Most Challenging Experience Essay Structure Boost Yo
PKWY_May_June2016-full.compressed
1. No.
ISSUE
01
ECONOMIC DEVELOPMENT | VOLUME 2
HOW 40 MILES OF
HIGHWAY CREATES A
NEW FRONTIER
FOR DEVELOPMENT
P.8
AN ARMS
RACEat the Port of Houston
P. 18
WOODLANDS
DEVELOPMENTWhen will it end?
P. 30
10 WAYSMontgomery County is
beating the recession
P. 38
4. 2407 Timberloch Pl., Ste. B | The Woodlands, TX 77380
VOLUME 2 ISSUE I
PUBLISHER
Cathy Mogler
EDITOR
Brian Walzel
CREATIVE DIRECTOR
Ashley Peterson
ART DIRECTOR / PHOTOGRAPHER
Jeff Peterson
CONTRIBUTING WRITERS
Paul Carroll
Michael Ciota
Byron Ellis
Dr. Laura Fernandes
Melissa Rascon
Joshua Smith
BUSINESS DEVELOPMENT
Meredith Colvert
Beverly Haak
Kris Hansen
CREDITS
P. 8, 10, 11: Jeff Peterson; p. 13: LSFHC; p. 14, 15: Johnson Dev.;
p. 16: Cathy Mogler; p. 18, 19: Port of Houston Authority; p. 20:
Brian Walzel; p. 22: Saddle River Range; p. 24: Shutterstock; p.
25: Evolve Air, Walzel; p. 26: The Work Lodge; p. 29: Shutterstock;
p. 30, 31: The Woodlands CVB; p. 32: Alamy; p. 35: Shutterstock;
p. 36: Walzel; p. 37, 39, 40: Shutterstock; p. 42: Walzel; p. 45:
Susan Lee; p. 47: Sports Cryotherapy; p. 48, 49: All Ears!; p. 52,
53: Walzel, Shutterstock; p. 54: Walzel, Michel Ciota, The Goose’s
Acre; p. 56: Club Corp
Publisher’s Note
Welcome to the latest edition of PKWY Magazine.
This issue marks our first anniversary, and we decided to
celebrate with a few changes, as I’m sure you may have
already noticed.
Our goal was to take a more visually dynamic
approach to design while making the stories we bring to
you easier to read.
Like this community, PKWY Magazine is changing with
the times. Like you, we see that while local communities
make efforts to retain what makes them unique, they also
adapt to new opportunities and challenges.
We at PKWY believe one of the most profound
generators of change in this area is the opening of Grand
Parkway. Not only should Grand Parkway alleviate what is
one of the most heavily-congested cities in the country, it
creates a new frontier for development opportunities. Our
cover story this month looks into how that development
will change the local landscape, and how the current
economic downturn will impact development efforts.
Speaking of the energy recession, much has been
said, and written, about how sub-$50 oil cripples the
Houston economy. In many ways, it certainly does. Tens
of thousands have lost their jobs, and it’s anyone’s guess
when the energy sector will recover.
However, there are still plenty of indicators that the
local economy is still thriving: increased business at
the Port of Houston, a new large-scale master-planned
community in Conroe, a host of creative and unique new
businesses. With our anniversary issue, PKWY Magazine
offers you a glimpse into those efforts to show that the
local economy is still strong.
Finally, we want to thank everyone who has made
PKWY Magazine a resounding success in just our first
year. That success starts with our readers, and we
thank you. We also want to express our gratitude to our
advertisers, our contributors and all of those who have
assisted with the stories you read in PKWY Magazine.
And, as always, please feel free to tell us how
we’re doing!
Cathy Mogler
PUBLISHER, PKWY MAGAZINE
linkedin.com/in/cathymogler
@cmogler1
ABOUT US
PKWY Magazine is a dynamic, bi-monthly magazine that
chronicles the diverse business, cultural landscapes and
relevant news of Montgomery County. This editorially
driven magazine will grab your attention with entertaining
storytelling, compelling news and vibrant photography that
reflects the business, people and places that make this
community memorable and a unique place to call home.
For more information, call 832.791.5099
For we are God’s workmanship, created in Christ
Jesus to do good works which God prepared in
advance for us to do. - Ephesians 2:10
5. Conroe ISD became
the largest district in
the State to achieve
the highest
rating of Exemplary
LLLLConroe ISD becameLConroe ISD became
AAACharitable
Giving
A corporate community
that possess a spirit of
generosity
Over 11 million square feet of
sales tax generating
restaurant, retail &
entertainment space
Exemplary
Education
Systems $$$Restaurant,
Retail &
Entertainment
YYYMedical
Center
The Woodlands Area
boasts a suburban
medical center with 4
acute care hospitals
HHHResidential
Growth
Home values in The
Woodlands Area have
increased 15-25% in the
last 5 years
w w w . e d p a r t n e r s h i p. n e t
generosity
last 5 years
what does
P R I M A R Y J O B C R E AT I O N
mean to a community?
6. 14 Central Perks
New community embraces nature
18 Arms Race
Port of Houston invests in upgrades
22 Top Guns
New club shoots for upscale offering
24 Travel Evolved
A new option in personal air travel
30 Building Out
Woodlands development nears end
32 Greener Pastures
Greenspoint Mall’s end could be near
54 Raise a Glass
The Goose’s Acre offers fabled tradition
12 Population Growth
Census data shows larger population
16 Getting to Know Bondy
Business, wine and “The Price is Right”
26 Working ‘Out’
New trends in office space
34 Fuel Up
The relationship between oil and fuel
36 Learning the Business
Students as entrepreneurs
38 County’s Economy
Why Montgomery County is resilient
42 Entrepreneur’s Spirit
Terry McBurney,The Republic Grille
48 All Ears!
Hearing despite auditory obstacles
Grand Designs
By the end of March, a 37-mile stretch of Houston’s third
outer loop opened to drivers.The $1 billion local segments
of Grand Parkway also opened up to developers looking to
cash in on thousands of acres of undeveloped land.
08
7. BYRON W. ELLIS is a Certified Financial
Planner and managing director of Ellis &
Ellis, a division of United Capital Financial
Advisors, LLC, a Financial Life Management
Company.
MELISSA RASCON is the managing partner
and founder of The Rascon CPA Firm LLC. For
the past 15 years she has assisted clients
in various industries with their tax planning,
tax compliance and tax accounting needs.
She also works closely with entrepreneurs to
ensure their success.
JOSHUA SMITH is responsible for leading
national strategic development of contingent
workforce for Atterro, Inc. Since joining the
company in 2004, Smith has held a variety of
senior level positions in operations and sales.
DR. LAURA FERNANDES is an internist
and cardiologist at Woodlands Heart and
Vascular Institute. She is board certified by
the American Board of Internal Medicine in
cardiovascular disease and a member of the
American College of Physicians, the American
College of Cardiology and the American Heart
Association.
JACK STIBBS is the managing shareholder
of Stibbs & Co., P.C., a full-service business
law firm. Stibbs has practiced law for 40
years and has been recognized for his law
practice,and for his nonprofit work.
Contributing Writers
PAUL CARROLL is a wealth manager at
Efficient Wealth Management. He focuses
on providing wealth management solutions
to energy and airline professionals in the
Houston area. He is the author of two books,
“The United Pilot’s Flight Plan for Wealth”
and “Platform for Wealth.”
8. This is the moment Houston developers have been
waiting on for more than two decades. More
than 50 miles of new roadway through
mostly untouched greenfields,
just waiting to be cultivated
with brand new homes,
apartments, shopping
centers, offices and
industrial
parks.
This is the moment Houston developers have been
waiting on for more than two decades. More
than 50 miles of new roadway through
mostly untouched greenfields,
just waiting to be cultivated
with brand new homes,
apartments, shopping
centers, offices and
industrial
Grand Designs
by BrianWalzel
8
In fact, the signs are literally already there
along Grand Parkway. The likes of CBRE
and Caldwell Companies and others have
erected “For Sale” and “Coming Soon”
posts at various spots, signifying new
shopping centers and land up for grabs for
the right price.
By the end of March, a sizeable chunk
of the planned 180-plus miles of Grand
Parkway opened to traffic. The roadway
cost $1 billion and took a little more than
two years to build—by all accounts an
astounding feat of expedited engineering.
What are known as Segments F-1,
F-2 and G—38 miles of four-lane freeway
stretching from Hwy. 290 to Hwy. 59—
allows drivers to more easily get from
The Woodlands to Cypress, or from The
Woodlands to Kingwood.
It will also serve to get the 10,000-plus
ExxonMobil workers who live in the Greater
Houston area to and from the massive
campus in Spring. Few times, if ever, in
Houston’s history have two construction
projects expected to have such a profound
impact on the economy opened at the
same time.
The Grand Parkway will open up vast
swaths of land to development.
Urban Land Institute
9. 9
“The Grand Parkway will
do more than funnel ExxonMobil
employees to work,” the Urban
Land Institute reported in May 2015.“It
will open up vast swaths of land in
north, northwest and northeast Houston
to development—areas that comprise dense
suburbia, some commercial uses and even
prairie.”
Since the early 1960s, the Grand Parkway
had been an idea like something out of a
Google X lab—a moonshot project with no real
expectation of reality. At the time, construction
on the 610 Loop was still a decade from
completion, and Beltway 8 wouldn’t open for another
20 years. The Woodlands was still
The Woodlands.
Then in 1984, the Grand Parkway Association was
established with the goal to kick-start the project.
Like most efforts to build roads in Texas, things
moved at a snail’s pace. Finally, in 1994—seven years
after the project got the go-ahead from the State of
Texas—a 17-mile stretch of tolled highway in west
Houston opened, connecting Hwy. 59 south of Sugar
Land to I-10 in Katy. The Grand Parkway, at least in
some sense, was a reality.
In the subsequent years, Houston’s population
would skyrocket, increasing by more than 30
percent while transportation agencies struggled to
keep up with the worsening traffic situation amid
financial struggles. In 2007, the Texas Department
of Transportation famously announced it didn’t
have money for new roads. It would be another two
decades before more progress would be made on
Houston’s third outer loop.
