Header image: The $22M mixed-use, new construction Blackstone Corner building caddy-corner to Cottonwood Hotel in the revitalized Blackstone District includes 112 luxury apartments and 12,000 SF of commercial space. Image credit: GreenSlate Development
Hanley Investment Group sells Topgolf Omaha
Hanley Investment Group Real Estate Advisors has successfully orchestrated the sale of a property occupied by Topgolf Omaha for a staggering $7.7 million. This landmark transaction represents a significant milestone as it marks the first and only location for Topgolf in Nebraska.
Situated at 908 N. 102nd St., the property enjoys a prime location adjacent to prominent establishments such as Chipotle Mexican Grill, X-Golf, and a forthcoming nine-acre mixed-use development. The state-of-the-art Topgolf building, spanning 24,496 square feet, was meticulously constructed in 2020, embodying modernity and functionality.
Boasting an array of amenities, the Omaha Topgolf facility offers 72 climate-controlled hitting bays, a full-service restaurant, multiple bars, private event spaces, a rooftop terrace, and over 200 HDTVs, ensuring an unparalleled entertainment experience for patrons.
Jeff Lefko and Bill Asher of Hanley Investment Group played instrumental roles in the transaction, representing the seller and developer, a private investor hailing from Omaha. On the other side of the deal, Ashish Wadhwani of Wadhwani Holdings acted on behalf of the buyer, a private investor based in the metropolitan area of Houston.
The sale of this iconic property underscores Hanley Investment Group's commitment to facilitating lucrative real estate transactions that not only maximize value for clients but also contribute to the growth and development of vibrant communities.
For more information on this transaction and future opportunities, stay tuned for updates from Hanley Investment Group Real Estate Advisors.
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Image credit: Topgolf
Nebraska Medicine breaks ground on $33 million Kearney Cancer Center
Jim Francois promoted to Project Director at McCarthy Building Companies
McCarthy Building Companies, Inc. has promoted Jim Francois to the position of Project Director, based in the company’s Omaha office.
In his new role, Francois leads onsite construction teams on a wide range of McCarthy building projects spanning the healthcare, education and science & technology sectors.
Since joining McCarthy as a project manager in 2018, Francois has overseen numerous building expansion and renovation assignments across the region. His recent project leadership experience includes the Elliott Equipment Company headquarters and manufacturing facility, the new Buena Vista High School and Beveridge Middle School for Omaha Public Schools, the CHI Health Infusion Lab and Nebraska Medical Center’s Olson Center for Women’s Health renovation.
Francois’ current projects include the Durham Science Center and Roskens Hall STEM TRAIL Center renovation at the University of Nebraska Omaha, and the new Administration Tower and parking garage at the University of Nebraska Medical Center.
“Jim is a highly skilled project leader with a strong track record of building trusting relationships with team members while delivering exceptional construction outcomes,” said McCarthy senior vice president and business unit leader Ryan Sawall.
Francois earned a Bachelor’s Degree in Construction Engineering Technology from the University of Nebraska at Omaha.
An active community supporter, his recent volunteer activities include leading a blood drive in McCarthy’s Omaha office for the American Heart Association and participating in the “Pedal the Cause” event to support cancer research.
Clark & Enerson opens new office in Aksarben Village
In response to its growing client base in the Omaha metro, multidisciplinary architect firm Clark & Enersen has opened a new office in Aksarben Village.
With a 76-year tradition of design excellence, the firm offers in-house services in architecture, landscape architecture, laboratory planning, interior design; mechanical, electrical, structural, and civil engineering; as well as commissioning, community and stakeholder engagement, construction administration, energy modeling, grant assistance, laboratory planning and land development.
“We are excited to open an office in Omaha to support our clients in and around the Omaha metro,” said Shawn Diederich, PE, LEED AP, WELL AP, who is a senior principal and serves as chairman of the board at Clark & Enersen. “Our firm has a long history of design in Omaha and we look forward to strengthening our connection with the community.”
The firm’s diverse portfolio includes work for higher education, PK-12, science and technology, athletics and recreation, libraries, healthcare, corporate and commercial and civic/government entities.
“The decision to open an office in Omaha was a logical step for our firm,” said Steve Miller, a director of business development for Clark & Enersen. “The area is rich with talented individuals from around Nebraska and the Midwest. We have the opportunity to further expand our reach, add employees who want to live and work in Omaha, and continue to provide top-tier service to our existing clients in the metro area.”
