News

Kourtney Graham and Kevin Martin Join Kadean Construction

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Kourtney Graham and Kevin Martin have joined Kadean Construction as Project Development Manager and Project Director, respectively. Both will be based at the design-build commercial construction contractor’s St. Louis headquarters.

Kourtney Graham

Kourtney joins Kadean’s Business Strategy team and will be primarily focused on seeking out and securing new construction projects in the St. Louis region, working in partnership with the contractor’s in-house design team to lead customers successfully through the pre-construction process.  She has more than 13 years of experience in the construction industry and comes to Kadean from Western Specialty Contractors, where she was Business Development Manager.  Kourtney is a member of Commercial Real Estate Women, Associated General Contractors of Missouri, Urban Land Institute, Building Owners and Managers Association, Institute of Real Estate Management, and International Facilities Management Association.

Kevin Martin

 Kevin joins Kadean’s Operations team and will be responsible for local and national project oversight, working together with the Project Management team to ensure projects are delivered successfully­­­­­­­­­­­­.  He has more than 40 years of building design and construction industry experience, including robust experience in mechanical and electrical systems that will bolster Kadean’s ability to focus on projects with more complexity during preconstruction and during the build.  Kevin previously worked for The Opus Group, where he was Senior Project Manager.  

“We’re extremely excited to have Kevin and Kourtney join the St. Louis office.  Both construction veterans add to our continued focus and commitment to local clients and growth.” Said Mike Eveler, President of Kadean Construction.

Kadean Construction is a 59-year-old design-build focused commercial construction company specializing in pre-construction, construction management and general contracting services at the local, regional and national level in the industrial, healthcare, multifamily, cannabis, hospitality & entertainment, institutional, food & beverage and commercial markets.  For more information, visit www.kadean.com

Poettker Construction Named Accredited Quality Contractor by ABC

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Poettker Construction of Breese, Ill. today announced it has been named an Accredited Quality Contractor by Associated Builders and Contractors. This is the first year Poettker has earned the prestigious credential for its commitment to corporate responsibility. Only 450 of the nation’s elite merit shop construction contractors earned the credential in 2021.  

“We are honored to attach this quality credential to our name,” said Ryan Poettker, president of Poettker Construction. “For more than 40 years, Poettker has operated with a primary focus on safety and quality and this sort of accreditation is a tremendous win.” 

Launched nearly 30 years ago, ABC’s AQC program provides recognition to world-class construction firms that have documented their commitment in five areas: 

  • Quality 
  • Safety performance 
  • Talent management, and inclusion, diversity and equity 
  • Craft and management education 
  • Community relations 

“Accredited Quality Contractors set the standard in the contracting community in safety, culture, workforce development, innovation, diversity and quality,” said 2022 ABC National Chair of the Board of Directors Stephanie Schmidt, president of Poole Anderson Construction, State College, Pennsylvania. “Congratulations to this high-performing construction company. Daily, the leaders and employees of Poettker Construction commit to the highest level of corporate and community achievement, exemplifying the best about ABC membership.” 

In earning the AQC credential, each member company commits to world-class safety by achieving Gold, Platinum or Diamond level in ABC’s STEP Safety Management System. Founded more than three decades ago, STEP dramatically improves safety performance among construction industry participants, with top performers achieving incident rates more than eight times safer than the U.S. Bureau of Labor Statistics industry average.  

AQC members also take the following pledge: 

As an Accredited Quality Contractor, our company is committed to providing our clients with the highest quality construction services, and we care deeply about our employees and the communities in which we build. We are proud to be part of the construction industry and are dedicated to the principles of free enterprise. We commit ourselves to serve our communities and provide our employees with the skills they need to work safely and productively in order to meet the needs of our clients. 

AQC is recognized by Construction Users Roundtable, an organization founded by leading construction project owners.  

Established in 1980, Poettker Construction is an award-winning family-owned business specializing in construction management, design/build, general contracting and self-perform services with an emphasis to exceed the client’s expectations. Poettker Construction provides safe, quality, sustainable, and technology solutions to clients in the Education, Distribution, Government, Healthcare, Hospitality, Municipal, Recreation, Retail, and Utility industries. The company prides itself on building long-lasting relationships with their clients, business partners and the communities in which they work. For more information, visit www.poettkerconstruction.com

Associated Builders and Contractors is a national construction industry trade association established in 1950 that represents more than 21,000 members. Founded on the merit shop philosophy, ABC and its 69 chapters help members develop people, win work and deliver that work safely, ethically and profitably for the betterment of the communities in which ABC and its members work. Visit us at abc.org.  

