Day: September 11, 2018

SPRINGFIELD — The Springfield Performing Arts Development Corp. (SPADC) said Monday it will no longer manage CityStage and Symphony Hall after its contracts expire at the end of 2018.

“It is with great sadness, but also with a sense of accomplishment, we share the news that Springfield Performing Arts Development Corp. will cease operations at CityStage and Symphony Hall at the end of 2018 after a successful run in bringing entertainment to downtown Springfield for the past 20 years,” the organization posted on its website. “We are gratified to have played a role in bringing thousands of people to enjoy a diverse offering of high-quality entertainment at CityStage and Symphony Hall. Downtown entertainment is evolving, and we are proud of the contributions we have made in making the city an entertainment destination again.”

The city of Springfield contracts for management of Symphony Hall, and the Springfield Parking Authority contracts for management of CityStage. Both entities are expected to discuss new requests for proposals for the two venues.

MGM Springfield, which currently manages the MassMutual Center, could be an option to manage Symphony Hall and CityStage. MGM is currently obligated by its host-community agreement with the city of Springfield to book and underwrite at least three shows a year at the two venues.

“Entertainment is a key component of the revitalization of downtown Springfield and the continued attraction of new visitors,” Talia Spera, executive director of entertainment at MGM Springfield, said in a news release Monday. “MGM Springfield will continue our conversations with the city leaders regarding the future of CityStage and Symphony Hall with the intent of supporting future dynamic performances in those venues.”

SPADC noted that its decision will not affect its scheduled entertainment offerings this fall.

“Thank you for being a part of this amazing run,” the announcement continued. “We will keep you updated on future management of CityStage and Symphony Hall. We expect that a new entity will be identified to manage the venues starting in early 2019.”

SPRINGFIELD — The ownership of Eastfield Mall in Springfield has appointed commercial real-estate-services firm Cushman & Wakefield to market a joint-venture partnership opportunity for the property’s mixed-use redevelopment. The 776,977-square-foot, enclosed regional shopping center sits on nearly 87 acres, providing scope and flexible zoning for a range of next-generation options.

Eastfield Mall is currently 74% leased, with in-place net operating income offering interim cash flow while a redevelopment plan is put in place. Major tenants include Cinemark, Old Navy, Hannoush Jewelers, Ninety-Nine Restaurant & Pub, and Donovan’s Irish Pub, along with a non-owned Sears box that accounts for 254,446 square feet. The mall benefits from strong real-estate fundamentals, boasting a location along heavily trafficked Route 20 and access to downtown Springfield, the Massachusetts Turnpike, and interstates 291 and 91. 

“We are working to identify a regional developer or investor interested in being part of Eastfield Mall’s bright future,” said Brian Whitmer, a member of the Cushman & Wakefield team serving as exclusive agent for the mall’s owner, Mountain Development Corp. “Springfield is in the midst of an economic revival, with substantial recent public and private investment headlined by the construction of the $960 million MGM casino, the $95 million redevelopment of historic Union Station, and the newly opened New Haven-Hartford-Springfield commuter rail line, among other developments. Eastfield Mall presents exceptional positioning for catering to growing unmet demand for lifestyle retail and new housing product.”

Whitmer noted that Eastfield Mall is well suited to become a mixed-use complex featuring a live-work-play atmosphere. “We expect this offering will attract an impressive level of interest from a diverse group of investors,” he said. “This is truly a distinctive opportunity given the many factors that support a successful repurposing.”

That sentiment was echoed by Springfield Mayor Domenic Sarno. “Malls all throughout our country are reinventing and redefining themselves to be more multifaceted,” he said. “My chief Development officer, Kevin Kennedy, and I will continue to assist our Eastfield Mall to restore the glory of the past toward a successful and diverse future.”

The Cushman & Wakefield investment sales and retail specialists heading the Eastfield Mall assignment span two Cushman & Wakefield offices. They include Whitmer, Andrew Merin, David Bernhaut, Seth Pollack, and Kubby Tischler in East Rutherford, N.J.; and Peter Joseph, Brian Barnett, Steffen Panzone, Pete Rogers, and Ross Fishman in Boston.

SPRINGFIELD — As the legalization of marijuana continues to roll out in Massachusetts, attorneys at Bulkley Richardson saw an opportunity to meet the unique needs of businesses within the cannabis industry. The firm assembled a group of cross-disciplinary lawyers to form a cannabis practice group.