10. 10
By the mid-2000s, and with TxDOT saying it was
strapped for cash, Harris and Fort Bend counties
worked to secure nearly $3 billion in funding through
a combination of federal loans and revenue bonds to
get Grand Parkway going. Finally, 15 more miles of the
highway between the Katy Freeway and the Northwest
Freeway in Cypress would open to traffic in 2013.
That segment not only doubled the length of the
Grand Parkway at the time, it also ushered in the latest
era in modern suburban development. Following dense
inner loop urban development loop and the pocket
neighborhoods of immediate suburban Houston, large-
scale master-planned communities are the calling card of
today’s residential real estate economy.
“In Houston, communities follow freeways,” said Jim
Jenkins, vice president of master-planned communities
for Toll Brothers.
In the wake of the immeasurable success of The
Woodlands as a master-planned community, large-scale
housing developments that would implement natural
design concepts, family-focused amenities and homes
with higher price points began springing up on the far
edges of suburban Houston. If the central business
district in Downtown Houston was the drop of water,
suburban sprawl has been the ripple effect, and Grand
Parkway is the newest outer ring.
Developers such as Johnson Development, Toll
Brothers, Newland Communities and Friendswood
Development Co. have either built or are planning to build
master-planned communities in west Houston near the
Grand Parkway, each featuring more than 1,000 homes,
ample greenspace and mixed-use retail.
Now, developers are looking for similar opportunities
along the new Grand Parkway segments in the far reaches
of north and northwest of Houston. When asked how soon
after the highway’s opening construction may begin on
new developments, Will Holder, president of Trendmaker
Homes and past president of the Greater Houston
Builder’s Association, said “like, yesterday.”
“A lot of what is going to happen in the short term has
already started,” he said. “The bullet’s already out of the
chamber on a lot of what you’ll see right now.”
In fact, Toll Brothers broke ground last year on
Woodson’s Reserve, a 692-acre luxury community
with plans for 1,000 homes. The development is under
construction east of I-45, along Riley Fuzzell Road and
Grand Parkway.
Despite the vast opportunities Grand Parkway
presents, developers and brokers are facing a much
different economic climate than they were three or
four years ago when the westernmost portion of the
tollway opened. When construction began on the local
segments—F-1, F-2 and G–in 2013, oil was trading at
$100 a barrel, ExxonMobil had recently announced plans
for its campus, setting off a construction frenzy, and
homes in and around The Woodlands were selling before
they could hit the open market.
It was a seller’s market, and developers were moving
fast to capitalize on what has now turned out to be the
economic peak of the decade.
“Between I-10 and Hwy. 290, the stars were aligned
perfectly when that opened,” said Ed Cummins, senior
vice president of CBRE. “We were in an oil boom and
there was plenty of money going around.”
Cummins said land prices around those areas of
Grand Parkway tripled, a trend not likely to recur in
today’s economy. Oil is struggling to stay above $30 per
barrel, the energy industry has suffered massive layoffs
and Texas’ once torrid job market has experienced a
slowdown. According to a report issued by Congress’
Joint Economic Committee, 63 percent fewer private
sector jobs were created in Texas in 2015 compared to
2014. Still, the 141,300 jobs the state did create last year
ranked fourth-best in the nation.
Another factor facing developers is how much land
is actually available along Grand Parkway, and how
attractive that land is to potential buyers. Grand Parkway
was designed by the state with limited frontage roads
and few entry and exit ramps.
Cummins said any developments, commercial
or residential, would likely need to be located near
intersections, and the developer would need to construct
any roadway to connect the project to existing roads—a
proposal that still would not guarantee great access to a
building.
“Generally, the decision will be to have room between
the Parkway and any road you construct, which would
allow you to put a building on both sides of your road,”
Cummins said. “Some of the buildings would effectively
A lot of what is going to happen in the
short term has already started.
Will Holder, Greater Houston Builder’s Association
Investors see areas around Hwy. 290 as opportunities for development.
11. 11
back up to the Parkway and have great visibility,
but not access.”
Many in the industry believe the best
opportunities for large-scale projects lie around the
Hwy. 290 area, and that prospects for development
could be limited in and around Spring.
“The availability of large tracts between Hwy. 249
and I-45 are not that plentiful,” said Ned Torian, vice
president of CBRE. “That area’s already experienced
phenomenal growth.”
Holder agrees, saying Spring is a “long lived-in area,”
but west of Hwy. 249 is “completely virgin.”
Torian said the largest tracts that have been opened
up for possible construction are in and around the Cypress
and Tomball areas. Torian, who sold 6,000 acres to The
Woodlands Development Co. that would eventually become
Bridgeland, said he was working on a deal to purchase 500-
600 acres for a large residential project in this area.
By all accounts the Houston area housing market is still
extraordinarily strong—Forbes ranked the Houston Metropolitan
Statistical Area No. 1 in new home construction in 2014—and last
year’s home sales were the second-highest on record, according
to the Houston Association of Realtors.
David Assid, also a vice president at Toll Brothers, envisions
a variety of residential projects along Grand Parkway in a range of
costs, from smaller communities to large-scale projects, and entry
level price points to higher-end costs. He expects to see a strong
market for homes in the $200,000s rather than the upper echelon
prices that were all the rage a few years ago.
As the saying in the real estate industry goes, “retail follows
rooftops,” and Grand Parkway is expected to be a hot-bed of retail and
commercial development. But with the price of land expected to be at a
premium, Holder said whatever is developed will need to generate enough
revenue to justify the land cost.
“You will see that the price of land along that corridor will be such that
there will be some good-looking, pretty high-end development,” he said.
“There will not be strip centers. It’s a different world now. It’s very expensive to
participate.”
Among the early announced projects are Grand Parkway Marketplace, a
400,000-square-foot retail “power center” adjacent to Grand Parkway at Spring
Stuebner Road. Regency Centers will build a 385,000-square-foot shopping
center at the corner of Grand Parkway and Holzwarth Road. Caldwell Companies
is developing a 40-acre mixed-used project at the Grand Parkway and Kuykendahl
Road, near a planned Memorial Hermann Hospital.
Jenkins said to expect a wave of more project announcements this year with
their openings coming in 2018. When those projects are announced, retail developers
will find a healthy market awaiting them. A third quarter 2015 report by CBRE on retail
availability showed occupancy rates are at about 94 percent in regions in which the
local Grand Parkway segments are located.
“Despite reports of Houston’s economic slowdown, the retail market isn’t fazed by the
dropping oil prices,” CBRE reported. “In fact, construction has increased, national retailers
are bullish on the Bayou City, and five years of the strongest population gains in the nation
is driving healthy retail growth.”
Many outlooks predict that, much like previous economic downturns the Houston
area has experienced, markets will rally. In some sectors, such as a Class A office space
marketplace that is seeing double-digit vacancy rates, the short-term outlook is causing some
reluctance in investments. But what the Houston area economy considers a recession, could
really just be seen as a typical climate elsewhere.
“Whenever you’re in a slow market, it doesn’t feel good,” Holder said. “I think that is what
we’re experiencing right now. We’re going from a bull market to a normal market.”
11
12. 12
Population Growth
Harris, Montgomery counties adding more people
Staff Report
According to a new U.S. Census Bureau report, Harris
County led the nation in population gains last year, adding
90,000 people from July 1, 2014, to July 1, 2015.
Census data also revealed that Montgomery County is
the 23rd fastest-growing county in the country after adding
18,505 residents over the same time period. That accounts
for a 3.6 percent population growth.
Four Texas metro areas together added more people
last year than any state in the country except for Texas
as a whole, according to a U.S. Census Bureau population
estimate report. The population in these four metro areas
increased by more than 400,000 people during the same time
frame.
The Houston-The Woodlands-Sugar Land and Dallas-
Fort Worth-Arlington metro areas added about 159,000
and 145,000 residents, respectively—the largest gains of
any metro areas in the nation. Two additional Texas metro
areas adjacent to each other—Austin-Round Rock and San
Antonio-New Braunfels—were each also among the 16
nationwide to gain 50,000 or more people over the period.
These four Texas metro areas collectively added about
412,000 people. Texas as a whole gained about 490,000.
The statistics released by the Census Bureau provides
population estimates for the nation’s 381 metropolitan
statistical areas, 536 micropolitan statistical areas and 3,142
counties.
Eight counties drove Texas’ metro area growth and were
among the 20 counties nationwide that gained the most
population between 2014 and 2015. Altogether, they added
306,736 people.
Not Your
Best Side
Did you know your LinkedIn profile gets 11x
the views when your photo is included?
Let Curtis Matthews Photography capture those
views and show the world your best side.
graduation • family • weddings • couples
Call us at 832.244.4321 or
email info@curtismatthewsphotography.com
www.curtismatthewsphotography.com
PKWY.
FOR EVERYTHING MONTGOMERY COUNTY.
Reach 100,000
local executives, entrepreneurs
and decision makers.
To advertise visit
www.pkwymag.com or
call 832.791.5099.
It’s all PKWY.
53815 PKWY Magazine Ad Filler Quarter Page.indd 1 5/8/15 1:21 PM
POPULATION CHANGE FROM JULY 1, 2014 TO JULY 1, 2015
13. 13
The Economics of Health
Local clinic adds value to community
The adage “health is wealth” rings true daily at Lone
Star Family Health Center. Health care has a direct effect on
economic development, and that manifests in two specific
ways through the nonprofit’s three locations.
One way the clinics boosts the economy is through job
creation. In 2015, LSFHC became a major employer in the
Greater Conroe area with 140 employees at the South Conroe
Medical Center Drive location. By the end of 2016, that
location will house 162 staff and administration employees.
LSFHC also added two new locations in Spring and Willis
with seven and six employees, respectively. Outside of LSFHC
employees, there is also a ripple effect of job creation across
the community and the State of Texas. LSFHC’s nationally
recognized Family Medicine Residency Program graduates
10 family physicians annually. Of those graduates, 33 percent
stay in Montgomery County and 77 percent remain in Texas.