Clark & Enersen’s most recent work in the Omaha area includes the design of multiple buildings on the Farm Credit Services of America corporate campus, the new Union Bank & Trust building, the University of Nebraska Medical Center’s Davis Global Center for Advanced Interprofessional Learning, renovations to the University of Nebraska – Omaha Durham Hall of Science and University of Nebraska Medical Center Williams Hall, and multiple projects for Merck Animal Health.
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About Clark & Enersen: Clark & Enersen is a leading, full-service design firm serving clients across the nation from its offices in Lincoln and Omaha, Nebraska; Kansas City, Missouri; Fairway, Kansas; Fort Collins, Colorado; and Portland, Oregon. Founded in 1946, they offer a comprehensive in-house team with design professionals in the primary disciplines of architecture, interior design, landscape architecture, planning, and mechanical, electrical, structural, and civil engineering as well as experts in commissioning, community and stakeholder engagement, construction administration, energy modeling, grant assistance, laboratory planning, and land development. Interested in joining the team? Check out the Careers on their website!
McCarthy promotes Felton and Montgomery
McCarthy Building Companies, Inc. has promoted Ryan Felton to vice president of operations and Kris Montgomery to project director in the company’s Omaha office.
Felton will manage the operational aspects of McCarthy project work throughout Nebraska and western Iowa and join the leadership team that oversees McCarthy’s 28-state Central Region.
Since joining McCarthy’s Omaha office as project manager in 2007, Felton has led and managed more than 50 active and completed projects, with a total construction value of more than $1 billion. He led the construction team on the $350 million Mercy Joplin Replacement Hospital after an EF-5 tornado demolished the original facility.
Other career highlights included serving as a project leader on the $250 million Generation Patient program, which encompassed all five campuses of Alegent Health (now CHI Health). Felton has also been instrumental in helping to expand the breadth of McCarthy’s project work across Nebraska and western Iowa.
A Nebraska native, Felton earned a bachelor’s degree in construction management from the University of Nebraska–Lincoln. He is a LEED Green Associate and an active member in the American Society of Healthcare Engineers (ASHE), Nebraska Society of Health Care Engineering (NSHE) and Design-Build Institute of America (DBIA).
Montgomery, who has been promoted to project director, will assume project leadership responsibilities on several Nebraska projects.
He joined McCarthy as a project engineer in 2007 and has overseen more than $1.38 billion of healthcare construction projects. Most recently, he managed construction of the Omaha VA Ambulatory Care Center, which opened ahead of schedule and under budget in summer 2020. He previously served as a project superintendent on the New Orleans VA Medical Center, a nine-building new campus that replaced critical medical infrastructure damaged by Hurricane Katrina.
Montgomery earned a construction management degree from Illinois State University in Normal, Ill. His volunteer activities include the ACE Mentor Program of Greater Omaha, Greater Omaha Chamber of Commerce REACH Beyond Mentoring program, the Construction Advisory Committee at Metropolitan Community College and the Wayne State Center for Applied Technology Advisory Board. He also serves as an adjunct professor for the Construction Management program at Wayne State College.
“Both Ryan and Kris are exceptional project leaders and have been key contributors to McCarthy’s growing success in Nebraska,” said Ryan Sawall, senior vice president and business unit leader at McCarthy Building Companies.
Marking its 20th anniversary in Nebraska in 2021, McCarthy’s Omaha team has completed more than $1 billion in construction projects across Nebraska and western Iowa. The company has expertise in building the most complex facilities across diverse markets, including healthcare, K-12, higher education, advanced technology and manufacturing, and commercial.
Having recently completed the $86 million, 57,000-sq-ft. Omaha VA Ambulatory Care Center, McCarthy’s current local projects include a $70 million new high school and $48 million new middle school for Omaha Public Schools, $23.7 million developer-led Marriott Tribute Hotel (Scarlet Hotel) on the Nebraska Innovation Campus, $25.6 million University of Nebraska Omaha Durham Science Center renovation and several advanced technology and manufacturing projects.
Striving for collaboration
The term “design build” evokes thoughts of collaboration. Although collaboration is an aspiration, it often does not happen among design-build teams.
Gregg Schoppman, principal with FMI, a management consulting and investment banking firm specializing in the engineering and construction industry, discussed the elements of successful collaboration and what inhibits it at a recent in person and virtual breakfast meeting hosted by the Nebraska chapter of DBIA-MAR.
Because making music is one of the greatest forms of collaboration, Schoppman studies rock bands to see what makes them successful. The Rolling Stones have a long and storied history and still are making music even though Mick Jagger and Keith Richards argue a lot and often don’t see eye to eye.
“But what they do is they air those grievances, they put their mind, body and soul into whatever music they’re doing, and more importantly, they’re successful,” Schoppman said.
