PHILADELPHIA | Highrise Development Thread IX

[mcgrath618]

Why is the lighting scheme on FMC now only blue? I liked it better when it was technicolor

[summersm343]

Reading-based tech firm opens first Philadelphia office

Reading-based tech firm Weidenhammer was popping the champagne in Center City on Monday as it celebrated the nearly 40-year-old firm’s expansion into Philadelphia.

The decision to move about 20 staffers into a space at WeWork’s 1601 Market St. location was influenced by the company's desire to attract and retain its two most important assets — clients and talent.

“We see the Center City market as such a big opportunity for us and what we do,” President John Weidenhammer said Wednesday. “There’s no real substitute for physically being there.”

The move into the city is also a full-circle one for Weidenhammer, who worked for Ernst and Young in Center City in the late '70s prior to starting his own business in his hometown of Reading.

After putting down roots in Reading, Weidenhammer grew the operation into a 200-employee company that offers IT consulting, creative design, software development, infrastructure, e-commerce and cloud computing. Following a combination of growth both organically and through acquisitions, Weidenhammer now operates seven additional offices in Lancaster, Wayne, Allentown and now Philadelphia, as well as locations in Denver; Austin, Texas; and Kalamazoo, Mich.

Opening an office in the city while keeping its headquarters in the suburbs is a strategy that’s worked well so far for other tech companies.

Web design and development firm Think Company opened a Center City location in 2014 and saw substantial growth follow, with revenues rising an average of 21.5 percent between 2014 and 2016, landing it at the No. 56 spot on the Philadelphia Business Journal’s Soaring 76 list of the fastest-growing companies in the region.

"We have a lot of younger folks who live in the city, who like to work there and want that community environment,” Think Company Executive Vice President Russ Starke told the Philadelphia Business Journal last year, adding about 75 percent of its staff are city dwellers. “We needed to be in the city to attract and retain them.”

It opened a second office on the second floor of the Philadelphia Building located at Walnut and Juniper streets near 13th Street earlier this year.

Financial tech company FreedomPay, which handles mobile and cashless payments, recently relocated its headquarters from Radnor to the new FMC Tower in University City after 17 years in the suburbs. Attracting talent from nearby universities was a compelling factor in the move, founder and CEO Tom Durovsik told the Philadelphia Business Journal last December.

https://www.bizjournals.com/philadelphia...enhammer-opens-philly-office-wework.html

[Boku]

Energage raises $15M, plans Philly office, new hires

Energage, the Exton firm formerly known as Workplace Dynamics, has raised $15 million from investors and is looking to open a new office in Philadelphia, using 10 years’ worth of corporate employee surveys as a basis for new “HR tech” services it expects will elevate its profile among clients and technology investors.

“Our model has changed quite a bit. We have a whole new round of offerings in our employee-engagement platform, just two weeks ahead of the HR Tech Conference in Las Vegas,” said Fraser Marlow, director of research at Energage, which employs 110, including 100 in Exton.

Part of the money will be used for expansion. Energage wants to open an office in Philadelphia to hire more “creative staff and programmers,” said Marlow, a GE veteran who is among several senior managers joining the company in the last year. “We’ve interviewed quite a few who wanted to work for us, but the commute to Exton was not quite appealing,” he said. SEPTA’s Paoli/Thorndale Line trains can take more than an hour to reach Exton from Center City; expresses are faster, if they run to schedule.

http://www.philly.com/philly/blogs/inq-p...ns-philly-office-new-hires-20171005.html

[summersm343]

Philly court divisions to relocate after Arch St. building sold to create apartments

The Philadelphia County court’s probation and pretrial divisions are leaving their current home at 1401 Arch St., which is to be converted into apartments, according to a broker with the commercial real estate firm CBRE who helped arrange the agencies’ move.

The First Judicial District of Pennsylvania departments will relocate to a 120,000-square-foot space at 714 Market St., beside the National Park Service’s Declaration House at Seventh and Market Streets, by the end of 2018, CBRE senior vice president Michael Kane said Thursday in a news release.

