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McKinstry Delivers Operational Solutions for the Life of a Building

Like offensive linemen and line cooks, facility managers only get noticed when something goes wrong. That’s why they need the right tools to make sure that tenants remain happy where they work, equipment is properly cared for and proper vendor oversight is provided.

Many organizations turn to technology tools to help manage their buildings and preserve their assets. The goal is to help you run your facility (and your business) more efficiently. These tools have the potential to automate the process of managing maintenance on mechanical systems, critical power systems and other building infrastructure. They can also help define how a variety of tenant issues are tracked, resolved and closed out – everything from changing light bulbs, to dealing with a hot/cold temperature issue.

The problem is that an out-of-the-box technology tool is not an operational solution. Real estate organizations often underestimate or entirely fail to consider the amount of time required to tailor the tool to the desired outcomes. A technology in and of itself is not always enough without the appropriate investment of people and process.

Investment or expenditure?
Most organizations take one of two paths with their issue management solution: underinvest or internalize the costs. Those that underinvest in the infrastructure may encounter issues with tenant satisfaction, vendor performance, maintenance scheduling and tenant bill-back, among others.

Internalizing the necessary costs isn’t easy, either. Someone has to answer the phones, input the work orders and follow up to make sure they are addressed. This labor burden can add up to hundreds of hours in a single building, or thousands of hours across a portfolio, far more than the one-time cost of a technology tool itself.
There is also a third way: outsourcing these back-end administrative tasks to an expert third party that is dedicated to issue management.

Outsourced issue management at a glance
One of McKinstry’s clients, a large national REIT that manages over 15 million-square-feet of office space, saw significant tenant satisfaction issues and administrative challenges with their technology-only platform.

By outsourcing their issue management needs to a third-party system, they boosted their occupant satisfaction scores, increased tenant bill-backs by over a million dollars and reduced operational overhead across their portfolio by 20 percent, saving another million dollars.

Highly-trained engineering staff now devote a fraction of the time to administrative tasks like answering phone calls and asking tenants clarifying questions. The time saved can be put to good use, freeing up staff members to perform regular check-ins with their tenants to pre-emptively address any concerns.

One of the best outcomes of a well-managed issue management system is good reporting and data. When preparing to sell one of their properties recently, our REIT client was able to quickly cull all maintenance data from the past several years, saving the internal due diligence team significant time.

The data also showed that the building had been well-maintained, sustaining its high market-rate price. The client estimated that they saved six figures on this sale due to maintenance data alone.

Invest like it’s your business – because it is
Remember, issue management solutions are investments, not one-time purchases. Invest appropriately, and you’ll see returns in tenant satisfaction and labor efficiency. As you consider your own buildings, we encourage you to ask yourself: what’s the best way to invest in an issue management solution to achieve the results you’re looking for?


Brandon Rogers, account executive at McKinstry, focuses on issue management solutions for corporate and commercial clients. McKinstry, a full-service design-build-operate-maintain firm, helps clients build lasting infrastructure to efficiently and effectively manage their facilities.

Are You Ready for the Next Generation of Leadership? [Recap]

On Wednesday, October 21, the Developing Leaders Committee presented a program entitled “Are You Ready for the Next Generation of Leadership?” The breakfast was sponsored by BN Builders and Adolfson & Peterson Construction - we sincerely thank them for their continued support. Incoming NAIOP President John Teutsch began the meeting with a list of new members. Davis Vaughn from the Developing Leaders Committee gave an update on the Mentoring Program. Angelia Wesch, Partner with Oles, Morrison, Rinker moderated a panel that was eminently qualified to address the topic at hand. Panelists included:

  • Mark Hoyt – Trammell Crow Residential
  • Douglas Howe – Founder of Touchstone Development
  • Kemper Freeman – Chairman and CEO of Kemper Development

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Energy Code & Benchmarking Roundtable [Recap]

This blog post recaps NAIOP Washington State's Sustainable Development Committee Energy Code and Benchmarking Roundtable Presentation, held on October 13, 2015.  Eric Vander Mey, Principal – Director, Rushing, and Christie Baumel, Climate & Energy Advisor, Seattle Office of Sustainability & Environment, presented at the meeting and gathered feedback. Their slide presentations are available as PDFs; look for the link following each section.   