CREW-ST. Louis Appoints 2023 Officers & Directors

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The St. Louis chapter of CREW (Commercial Real Estate Women) announced its executive officers and board directors for 2023.

CREW-St. Louis officers for 2023, including their respective companies, are:

  • President, Angie Drumm, Carmody MacDonald
  • President-Elect/CREW Network Delegate, Erin Valentine, McCarthy Building Companies Inc.
  • Immediate Past President, Stacey Kamps, Koch Development
  • Secretary, Molly Studer, Gershman Commercial Real Estate
  • Treasurer, Jane Maddox, Anders CPAs + Advisors
  • CREW Network Delegate, Sarah Luem, Capes Sokol

Board directors for 2023, and their respective companies, are:

  • Cindy Bambini, Cannon Design
  • Melody Cooper, Gray Design Group
  • Michelle Hamilton, Commercial Real Estate Professional
  • Jenna Knatt, CI Select
  • Ellen Mannion, Balke Brown Transwestern
  • Jen Nevil, Lamar Johnson Collaborative

CREW-St. Louis is one of the largest of CREW Network’s global chapters. Its 278 members come from all disciplines in commercial real estate. The mission of CREW-St. Louis is to advance, educate and support women to influence the region’s commercial real estate industry. CREW Network exists to transform the commercial real estate industry by advancing women globally. It does this by looking outward to bring more women into the industry, highlighting member successes and serving as a key resource to its members and the industry. CREW Network members represent nearly all disciplines of commercial real estate – every type of expert required to “do the deal.” Members comprise more than 12,000 commercial real estate professionals. For more information, visit www.crewstl.org. Follow CREW-St. Louis on Twitter @CREWSTL.

Photo Above: (L to R): Erin Valentine, President-Elect/CREW Network Delegate; Angie Drumm, President; and Stacey Kamps, Immediate Past President. Standing, from left, are: Ellen Mannion, Director; Melody Cooper, Director; Jane Maddox, Treasurer; Jen Nevil, Director; Michelle Hamilton, Director; Molly Studer, Secretary. Not shown: Sarah Luem, CREW Network Delegate; Jenna Knatt, Director; and Cindy Bambini, Director.

St. Louis Region’s Five Busiest Airports Support 36,500 Jobs and Deliver More Than $10 Billion in Annual Economic Impact

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The directors from five busy airports in the St. Louis region say the collaboration that takes place amongst their airports is unique in the aviation industry and a model for success — accounting for more than 36,500 jobs (between airport operations and tenants) and generating a collective annual economic impact that exceeds $10 billion and is growing.

The five airports contributing to those totals include St. Louis Lambert International Airport and Spirit of St. Louis Airport in eastern Missouri, and three southwestern Illinois airports — St. Louis Downtown Airport, MidAmerica St. Louis Airport and St. Louis Regional Airport.

The airport directors participated in a special panel discussion hosted by the St. Louis Regional Freightway on November 16. The panelists were Rhonda Hamm-Niebruegge from St. Louis Lambert International Airport, John Bales from Spirt of St. Louis Airport, Bryan Johnson from MidAmerica St. Louis Airport, Sandra Shore from St. Louis Downtown Airport and Daniel Adams from St. Louis Regional Airport.

“This discussion helped raise awareness of the region’s robust aviation industry that is defined by these airports, their tenants and the aerospace products and parts manufacturing industry,” said moderator Mary Lamie, Executive Vice President of Multi Modal Enterprises for Bi-State Development and head of its St. Louis Regional Freightway Enterprise. “The region’s aviation industry has evolved through good and bad times and is highlighted by targeted efforts that focus on operations, infrastructure investment, industry leadership and expertise, and a proven track record for career development and job opportunities.” 

To provide greater context for the career opportunities in the aviation industry, Lamie highlighted that:

  • The St. Louis MSA has 3.85 times the U.S. average number of aerospace jobs based on the size of the region.
  • Based on the payroll and job creation from the three Illinois airports participating in the forum, the average compensation (including benefits) for an airport-related job, is $80,000 a year.
  • The average wage for an aerospace job in the region is right at $116,000 a year – proving the significance of continuing to grow that base and invest in airport infrastructure.