LSFHC estimates that it creates five jobs per physician.
As a Federally Qualified Health Center, a LFHC focus
is to provide high quality health care to the community’s
underserved, as well as the community at large. There is a
focus on compassionate and individualized care regardless
of financial status, and multiple payment assistance
programs including discounted services for patients that
qualify are accepted alongside commercial insurance,
Medicare and Medicaid. With eligibility assistance, a
Certified Case Manager and a Medicaid worker on staff,
LSFHC works to provide access and improve the health of
the underserved in the community.
LSFHC says that healthy heads of household are better
able to work and lighten the burden of poverty on families.
Healthy children do better in school, gaining an education
that will earn them higher paying jobs. Access to affordable
health care prevents unnecessary emergency room visits
that burden hospitals financially and slow expansion that
brings jobs.
MASTER
the Cloud
469.515.1515
the Cloud
Ready for the cloud without the complexity? The expert cloud
builders at Consolidated Communications can make your move to the
cloud simple. Backed by a fast and reliable fiber network, Consolidated
offers proven cloud solutions that improve business agility and
productivity while controlling costs. Let our local professionals handle
the complicated tasks while you stay focused on your success.
Our suite of Cloud Services:
+ Cloud Compute
+ Cloud Wifi
+ Data Protection
+ Unified Communications
844.YOUR.CCI
consolidated.com/business
Lone Star Family Health Clinic staff offers low-cost health care.
Staff Report
For more information, visit lonestarfamily.org.
14. 14
With 13 master-planned communities in the Greater Houston area,
and one more on the way, Johnson Development is working to ensure
it’s positioning itself for the continued migration to the suburbs.
In fact, the odds of a suburbanite living in a Johnson Development
community are relatively good.
There’s Cross Creek Ranch near Katy, Tuscan Lakes north of
Galveston, Woodforest near Lake Conroe, Harmony in Spring, and
ten others spread across Houston’s outskirts. All told, Johnson
Development’s planned communities house tens of thousands of
residents and provide office space for hundreds of thousands more.
In July 2013, Johnson Development announced an agreement
to acquire a large tract of land—and one which may evoke strong
memories for many in the area—Camp Strake. The flagship
campground of the Boy Scouts of America for seven decades, the
2,000-acre wooded tract hugging I-45 in Conroe was a beloved part
of many a young boy’s childhood. Following the sale of Camp Strake
to Johnson Development, the Scouts are moving to a new facility near
Lake Livingston in San Jacinto County.
And although the property lush with forests and natural lakes,
now known as Grand Central Park, is desirable from an aesthetic
perspective, that doesn’t necessary make it a slam dunk candidate
for a new community. Virgil Yoakum, general manager of Johnson
Development, explained how a piece of land might be a candidate for
a new community, and what issues would need to be addressed by his
company before it would move forward with a new project.
“First, we examine if there is demand in the market for new homes
in the vicinity of a particular property,” he said. “That means studying
the proximity of a property to current and future employment centers,
quality schools, and the conveniences of nearby shopping, dining and
entertainment. Then we ask, ‘Can we do something special here?’
That’s more of an instinctive decision that comes from our years
of experience. Our goal is to take a property and create a unique
sense of place for our builder partners and, ultimately, prospective
homebuyers.”
With Grand Central Park, Johnson Development believes the
property presents an opportunity to create something unique. But
while on the surface the 2,000-plus-acre tract would seem to be
ideal for swaths of homes, offices and retail, according to Johnson
Development’s plans, a significant amount will remain undeveloped in
an effort to preserve a large portion of the original, wooded landscape.
Central Perks
by Michael Ciota
New Conroe master-planned community
keeps within nature’s course
15. 15
“The natural beauty
of the property, with its
accessibility to I-45, Loop
336 and proximity to the
ExxonMobil corporate
campus, makes it a real
crown jewel,” Yoakum
said. “When we toured
the property, our team
agreed we could create
a distinctive forest
living experience with a
decidedly urban feel. The
reality is, you just don’t
come across a property
like this very often.”
Construction has
begun on Grand Central
Park, and the first model
homes should open this
fall. The first phase of
new homes will include
patio, town and single-
family homes on 350
wooded sites in the
northwest corner of the
community near Loop 336
and I-45.
Grand Central Park
could eventually include
2,500 to 2,700 residential
units. Ultimately, as much
as 1 million square feet
of retail space could be
developed, although the
commercial component
could take several years
to complete, given the
build-out schedule and
prevailing economic
conditions. Yoakum said
that several homebuilders
will offer products at
Grand Central Park.
Darling Homes was
the first new homebuilder
to sign on at Grand
Central Park. Darling will
offer its Signature Patio Collection with floor plans from
2,400 to 2,900 square feet. Drees Custom Homes will
present a collection of luxury homes featuring gourmet
kitchens, spacious master suites and designer touches
throughout. Perry Homes and David Weekly will also be
building single-family designs. There will also be luxury
townhomes from Village Builders and Coventry Homes.
Although it is still early to predict the precise mix of
retail tenants that will set up shop in Grand Central Park,
Johnson Development has announced that Fidelis Realty
Partners plans to develop a regional shopping, dining and
entertainment destination
called 336 Marketplace. That
project will feature more
than 700,000 square feet
of shopping including what
Johnson Development says
will be national retail stores.
The center is scheduled to
open in 2017.
Yoakum said Grand
Central Park will also offer
an urban district to appeal
to younger residents. These
higher-density housing
concepts will likely include
lofts and townhomes, but
Yoakum explained this project
is still in the preliminary
planning phases.
“Today’s successful
master-planned communities
offer amenities that attract
the broadest spectrum of
potential buyers, particularly
as family units continue
to change,” Yoakum said.
“Walkability has become a
huge factor, and that certainly
plays right into what we’re
doing at Grand Central Park.
The bottom line is we have
to continually work to make
sure a community is fun and
always evolving.”
Grand Central Park will
feature six lakes spanning
more than 100 acres,
including Grand Lake, which
is the largest at 88 acres.
One of the many features
of the old Camp Strake
site was that lakes were
developed naturally, and
Johnson Development has
incorporated them into the
plan for the community.
Yoakum reports that he
is seeing early enthusiasm
for Grand Central Park from potential buyers, despite the
substantial downturn in the local energy industry.
“With regard to market conditions, the response to our
Grand Central Park van tours and information gatherings
has been terrific,” Yoakum said. “From the crowds we’ve
seen, our diversity of new homes will be ideal for first-time
buyers, move-up buyers and active adults looking for a
smaller, yet high-quality new home.”
Grand Central Park will feature six lakes.
Under development is a town center-style urban district.
Grand Central Park retains much of the tract’s natural setting.
For more information, visit grandcentralparktx.com.
16. 16
Getting to Know Bondy
New Conroe chamber president Brian Bondy on
the importance of relationships in business and
his shot on “The Price Is Right.”
Who is Brian Bondy?
I am a business professional with 15 years of newspaper sales,
marketing and sales management experience as well as more than
20 years of chamber of commerce experience. Prior to becoming a
chamber executive, I was a volunteer chamber member serving as a
committee chair, board member and board officer with the Northwest
Communities Chamber of Commerce in Bridgeton, Missouri. I am a
graduate of Stephen F. Austin State University.
What have you learned being involved in chambers of commerce?
A chamber of commerce is all about the people … people who
do business with people, people who have a passion for their
community’s health and well-being, people who believe that one
of the keys to success is building their chamber of commerce.
Since I became a full-time chamber professional, this has been my
focus. And as a former chamber volunteer, I am grateful for, respect,
and understand the amazing value that volunteers bring to the
organization. I recognize and appreciate that most of our chamber
volunteers have careers outside the chamber and are giving us some
of their valuable time. It is a responsibility that I take very seriously.
What do you see to be your most significant challenge?
Getting to know key people in the community and building
relationships. We have elected officials, business leaders, education
drivers, to name a few, who help build this community. Building
a relationship with them is paramount. And there are so many
opportunities to begin that relationship building process. It just takes
time and dedication.
You’re a bit of a wine and food connoisseur.
A couple of years ago, my wife, Jean, and I started a wine blog. Over
the course of a year we sampled and blogged about a different wine
every day for a year. We’ve learned about good wine, great wine and
lousy wine … and it’s a great common denominator when meeting
with other wine aficionados. I also enjoy cooking … it’s the way that
I relax. Whether in the kitchen or outside with the smoker, food is
another great way to get to know other people.
Your family has been in the community for quite some time.
Jean and I have been married for 33 years. In fact, we got our
marriage license at the Montgomery County Courthouse. We have
two grown daughters who are both college graduates. Lauren
teaches second grade in Austin, and Erin is a research analyst in
Boston. And we have three rescue dogs that pretty much rule the
roost at our place.
You’ve been on “The Price is Right?”
During a family trip to California in 2000, we took seven family
members to a taping of “The Price Is Right.” I was selected as one of
the contestants to “come on down,” and ended up on stage with Bob
Barker. A terrific memory for sure.
by Melissa Rascon
17. texaschildrens.org/promise
To help patients like Charles and
their families breathe easier.
When Charles desperately needed expert care for a
collapsed lung, his family raced from their home north of
Houston to Texas Children’s Hospital — more than 40 miles
away. Your donation to the Promise Campaign will help bring
world-class pediatric care close to home for thousands of
families — at Texas Children’s Hospital The Woodlands.
Make your promise. Donate today.
29421PKWY-012-103015
18. 18
The Houston Ship Channel is entrenched in an arms
race. Up and down the 52-mile waterway that connects
Houston to the world’s economy companies and
government agencies are spending billions of dollars on
new facilities and infrastructure designed to lure larger
and larger cargo ships—ships that often can be longer
than four football fields in length.
To keep up with both the demand from international
shipping companies and to remain competitive in
the domestic freight market, investments in capital
improvement projects along the Houston Ship Channel
have increased from less than $1 billion in 2010 to more
than $6 billion in 2015, an increase of 611 percent.