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Davis Property & Investment and Schuchart Hutchinson Acquire Fredrickson 40 [Member News]

Davis Property & Investment & Schuchart-Hutchinson recently acquired a 40 acre+/- site located in Frederickson, WA. The project, called Frederickson 40, is available for build-to-suit lease or sale.

The site is suitable for a bulk distribution or specialty build-to-suit building up to 900,000 SF. The site can also accommodate smaller building footprints. EC zoning allows outside storage for a variety of yard-intensive users and manufacturing users. Neighboring tenants include Whirlpool, Ikea and Boeing. The SEPA review process is complete and MDNS was issued by Pierce County.

Davis Property & Investment (DPI) is an accomplished and experienced developer and asset manager of commercial real estate in the greater Puget Sound market. With strategic alliances among many of the region's finest service providers, DPI’s development and management team ensure higher than average project success and performance. DPI currently manages commercial real estate assets from Seattle, WA, to Portland, OR.

Schuchart Hutchinson specializes in new development and rehabilitation of office, industrial and mixed-use projects. The firm leverages its collective skills and expertise in development and construction to expand their real estate portfolio by pursuing opportunities in and around the Puget Sound region.



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Time to vote! November 2015 Election Endorsements: Seattle

Last week, Seattle voters received their ballots for one of the most important elections in recent history. With all nine council members up in Seattle’s first-ever district race, every vote counts to help ensure the most business-friendly candidates are elected. 

Your NAIOP Government Affairs Committee has spent countless hours working to help advance these candidates, which are listed below. Remember: For the first time, you will vote on one district candidate (based on your residential address) and two at-large candidates.

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Welcome, New Members!

NAIOP Washington State is pleased to welcome new members to our growing network this fall. Click here to learn more about joining during our fall promotion. 

Oct. 12 - Oct. 31, 2015:

Matt Allen, Senior Project Engineer, McKinstry
Christopher Brown, Environmental Geologist, GeoEngineers Inc.
James Cagney, Director, KPMG
Tyson Feaster, Partner, Lake Union Partners
Katie Frisbee, Property Services, BMGI Group
James Furlan, Project Manager, Lease Crutcher Lewis
Sam Gordon, Student, University of Washington
Dan Jones, Project Manager, Clise Properties Inc.
Dru Jordan, Modular Walls Sales Consultant, BiNW
Zachary Laster, Hazzard Property Manager, Hamilton Urban Partners
Jared Lyons, Senior Project Manager, J.M. Riley Company
Benjamin Nakamura, Project Designer, Stantec
Jim Reynolds, Vice President of HVAC Design and Construction, Auburn Mechanical
Jase Rouleau, Territory Manager, Victaulic
Aaron Ryskalczyk, Asset Manager/RE Analyst, Washington Capital Management Inc.
Scott Schlumberger, Senior Managing Director, Cushman & Wakefield | Commerce
Robert Swain, Partner, NAI Puget Sound Properties
Evan Wong, Student, University of Washington






















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Community Enhancement 2015: YMCA Camp Terry Renovation [Recap]

Thank you, thank you, thank you! More than 400 volunteers gathered at YMCA Camp Terry on Saturday, Oct. 3, 2015, to conduct long overdue repairs and maintenance at the camp which annually provides hundreds of Pacific Northwest children from all walks of life with unique outdoor education experiences. 

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Debra Hauser, United Business Bank [Member Profile]

Debra Hauser is a Vice President at United Business Bank, where she specializes in commercial real estate lending for deals up to $10MM.

Debra joined NAIOP Washington State to network with other professionals and get the name of United Business Bank out in the community. Her hobbies include reading, golfing and gardening. 

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2016 Mentor Program Call for Participants

UPDATE: Deadline extended. Sign up today!