Panelists talked about the tremendous career opportunities in the industry and collaborative efforts to help build and support the aviation and aerospace jobs pipeline. Boeing is expanding at MidAmerica St. Louis Airport and will create at least 150 to 200 more jobs. West Star Aviation currently has approximately 40 positions available and additional expansion plans in the works at St. Louis Regional Airport could drive that number higher. Gulfstream is expanding its operations at St. Louis Downtown Airport and will be adding 140 new jobs. Events such as St. Louis University’s Summer Academy and Girls in Aviation Day at St. Louis Downtown Airport and the Spirit of St. Louis Air Show and Stem Expo continue to play a key role in attracting youth to the aviation industry.

St. Louis Lambert International Airport (STL) is the region’s busiest airport that today accounts for 7,000 jobs in the region. A new economic impact study underway is anticipated to reveal the airport’s impact has grown from the $4.2 billion reported in 2013 to more than $6 billion. Hamm-Niebruegge called attention to the fact that, aside from being the largest airport in Missouri, St. Louis Lambert International Airport ranks as the 32nd largest out of 450 commercial airports in the country. She added the airport is not just focused on passenger traffic, but on expanding all streams of revenue. She said the amount of cargo moved has doubled from 125 million pounds in 2016 to 251 million pounds in 2021, with much of that increase driven by the growth of Southwest and the belly cargo that Southwest can carry because it has so many flights per day from St. Louis Lambert International Airport. Hamm-Niebruegge also discussed the recent creation of a U.S. Department of Agriculture (USDA) port of embarkation at her airport that allows live animal charters. While Chicago also has such operations, word is getting around that St. Louis Lambert International Airport is far more efficient and easier for the handlers. Lufthansa’s new direct flights from St. Louis to Frankfurt, Germany were also highlighted. Launched in June 2022, the new service marked the first direct flights from St. Louis to Europe in 20 years.    

She said the biggest project on the horizon for St. Louis Lambert International Airport is the proposed consolidation of the existing two terminals, plans for which she hopes can come to fruition in the next 12 to 14 months. If everything moves forward, construction could start in 2026 on a single consolidated terminal that would carry the region well into the future.

Hamm-Niebruegge offered a glimpse into the working relationships between the five airport directors, which she said is more collaborative than competitive because of the unique niche each has in the industry.  “When you put the greater group together and you think about the offerings we have, if you’re a customer in this region, you have a choice of going just about anywhere.”

Spirit of St. Louis Airport (SUS) in Chesterfield, Missouri has more than 3,000 employees on site between airport operations and tenants and a total annual economic impact that exceeds $400 million. Bales said the airport has nearly 400 based aircraft, 100 based jets, a full-time customs support center, three FBOs, a variety of customers and maintenance operators, as well as many corporate flight departments and charter operators. Prior to COVID, Bales said the airport was averaging almost one international flight a day, something most people likely would not know.

He said much as the Arch is the gateway to the west, he sees aviation as a gateway to the world and considers Spirit of St. Louis Airport to be the business aviation center of the Midwest.

‘The charter operators did really, really well during COVID, and they continue to do well,” said Bales. “People that maybe had the means but had never tried it, tried it and liked it. It’s been good for us. Take off and landings and fuel sales are the highest they’ve been in 10 to 15 years. The future looks bright for Spirit.”

Spirit of St. Louis Airport is just starting its latest master plan. Bales said it will be their roadmap for the future and will guide several very important projects representing an investment in the range of $50 million in the coming years.

St. Louis Regional Airport (ALN) in East Alton, Illinois supports more than 1,500 jobs and has an annual economic impact of $480 million. Adams said his airport’s role as a general aviation facility brings in business across the aviation spectrum, from Fortune 500 companies to the private aircraft owner, with everything from single engine and twin-engine aircraft, all the way up to multimillion-dollar corporate aircraft coming for maintenance. That maintenance is provided by the airport’s largest tenant, West Star Aviation, which has nearly 600 employees at the airport. It offers any type of maintenance repair on aircraft, from painting to engine repairs and interior jobs. The airport also has about 120 t-hangers for individuals to store their planes. 

“We can serve from your smallest little single engine plane up to the largest aircraft that can fly,” said Adams. “We’re not interested in bringing in the commercial airlines, but we are interested in catering to those private aircraft owners.”

More than $7 million in airport improvements are planned at St. Louis Regional Airport for 2023, and Adams said he also is focused on growing both aeronautical and non-aeronautical business at the airport. He noted he would like to attract a flight school, grow fuel sales and bring back an onsite restaurant as an additional amenity.

