of building material. Within a few days Miami s first hotel the Royal Palm now the site of the Epic Hotel was under construction. Within three The Father of Miami months the town was incorporated with 502 votes. Residents of the new city wanted to name it after Flagler but he insisted that they name it after the river. While he s most celebrated for bringing the railroad to Miami Flagler also laid out streets created a large terminal dock and dredged a canal from the ocean into Biscayne Bay. He also created the water company and Miami s power company which became Florida Power & Light. He additionally donated significant funds for schools and churches and even built Miami s first hospital. During Flagler s time Miami became known as the Magic City a name it still proudly touts today. Flagler may have declined the city bearing his namesake but he will forever be fondly known as the Father of Miami and the region. 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