The 220,300-square-foot 1401 Arch St. building at Broad and Arch Streets, which now has a McDonald’s restaurant on its ground floor, was recently acquired from Swiss pension-fund adviser AFIAA by Philadelphia-based Alterra Property Group, which plans the apartment conversion, CBRE said.

The 266,000-square-foot 714 Market St. building is owned by the Brooklyn-based Leser Group, according to Kane, who represented the First Judicial District in the lease.

The court district “now has the opportunity to vacate a building that was functionally obsolete for their purposes and custom-design new space in a location that is accessible to the courts, their clients, and employees,” Kane said in the release.

Alterra did not immediately respond to a phone message seeking details of the apartment-conversion plan.

Read more here:
http://www.philly.com/philly/business/re...ilding-sold-for-apartments-20171005.html

[1487]

Originally Posted by summersm343

Philly court divisions to relocate after Arch St. building sold to create apartments



Read more here:
http://www.philly.com/philly/business/re...ilding-sold-for-apartments-20171005.html

Good news here- well at least for Broad and Arch. Not really for 7th and market! But there is less there anyway so it's the better of the two locations for this place.

[Londonee]

Originally Posted by eixample

Whatever city wins the Amazon sweepstakes is going to add daily Seattle-HQ2 flights aren't they? I get why Amazon wants a city with a major airport (and one reason Pittsburgh seems like it is on the outside looking in), but I don't get why pre-existing Seattle-HQ2 flights matters that much

It's not that simple, cities and companies don't determine new routes - airlines do. And they take a long hard look at route viability - even with the addition of Amazon business pax - before launching. Small, non-hub markets make direct routes much more intricate and difficult. It's also connectivity beyond SEA - does your new hub have direct access (with departure options) to vendor sites and major office locations? Are you looking to expand to Europe? Pittsburgh, for example, does not even have a non-stop to LHR.

[3rd&Brown]

Originally Posted by Londonee

It's not that simple, cities and companies don't determine new routes - airlines do. And they take a long hard look at route viability - even with the addition of Amazon business pax - before launching. Small, non-hub markets make direct routes much more intricate and difficult. It's also connectivity beyond SEA - does your new hub have direct access (with departure options) to vendor sites and major office locations? Are you looking to expand to Europe? Pittsburgh, for example, does not even have a non-stop to LHR.

The more I think about it, the more I think it will come down to us or Atlanta.

I think we have more of what Amazon claims to want with respect to the RFP, but Atlanta has a long history at the crossroads of the logistics industry (the proclaimed focus of HQ2) as well as the HQ of UPS. Which would give Amazon a nice existing pool of related talent.

Granted, public transportation, though better developed in Atlanta, compared to say, Austin, is still severely lacking. And driving is a nightmare.

Everyone keeps on falling back on Boston as the obvious first contender but I just don't see it. Boston is sooo isolated compared to the rest of the NE Corridor. And although it is full of programming talent, it is really more of a life sciences city. Plus, it's already uber expensive. And facing the same issues as Seattle even pre-Amazon. I really think they're looking for a place that's not obnoxiously expensive yet so that their employees can get a reprieve from high cost of living.

[hammersklavier]

You know, we should be a bigger logistics player than we are. We're the crossroads of the Northeast ... there was a time when the overwhelming majority of traffic flows into or out of the region (from, say, the South or Midwest) ran through Philly. This is the place to be to set up a unified distribution network over the entire Northeast.

[Urbanthusiat]

Originally Posted by hammersklavier

You know, we should be a bigger logistics player than we are. We're the crossroads of the Northeast ... there was a time when the overwhelming majority of traffic flows into or out of the region (from, say, the South or Midwest) ran through Philly. This is the place to be to set up a unified distribution network over the entire Northeast.

It's already happening: CBRE Global and Emerging Logistics Hubs, 2015

The Eastern Pennsylvania region, anchored by Philadelphia but fuelled by the growth of the Lehigh Valley, is an example of a hub that has been transformed by this new technology. This mid-Atlantic location enjoys access to over 100 million people within a one-day drive, including key metropolitan areas such as New York, Washington, D.C., and Boston.