MidAmerica St. Louis Airport (BLV) has the unique distinction of operating under a joint use agreement with Scott Air Force Base, one of just 30 joint use airports in the country, according to Johnson. He said both MidAmerica St. Louis Airport and Scott Air Force Base operate under the same three-letter identifier “BLV,” and it is their combined impact that is captured in any economic impact studies. The latest of those by the Illinois Department of Transportation reveals BLV collectively has a $3.1 billion economic impact and supports more than 23,400 jobs. Johnson said MidAmerica St. Louis Airport alone is hitting some new highs when it comes to passengers.

“Some of our efforts certainly are focused on furthering the low cost carrier model and helping to promote ultra-low cost carriers as well, complimenting what Rhonda and her team do so well over at STL,” said Johnson. “We expect to be at construction next year on a new U.S. customs federal inspection station, which will allow for further development of our low-cost carriers that are supporting international travel in and out of the metro area as well as domestically.”

Continuing passenger growth is a contributing factor to the work underway to expand the terminal at MidAmerica St. Louis Airport, and growth on the tenant side is fostering additional infrastructure investment at the airport. Johnson cited the new production facility Boeing is developing on the airport property to manufacture the MQ-25, and a new $37 million taxiway and bridge the airport is building to serve that new facility and other developments likely to spring up around it. The MetroLink light-rail system also is being extended from Scott Air Force Base to MidAmerica St. Louis Airport. That $97 million project will provide a direct connection between St. Louis Lambert International Airport and MidAmerica St. Louis Airport.

St. Louis Downtown Airport (KCPS) is located in two Illinois municipalities – Cahokia Heights and Sauget, Illinois, and contributes more than $422 million in economic impact for the region and more than 1,500 full-time and part-time jobs. Shore said a variety of users and tenants contribute to those totals, from the single engine hobbyist to business and corporate aviation, three flight schools, several aircraft and helicopter maintenance organizations, plus one of the region’s largest maintenance and repair organizations Gulfstream Aerospace. Gulfstream is one of several tenants that will benefit from the latest infrastructure investment underway at the airport – the construction of a ground engine run up and compass calibration area. The project should be completed in 2023, and will support existing and future high-tech aerospace manufacturing jobs at the airport by improving production safety, reliability and efficiency.

“I think the most distinctive characteristic of St. Louis Downtown Airport is our close proximity to downtown St. Louis,” Shore said. “We’re located right across the Mississippi River. And as a general aviation airport without commercial service, we really see us as the front door to the region.”

Its invaluable location makes St. Louis Downtown Airport a popular choice for those flying into the region for major events in eastern Missouri and southwestern Illinois, including the NASCAR Cup race this past summer, which Shore said drew 40 charter flights, each with about 50 passengers, over the course of the weekend.

The panel discussion with the five airport directors highlighted the St. Louis region’s overall position as a vibrant commercial and general aviation hub in the heartland of the nation. Video of the forum can be found at  https://www.youtube.com/watch?v=R_6poBIKeiY.

About St. Louis Regional Freightway

The St. Louis Regional Freightway is a Bi-State Development enterprise formed to create a regional freight district and comprehensive authority for freight operations and opportunities within eight counties in southwestern Illinois and eastern Missouri that comprise the St. Louis metropolitan area. Public sector and private industry businesses are partnering with the St. Louis Regional Freightway to establish the bi-state region as one of the premier multimodal freight hubs and distribution centers in the United States through marketing, public advocacy, and freight and infrastructure development. To learn more, visit thefreightway.com.

City Energy Standards Compliance Clock Ticking for Building Owners

By KERRY SMITH, EDITOR, ST. LOUIS CONSTRUCTION NEWS AND REVIEW

Public and private-sector building owners within the City of St. Louis have 12 months remaining of a 36-month deadline to prepare their facilities’ action plans with regard to smart energy usage.

Under the conditions of a Building Energy Performance Standard (BEPS) ordinance passed by the St. Louis Board of Alderman in 2020 and signed by former Mayor Lyda Krewson, all buildings totaling 50,000 square feet or more are required to benchmark their energy usage and work toward improving that score. Beginning in 2024, analysis and evaluation of buildings’ total energy usage will occur. In 2025, a modest fine-based enforcement will begin. The program will continue forward on a five-year cycle – three years to make energy efficiency improvements, one year of analysis/evaluation and one year of enforcement for those structures who don’t achieve their mandated improvement requirements.

Chris Ruth, mid-Missouri controls manager in the building automation division at Integrated Facility Services, serves as a board member for the U.S. Green Building Council’s Missouri Gateway Chapter. Ruth says that although the city’s fines aren’t steep, building owners who do not meet their required improvement levels could also be affected in terms of occupancy and construction permits.