In June, four new ship-to-shore cranes standing
30 stories tall began operating in the Port of Houston.
The cranes, the tallest marine cranes in North America,
are designed to handle the new ultra-large shipping
containers calling on the Houston port. The cranes are
part of a $1 billion five-year modernization plan financed
by the Port of Houston.
Ports along all three U.S. coasts—East, West and
Gulf—are also deepening and widening their channels
to allow access to cargo ships that are now more than
six times larger than they were 30 years ago. The Port
of Houston is trying to keep up in an effort to ensure
Houston remains one of the country’s key shipping hubs.
A 2013 report by the U.S. Department of Transportation’s
Maritime Administration showed that Houston’s ports
ranked third in the U.S. in shipping with $168 billion,
behind only those in Los Angeles and New York.
“We are very aware of (the competition),” Port of
Houston Executive Director Roger Guenther said. “It’s
driving a lot of what we do. There is a lot of competition
among ports.”
Many of the world’s top goods manufacturing
countries are located in Southeast Asia, and most often,
their shortest route to get their products to the U.S. is
Shipping
Arms Race
by BrianWalzel
Port of Houston invests billions in infrastructure
across the Pacific Ocean to the West Coast. From there,
their goods are typically shipped by rail to hubs such as
those in Chicago and Dallas, where the products are then
loaded onto trucks to be sent to their destination.
Stan Swigart, director of marketing and external
communications for the Port of Houston Authority,
explained that global manufacturers want to get their
products from their manufacturing plant to the market in the
shortest possible time. That typically means bigger ships
holding more cargo traveling the shortest possible routes.
Jonathan Montbach, head of Seabury Maritime Finance,
a global advisory group, said the fastest route is almost
always from Southeast Asia to California. And if those
companies want to get their products to the east or Gulf
Coast, they use the Panama Canal.
“Any Asian shipping company will be able to send a
larger ship through the Panama Canal and get to the east
as opposed to being forced to either sail to (the West Coast)
or sail to the East Coast by going the other way around the
world,” said “The first choice among those guys is almost
certainly going to be the West Coast. It’s just flat-out
closer.”
International shipping ports at Long Beach and Los
Angeles are the busiest in the country, handling between
7 and 8 billion TEUs annually. By comparison, the Port of
Houston last year eclipsed the 2 million TEU mark for the
first time.
It’s all about price and speed of delivery.
Stan Swigart, Port of Houston Authority
The Port of Houston is working to attract larger ships.
19. Much like Houston, West Coast ports are making
their own financial forays into improving their handling
capacity, spending billions in modernizing their facilities.
But labor union disputes in California as well as
construction delays at ports in L.A. and Long Beach have
soured attitudes of international carriers.
The Los Angeles Times reported in February that the
two ports in 2002 handled nearly 40 percent of all U.S.
container imports. That amount fell to 32 percent by
2013.
“The wait at the Los Angeles and Long Beach ports
has gotten longer and longer, eroding their share of
international trade,” the Times reported.
The Port of Houston has been one of the beneficiaries.
Between 2014 and 2015, the Port of Houston experienced
an increase in TEU volume of 18.5 percent. One way
to ensure that growth trend continues is to invest
in infrastructure that can handle the mega-vessels
traversing international shipping routes today.
Container ships in the mid-1980s stretched about 270
yards and held about 3,000 TEUs while navigating easily
through the Panama Canal on their way to international
ports. Today’s largest container ships stretch nearly
a quarter-mile long and can be stacked so high with
containers, at times up to 18,000, that the ships could
barely fit inside the Astrodome.
To accommodate those vessels, the Panama Canal
is undergoing a $5.2 billion expansion that will double
the passageway’s capacity and allow ships carrying up
to 14,000 TEUs to pass through its locks. Houston’s port
is working to attract ships with a capacity of about 8,000
TEUs.
“We are targeting our growth to receive ships that we
think are going to be the workhorse of the Gulf for the
next several years,” Guenther said.
However, the bigger the ship, the deeper the water
needs to be to handle the vessel. Until recently, much of
the Houston Ship Channel was only 40 feet deep.
The POA reported in 2012 that its staff knew the
channel wasn’t deep enough, which was costing
companies and the POA millions. To find out exactly
how much, the POA commissioned a study by the Texas
Transportation Institute’s Center for Ports and Waterways.
The TTI report, issued in 2010, estimated losses at more
than $350 million.
To fix that problem, The Port of Houston is spending
about $100 million over the next five years to deepen its
portion of the channel to 45 feet. Much of the Houston Ship
Channel has already been widened to 45 feet. The dredging
project is just another effort among many for the port to
stay afloat in the global market.
“It will be a game-changer when we can get larger ships
in here,” Swigart said.
Port of Houston
Total Tonnage
Source: Port of Houston Authority
Financial investments in infrastructure have allowed
the Port of Houston to better accommodate more
shipping cargo. Since 2012, the port has imported
more than 35 million tons of cargo annually.
2011 2012 2013 2014 2015
33.5 35 35.9 37.7 35.7
million
tons
million
tons
million
tons
million
tons
million
tons
19
20. 20
For some men, buying a dress shirt is akin to choosing
which shampoo to buy: They go with what generally works
for them, but don’t put much thought into the details. The
two biggest decisions to make are most typically collar size
and sleeve length, and color. That’s about it.
Haberdasher John Weatherford of Q Clothier in River
Oaks says for the man willing to invest a bit more than he
usually does in a shirt at, say, a mall retailer, a bespoke shirt
brings with it a host of benefits.
“The advantage for someone who is willing to spend the
money on a custom-fit shirt is that the shirt will last about
three times longer than the ones you can buy at a standard
department store,” Weatherford says.
Perfect Fit
by BrianWalzel
Shirting—ATailor’s Guide
The Collar
Weatherford says
collar spreads
range from wide to
narrow, and should
be chosen based
upon the type of
tie typically worn.
Narrow to medium
spreads offer more
of a modern look
and often pair well
with narrow ties
and ties with lighter fabrics like silk. Wider spreads are more
traditional and work well with knit ties and ties with larger knots,
such as a Windsor. When it comes to choosing a collar spread,
Weatherford says a customer has about a dozen different
options. The collar will dictate the type of tie a guy will wear.
The Fabric
This is where things
can get tedious.
If you have the
time–not to mention
the patience—
Weatherford says
you have your
choice of “tens
of thousands” of
fabrics. “Shirting
is just like thread
counts of sheets,
which drives the cost,” Weatherford says. Fabrics typically
begin on the lower end with Egyptian cotton, which is a lighter
fabric with a high luster. Other types include twill, broadcloth,
linen, dobby and pinpoint.
The Buttons
Essentially, you have
two choices here:
Mother of Pearl or
smoke, which come in
4 mm sizes. Mother
of Pearl buttons are
off-white and made up
of a crushed seashell
compound. They’re
great because they
feature an epoxy
backing, which can
withstand the high heat of an iron or dry cleaning. Smoke
buttons are pretty much what they sound like—dark buttons.
Weatherford says dark buttons shouldn’t necessarily only be
work with darker shirts. “Smoke buttons on a white shirt can
add a nice feature,” he says.
The Cuffs
The most formal
of cuff styles is the
French cuff, which
Weatherford says can
be worn to accentuate
a piece of jewelry, such
as cuff links. French
cuffs should only be
worn with a suit or a
tuxedo. Barrel cuffs,
which can feature
either one or two
buttons, are more traditional and found on most shirts. Also, if
you wear a watch, know the make and model. A good tailor will
custom-fit your shirt to accommodate your watch.
The Facing
Facings are the part of
the shirt that holds the
buttons on the front.
Weatherford says there
are three basic options
when choosing how to,
or how not to, display
the shirt buttons. A
placket front is the
traditional style, with
the buttons displayed
on a seam-stitched
facing. A fly front features a cover for the shirt buttons—think of
a tuxedo look. A French front features a seamless button facing
for a cleaner look.
How long does it take?
Weatherford says from the time the order is placed to
the shirt-maker to the time the shirt arrives back at the
store is typically about five weeks.
For more information, visit qclothier.com.
Contact John Weatherford at 281-960-0097.
21. A TEAM OF LEADERS IN ORTHOPEDICS AND SPORTS MEDICINE.
THE DIFFERENCE BETWEEN PRACTICING MEDICINE AND LEADING IT.
To learn more about our specialists, visit our website at houstonmethodist.org/orthopedics.
To schedule an appointment call 281.737.0999.
Our specialists at Houston Methodist Orthopedics & Sports Medicine are
honored to serve The Woodlands and Montgomery County communities
offering a wide range of services.
David Dice, Jr., MD, Marc Labbe, MD, John Fackler, MD, Eric Price, MD, Kenneth Palmer, MD
Left to right:
• General orthopedics & sports medicine
• Carpal tunnel syndrome
• Hand & upper extremity surgery
• Joint replacement
• Shoulder, elbow, wrist, knee, & ankle arthroscopy
• Neck & spine surgery
22. 22
You likely have seen them. Tucked between the liquor store and the
cash advance shop is … the local shooting range.
Thom Bolsch saw them too. After a 25-year career with the U.S.
Secret Service protecting presidents and training new agents, he
became disgruntled with the state of public shooting ranges.
“After I retired I was looking for something to do,” Bolsch said.
“Given my background, I researched firearms training academies
and gun clubs. I found the gun club scene to be so rough-edged and
unsavory. Back then, I didn’t even want to go to any, let alone bring my
wife and kids to visit. So from a business perspective, they didn’t seem
very attractive.”
If a veteran of countless tactical operations was uncomfortable
in a traditional shooting range, Bolsch believed the average person
would generally avoid them. Eventually, he had a realization that a
more professional environment would likely lead to a better customer
experience.
“I wanted to bring comfort and kindness to the shooting industry,
which I felt would broaden its appeal,” Bolsch said.
The Scottsdale Gun Club in Arizona appealed to Bolsch with its
upscale amenities, like WiFi and a café. This concept, which Bolsch
described as a “gun-try club” seemed to be an emerging market.
