Tuesday, July 15, 2014

Minority Business Owners Push for Access, Opportunity, and Accountability

Coalition Vows Push for Minority Business Gains

By Bill Dries


For decades, goals and percentages have been set for minority business participation in city and county governments.
Both governments have compliance offices. Elected officials look at percentages and ask questions about participation on particular projects.
A coalition of business leaders have announced they will push for more minority business participation in not only local government contracts but private business contracts. 
(Daily News/Andrew J. Breig)
But a new coalition of business leaders announced Tuesday, June 10, that they plan to make the issue more of a political priority.
“We come in peace,” said Darrell Cobbins, president and CEO of Universal Commercial LLC. “But we also come in purpose.”
Cobbins and a group of 100 business and political leaders gathered in the lobby of the National Civil Rights Museum to say they intend to push beyond studies and systems to monitor progress to grow minority business participation in city and county government contracts and in private-sector contracts as well.
“We’re at a breaking point. … We’re not coming here with our hands out. We’re not asking for handouts,” said Ron Redwing, president of 100 Black Men of Memphis. “The people who’ve joined in this are people who are doing well. We’re saying as we move forward, the gap is way too large. We cannot and will not accept mediocrity or non-action as we move forward.”
Cobbins said such economic development is about building a larger middle class in Memphis.
“I think it’s more than reasonable to participate in the economic activity and prosperity of this community,” Cobbins said. “This group intentionally has no name. It has no tagline. It has not catchphrase because we are Memphians. … We believe in Memphis and all of its ideals and aspirations.”
The coalition is part of an ongoing reaction to the issue of minority contracts with Shelby County government that the Shelby County Commission debated in May.
The debate included Commissioner Henri Brooks berating a Hispanic businessman for comparing his status in Memphis as a minority to that of African-Americans.
The exchange between Brooks and Pablo Pereyra got most of the attention. But within a week, Mauricio Calvo, the director of Latino Memphis, and Keith Norman, the president of the Memphis branch NAACP, said the larger issue is the share of county contracts that minority business owners as a whole are getting.
That, in turn, prompted Cobbins to begin working toward the coalition via a Facebook-fueled discussion. Cobbins and others in the effort want to develop a plan of action that rises above the technical aspects of monitoring minority business to get at political will – in the business sector as well as the political arena.
“The next step is to understand the issue,” Cobbins said. “Our next step is to begin to sit down with the leaders who can impact the issue across the community … and beginning the process of really digging beneath the surface of the disparity studies to really understand what are the logjams.”
Redwing said the goal is to “spotlight these disparities in a way that brings about swift and significant change.”
“Twenty years later, we are still having this conversation,” Redwing said.
The 1994 disparity study that documented a disparity in contracts with minority-owned businesses was a necessary step for local governments to maintain goals for minority business in the wake of a landmark 1989 U.S. Supreme Court ruling involving the use of minority set-asides by the city of Richmond, Va., in awarding government contracts.
The court ruled the preference for minority-owned businesses was unconstitutional and that Richmond leaders did not identify the need for remedial action.
The disparity study was a way of identifying the need by confirming a disparity.
And Redwing was adamant that more studies documenting the disparity are not what the coalition has in mind.
“This is not about programs. This is not about studies. This is about having the will,” he said. “We don’t need any studies. There are no studies needed or wanted here. We’ve been bogged down for too long in the practice of paying consultants a heckuva lot of money to tell us what we already know.”

Universal Represents Gestalt Community Schools in Major Facility Lease

Gestalt Schools Signs Lease in Hickory Hill

By Amos Maki

A charter school operator has inked a lease for space on Winchester Road in Hickory Hill.
Gestalt Community Schools has leased 57,000 square feet of space at 5360 Winchester Road inside the Mendenhall Square shopping center.
Shelby County Schools previously leased the space for a school and some administrative offices. The expiring lease presented a perfect opportunity for Gestalt.
“It’s a space that had previously been occupied by Shelby County Schools and as they sought to reduce their footprint that lease was expiring and fortunately we became aware of that and we were able to put a deal together in a short period of time,” said Darrell Cobbins of Universal Commercial Real Estate, who represented Gestalt. “As they grow, their needs become vast and there aren’t a lot of spaces ready for their needs. It was fortuitous for all parties.”
Gestalt opened the Power Center Academy charter school in Hickory Hill in 2008. Gestalt also operates Humes Preparatory Academy and Klondike Preparatory Academy in North Memphis as part of the state-run Achievement School District and is planning to open a school as part of the Sears Crosstown redevelopment project.
Stan Myers and Morris Thomas represented landlord Belz Enterprises.