“St. Louis is the 4th city in the U.S. to sign these standards into law and the first city in the Midwest to adopt them in a concerted effort to mandate significant reductions in building energy use,” Ruth said. “It’s an overall approach toward being more energy conscious. Nationwide, buildings use 40 percent of total energy consumption, with 40 percent of that consumed by heating, ventilation and air conditioning equipment. Making buildings more affordable through energy efficiency measures, and in turn making utility costs more affordable – particularly with under-performing buildings in underserved areas – is the focus on these energy standards.”

For more details on St. Louis’ BEPS, see https://www.stlouis-mo.gov/government/departments/public-safety/building/building-energy-improvement-board/documents/beps-ordinance.cfm.

Holland Construction Services Completes Sunnen Station Phase II in Maplewood

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Holland Construction Services has completed construction on Phase II of the Sunnen Station Apartment complex near Manchester and South Hanley Roads in Maplewood, Missouri. The new four-story, 121-unit apartment community includes an attached 61,000 sq. ft. two-level parking garage with 187 spaces and indoor/outdoor recreational facilities.

The multi-family development, developed by the Sunnen Family in conjunction with Cozad Commercial Real Estate, is the first new apartment construction in the City of Maplewood in several years.

“Phase I of Sunnen Station Apartments is currently 100% occupied so we knew there was clearly a need for this type of development in the area,” said G.T. Cozad, Principal at Cozad Commercial Real Estate. “The new development includes many of the same modern amenities as Phase I, including on-site recreational facilities such as a fitness center, and a swimming pool. We’re excited to give St. Louis residents an additional high-quality housing option.”

Rick Kallaus, member of the Sunnen Family, added, “The City of Maplewood has been a great partner for us so we were happy to continue development in this location. Holland also has tremendous expertise in multi-family developments and did a fantastic job on Phase I so this felt like a seamless project for us.”

Holland completed Phase I of the complex in 2017 which sits adjacent to Phase II and is connected by a shared parking lot. The complex is also adjacent to the Sunnen Station MetroLink Station and the Sunnen Business Park. Holland project manager Steve Bauer said their previous experience with the developer helped the project run smoothly.

“This has been a fantastic project for Holland as a whole,” said Project Manager Steve Bauer. “Our biggest challenge was discovering debris and boulders the size of cars underneath the foundation when we first started digging. Fortunately, the owners understood those challenges and knew we would get the job done. This development will be a perfect addition to the Maplewood community.”

Sunnen Station Apartments Phase II is currently leasing. For more information about the development, go to www.sunnenstationapts.com. The architect on the project was Tim Sandweg.

Holland Construction Services is a full-service construction management, general contracting, and design/build firm guided by the principle of providing clients the best possible build experience on every project. Holland has been providing quality construction services throughout Illinois and Missouri since 1986, when it was founded by company CEO Bruce Holland. Holland offers pre-construction, construction, and virtual design & construction services to commercial, education, healthcare, industrial, multi-family, municipal, recreation, and senior living clients. The St. Louis Business Journal ranks Holland as a “Best Places to Work” and one of the top 15 contractors in the St. Louis area by volume. For more information, visit Holland’s website at www.hollandcs.com. 

Cozad Commercial Real Estate is a full-service commercial real estate and property management firm that was established in 1987 by former CEO G.T. Cozad, Jr. In 2012, MD Real Estate Advisors was created and remains the only dedicated healthcare brokerage firm in St. Louis. By combining a solution-oriented focus with industry-leading real estate services, Cozad is able to offer a vast array of expertise and technical knowledge to real estate clients and property owners both locally and nationally. Cozad Commercial Real Estate has consistently been named one of the top most active real estate firms as well as one of the largest property management firms in St. Louis. For more information about Cozad, visit www.cozadgroup.com.

Winco “Decks Its Wall” with Community Spirirt

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Winco Window Company, located in University City in St. Louis, is the first local business to receive a showstopping, custom mural celebrating daily life and diversity in the community. The freshly painted mural, which can be seen on the wall of Winco’s sister company Achitectural Metals Inc., is courtesy of local artist Byron Rogers and University City High School art students as part of a collaborative art project by the Olive Beautification Committee. Winco is honored to take part in this special cultural activity.   Winco president Bill Krenn and Vice President Woody Miller managed the project.   