To help launch this new practice, Bulkley Richardson will sponsor the upcoming cannabis conference, “That Cannabis Show,” at the MassMutual Center on Saturday and Sunday, Sept. 15-16. The firm’s panel will discuss from a legal perspective how cannabis is both like and unlike any other business in Massachusetts.

The Cannabis Group is led by attorneys Scott Foster, chair of the business and finance group and co-founder of Valley Venture Mentors (VVM), and Andy Levchuk, chair of the cybersecurity group and a 24-year veteran of the Department of Justice. The group also includes Ron Weiss, Kathy Bernardo, Mary Jo Kennedy, Sarah Willey, and Ryan Barry.

“When doing business in a highly regulated industry, a rapidly changing legal landscape exists that requires a team of attorneys to collaborate across practice areas,” Foster said. “Bulkley Richardson understands the unique legal needs of cannabis businesses operating in Massachusetts and has developed a comprehensive practice group to specifically meet the many challenges within the cannabis industry.”

BOSTON — Massachusetts employers were equally confident about the national and state economies during August, breaking an eight-and-a-half-year run in which they were more bullish about the Commonwealth than the nation as a whole.

The brightening view of the U.S. economy boosted overall business confidence as employers headed for the end of the third quarter. The Associated Industries of Massachusetts (AIM) Business Confidence Index gained two points to 63.2 last month after tumbling more than five points during June and July. The gain left the Index two points higher than a year ago, comfortably within optimistic territory.

Raymond Torto, chair of AIM’s Board of Economic Advisors (BEA) and lecturer at Harvard Graduate School of Design, said the last time employers were more optimistic about the national economy than the state was during the nadir of the Great Recession in May 2009, when the AIM Massachusetts Index was 33.1 and the U.S. Index was 34.4.

“The confluence of opinion reflects gathering optimism about the U.S. economy rather than any weakness in the Massachusetts business climate,” Torto said. “The Massachusetts Index rose 1.5 points during the year, but the U.S. Index soared 4.5 points during that same period.”

The optimism about national prospects came despite persistent concerns about rising production costs generated by tariffs and other factors.

The AIM Index, based on a survey of Massachusetts employers, has appeared monthly since July 1991. It is calculated on a 100-point scale, with 50 as neutral; a reading above 50 is positive, while below 50 is negative. The Index reached its historic high of 68.5 on two occasions in 1997-98, and its all-time low of 33.3 in February 2009. It has remained above 50 since October 2013.

The constituent indicators that make up the overall Business Confidence Index were largely higher during August.

The Company Index measuring employer assessments of their own operations rose 2.4 points to 62.1, up 1.2 points from August 2017. The Employment Index gained 2.4 points to end the month at 57.0, while the Sales Index lost 0.8 points to 61.0.

The Current Index, which assesses overall business conditions at the time of the survey, rose 2.5 points to 66.1, leaving it 4.8 points higher than the year earlier. The Future Index, measuring expectations for six months out, rose 1.5 points during August, but remained down 1.0 point for the year.

Non-manufacturing companies (63.6) were slightly more optimistic than manufacturers (62.8). Companies in the eastern part of Massachusetts (65.2) were more bullish than those in the west (60.8).

“All of these numbers are well within optimistic range and reflect the views of employers operating in a state economy that grew at a 7.3% annual rate during the second quarter. The acceleration in economic growth underscored strong gains in employment, earnings, and consumer and business spending,” said Elliot Winer, chief economist with Winer Economic Consulting, LLC, and a BEA member. “Underlying economic strength is, for the moment, overshadowing a somewhat unpredictable public-policy environment.”

AIM President and CEO Richard Lord, also BEA member, said employers are driving a Massachusetts economy that remains historically strong.

“The state unemployment rate remains at 3.5%, wage and salary income surged 19.2% during the second quarter, and economic output has accelerated,” Lord said. He cautioned, however, that the escalating series of tariffs and retaliatory tariffs among the U.S. and its trading partners are starting to take a toll on Massachusetts employers.

“The thousands of member employers of Associated Industries of Massachusetts are increasingly concerned about the negative effect of current and proposed tariffs on Massachusetts companies. Particularly alarming are tariffs on raw materials, components, and finished goods coming from China,” he noted. “While we concur with the need to address China’s unfair trade practices, we do not believe that tariffs are the best strategy. Tariffs are already hurting our companies here in Massachusetts, and additional damage is anticipated by business owners and leaders.”