“So my idea was to make my club inviting and comfortable, rather
than intimidating and Spartan,” he said.
Bolsch eventually discovered an ideal site for his facility just north
of The Woodlands on FM 1488. Construction began in February 2015
on the 33,000-square-foot facility, and Saddle River Range opened on
Nov. 21. Features include 24 shooting lanes, 20 archery lanes, a café,
meeting rooms, a public lounge area, a 4,300-square-foot retail store
and event space for parties and corporate functions.
Given the response his facility generated on the first day it opened,
Bolsch knew he was onto something big.
“Our grand opening last November was absolutely nuts, in a good
way,” he said. “Traffic control estimated we had 4,500 people attend.
I knew then that we had something special, in addition to a great
location near Conroe, Magnolia and The Woodlands.”
Considering Bolsch and his career, it’s not a surprise that he has
updated the notion of the modern shooting range. Bolsch is a veteran
of three White House assignments, having worked on Secret Service
teams during the George H. W. Bush, Bill Clinton, and George W. Bush
administrations.
Top Guns
by Michael Ciota
Saddle River Range offers
new take on old concept
Saddle River Range is an upscale gun and archery club.
The club is designed to appeal to families.
24. 24
But in 1995, while attending a sales conference in
Colorado, Luzunaris took a side trip to take a glider ride.
That’s when he decided to make his hobby his career.
“I was hooked,” he said. “I enrolled in flight school the
next day.”
Now, as a pilot with just under 1,000 miles under his
belt, Luzunaris is making the next foray into flight. His
latest venture is EvolveAir, a company based in the Galaxy
FBO at Conroe-North Houston Regional Airport.
Luzunaris explains that EvolveAir offers a new take
on traditional private air travel. He recognized a market
exists to provide local businesspeople an alternative to
commercial flight.
The concept of EvolveAir essentially works as a time-
share purchase into a private aircraft. After a one-time
up-front cost, $120,000 or $380,000, depending on the
plane, users pay a monthly management fee. That fee—
again, dependent upon whichever plane the customer
chooses to buy into—is either $2,000 per month or $5,000
per month.
The lower level prices are for access to the Cirrus
Sr22T, a single-engine prop plane that seats five
passengers. The Cirrus is designed for two-to-three-hour
flights, but has a five-hour range. The higher-level prices
are for access to the Pilatus PC-12 NG, a single-prop turbo
aircraft. The Pilatus has room for nine passengers, features
a bathroom (the Cirrus does not), and has a six-hour flight
range. Management fees cover fuel, oil, maintenance, a
pilot, scheduling cleaning and transportation to and from
airports.
“We are focusing on the next level down in terms of
cost and accessibility,” Luzunaris said.
The EvolveAir concept, Luzunaris explains, is to offer
frequent air travelers an alternative to private travel that
often comes with exorbitant costs.
“Our hope and our plans are to introduce more people
to general aviation,” Luzunaris said. “We want to focus on
changing the mindset of personal aviation.”
For instance, large private aircraft operations—think of
the Learjet for the ultra-rich—can charge about $6,000 per
hour to its customer, even if the plane is in the air without
passengers aboard.
Ever since he was a kid, Israel Luzunaris’ love
of flying has been evolving. His infatuation with
flight began at a young age when he flew radio-
controlled airplanes. He would later, along
with his brother, run a hobby store that sold RC
and model airplanes.At home in his free time,
Luzunaris would sit at a computer, staring into
a monitor that resembled a pilot’s flight screen.
The flight simulation program was the closest
thing he could get at the time to truly flying.
Executive Travel
Evolved
by BrianWalzel
EvolveAir - A new concept in private air travel
25. 25
A quick, weekend round trip from the Houston area to
New Orleans in such an aircraft could cost as much as
$40,000, Luzunaris said.
EvolveAir is starting with a fleet of two aircraft, one
each of the Cirrus and the Pilatus. Luzunaris hopes to
add more to their roster every three to four months as
demand increases. A larger fleet also lessens the odds of
a scheduling conflict.
“The logistics work as the fleet size increases,”
Luzunaris said.
Myra Johnson, director of sales and marketing for
EvolveAir, said smaller private aircraft that offer shorter
trips give business travelers more flexibility in their
schedules. She said travelers can leave Houston in the
morning, make it to a business meeting out of town, and
be back home in time for dinner with their families.
“We are finding that our typical buyer is mostly likely
a small-business owner that does a great deal of travel
across the U.S.,” she said.
Johnson added the company finds ways to give back
to the community as well.
“Our mission is to inspire people to evolve in every
facet of life, personally, professionally, relationally just to
name a few,” she said. “We will do that through community
involvement, programming and advocacy.
Dirk Laukien is the owner of Black Forest Ventures, the
company behind Black Walnut Café. Black Forest Ventures
also owns 24 Waterway and Galaxy FBO.
Laukien himself is an experienced pilot, with more than
10,000 hours in the air. The concept of a less expensive
alternative in the private aircraft industry, he says, is a
much-needed one.
“When you look at transportation in general, it really
is all about how do you get from Point A to Point B?” he
said. “You can drive by car, you can take a commercial
flight, but both of those may not be good options, just due
to the remoteness of Texas. So, there is a demand for less
expensive, fast, efficient transportation.”
Our hope and our plans are to introduce
more people to general aviation.
We want to focus on changing the
mindset of personal aviation.
Israel Luzunaris, President, EvolveAir
EvolveAir customers can buy into a share of a
Pilatus PC-12 NG, a single-prop turbo aircraft.
President Israel Luzunaris established EvolveAir earlier this year.
Myra Johnson works as the company’s director of sales and marketing.
For more information, visit evolveair.com.
26. 26
It has been said that necessity is the mother of
invention, and adversity is the father of reinvention.
Although the Greater Houston area is fortunate to
have a fairly diverse economic engine, it’s no secret that
oil and gas forms the grease that makes it run smoothly.
Dramatically lower energy prices have caused pain of
late, but have also stimulated creative thinking and
entrepreneurship.
Located in northwest Houston, The Work Lodge bills
itself as the “future of work space.” Shared office space
is not a new idea. The concept first caught on in the tech
centers on the east and west coasts. But The Work Lodge
looks to improve upon those initial ideas.
The facility utilizes new, modern buildings, divides it
into semi-private, private and communal spaces while
offering its tenants no hidden fee pricing and flexible
terms. Tenants also get perks like free internet, happy
hours and a professional support staff.
Mike Thakur, founder of The Work Lodge, to give us
Working ‘Out’
by Michael Ciota
TheWork Lodge - An alternative
to the traditional office space
said his new venture, despite being launched in the midst
of uncertain economic conditions, has gained a foothold.
“We opened our doors in June 2015, and the response
has been phenomenal,” Thakur said. “Educating small-
business owners and entrepreneurs on an entirely new way
of working is exciting and refreshing. Our current members
tell us constantly how different it feels to work at The
Lodge and how their businesses are benefitting from the
community and relationships being made.”
Tenants attracted to a nontraditional office environment
are often nontraditional themselves–sole proprietors,
entrepreneurs and start-ups. The Work Lodge has these,
but also professional services firms, IT, media and more
from the very small to the very large. There is no “typical”
tenant at The Work Lodge, but a mix of what currently
exists in the Greater Houston area, Thakur said.
But what about the reasons behind the success of this
venture? Some might say that this is just a case of being
in the right place at the right time with flexible space for
downsized companies.
“We have seen some companies downsizing, but not
much,” Thakur said. “What is more common is expansion,
particularly for companies wanting to establish a footprint
in the Houston market. I think this is a great sign of the
additional value we bring making it easy for newcomers
to find a home and build their businesses outside of the
traditional sectors like oil and gas.”
The Work Lodge has established itself in the
buttoned-down office market that has become traditional,
TheWork Lodge offers an alternative to traditional office space.
27. 27
particularly given the vibe the company is trying to create
for its tenants. Even the name, The Work Lodge, carries
the connotation of a less formal, more collaborative
environment a la Apple or Google, which many may not be
used to here in Texas.
“Although we’re colorful, energetic, relaxed and
community based, we’re absolutely professional and
business-focused,” Thakur said. “For sure we’ve got
that West Coast feel, however, many of our members do
business with multi-billion dollar corporations, and some
of our members are multi-billion dollar organizations.
They wouldn’t have chosen us if we didn’t provide the
level of professionalism that they need.”
Thakur said a tenant recently visited The Work Lodge
and agreed the office concept was one the company
wanted to replicate for its employees.
“This was extremely encouraging to hear, as they
are a national, traditional type of business,” Thakur said.
“They’ve caught a glimpse of the future of workspace, and
understand the need to adapt if they are to attract and
retain the next generation of workers.”
Companies also have to consider the bottom line and
whether co-working makes economic sense.
“Workspace as a service removes all the pain points
from your daily business life, leaving you free to focus
on the one thing you do best--your business,” Thakur
said. “Who wants to spend time dealing with an internet
outage, or the A/C going out? Who wants to spend time
ordering coffee and hand soap? That’s not why you got
into business, so why let it steal your time?”
Our fully managed services takes care of everything
and our flexibility provides the opportunity to grow and
even shrink as needed, without locking anyone into long
term leases.”
It is safe to say that no one enjoys being on hold or
dealing with a balky web form to order coffee. One of the
major attractions of The Work Lodge is that it is totally
turnkey. Potential tenants can sign up using the web form,
move in tomorrow, sit down, connect to Wi-Fi, grab some
coffee (included), and be working within 15 minutes.
For Work Lodge customers, furniture is included,
as are utilities and a cleaning staff. They also get free
business workshops, happy hours and community events.
Even if customers choose the least expensive option
(about $55 per month), they get a physical address for their
business along with support staff.
“When you add up the costs involved in finding,
negotiating and moving into traditional office space, and
accept the restrictions placed on your business, then
compare all that to our monthly fees, we actually cost less
overall and provide much more value,” Thakur said.