Schoppman said bands are like any relationship, including project teams. It’s not always harmonious. But, that’s okay.
“The reality is, conflict is okay. We have to be able to challenge each other and say I don’t think that will work and this is the reason why. The Rolling Stones were famous for that,” said Schoppman.
When project teams do not unite for a common goal and truly collaborate, they become dysfunctional. Schoppman identified some of the factors which lead to dysfunction.
One factor is misaligned rewards. Do organizations pay people for one set of behaviors, telling them to go out and be team players, work hard together, but base compensation on how each team member individually performs?
“Now, that doesn’t necessarily mean that . . . we should pay people out of one big black box, meaning if the company does well, we all do well. . . . . There’s some happy medium to incentivize collaboration and get the best out of everybody,” he said.
Misguided ethics also hampers collaboration. What does the company stand for? Companies spend a lot of time and energy creating a strategic plan, but often they don’t effectively communicate the company’s vision, mission and core values, Schoppman said.
Individual egos also impede collaboration.
“When you think about how many egotistical decisions are made in our business, not because they’re the right thing for our business, but they’re the right thing for what I think, for me, is that driving the right behaviors? Is that driving true collaboration,” said Schoppman.
Poor communication is another impediment to collaboration. Schoppman said that engineering schools do not teach communication skills, yet good communication skills is the number one trait the design build industry seeks in its project managers and superintendents.
“It is hard to put our hands on this concept of great communication. But, we have to get to the root of it which is, do we listen appropriately, do we communicate with a message or do we try to send text messages when probably face to face would be more appropriate,” said Schoppman.
Organizations first need to decide what they want to be and where they want go. Once that structure is in place, then find the right people to fill the roles.
“The moral of this discussion is look inward for a moment at your own company. Think about how your company is set up. Do your processes enable bad behavior,” Schoppman said.
Schoppman has researched what makes great teams. He cited an experiment by William Muir, a biologist at Purdue University, who studied the egg producing capability of two groups of chickens. One was a group of “super chickens” who were highly prolific egg layers, and the other, a group of ordinary chickens. In the normal chicken population, egg production increased by 160%. In the super chicken population, all but three died due to over aggressiveness and pecking. They literally killed each other.
“Assembling the best and the brightest doesn’t always get you what you thought. . . . But, initiative, fire in the belly, passion, those are different than what we would call these super chickens that are simply in it for themselves,” Schoppman said.
Schoppman said successful teams must have trust and empathy. Leaders must provide constructive feedback to reinforce positive behaviors and correct undesirable behavior. And, there must be accountability.
“This concept of collaboration is not new. It is not simple. . . . It takes conscious, deliberate modification to do it,” he said.
Northpoint Recovery rehab center reno underway
CBRE and JE Dunn Construction recently began renovations at 72nd and Ontario in Omaha, Neb. for a new drug and alcohol rehabilitation center owned by Northpoint Recovery.
Designed by Holland Basham Architects, this 20,000-SF facility will offer 44 beds for inpatient drug and alcohol treatment, significantly expanding options for these services in the Omaha area.
Northpoint Recovery (http://www.northpointrecovery.com [northpointrecovery.com]) is based in Meridian, Idaho, and offers personalized drug and alcohol rehab programs at several locations nationwide.
In addition to this inpatient service, Northpoint will also provide mental health and substance use disorder outpatient services for adults and adolescents in Omaha, locations yet to be determined.
Banks see ups and downs during pandemic
Construction forecast remains cloudy post-pandemic
In January 2021, ONYX Automotive became the first business to launch operations on the 500-acre redevelopment site poised to become a mecca of office, housing and entertainment venues. Under construction are office campuses for Applied Underwriters, Valmont Industries and The Carson Group. Developers expect the property value of the overall site, bounded generally by 144th, 153rd and Pine Streets and West Dodge Road, to rise by more than $1 billion when completed over the next 10+ years.
Rendering credit: SB ARCHITECTS
Amazon expands into Nebraska, breaks ground in Papillion
Amazon is bringing its newest robotic fulfillment center location, along with 1,000 jobs, to the Omaha suburb of Papillion, Nebr.
“We are thrilled to be opening our first fulfillment center in the great state of Nebraska and bringing 1,000 full-time jobs with industry-leading pay and benefits to Omaha,” said Alicia Boler Davis, vice president of Global Customer Fulfillment at Amazon.
Ryan Companies, the project’s developer and builder, began the new construction project last month (October 2020); the project is expected to be complete in mid-late 2021.