IBEW/NECA Electrical Connection Offers Winter Electrical Safety Tips

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Who doesn’t squirrel away aging holiday lights or old patched extension cords, electrical blankets and space heaters better suited for museums pieces?  Americans are pack rats.  But when it comes to outdated electrical devices pulled out of storage for use during the winter, whatever value there is in saving yesteryear can be a danger.  This year, the annual IBEW/NECA Electrical Connection Winter Electrical Safety campaign urges everyone to shed the pack rat mentality. Carefully inspect winter electrical devices and get rid of the old stuff that’s outlived its safe use.

“It’s no secret that home electrical fires and shock hazards tend to increase in the winter months,” said Frank Jacobs, business manager, International Brotherhood of Electrical Workers (IBEW) Local 1.  “People stay indoors more in the winter months and introduce and often misuse electrical devices, such as space heaters, extension cords and holiday lights. We want to get ahead of that with our annual public safety campaign.” IBEW Local 1 partners with the St. Louis Chapter of the National Electrical Contractor Association (NECA) to form the Electrical Connection.

The National Fire Protection Association (NFPA)notes thatfire departments respond tomore than 46,000 home fires involving electrical failure or malfunction each year with the risks increasing in the winter months.

 “In addition to the dangers of using outdated or damaged electrical devices during the winter months, electrical systems can also be overtaxed,” noted Kyle McKenna, executive vice president, St. Louis Chapter NECA.  “Our NECA contractors are frequently called to make electrical repairs to faulty installations that were performed by someone who didn’t have the skills to do the work. We emphasize building to National Electrical Code standards to avoid wiring hazards hidden behind walls of homes and businesses.”

Electrical Connection members provide safe and reliable electrical construction, maintenance, repair and replacement services across Missouri, the nation and the world.  For more information visit www.electricalconnection.org.

IBEW/NECA Electrical Connection Winter Electrical Safety Tips

WARNING: While homeowners can visually inspect electrical systems, we do not recommend they attempt to fix or tinker with them in any way.  Leave that to a licensed professional.

Always make sure installations in your home or business conform to the standards of the National Electrical Code (NEC).  This requires a fully licensed electrical contractor.  The Electrical Connection has the largest data base of licensed electrical contractors in St. Louis and Eastern Missouri. It can be accessed by visiting www.electricalconnection.org.  Other safety tips to be aware of:

  • Space Heaters/Electric Blankets Never use an extension cord for an electrical heating appliance, such as a space heater or an electric blanket.  The cord provided with the heating device is properly rated and should be connected directly to the electrical outlet. Inspect your space heater and discard it if it shows deterioration, particularly around the plug-in cord, or it lacks a functioning automatic shut off if tipped over.  Watch where you place the space heaters to keep it away from combustible materials.  Keep children away from space heaters.  Closely inspect electric blankets and heating pads and discard them if you note any potential fire hazard, such as discoloration due to overheating or exposed wiring.  
  • Extension Cords — Never use an extension cord for an extended time as a permanent or temporary wiring solution. Extension cords aren’t made to be used for long periods of time and can result in electrical fires. When you are using an extension cord, always ensure that the plug has all three prongs. This ensures that your cord will stay properly grounded, which could prevent the cord from overloading. Any extension cords without the third prong should be discarded immediately.
  • Holiday Lights — Examine and discard lights with frayed wires. They are not only a fire hazard, but a shock hazard and are especially dangerous if they come in contact with a metal gutter and ladder while being installed outside.  Use lights that are Underwriters Laboratories (UL) tested for safety and don’t exceed the strands of lights that can be connected as detailed on the product.  Pay attention to whether the lights are rated for indoor or outdoor use.  Consider using LED lights which last 20 times longer and don’t burn hot like traditional incandescent lights. Child-proof all holiday decorations. Lights can be fascinating to young children and if they get too curious can expose them to a live circuit.
  • Outlets — Don’t overload sockets with plugs that could start a fire.  Any electrical outlets in your home that are near a water source—sinks, bathtubs, washing machines—require a ground fault circuit interrupter (GFCI) according to the National Electrical Code. A GFCI is a fast-acting circuit breaker that shuts down your electricity as quickly as 1/40 of second after a fault occurs. If you’re missing a GFCI an electrical professional can easily install one for you.
  • Wiring Visually inspect your home’s service panel and note any potential concerns.  Contact a licensed professional if the panel is not firmly attached to the wall or wires are not neatly enclosed within their protective box or if deterioration is noted.  Also contact a licensed professional if you note wiring connection points are not capped with a wire connector and enclosed within an appropriate UL approved junction box.