This summer, The Work Lodge plans to launch a
business incubation service for startups. The service will
include mentoring and business coaching. The Work Lodge
addresses a business need – the desire to avoid the costs,
tedium and restrictions inherent in negotiating a traditional
office lease. By including perks and support staff, then
spreading the cost among the members, convenience goes
up as cost comes down.
“In our space, we actively promote the community
benefits of collaboration and encourage businesses
owners to build their network with others,” Thakur said.
“Use your time at The Work Lodge to build relationships.
Crowdsource some of your ideas, and leverage the
knowledge of your neighbors. Even with all of the other
benefits, this might be the single best reason to check in to
The Work Lodge.”
I.A. Donoso & Associates is
nationally known for providing
excellent investment visas
services to individual investors
and project developers that
successfully help navigate the
process.
Specializing in Work Visas
& US Permanent Residency
for Investors
eb5@donosolaw.com
8326652000
RSVP:
www.donosolaw.comm
Friday, May 27th. 2 pm 5 pm I Marriott The Woodlands Waterway
We cordially invite you for a free
Seminar on US Investment Visas
with Ignacio Donoso, a nationally
recognized immigration attorney in
the US.
Interested in US. Visas?
Work Lodge owners look to provide a more casual work environment.
For more information, visit theworklodge.com.
28. JAY TOMPKINS, CPA
partner-in-charge
MATT ODOM, CPA
audit partner
8505 Technology Forest Place | The Woodlands, TX 77381
we’ve joined forces with...
p 281.364.0245 877.955.1123f w middletonraines.com
28
Buying a Business
by John H.“Jack” Stibbs, Jr.
A step-by-step guide
Purchasing a business may
appear to be a daunting task, but
with the right roadmap, the risks
can be minimized.
Here is a basic five-step approach
to analyzing and closing on the
purchase of a business:
NDA
Before any confidential information will be released
from the seller, he or she will insist that you sign a non-
disclosure agreement. Most NDA forms are fairly standard,
limiting the seller’s protection to what is truly confidential
and non-public information. The only time this can get
tricky is if you are purchasing a business competitor and
therefore may already share the same clients and vendors.
Due Diligence
Once you have the NDA in place, you need to provide a due
diligence list to the seller, telling him what materials you
would like to review prior to making an offer to buy. This due
diligence process is critical for many reasons. First, it allows
you to verify crucial information the seller has represented
to you. Second, it gives you the information required to
structure a meaningful offer through the letter
of intent.
LOI
The letter of intent is a non-binding document that sets
out the basic business terms of the proposed transaction.
Usually, the only binding terms in an LOI are such terms as
confidentiality, exclusivity and governing law. The LOI also
sets dates for the continued exchange of information as
well as a closing date. It also lays the foundation for the
drafting of a purchase agreement.
Purchase Agreement
Whether you are buying the equity of a company or just
the assets, the purchase agreement is the document
30. 30
Building Out
by BrianWalzel
Howard Hughes Corp. expects
Woodlands development to end by 2025
In a recent letter to investors, Howard
Hughes Corp. CEO DavidWeinreb
reported that development in
TheWoodlands is expected to be
finished in less than a decade.
The letter revealed that the projected sell-out date
for both the available residential and commercial land
in The Woodlands could come in 2025. According to a
Howard Hughes Corp. report, there are 1,180 acres left to
be developed in The Woodlands. Of that acreage, 395 are
available for residential development and 785 acres for
commercial development.
“In the case of The Woodlands … the sellout date is
almost certain and quickly approaching,” Weinreb said.
HHC projects The Woodlands has a remaining
inventory of 1,192 residential lots to be sold. Those lots
have an estimated land value of $237 million. Last year,
The Woodlands sold 225 residential lots and generated
more than $32 million in revenue, according to the report.
Those figures were slightly down from 2014 sales
numbers, and Weinreb points to both the economic
downturn and a reduction in available homes to be sold
as reasons for fewer sales.
“The reduced pace is attributable to the economic
slowdown in the Houston area but also due to the fewer
standard-sized lots remaining for sale,” he said.
This year marked the first time The Woodlands was
not listed on an annual report issued by RCLCO—a real
estate advisory firm—that ranks the top selling master-
planned communities in the U.S. Every year prior to
2014, The Woodlands ranked in the top 10 in home sales
among master-planned communities. In 2014, The
Woodlands dropped to 11th with 468 homes sold.
The Woodlands fell off the list for 2015 home sales.
Although fewer homes are being sold in The
Woodlands, the average prices of the plots that are
being sold have increased substantially.
31. 31
According to Weinreb’s report, the average price per acre of residential land in The
Woodlands was $633,000 in 2015, 76 percent more than an acre of land cost in 2010.
“We are patient and focused on long-term value creation, only selling residential land
when homebuilding pricing meets or exceeds our return expectations, and only developing
commercial product when an appropriate level of demand exists,” Weinreb said.
He acknowledges that, with HHC being the primary land owner in The Woodlands, the
company is not faced with competitors and therefore can take a long-range approach in
developing properties.
“As the owner and developer of virtually all of the remaining commercial land in
The Woodlands, we do not have the competitive pressures to quickly lease or monetize
properties that other, one-off or less well-capitalized developers encounter,” he said. “A
positive aspect of the slowdown, then, is that many of our competitors have retreated
while we continue to strengthen our dominant position in the market.”
Among the major projects HHC completed in 2015 were two Class A office buildings in
Hughes Landing constructed for ExxonMobil, 126,000 square feet of retail and restaurant
space in Hughes Landing, including a Whole Foods Market, 75,000 square feet of mixed
use space in the Creekside Park Village Center, a 205-room Embassy Suites hotel in
Hughes Landing, a 302-room Westin hotel on The Woodlands Waterway, and One Lakes
Edge multi-family development, also in Hughes Landing.
In his letter to investors Weinreb did not provide an update on one of the company’s
latest projects—a 2,100-acre master-planned community north of Conroe. HHC purchased
the land in 2014 with the expectation that it would build approximately 4,800 residential
units and 160 acres worth of commercial projects.
According to the company’s 2014 annual report, the new community will be located
about 13 miles north of The Woodlands, west of I-45. Lots could be delivered at some
point this year, with sales expected in the first quarter of 2017.
However, according to The Woodlands Development Company, it’s unclear if, in the
current economic environment, that development timeframe is still likely.
“We are monitoring the local and regional marketplace and are hopeful that the recent
uptick in energy prices will hold and improve,” said Tim Welbes, co-president of the
Development Company. “Until then, our plans are to continue monitoring everything, and
when we see adequate improvement, we intend to move forward.”
The pace of development, particularly inTown Center, has quickened under Howard Hughes Corp. ownership.
32. 32
The last thing I recall buying at Greenspoint Mall was
a maroon suit to wear to my aunt’s wedding. That was in
1994. More accurately, my father purchased the hideous
get-up, but the blame is squarely on me for choosing it. My
brother picked out something that was somehow even more
offensive—a forest green
piece with a mustard yellow
tie.
Needless to say, my
brother and I look absurdly
out of place in the Corleone-
esque family wedding photo
from that day. Whenever I see
that picture, I get the feeling
my brother and I weren’t
representatives of our family
that day as much as we were of Greenspoint Mall.
Those who have lived in The Woodlands area for a
substantial period of time likely recall Greenspoint Mall
as being the mall in the 80s and early 90s. This was pre-
Woodlands Mall glitz, pre-“Gunspoint” paranoia. We bought
cassette tapes at Babbage’s, played air hockey at Aladdin’s
Greener Pastures
by BrianWalzel
Once a shopping destination, Greenspoint Mall’s end nears
Castle Arcade, jeans and flannel at County Seat, watched
movies at General Cinema and had family meals at Wyatt’s
Cafeteria (Jell-O, of course, for dessert).
I thought the complex waterscape that played wind chimes
at the food court was a modern engineering marvel. And
you couldn’t stare down
into that magazine from
Waldenbooks for too long,
or else you’d run smack dab
into one of a thousand ficus
trees planted right in the
middle of the walkway.
Now, Greenspoint Mall is
for sale in yet another effort
to redevelop what was once
a bustling hub for not only
commerce, but also social meaning. Triyar Cannon Group has
enlisted Colliers International to market the 1.4 million-square-
foot property.
Ace Schlameus, Colliers International senior vice president,
said whatever comes of the site on which Greenspoint Mall is
It’s not going to be retail development,
but something much more exciting.
Ace Schlameus - Colliers International
33. located, it most definitely will
not be a shopping center.
“I think Greenspoint Mall
has had its day as a retail
project,” Schlameus said.
Colliers will apparently look
to find a buyer who will tear
down Greenspoint Mall and
replace it with something like a
logistics center or a corporate
campus.
“It’s not going to be retail
development, but something
much more exciting,”
Schlameus said. “But it’s
going to require some vision to
recognize what the possibilities
are.”
Greenspoint Mall opened
in 1974, but always seemed to
be a product of the 1980s. The
mall’s corridors were clogged
arteries in late summer as
parents loaded up on back-
to-school outfits. The styles
the stores pushed, the angular
geometric design patterns,
and the seemingly random live
music and talent acts taking
place in the food court gave the mall its own pulse, pumped
by Reaganomics.
And if you were going to a club on Richmond Avenue at
10 p.m. on a Saturday night, you were at Greenspoint Mall at
noon.
But by the early 1990s, people, for reasons that were
social, economic and based in fear, stopped going to
Greenspoint Mall. The economic boom of the 80s was over,
and the country was heading into a recession.
A major catalyst for the desertion of Greenspoint Mall
came in 1991, when Roxyann Allee, a Harris County Sheriff’s
deputy, was found shot to death. Allee, off duty at the time,
was allegedly abducted from the Greenspoint Mall parking
lot. Her killer was never found and the “Gunspoint” moniker
was born.
It was also around that time that The Woodlands and
Conroe were entrenched in a game of Mall Poker. Conroe
developers were working quickly to open a mall of their own
before The Woodlands, which was still in its infancy, could.
Aware of this, the likes of George Mitchell and Roger Galatas
had a sign installed a sign along I-45 that read “Coming Soon:
The Woodlands Mall.” Later, Galatas would say there were no
definitive plans at the time that The Woodlands would actually
build a mall. The sign was only placed there to dissuade
Conroe developers from pursuing their own project.