The NAIOP Mentor Program, kicking off its fifth year in October, is now calling for new and returning mentors and mentees to sign up to participate for 2016. This program matches up young professionals and students planning to enter the field (mentees) with seasoned industry veterans (mentors). The mentor and mentee monthly for coffee, lunch or at a location of their choice to share ideas, discuss professional development and talk real estate in a casual atmosphere. The time commitment is very light at just one hour per month and the benefits for both parties can be quite substantial.

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Call for Site Sponsor: 2016 Real Estate Challenge

The Real Estate Challenge is an annual contest matching teams from multiple real estate programs from regional universities in a competition that focuses on a development/redevelopment project in the Puget Sound area. Teams are tasked with forming a proposed investment strategy based on the site sponsor’s needs. Site selection begins in early August and the contest itself runs from January through mid-March.

Each participating university fields a team of 10-20 graduate and/or undergraduate students under the leadership of seasoned real estate professionals and professors. Utilizing their expertise, youth and enthusiasm, each team is tasked with assessing the relevant market information, regulatory environment and financing options to arrive at an investment strategy that meets or exceeds the goals of the site sponsor. The competition culminates in a judging event which brings together the assessment abilities of 5-10 assumption reviewers and 2-4 seasoned developer judges. The competition winner is announced in front of the NAIOP membership at the March Breakfast meeting, following a presentation of the challenge and the proposals.

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Recap: September Breakfast 2015: Seattle City Council Candidate Forum

Politics! Can’t live with it or without it. On September 16, NAIOP Breakfast attendees were treated to a Seattle City Council candidate forum. The breakfast was sponsored by Clark Nuber - we sincerely thank them for their continued support. Incoming NAIOP President John Teutsch began the meeting and gave the assembly an update on the new members and conducted the Election of Board Members and Officers. Tim Syverson told us about the Community Enhancement event on October 3 at Camp Terry. Lastly, Gordon Buchan outlined the nominees for the Night of the Stars Event in November.

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Recap: REEL Networking Event

On August 19, Sellen Construction’s Rooftop Deck was packed with the developing leaders of Seattle’s real estate community. CoreNet Global, Crew Seattle & Sound, Urban Land Northwest Institute and NAIOP came together to organize the Real Estate Emerging Leaders networking event hosted by Sellen. The goal and intent—bringing together four of Seattle’s most prominent real estate organizations in one room and provide the opportunity to network—were hugely successful.


Guests enjoyed catering, refreshments and good conversation, and thought the integration of these Seattle based organizations was a great idea. As Heather Skeehan from GLY put it, “The broad range of attendees was extremely refreshing. It was wonderful to get to enjoy the sun, beer and a group with such diverse backgrounds.” With reviews like this, it is likely we will see more of these collaborative events.

On behalf of NAIOP and the participating organizations we would like to say thank you to our platinum sponsor, the Runstad Center for Real Estate Studies at the University of Washington, our gold sponsors BCRA and the Master of Real Estate Development at Portland State University, and the rest of our corporate sponsors who helped make the event a success. Thank you and we look forward to sharing the projects that are to come from this group of developing real estate leaders. 


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2015 Night of the Stars Awards Finalists Announced

Finalists and Hall of Fame Honoree Announced for 2015 NAIOP Washington State Night of the Stars, Honoring Local Real Estate Projects and Companies

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Fall New Member Promotion & New Referral Benefit

Want to save up to $300* on your NAIOP membership? Join during the Fall Promotion! Effective October 1 through December 31, 2015, all new members who sign up will receive membership through December 31, 2016--up to three months, free. All new members are eligible to take advantage of this opportunity including South Sound, Developing Leaders (35 & under), Public Officials, Corporate Accounts (4 or more members from the same company) and returning members.**

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Apply Today for Developing Leaders 2016

Under 35? Aspiring members of the real estate industry looking to make connections, learn more about CRE and help grow NAIOP and the community are encouraged to apply for our Developing Leaders Committee! The Developing Leaders (“DLs”) of the Washington State chapter of NAIOP are students and real estate professionals 35 years old and under who are dedicated to the growth and sustainability of commercial real estate in Washington State. Through planned social, civic and educational events, the DLs share ideas, make connections, and create business opportunities.