Act Now to Reduce Your Business’s 2022 Tax Bill

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Submitted by Schmersahl Treloar & Co

It’s been a tumultuous year for many businesses, and the current economic climate promises more uncertainty for the short term, if not longer. Regardless of how your company has fared so far in 2022, there’s still time to make moves that may reduce your federal tax liability. Read on for some strategies worth your consideration.

Time your income and expenses
When it comes to year-end tax reduction strategies, the granddaddy of them all — for businesses that use cash-basis accounting — is probably the practice of accelerating deductions into the current tax year and deferring income into the next year. You can accelerate deductions by, for example, paying bills or employee bonuses due in 2023 before year end and stocking up on supplies. Meanwhile, you can defer income by holding off on invoicing until late December or early January.

You should consider this strategy only if you don’t expect to see significantly higher profits next year. If you think you will, flip the approach, accelerating income and pushing deductions into the future when they’ll be more valuable. Also, bear in mind that reducing your income could reduce your qualified business income (QBI) deduction, depending on your business entity.

Maximize your QBI deduction
Pass-through entities (that is, sole proprietors, partnerships, limited liability companies and S corporations) can deduct up to 20% of their QBI, subject to certain limitations based on W-2 wages paid, the unadjusted basis of qualified property and taxable income. The deduction, created by the Tax Cuts and Jobs Act (TCJA), is set to expire after 2025, absent congressional action, so make the most of it while you can.

You could increase your deduction by increasing wages (for example, by converting independent contractors to employees or raising pay for existing employees) or purchasing capital assets. (Of course, these moves usually have other consequences, such as higher payroll taxes, that you should weigh before proceeding.) You can avoid the income limit by timing your income and deductions, as discussed above.

If the W-2 wage limitation doesn’t limit the QBI deduction, S corporation owners can increase their QBI deductions by reducing the wages the business pays them. (This won’t work for sole proprietorships or partnerships, which don’t pay their owners salaries.) Conversely, if the wage limitation does limit the deduction, S corporation owners might be able to take a greater deduction by boosting their wages.

Accelerate depreciation — while you can
The TCJA also increased the Section 168(k) first-year bonus depreciation to 100% of the purchase price, through 2022. Beginning next year, the allowable deduction will drop by 20% each year until it evaporates altogether in 2027 (again, absent congressional action). Combining bonus depreciation with the Section 179 deduction can produce substantial tax savings for 2022.

Under Sec. 179, you can deduct 100% of the purchase price of new and used eligible assets in the year you place them in service — even if they’re only in service for a day or two. Eligible assets include machinery, office and computer equipment, software, and certain business vehicles. The deduction also is available for improvements to nonresidential property.

The maximum Sec. 179 deduction for 2022 is $1.08 million and it begins phasing out on a dollar-for-dollar basis when your qualifying property purchases exceed $2.7 million. The maximum deduction also is limited to the amount of your income from the business, although unused amounts can be carried forward indefinitely.

Alternatively, you can claim excess amounts as bonus depreciation, which is subject to no limits or phaseouts in 2022. Bonus depreciation is available for computer systems, software, vehicles, machinery, equipment, office furniture and qualified improvement property (generally, interior improvements to nonresidential property).

For all their immediate appeal, bonus depreciation and Sec. 179 expensing aren’t always advisable. You may, for example, want to skip accelerated depreciation if you claim the QBI deduction. The deduction is limited by your taxable income, and depreciation reduces such income.

It might be wise to have some depreciation available to offset your income in 2023 through 2025 so you can claim the QBI deduction while it’s still around. You might think twice, too, if you have expiring net operating losses, charitable contributions or credit carryforwards that are affected by taxable income.

The good news is that you don’t have to decide now. As long as you place qualified property in service by December 31, 2022, you have the option of choosing the most advantageous approach when you file your tax return in 2023.

Get real about your bad debts
Business owners are sometimes slow to accept that they’re going to go unpaid for services rendered or goods delivered. If you use accrual-basis accounting, though, facing the facts can land you a bad debt deduction.

The IRS allows businesses to deduct “worthless” debts, in full or in part, that they’ve previously included in their income. To show that a debt is worthless, you need to show that you’ve taken reasonable steps to collect but without success. You aren’t required to go to court if you can show that a judgment from a court would be uncollectible.

You still have time to take reasonable steps to collect outstanding debts. It’s important to keep detailed records of these efforts. If you determine you can’t collect, you may be able to deduct some or all of those debts for 2022.