The move worked. The Woodlands Mall opened in 1994,
about five years after the “Coming Soon” sign was put up.
That, paired with rising fears of safety in the area, was the
beginning of a slow death for Greenspoint Mall.
Soon, major anchor stores like Montgomery Ward, Joske’s
and Mervyn’s either moved out or went out of business. Today,
only about 100 of Greenspoint Mall’s 400 sites are occupied,
and most by independent retailers. Just five of the eight
anchor sites hold tenants.
Despite news of the pending sale and possible
redevelopment, Greenspoint Mall is still going about its
business. Linda Taylor, director of leasing, said the mall is still
actively pursuing leases for its open space.
Meanwhile, the local business community is hoping for a
much-needed face lift for an area sagging with age.
“We’re really glad to hear that property is on the market”
said Paula Lenz, executive director of the North Houston
Association, a business and policy advocacy group
headquartered in the Greenspoint district. “Obviously in
years’ past a lot has been written about Greenspoint Mall,
but we have always viewed that property as a really excellent
opportunity for redevelopment.”
Lenz and Schlameus tout the mall’s proximity to Beltway 8,
I-45 and nearby rail lines as key reasons any new development
could succeed. But not even the most ideal infrastructure in
place can overcome commercial development’s elephant in the
room: the local economy.
“The biggest challenge (to selling the property) is the
current economic environment, which is a malaise none of
us can get away from at this point,” Schlameus said. “The
challenge is to overcome the general perception of what is
happening in Houston right now.”
Over the past two decades, several efforts to either sell or
redevelop Greenspoint Mall have fallen through, including a
$32 million effort in 2006 to restructure the mall as an open-
air environment, complete with greenspace and outdoor
amenities. Instead, the owner, Archon Group, put the mall up
for sale. It was eventually purchased by Triyar Cannon.
It remains to be seen what will come of this latest effort.
But if Greenspoint Mall does eventually have a date with the
wrecking ball and is turned into something like a glistening
new corporate campus, it’s legacy won’t crumble away with its
walls.
“We look at something from the past,” Schlameus said,
“and sometimes it’s difficult to look at what it really is today.
But Greenspoint Mall has spent its life well.”
We have always viewed that property
as a really excellent opportunity for
redevelopment.
Paula Lenz, North Houston Association
33
34. The disastrous effects of the two-year-long oil
collapse have been well-documented: more than a
quarter of a million jobs lost worldwide in the energy
sector, and tens of billions of dollars of profits lost among
corporations who specialize in oil and gas.
ExxonMobil reported a loss in profits of 50 percent for
2015, and Woodlands-based Anadarko Petroleum was
forced to cut its 2016 budget by $3 billion.
The bad news is daily, relentless, the figures and
reality of so many people being out of work numbing.
Of course, the silver lining in this very dark cloud
is the price of fuel. Rejoicing in the low fuel prices in
Houston amid the current energy economy is Benedict
Arnold-esque—those dollars you’re saving at the pump
represent someone’s job. A lot of people who have even a
remote connection to the energy industry—which is nearly
everyone in Houston—would likely gladly pay $3 per
gallon of gas to see the price of oil return to, say, the $70
per barrel range.
But according to the Energy Information
Administration, that’s not going to happen this summer.
The EIA is predicting the average cost for a gallon of
gas this summer will be $2.04—59 cents less than last
summer, and $1.66 less than the summer of 2012,
when oil was making everyone rich at more than
$100 per barrel.
Fuel Up
by BrianWalzel
How oil influences gas prices
34
The EIA estimates that the average American family will
save about $350 on gas this year as compared to last year,
and about $1,000 less on fuel than in 2014, when retail gas
prices averaged more than $3 per gallon.
The EIA defines summer months as April through
September, a span during which the U.S. drives more than
half its vehicle miles.
The reason for the continued low gas prices are, of
course, the low cost of oil. The EIA explains that of the four
main components of gas prices—crude oil prices, wholesale
margins, retail distribution costs and taxes—only the latter
two remain relatively stable. Gas prices, the EIA said, are
also more closely tied to Brent Crude prices, rather than
West Texas Intermediate prices.
“Movements in gasoline prices are primarily the result
of changes in crude oil prices and wholesales margins,”
the EIA stated. “Each dollar per barrel of sustained price
change in crude oil and/or gasoline wholesale margins
results in a change of 2.4 cents per gallon in product
prices.”
However, gasoline prices are not affected only by the
cost of oil.
Doug Shupe, spokesman for AAA Texas, said a driving
factor in the cost of gas is demand. He said, as also
evidenced by EIA data, families take vacations during the
summer, and there are more drivers on the road with school
being out.
Gas prices also tend to rise during the summer months,
he said, because refineries produce a different type of
fuel—a “summer mix, as he called it—which is more resilient
to the high Texas temperatures and less likely to evaporate.
“That summer mix is 15-20 cents higher per gallon,” he
said.
Shupe said retail gas stations must begin selling
summer mix fuel by June 1.
THE RELATIONSHIP BETWEEN OIL AND GAS
Source: U.S. Energy Information Administration, Bloomberg
4/13 5/11 8/10 9/146/18 7/13 1/1110/12 11/9 4/113/142/8
2015 2016
$1.50
$1.75
$2.00
$2.25
$2.50
$2.75
12/14
RETAIL
GASOLINE
$35
$40
$45
$50
$55
$60
4/13 5/11 8/10 9/146/18 7/13 1/1110/12 11/9 4/113/142/8
2015 2016
12/14
BRENT
CRUDE
PRICEPERGALLON
PRICEPERBARREL
35. 35
Company
CultureKeeping morale up in
an economic downturn
During economic slumps or times of change, there can
be a tendency for businesses to shift focus to recovery or
survival. As a result, employees can begin to feel undervalued
or, worse yet, neglected. It’s important to prioritize employee
morale and retention during challenging times. After all, once
the fog lifts, your business needs to have a strong workforce
in place.
To ensure that your team remains motivated, optimistic,
and engaged, consider these eight tips:
Open lines of communication
First and foremost, build trust by being transparent with
your employees about all business decisions that may affect
them. Maintain an open door policy so that your employees
feel comfortable voicing their opinions and ideas. Likewise,
check in with them from time to time to provide your
feedback.
Make work meaningful
People want to be a part of something that has
significance not only to themselves, but also their
communities. Create a positive new focus by backing a
cause, such as a local food pantry, and providing ways for
your team to contribute. Help employees see how their work
impacts the team, organization and society at large.
Recognize their efforts
Celebrate your employees’ accomplishments and
milestones. In many cases, a simple “thank you” goes a long
way. Appreciated employees are loyal, hardworking employees.
Create passion for your brand
Identify employees who are your culture and brand
champions and have them share their stories via internal
communications and social media sites. There is influence in
story-telling–so let their stories be heard.
Bring everyone together in the name of fun
Work and fun are not mutually exclusive. In fact, while
some may think it inhibits productivity, it can actually increase
it. Provide downtime during the workday to decrease stress
and spark creativity. Bring in games, such as a ping pong table,
and you’ll also give your employees an opportunity to work
together as a team.
Discuss career plans
While the direction of your business may be changing, do
not lose focus on your employees’ careers. Meet regularly to
discuss their goals and viability of your promotional tracks.
Bring families together
Family is one of the most important aspects of your
employees’ lives. The changes happening in your business
may be affecting them as well. Let your employees know that
family is important to the company by sponsoring a family
picnic or inviting families into the office after hours.
Reduce stress
Find ways to help your team unwind and relax. Encourage
them to be active by sponsoring a company softball team.
Bring in someone to give chair massages one afternoon.
Host a happy hour at a local establishment. Better yet, ask
employees for creative ideas to lessen stress in the office.
When business is booming, morale is often at a high,
yet it can quickly plummet during challenging times. A
happy, productive workforce is not dependent on economic
circumstance. Maintaining and building morale requires
deliberate actions whether business is up–or down.
by Joshua Smith
For more information, visit attero.com
36. 36
Of all the things Oregon is known for, breakfast tacos
are not one of them. But Amy Nelson, a Sam Houston
State University senior from Corpus Christi, is hoping to
change that. Nelson is one of about 50 students majoring
in SHSU’s new entrepreneurship program.
She plans to graduate in August and move with her
parents to the Pacific Northwest soon after.
“Breakfast tacos are probably one of my favorite
meals to make,” Nelson said. “I know Oregon doesn’t
have a feel for southwestern flavors, but hopefully they
will soon.”
Nelson is looking to apply her taco know-how and the
skills she has picked up
as a entrepreneur major at
SHSU.
The business program
is being resurrected by
Jamie Collins, a professor
in Sam Houston State
University’s College of
Business Administration.
After languishing for
years at the college’s
Huntsville partly because
of high faculty turnover, the
entrepreneurship program
has enjoyed a rejuvenation
over the past two years at
the school’s Woodlands
campus, bolstered by
strong student interest.
“Like everything in
academia, it moved at a glacial pace,” Collins said. “But
the students have responded very positively. We’ve had
more demand than we have capacity to supply, which is a
good problem to have.”
The program Collins leads helps students first
understand the basics of starting and running their own
business, such as mapping out a business plan and
securing funding. Higher level courses focus on learning
about private investments and the commercialization of
innovation, Collins said.
Much of the focus of the coursework in the
entrepreneur program is designed to introduce students
Learning the Business
by BrianWalzel
SHSU’s entrepreneur program cultivates future leaders
to practical applications they would use in running their
own business.
“I like that we actually wrote a business plan,” Nelson
said. “That’s making it easier to do the (business plan) I am
working on now.”
Collins said many of the students in the program are
first-generation college students with strong business
backgrounds because they are often involved in the family
business early on.
“These students come into this program already with a
pretty strong work ethic,” Collins said.