Universal represents Memphis Area Legal Services in Falls Building Lease

MALS leases top floor of Falls Building in Downtown Memphis


Memphis Area Legal Services Inc. has leased the long-vacant top floor of the 11-story Falls Building in Downtown Memphis.
MALS will move to the 13,473-square-foot 11th floor of the historic building at 22 N. Front St. – a space law firm Martin Tate Morrow &  Marston left in 2004 – beginning July 1.
The 45-employee firm, which provides various legal assistance for people at or below the poverty line, will relocate from a 15,224-square-foot space on two floors
of the Claridge House at 109 N. Main in Downtown.
MALS' lease for the space, not all usable, expires at the end of July. SunTrust Bankforeclosed on the property, which it now owns and manages, a number of years ago.
The 150,853-square-foot Falls Building's owner, Hertz Investment Group LLC, is about to pull permits for a renovation to meet its new tenant's needs, said MALS executive director and CEO Harrison McIver III. Those needs include a redesigned entrance, a separate entrance for its fair housing group and adjustments to the sizes of some of the offices.
The construction should take about 10 weeks, McIver said.
MALS signed a 16-year lease with Santa Monica, Calif.-based Hertz, which bought the building – then nearly 70 percent occupied – in 2012 as part of a  larger, $147.5 million portfolio acquisition.
MALS began looking for space at about the same time Pinnacle Airlines Corp. left Downtown in 2013. 
"This is condo space," he said of the Claridge House. "So we either had to purchase space or look elsewhere."
But leaving Downtown was never an option, although many law firms have, now that legal documents can be filed online instead of at the courthouse, McIver said. After looking at a number of locations, including One Commerce Square and One Memphis Place, MALS chose the Falls Building, which he said was "just a good fit for us at this point."
He declined to disclose term details, but did say "they gave us a very good deal."
"It was a pretty intense negotiation," he said. "We didn't get everything we wanted, but we got a lot."
Gray Fiser and Alex Stringfellow, both of CBRE Memphis' Downtown office, represented the landlord. Darrell Cobbins, president and principal broker of Universal Commercial Real Estate, represented the tenant.
Ryan Poe covers commercial real estate; transportation and logistics; construction; and Downtown Memphis. Contact him at rpoe@bizjournals.com.