The Committee supports the NAIOP mission by providing a relaxed, fun and social forum for engaging young real estate professionals. Committee members are encouraged to network, begin building relationships by interacting with each other as well as industry veterans, promote the NAIOP mission and four cornerstones of networking, influence, community and education (N.I.C.E.), and appreciate the benefits of a long-term career of NAIOP involvement.

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Community Enhancement 2015: How We Chose YMCA Camp Terry

Each year, YMCA Camp Terry welcomes hundreds of kids and young adults to participate in educational and experiential outdoor activities at their facility along the Raging River in Preston. The camp has been in need of upgrades to their facilities and has been in the planning stages for several years.

Based on their mission, the population they serve, the size of the facility, and the variety of improvements they have been planning, Camp Terry has been a prime candidate to be a NAIOP Community Enhancement (CE) project site for the past couple of years. Each time the Community Enhancement Committee (CEC) had visited the camp in the past, we saw how we could easily partner with the YMCA for a successful project, but each year the camp was not quite ready.

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Summer Social & Golf Tournament – Super Heroes on the Course!

Summer days are filled with social events, but NAIOP’s Summer Social & Golf Tournament is the one that must not be missed. On Monday, August 10, NAIOP put on the annual Summer Social & Golf Tournament at the Golf Club at Newcastle. With 288 golfers and 84 sponsors, this year’s tournament was our most successful yet!

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Award-winning UW Tacoma University Y Student Center embodies collaboration and community

Since the unveiling of the University of Washington Tacoma’s sprawling University Y Student Center last January, a two-story mural adorning the lobby has welcomed visitors with views into Tacoma’s past and present. Completed by Tacoma artist Chelsea O’Sullivan, the painting depicts a modern container ship alongside a much older one, paying homage to the Longshoremen’s Hall union building that previously stood on the project site for 60 years, as well as the union and its members. The title reads: “In Unity There’s Strength.” The collaborative effort behind the design and construction of the University Y Student Center and recent accolades reflect that very theme.

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Fremont: Seattle’s Silicon Canal – NAIOP Property Tour 2015

This year was my first time walking the Property Tour with NAIOP. When I registered, I thought, There is no way I could spend my whole day at this event. For sure, I would drop by, have lunch and go back to work. At 4:55 p.m., I looked at my half-drunk glass of wine at Evo’s Happy Hour and wondered where the time had gone.

It all began with lunch under an expansive tent on Kilroy’s Fremont Lake View Plaza. A panel of the who’s who in Fremont created quite the conversation over lunch. Robert Hendricks (Tableau), Rachel Yang (Joule), TJ Lehman (Mack Urban), Bryce Phillips (Evo), Mike Shields (Kilroy), and Michael Osterfeld (Fremont Dock Co.) answered a variety of questions posed by moderator Kyle Branum of Riddell Williams. 

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Eighth Annual BIG Invitational a Grand Success

On Thursday, June 25, NAIOP and Big Brothers Big Sisters of Puget Sound united to put on the annual BIG Invitational golf tournament at Washington National. The eighth installment of this scramble tournament went off without a hitch, drawing a full course and completely sold-out sponsorships; $75,000 was raised for Big Brothers Big Sisters, the best year yet!

“We’ll need a bigger course for next year,” says Jeff Davis, NAIOP and BBBSPS board member. The NAIOP South Sound Committee—Jeff Davis of Davis Property & Investments, Michelle Clingingsmith with Kilroy, Monte Decker with CBRE and Sean Durkin of The Andover Company—worked together to fill the sponsorships, and a big thanks goes out to the staff at Big Brothers Big Sisters for running yet another tournament flawlessly.

On behalf of the South Sound Committee, BIG Tournament subcommittee and Big Brothers Big Sisters of Puget Sound, we would like to thank all of our event sponsors for their generosity and helping us put on a great event. They are the key to the success of this fundraising event, and even went so far as to make sure all of us golfers were well lubricated and entertained at every hole. We are all looking forward to seeing everyone again in 2016!

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