“Amazon leverages its scale for good and makes investments to support communities. We appreciate the strong support from local and state leaders throughout the process, and we look forward to supporting the Nebraska community with great delivery options,” Davis said.
“Amazon has invested more than $96 million into Nebraska since 2010. Exciting things are definitely ahead, and we are grateful to the many, many individuals who worked together to make today happen. We are beyond enthusiastic about the many great opportunities Amazon’s growing presence in Sarpy County offers,” said Andrew Rainbolt, executive director at Sarpy County Economic Development Corporation.
Economists at the Greater Omaha Chamber evaluated the economic impact of the proposed site, noting the 1,000 jobs catalyzed by the project would help support an additional 603 workers in the community, according to an IMPLAN Trade / Flow analysis of the seven Eastern Nebraska counties served by the Greater Omaha Economic Development Partnership.
Additional analysis of the project suggested the facility, when fully operational, will add $203.9 million to the local economy each year.
“It’s no coincidence why Amazon chose Greater Omaha, and Sarpy County specifically. This is a region that works together and aspires to more,” said David G. Brown, president and CEO, Greater Omaha Chamber.
Papillion Mayor David Black said many hands made Amazon’s decision to build their newest robotic-fulfillment center in Papillion possible, not the least of which was the city and surrounding area’s ability to meet both the rigorous demands of the facility’s build-out, as well as satisfy Amazon’s need for highly-skilled workers.
“We are proud of the spirit of collaboration that brings new business to our community; and, we are equally proud of the talented workforce we have at our disposal to fill the technical positions Amazon provides,” Mayor Black said.
Nebraska Governor Pete Ricketts echoed Mayor Black’s remarks.
“Today’s announcement by Amazon is exciting news for Nebraska. Our state’s wonderful people and welcoming communities continue to attract major investments to the Good Life. Winning the project demonstrates our state’s resilience and economic vitality despite challenges,” Ricketts said.
“Sarpy County is the fastest-growing county in the state, and that doesn’t happen by accident. It’s a team effort that requires commitment from the state, the county and the economic development community. We’re proud to partner with Amazon and so many great organizations to bring Amazon’s newest robotic fulfillment center to Sarpy County,” said Sarpy County commissioner Don Kelly.
McCarthy moves into new Nebraska headquarters
McCarthy Building Companies, Inc. has moved into its newly constructed office building and warehouse that serves as the national construction company’s new Nebraska headquarters.
The 15,000 SF industrial-flex office development includes a single-story office building, warehouse and adjacent construction yard. It was developed by McCarthy and Tetrad Property Group, LLC and designed by DLR Group.
“We’re exceptionally pleased with the new office, which not only supports McCarthy’s local growth and expansion, it also underscores our company’s long-term commitment to Omaha,” said Ryan Sawall, vice president of McCarthy Building Companies and a resident of Omaha.
Located at 4201 S 130th Street, at the intersection of 132nd Street and I Street in west Omaha, distinctive features of McCarthy’s new Nebraska headquarters include high-tech conference capabilities, as well as flexible gathering spaces to encourage collaborative work among employees, clients and industry partners.
The adjacent climate-controlled warehouse can accommodate the delivery and short-term onsite storage of construction materials and support offsite production, also known as prefabrication. This construction technique, which has become increasingly important during the COVID-19 pandemic, involves fabricating and assembling building components in a remote shop environment instead of at the jobsite. The process not only ensures quality and creates schedule certainty, it also gives teams the flexibility to add shifts or modify schedules to support social distancing because fewer workers and visitors are involved.
The new high-tech conference facility is designed to support McCarthy’s state-of-the-art Virtual Design & Construction (VDC) technologies, which helps clients maximize budget and schedule efficiencies throughout the design and construction process. For example, at the VA Omaha Ambulatory Care Center, Building Information Modeling (BIM) enabled the McCarthy team to continuously review and compare design updates while laser scanning helped confirm as-built conditions with 3D coordination to increase layout precision and ensure project controls.
Since entering the Omaha market in 2001 as a builder of choice for local healthcare providers, the Omaha team has completed more than $1 billion in construction projects and grown into the fourth largest contractor in Nebraska according to ENR Midwest.
McCarthy continues to expand its regional footprint by successfully delivering complex, challenging projects across a wide variety of market sectors and project types. Its core markets include healthcare, education, laboratories, pharmaceutical manufacturing, commercial, arts and entertainment, and industrial projects.
In Nebraska, McCarthy is currently overseeing more than $200 million in construction work including the new Marriott Tribute Portfolio Hotel on the Nebraska Innovation Campus in Lincoln, the recently completed VA Omaha Ambulatory Care Center and a new high school and middle school for Omaha Public Schools.