Darrell Cobbins Selected for Leadership Tennessee's Class II

Lipscomb University’s Nelson and Sue Andrews Institute for Civic Leadership today announced the 2014-15 class for Leadership Tennessee, leadership education program designed to cultivate a network of business, nonprofit, education and government leaders who are committed to addressing the state’s challenges and opportunities, the class includes 31 members from across Tennessee.
State Capitol “By bringing together top leaders in the business, education, health care and the nonprofit arenas, Leadership Tennessee introduces participants to different perspectives while also helping them understand the collaborative nature of conversation and action that will continue to move our state ahead,” said Cathy Cate, executive director of Leadership Tennessee and director of community leadership programs for the Andrews Institute.
Leadership Tennessee is a 10-month program that provides collaborative learning and dialogue spanning the state’s three grand divisions, issue-specific education for demonstrated leaders, a diverse representation of participants and opportunities to affect change. It will meet several times as a group in addition to participating in other activities, research and projects throughout the program.
The program was launched in August 2013. Tennessee Governor Bill Haslam said he believes the program is beneficial to the state.
“I strongly believe that this experience will help the participants personally and will help make our state stronger,” he said. “When we learn more about other parts of the state, we understand issues more fully and can make more collaborative, informed decisions. I also appreciate the thought leadership of this group. This is a great program for Tennessee.”
The inaugural class focused on three main issues—education, government efficiency and health and wellness. During the course of the program, the group produced a plan of action designed to impact the entire state, as well as each region. The program took participants to Chattanooga, Memphis and Knoxville among other locations in Tennessee. The 2014-15 Leadership Tennessee class will also meet throughout the state and examine important issues facing Tennessee. The class will begin the program with a retreat in August.
“One of the biggest benefits to me has been learning about other areas of the state,” said Nashville Mayor Karl Dean, a member of the inaugural Leadership Tennessee class. “I have also met a great group of leaders from across Tennessee and the relationships we are building are very valuable. Leadership Tennessee has broadened my horizons and has helped me fully realize what a great state we live in.”
J. Laurens Tullock, president of Cornerstone Foundation of Knoxville, agrees.
“It has been an incredible opportunity to meet folks from across the state,” said Tullock. “We’ve gotten to see places across the state in new ways. It’s great that is was more than just networking through the projects we worked on. This really has the opportunity to be meaningful long term.”
Finding common ground has been another benefit for participants in the first class.
“We are getting acquainted over the issues that are common to us across the state,” said Blair Taylor, president of Memphis Tomorrow. “This program raises awareness and plugs us in to what is going on across the state. It helps us leverage our opportunities better. This program is a great way to help us to that.”
Members of the 2014-15 Leadership Tennessee class
Chattanooga: Sarah Morgan, president, Benwood Foundation
Collierville: Carolyn Chism Hardy, CEO, Chism Hardy Investments LLC
Greeneville: Nancy B. Moody, president, Tusculum College
Knoxville: Doug Banister, pastor, All Souls Church; Joan Cronan, women’s athletic director emeritus, University of Tennessee; Joe DiPietro, president, University of Tennessee; Carol Evans, executive director, Legacy Parks Foundation; Jim McIntyre, superintendent, Knox County Schools; Madeline Rogero, mayor, City of Knoxville
Memphis: Calvin Anderson, senior vice president of corporate affairs, BlueCross BlueShield Tennessee; Darrell Cobbins, president/principal broker, Universal Commercial Real Estate; Dorothy Gunther Pugh, CEO/founding artistic director, Ballet Memphis; Teresa Sloyan, executive director, Hyde Family Foundations; Michael Ugwueke, president/COO, Methodist Le Bonheur Healthcare; AC Wharton, mayor, City of Memphis
Nashville: Charles Robert Bone, Bone McAllester Norton PLLC; Bo Campbell, attorney, Waller Lansden Dortch & Davis LLP; Mark Cate, chief of staff to the governor, State of Tennessee; Jen Cole, executive director, Metro Nashville Arts Commission; Jaynee Day, president/CEO, Second Harvest Food Bank of Middle Tennessee; Jose Gonzalez, finance director/instructor of management and entrepreneurship, Conexion Americas/Belmont University; Tre Hargett, secretary of state, State of Tennessee; Beth Harwell, speaker of the House, Tennessee General Assembly; Henry Hicks, president/CEO, The NMAAM (Nashville Museum of African American Music); Bob Higgins, president/CEO, Barge Waggoner Sumner and Cannon; John Lowry, vice president of external affairs, Lipscomb University; Robert J. Martineau Jr., commissioner, Tennessee Department of Environment and Conservation; Joelle Phillips, president, AT&T Tennessee; Michael Skipper, executive director, Nashville Area MPO; Remziya Suleyman, director of policy and administration, American Center for Outreach
Pulaski: Ted Brown, president, Martin Methodist College
For more information about Leadership Tennessee visit www.leadershiptennessee.org or contact Cate at 615.966.5180 catherine.cate@lipscomb.edu.
About the Andrews Institute for Civic Leadership: Founded in October 2010 to build on the legacy of Nashville leader Nelson Andrews, the Nelson and Sue Andrews Institute for Civic Leadership engages current and emerging leaders in academic and community programs to create thriving communities. These include a master’s in civic leadership, one of only two in the nation; Citizen Leadership Academies and customized leadership classes serving organizations, counties and cities statewide. The institute’s newest initiative is Leadership Tennessee, the only statewide leadership education program in Tennessee created to cultivate a network of business, nonprofit, education and government leaders committed to addressing the state’s challenges and opportunities.

Universal Commercial President Listed Among Business Who's Who?

Universal Commercial President Darrell Cobbins has been honored with a fourth consecutive selection to the annual Memphis Business Quarterly's "Power Players" list.  This distinction is afforded to those business leaders recognized at the top of their field in Memphis & Shelby County.