Start or replace your retirement plan
If you’ve put off establishing a retirement plan, or simply outgrown the plan you started years ago, you have time to possibly trim your taxes this year — and likely improve your employee recruitment and retention at the same time — by starting a new plan. Eligible employers can claim a tax credit of up to $5,000, for the first three years, for the costs of starting a SEP IRA, SIMPLE IRA or a qualified plan such as a 401(k) plan.

The credit is 50% of your costs to set up and administer the plan and educate your employees about it. You can claim up to the greater of $500 or the lesser of:

• $250 multiplied by the number of non-highly compensated employees who are eligible to participate in the plan, or
• $5,000.
You can begin to claim the credit in the tax year before the year the plan becomes effective. And, if you add an auto-enrollment feature, you can claim a tax credit of $500 per year for a three-year period beginning in the first taxable year the feature is included.

Leverage your startup expenses
If you launched a new business this year, you might qualify for a limited deduction for certain costs. The IRS allows you to deduct up to $5,000 of startup costs and $5,000 of organizational costs (such as the costs of creating a partnership). The deduction is reduced by the amount by which your total startup or organizational costs exceed $50,000. You must amortize any remaining costs.

An eligible cost is one that you could deduct if it were paid or incurred to operate an existing business in the same field. Eligible costs also must be paid or incurred before the active business begins. Examples include business analysis costs, advertisements for the business’s opening, travel and other costs related to lining up prospective distributors, suppliers or customers, and certain salaries, wages and fees.

Turn to us for planning advice
Many of the strategies detailed here involve tradeoffs that require thoughtful evaluation and analysis. We can help you make the right choices to minimize your company’s tax bill.

Call us at 314-966-2727 with any questions. https://www.stcpa.com/

4340 Duncan Receives High Honors in 2022 International Lab of the Year Awards

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HOK’s adaptive reuse design repurposed a long-vacant brick warehouse building in St. Louis’ Cortex Innovation Community into a multitenant biotech lab and office space.

The SEFA Lab of the Year Awards recognize teams for creating outstanding laboratory buildings. Recipients are lab projects that excelled in all aspects of project delivery, including planning, design and execution. 4340 Duncan earned “High Honors” in the 2022 competition.

Listed on the National Register of Historic Places, the original 1930 Crescent Building (now 4340 Duncan) was formerly a first-of-its-kind rotogravure printing plant for the St. Louis Post-Dispatch newspaper.

HOK’s design for the adaptive reuse project transformed the building into a state-of-the-art office, lab and modular spaces for biotech companies. Large, open floor plates help enterprises in all stages of development, from startups to large-scale organizations, in need of affordable, functional space to expand and thrive.

A central zone preserves the open space where the rotogravure printers formerly stood. The monumental stairs emphasize the original three-story opening that once housed the printer. The two-story lab highlights the area where the production took place, maintaining the sense that “here is where the innovative work is happening.”

4340 Duncan also provides tenants with general support space, including a central glass wash/autoclave area and freezer farm. A roof deck on the fourth floor offers sweeping views. The anchor tenant is BioSTL, including its BioGenerator Labs, along with Confluence Discovery Technologies, Arch Oncology, Wugen and C2N Diagnostics. One hundred percent of the space is leased. BOBB, LLC, an affiliate of Washington University in St. Louis, led the development of the project and is the building’s owner.

4340 Duncan is making important contributions to the Cortex Innovation Community by sparking collaboration and innovation. Cortex, located just four miles west of downtown St. Louis’s urban core, now anchors a growing regional system of more than 425 companies and 6,000 employees spread throughout 2 million square feet of space.

Congratulations to the entire 4340 Duncan project team: Project Owner: BOBB, LLC/Washington University in St. Louis; Architecture, Lab Planning and Design, Interior Design, Lighting Design: HOK; Architecture, Interior Design: KAI Enterprises; Historic Preservation: Karen Bode Baxter; MEP and Fire Protection Engineering: Ross & Baruzzini; Plumbing and Lab Gas Engineering: Custom Engineering; Lighting Design: Reed Burkett Lighting Design; Structural Engineering: KPFF Consulting Engineers, Inc.; Civil and Structural Engineering: David Mason + Associates; Landscape Architecture: DG2 Design Landscape; Construction Manager and General Contractor: Tarlton; Graphic Designer: Kuhlmann Leavitt, Inc.; Acoustical and Vibration Consulting: AcoustiControl LLC; and Laboratory Casework and Fume Hoods: Air Master Systems.

With offices around the globe, HOK designs buildings and spaces that respond to the needs of people and the environment. HOK designers are rooted in technical excellence, driven by imagination and focused on a solitary goal: to deliver solutions that inspire clients and communities.

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