$87 million Omaha VA Ambulatory Care Center complete
McCarthy Building Companies has completed construction of the Omaha VA Ambulatory Care Center, a 157,000-SF, three-story outpatient facility for veterans.
With nearly 40,000 veterans being treated in Omaha annually, the new facility includes seven primary-care units, an outpatient surgery suite and a specialty medicine unit allowing 400 additional outpatients to visit the clinic each day, as well as a dedicated women’s health clinic area.
Located at 4101 Woolworth Ave. on the VA Medical Center campus, the new facility links to the existing 12-story hospital via a connecting corridor. The existing hospital, which opened in 1950, continues to be used for inpatient hospital stays as well as administrative offices and medical services.
The new $86-million facility was a trailblazing project for the Veterans Administration as the first in the nation to take advantage of the C.H.I.P.I.N. for Vets Act. This federal law passed by Congress in 2016 allows the VA to accept private donations to complete construction projects and requires the builder to use innovative delivery techniques that fall outside federally prescribed specifications and methods.
The project will save taxpayers roughly $30 million through a public-private partnership (P3) model that uses donations from the non-profit Veterans Ambulatory Center Development Corporation (VACDC).
McCarthy’s approach included innovative construction delivery methods that enabled this complex, one-of-a-kind project to meet its ambitious budget and schedule expectations, as well as ensure the project would be viewed as a success by the Veterans Administration, veterans and their families and the surrounding Nebraska region.
Initiatives such as subsurface utility mapping, virtual design and construction and other advanced technology, as well as using a design assist subcontracting approach instead of a hard-bid approach, enabled the complex project to not only meet its budget, but also to be completed more than four months ahead of schedule.
“Breaking from the traditional design-bid-build delivery format allowed for creative solutions, more efficiency and functionality, a shorter timeline and ultimately, greater value for the VA,” said Ryan Sawall, vice president, McCarthy Building Companies, based in the company’s Omaha office.
Project challenges included a tight timeline, maintaining ongoing communications with multiple partners and stakeholders, upholding VA construction standards, building on challenging topography and avoiding interruption of services to adjacent to the fully operational hospital. The many unusual and one-of-a-kind design elements also required McCarthy’s team to build with the utmost of precision and craftsmanship.
“We were able to take advantage of the technical and economic innovations commonly used in private sector projects, including performance specifications, modern quality assurance and quality construction processes and strategic partnerships,” Sawall said.
Advanced Virtual Design & Construction (VDC) technology applications throughout the design and construction process facilitated collaboration and enabled the team to maximize budget and schedule efficiencies.
Building Information Modeling (BIM) was used to continuously review and compare design updates and adjust the cost model accordingly. Conceptual cost modeling aligned the project’s budget and program early in the design. Laser scanning confirmed as-built conditions with 3D coordination to not only increase layout precision, but also ensure project controls for scopes such as self-perform concrete.
Designed by Leo A. Daly, facility’s design promotes patient-centered environments throughout to focus on the relationship between the physical environment and the patients’ overall experience. The design creates a healing environment that integrates spaces of escape and refuge, positive distractions, access to views and nature and abundance of natural daylight.
Most prominent is the north façade, representing freedom and sacrifice, featuring a 12,000-SF folded glass curtain wall (over 50-ft. high and 235-ft. at its widest) designed to resemble an American flag rippling in the wind. Around the corner, the western façade, representing honor, is lined with 9,000-SF of differently hued glass panes that evoke ribbon bars awarded to service members.
Building the folded glass curtainwall that changes planes multiple times was particularly challenging. In addition to being a one-of-a-kind build, the design, fabrication and construction also were custom processes, requiring special engineering to meet structural, blast and energy code requirements.
The new facility will open to patients this month (August 2020).
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About McCarthy Building Companies – Omaha: Since 2001, the Omaha team has completed more than $1 billion in projects and continues to expand its regional footprint by successfully delivering complex, challenging projects across a wide variety of market sectors and project types.
The company is currently overseeing more than $200 million in construction work throughout Nebraska, including the VA Omaha Ambulatory Care Center, a new high school and middle school for Omaha Public Schools and the conversion of an abandoned brewery into a state-of-the-art headquarters and manufacturing facility for Elliott Equipment Company.
McCarthy recently expanded its Nebraska presence through the construction of a new 15,000-SF office building, warehouse and adjacent construction yard in west Omaha. The office includes a state-of-the-art conference facility and collaboration space for demonstrations and hosting students interested in learning about careers in the building trades.