Classes in the entrepreneurship program are split
between Huntsville and The
Woodlands. Nelson said
she makes the trip to The
Woodlands campus from
Huntsville each week to
attend an entrepreneurship
class. Courses currently
offered at the SHSU
Woodlands campus include
Business Communications,
Business Law, Human
Resources Management
Law and Managerial
Communications.
“The ultimate goal is for
the students to take the full
complement of courses in
The Woodlands and online,”
Collins said.
As the program
grows, Collins is considering opportunities to enhance
his students’ real world business experiences. Efforts like
speakers’ series, community outreach programs and advice
panels Collins believes will give his young entrepreneurs a
leg up once they get started in their own endeavors.
“It should be a very robust program here,” Collins
said. “The Woodlands will see increased numbers of new
entrepreneur graduates in this community.”
Amy Nelson is a senior in SHSU’s entrepreneurship program.
For more information, visit shsu.edu.
37. 37
Assistance
Alternatives
by ByronW. Ellis
Donating to charity
(without signing a check)
Giving to charity is a rewarding
experience for everybody involved, but
writing a check isn’t the only way you
can help out. There are so many great
options available to those who want to
donate to a cause that is close to the
heart other than giving cash.
Donate your investments
Donating appreciated mutual fund or stock shares is an
excellent way to give back to a favorite charity, and beneficial
for the person donating as well. As long as the share funds
were purchased more than a year ago, you can donate it to
a charity of your choosing, which will receive 100 percent of
the amount you donate. Even better, the organization will not
have to pay any taxes when it sells the shares. Furthermore,
you will not have to pay the tax bill either, but still be able to
deduct the entire amount (based on your personal tax return
eligibility) when you file your taxes. However, this strategy
doesn’t work to your advantage if a stock has lost value over
time, in which case you would probably be better off selling
it yourself.
Donate your automobile
Many charities are in desperate need of vehicles, either
to use for their own operations or to give to people in need of
transportation. Donating a vehicle is a perfect non-monetary
example of how someone can give to charity. However, it’s
important to consider a few things before going this route. If
you are concerned about tax deductions, make sure to give
the vehicle to a charity that will use it rather than sell it. If you
donate a vehicle that will be used by the charity then your tax
deduction will be based on the actual market value of the car.
If the charity is going to sell the vehicle, you will only be able
to claim the amount they receive for it, which many times is
well below market value. Also, depending on how much the
car is worth, you will have to fill out certain tax
forms accordingly.
Gift money that is in your IRA
IRAs can also be used to donate to charity, but only
if certain criteria are met. Any IRA owner who is age 70-
1/2 or older can transfer up $100,000 per year, tax-free,
to any eligible charity. These types of donations are used
for distributions from IRAs, independent of whether the
owner has itemized their deductions. Donating with an IRA
can lead to lower taxable income because the distributed
amounts can be excluded. However, not every charity is
eligible for this type of donation, and it seems that every year
the government is late in extending this option. So make
sure your charity qualifies and that it is still allowed before
making the donation.
Donate your time
There are several other ways to give to charity without
donating cash such as volunteering your time, donating
material goods, or by simply raising awareness about a
cause you are passionate about. Time is precious, and nearly
all charities need volunteer hours more than anything else.
Volunteering allows you to connect and give back to your
community, which can be a rewarding experience.
If you don’t have a lot of time to spare, then you can
collect gently used goods from friends and family and
donate them to a local charity. Many charities are in constant
need of items such as clothing, food and electronics. Or,
you could hold a local garage sale and donate the proceeds
as well.
Spread the word
Lastly, raising awareness can be beneficial for charities
because the more people who hear about their cause, the
more donations the charities receive. You can start a blog or
create social media accounts to spread the word about your
favorite charity.
For more information, visit unitedcp.com.
38. 38
2
10 SIGNS Much has been made about the effects of $45 per barrel oil on
the Houston area economy. Major companies have reported
major financial losses while shedding jobs by the thousands.
However, in Montgomery County, many economic indicators
show a strong economy that continues to grow.
INCREASED
HOME VALUES
The average value of a home in
Montgomery County has increased
by 8 percent since 2010.
SOLD
HOME SALES
In 2015, 8,659 homes were sold
in Montgomery County. That’s
more than 2,800 more homes
than were sold in 2011.
PROPERTY
TAX REVENUE
In 2014, Montgomery County’s
property tax revenue was $186.8
million, $30 million more than
in 2010.
3
4
5
6
7
8
9 10
SALES TAX
REVENUE
Conroe (49 percent), The Woodlands
(58 percent), Shenandoah (38 percent),
Oak Ridge North (41 percent) and
Magnolia (27 percent) all experienced
substantial sales tax revenue growth
between 2010 and 2014.
NUMBER OF
EMPLOYERS
In 2010, there were about 120,000
employers in Montgomery County.
By 2015, that number increased
to 150,000.
POPULATION
Montgomery County has added 63,201 more people to
its population since 2010, an increase of 14 percent.
SIX-FIGURE
FAMILIES
The number of households in
Montgomery County earning
$100,000 per year or more has
increased every year since 2010,
with 33.4 percent making the
mark in 2014.
UNEMPLOYMENT
RATE
The county’s unemployment rate has
dropped 41 percent in five years, from
7.5 percent unemployed in 2010 to
4.4 percent unemployed in 2014.
NOW HIRING
THE MONTGOMERY COUNTY ECONOMY IS
BOOMING
HOUSEHOLD INCOME
The average household income has increased
by $3,220 since 2010, a rise of 5 percent.
CISD
ENROLLMENT
Enrollment in Conroe ISD schools
has grown by more than 5,300
students since 2010.
1
Sources: U.S. Census Bureau,
Houston Association of Realtors,
Conroe ISD, The Woodlands
Township, City of Magnolia, City
of Conroe, Montgomery County
39. 39
No Waiting
Around
Standing out in a crowded industry
Business is like a jungle -- scary and unforgiving. If you
happen to find yourself in either, you wouldn’t be wrong in
assuming that everything you see is out to get you. Luckily,
a demise in business is metaphorical and slightly more
avoidable.
Although there is no real way to guarantee success in
business, it is important to note that complacency is the
companion of failure. No matter how big your business is,
failure to understand your environment will almost certainly
constitute your demise. Blockbuster, for example, failed to
see the impact the Internet, and Netflix, would have on its
industry. Walmart may have revolutionized logistics, but has
found itself scrambling to find a seat at the “local” table.
Consumers have traded mass production for craft, brick-and-
mortar for the World Wide Web.
The moral of their story is, “be proactive, not reactive.”
The consequences of reactive business practices are not
confined to any one industry, and for a small business, they
could be devastating.
The restaurant industry is arguably one of the toughest
industries for an entrepreneur. According to a study by Ohio
State University on successes of restaurants, 60 percent do
not make it past the first year, and 80 percent fail within the
first five years.
You don’t necessarily have to be a great chef or business
person to be successful in the restaurant industry, but being
good in at least one of the two wouldn’t hurt. For those of you
who cook better than you conduct business, here are a few
tips that just might be the difference between success and
liquidating your kitchen:
Be Unique
Giving customers too many choices can overwhelm
them and lead to fewer sales. There is no requirement for
restaurants to have a little bit of everything on their menu;
don’t make a half-hearted attempt at several things when
you could make a full-hearted attempt at a select few. Hot
dogs, tacos, grilled cheeses and the like are simple food items
that, with a little twist, have the ability to generate substantial
profit in a market hungry for creativity. A simple and quirky
menu makes it easier for your restaurant to stand out.
Be Aware
Know your environment, because what you don’t know
could very well hurt you. You are surrounded by information,
all you have to do is search online for it. The Internet is
a limitless source of data, and you can ask it just about
anything you want. Being proactive and understanding your
customer will prevent your business from being blindsided
by developing market trends and new technology. Knowing is
half the battle, the other half is social media and identifying
new opportunities. Engage your customers where they are,
such as on Facebook. Find ways to enhance the customer
experience before your competition does.
Be Convenient
Life isn’t as simple as it used to be. Our ability to do more
at once has left us doing just that, and if you want to be
the one feeding us, you’re going to need to fit our schedule.
Great food at a good price is nothing if it isn’t convenient.
So, how can your restaurant be more convenient?
Think outside the box (your physical location). Bring your
customers favorite meal to them when they don’t have the
time or energy to come to you. Don’t make them have to
choose between your food and kicking their shoes off after
a long day. Employing a fleet of drivers is costly and can
be a logistical nightmare for a small restaurant, but there
is an entire industry dedicated to supporting you. Don’t be
afraid to implement new technologies and services if they
allow you to be more flexible. You can’t afford to let your
competition be more convenient than you.
There are many other factors to consider when starting
a business, but these suggestions, albeit generalized, are a
great starting point. Let your customers know who you are,
always find ways to improve their experience, and adjust
your offerings to meet their needs.
SPONSORED CONTENT
For more information, visit experience.waitrapp.com.
40. 40
R A S C O N C PA F I R M P L L CT H E
2j
R A S C O N C PAT H E
Gro
wth • Innovation • Succ
e
Gro
wth • Innovation • Succ
ess
MAKE US A PART of your journey
A CPA Firm for Entrepreneurs, where we will do more than
look at your books, but help grow your business and
Achieve Success.
1095 Evergreen Circle, Ste 200
The Woodlands, TX 77386
(832) 482-4611
www.rasconcpafirm.com
GIVE US A CALL TODAY!
STAY CONNECTED
HIRE US TO BE YOUR:
Accounting Department
CFO
Trusted Tax Advisor
International Tax Planner
Biz Tips
by Melissa Rascon
Implementing internal controls
Business owners are often all too
familiar with the hard work that it takes
to run a successful business, and all
the intricacies that are involved to make
that happen. On the journey to achieving
success and materializing their
brand business owners are involved with recruiting clients,
managing employees, providing a quality product
or service and implementing an effective strategic
marketing plan.
However, business owners may not be paying attention
to some key matters that they should keep a close eye on for
the security of their business. One of those key matters is the
internal controls of their accounting system. Implementing
some level of internal controls is vital for every company’s
survival, especially if you have a small business.
SPONSORED CONTENT