Two factors contribute to the growth of the Eastern Pennsylvania region and its position as a future global hub: it has easy access to the major East Coast ports in New Jersey, Pennsylvania and Maryland, which, combined, handle the second-most TEU volume in the U.S, and there is an abundance of well-located land suitable for the extra-large distribution centers favored in the retail supply chain. This market is the fastest growing in the U.S. and quickly becoming the main bulk distribution location in the Eastern U.S., analogous to the Inland Empire in California, an already significant global hub.

The source is slightly dated, but I believe this trend has only intensified in the meantime.

Port of Philadelphia sets monthly record in total tonnage, container throughput TEUs in August

The Port of Philadelphia (PhilaPort) handled a total of 667,069 metric tons of cargo and moved 54,185 twenty-foot equivalent units (TEUs) of container throughput and 109,604 metric tons of forest products during the month of August, all of which are records for a single month for the port.

The previous record for monthly tonnage was set in May 2017 with 625,935 metric tons handled, while the previous TEU monthly record of 50,152 was achieved in January.

According to PhilaPort CEO Jeff Theobald, the records were a result of the port’s highly-productive labor force, marine terminal operations, and an improved perception of the port as the reason the new records were set.

“As we continue to upgrade our infrastructure and improve our systems, the word is getting out,” Theobald said. “That’s why shippers are choosing PhilaPort as their preferred port.”

The port also noted that the total tonnage of the cargo inside its containers in August was 376,517 metric tons, also a monthly record for the port.

The productive month enabled PhilaPort to be a leader in growth rates among all northeastern U.S. ports, with supply chain professionals citing a rising awareness of the port, a growing number of distribution centers in the area, and congestion at neighboring ports as a reason for choosing PhilaPort in recent months.

“We are proud that we can increase cargo volumes while working on our Port Development Plan,” Greg Iannarelli, senior director of Business Development for PhilaPort, said. “Our goal is to minimize disruptions to customers while we construct the infrastructure necessary to improve the Port, and so far, we are achieving the goal.”

And all of this is happening even before...

Gov. Wolf pledges $300 million to revitalize the Philadelphia port, add cranes and warehouses for cargoes and autos

Logistics in Philly is taking off. By the end of the year, the Army Corps of Engineers will finish dredging the Delaware river down to 45 feet (which will allow even bigger ships to come), and a year later we'll be done with the port renovation. I think we're just taking off in that regard.

[Philly Fan]

Originally Posted by Urbanthusiat

It's already happening: CBRE Global and Emerging Logistics Hubs, 2015

Hey you! Seattle-based-Amazon looking for a city for HQ2! Take a hint:

[Jawnadelphia]

Originally Posted by mcgrath618

Why is the lighting scheme on FMC now only blue? I liked it better when it was technicolor

They change it up. See pink for October-Breast Cancer Awareness.
(ignore the purple-ish color here, that's due to my aging iphone, it really is pink-ish)

[MikeNigh]

Originally Posted by 3rd&Brown

The more I think about it, the more I think it will come down to us or Atlanta.

Even Houston has more downtown apartments than Atlanta. Atlanta needs to quit trying to sell itself as an urban city. It has an airport, that's it. They might as well choose Las Vegas if that's what they want.

[3rd&Brown]

Originally Posted by MikeNigh

Even Houston has more downtown apartments than Atlanta. Atlanta needs to quit trying to sell itself as an urban city. It has an airport, that's it. They might as well choose Las Vegas if that's what they want.

I don't disagree.

I just recently read an article about Amazon opening a logistics office in Atlanta, mostly to poach talent from UPS. It came up in my feed on LinkedIn via a friend who lived in Atlanta.

It is a tiny office in comparison to what is proposed in the RFP but it is related to the prescribed mission of HQ2. I got a pit in my stomach because it made me think that this might be a dog and pony show and the decision is already made.

I don't doubt that the decision is already made, but who knows where they're leaning. It's just that the article mentioned a million times that the new Amazon office was in MidTown Station in Atlanta, which is at the "nexus" of Atlanta's rail infrastructure, however pathetic it may be.

That got me thinking that Midtown Station in Atlanta ticks the same boxes as Schuykill Yards, but in a more disingenuous way, as literally almost nobody in Atlanta actually uses rail to commute to work.

But yeah. If they think Midtown Atlanta and Center City Philadelphia are similar, then yes, they might as well move to Vegas. If it comes to be that way, it was never serious in the first place.

Any change in Atlanta would require buy in from the suburban counties to fund rail expansion and rail expansion in Atlanta is super-racially charged, as the white suburbanites there associated commuter rail with urban ghettos and fight it tooth and nail.

[Milksteak]

Originally Posted by 3rd&Brown

I got a pit in my stomach because it made me think that this might be a dog and pony show and the decision is already made.

Honestly though, I've heard this about Chicago (due to Bezos' meetings with Emanuel), Boston (due to it's east coast location and talent pool, and the fact that they weren't playing hardball with tax incentives), and now Atlanta.

It may be a done deal, but if it isn't (and yes I am obviously a bit biased), I can think of numerous reasons why Philly is a better choice than the aforementioned 3 cities. Regardless of whether or not they are leaning one way or the other...they are going to hear Philly's pitch. We've been the 'underdog' for a century, and I think the rest of the country will be surprised at what we have to offer.

[iheartphilly]

If we lose Amazon HQ2, it will probably be due to high taxes and unions. Amazon HQ2 might go to the south for these reasons. Will see...

[JohnIII]

A classic mistake; in business, sports and in war is when we underestimate an opponent. I've had the good fortune of seeing all three. As a city we should do everything we can to get Amazon here to Philadelphia; not just for jobs, but because if we're successful it can be a catalyst; other international business which don't currently consider Philadelphia may feel heavily inclined to. Imagine the positive buzz in can cause.
Some day I would love to see Brazilian, Indian, and Chinese Corporations open North America headquarters here. Don't think about 2017 or 2018; let's get Amazon here and be prepared to build on it if it happens.

[1487]

Originally Posted by iheartphilly

If we lose Amazon HQ2, it will probably be due to high taxes and unions. Amazon HQ2 might go to the south for these reasons. Will see...

why would unions be an issue for a white collar employer? It's not amazon is looking to hire thousands of electricians.

[iheartphilly]

Originally Posted by 1487

why would unions be an issue for a white collar employer? It's not amazon is looking to hire thousands of electricians.

White collar jobs can and do unionize. That being said, the bulk of Amazon's jobs are at fulfillment centers.The idea has been floated out there for Amazon and if they do not want to deal that now or in the future, they might want to consider the south, right to work states. Just a thought...I'm sure there analysis will be deep and everything will be weighted.

[1487]

Originally Posted by iheartphilly

White collar jobs can and do unionize. That being said, the bulk of Amazon's jobs are at fulfillment centers.The idea has been floated out there for Amazon and if they do not want to deal that now or in the future, they might want to consider the south, right to work states. Just a thought...I'm sure there analysis will be deep and everything will be weighted.

because of their business model they have no choice but to have regional warehouses- they just try to locate them were labor and land costs are reasonable. There is very little white collar unionization in the US anymore- really outside of government it's almost non-existent.

[jsbrook]

Originally Posted by iheartphilly

White collar jobs can and do unionize. That being said, the bulk of Amazon's jobs are at fulfillment centers.The idea has been floated out there for Amazon and if they do not want to deal that now or in the future, they might want to consider the south, right to work states. Just a thought...I'm sure there analysis will be deep and everything will be weighted.

I've done work for Amazon and been to many of these fulfillment centers. Efforts to unionize haven't been successful. Regardless, I'm not seeing how location of the corporate headquarters will have much impact on unionization efforts at fulfillment centers across the nation.