B M A

THE URBAN FOUNDATION

2009 ANNUAL REPORT

BOMA is… Advocacy, Education, Events, Market News, Best Practices, Resources, Promotion, Affiliation, Networking

Commercial buildings are communities. How communities survive depends on the interaction between each member of that community. In the case of a building community, it is the synergy between building owners and managers and their service and supply contractors which leads to great experiences for the tenants and customers. BOMA members are often the foundation, the core of the community, contributing to everyday businesses and the experiences of every worker inside the building.

BOMA serves the members who make it all happen. BOMA does this through a vision to serve and promote its members and excellence in the real estate industry and through its mission to actively represent its members on matters affecting the ownership and management of commercial properties.

In 2009, the BOMA Board created a three – five year strategic plan which three specific goals, advocacy in industry affairs, self regulation and standards; education to provide and develop skills, lead the evolution of industry standards and deliver the best education services; and networking through opportunities to share knowledge and build professional and social relationships. In the coming pages you will see a highlight of what BOMA does for its members, through its members.

Thank you to the following companies, who, in 2009, provided conference rooms for board and committee meetings, education seminars and special events. Thank you to Bentall LP, GWL Realty Advisors and Oxford Properties Group.

Thank you, members, for supporting your Association, and thank you to the many volunteers who contribute.

The whole is greater than the sum of its parts.

THE NETWORK THE NETWORK

ENMAX BOMA Golf

Classic at Kananaskis Country Golf Course; 288 golfers and

20+ volunteers. Coordinated and In 2009 networking socials for members organized by the Golf included the Chocolate Experience Committee. and Names, Games & Automobiles, Golf Sponsors Event and Member - 2 - Recognition at the BOMA monthly- 3 - luncheons.

MESSAGE FROM MESSAGE FROM

THE PRESIDENT EXECUTIVE VP

BOMA as an association is much like a building. To be successful, we must be constructed on a

With all of the dust settled on a very interesting and turbulent 2009, solid and stable foundation. And we are. Membership in BOMA Calgary increased in 2009 to over 530 members - a strong indication of ongoing support from the region’s commercial real BOMA Calgary is well positioned to represent its industry and estate sector. membership in the coming year.

In challenging economic times, and despite some rather significant set backs with one program,

In 2009 we developed and implemented our long term strategic plan, BOMA managed to finish the year with a modest positive bottom line. A financial summary clearly an enabling vehicle in terms of the overall direction of the appears on page 15. organization. As part of that plan, we formed the BOMA Foundation In an effort to develop new markets for BOMA’s products, BOMA Calgary initiated a relationship for Education, details and benefits of which will be clearly articulated with the industry in China. That market has a significant and immediate need for training and through 2010. In general, though, it is this foundation that will allow BOMA Calgary’s Building Operator Development Program fits the needs of the Chinese. There is us to help participate in and influence the development of the next recognition that the industry in the Calgary service area is finite and our various committees are seeking ways to develop new market opportunities. generations of BOMA members. BOMA Calgary continued its fine record of contribution to the national industry association, BOMA

Canada. Two of our directors, Peter MacHardy and Wendy Cardell both served on the BOMA On behalf of BOMA Calgary’s Board of Directors, executive team, Canada Board of Directors. BOMA staff likewise made contributions to the BOMA BESt program, and staff, thank you for your continued support of our organization. the National Awards and the CSO Council.

In keeping with the ‘foundations’, theme the Board of Directors approved the establishment of The BOMA Calgary Foundation in December 2009. The Foundation is intended to be an arm’s length charitable entity that will support research and education within the commercial real estate sector,

and assist persons with financial barriers to enter and to advance within the industry. A Board of Governors is being assembled and members will see more on the Foundation in the coming - Guy Priddle, President months.

I would be remiss if I failed to acknowledge the BOMA Calgary staff. Including me, there are 3.2

full-time equivalents (FTE), staff members. BOMA is fortunate to have a highly talented and

dedicated staff in the form of Lia Robinson, Manager of Communications & Member Services,

Jessica Anderson, Administrative Assistant and Liz Krill, Bookkeeper. I am particularly proud of this BOMA team for the superb effort they put in during 2009 and for the way they were able to work through some rough spots during the year. This team has demonstrated its critical place as part of that “foundation” upon which BOMA is built. - 4 - - 5 - - William G.R. Partridge

THE ENVIRONMENT In 2009, BOMA

Calgary certified 49 buildings totaling 16,960,706 square feet, through the BOMA BESt program. This brings the city total

to 184. Medicine Hat Law Courts, Infrastructure. Agriculture Regional Centre, Alberta 505 3 Street SW, Morguard Investments Ltd. , Oxford Properties Infrastructure . Airdrie Provincial Building, Alberta Infrastructure. Cochrane Provincial Group. & Professional Centre, Oxford Properties Group. Shell Building, Alberta Infrastructure. Canmore Provincial Building, Alberta Infrastructure. Centre, Oxford Properties Group. Calgary Place, Oxford Properties Group. Ernst & Three Hills Provincial Building, Alberta Infrastructure. Bow Island Provincial Building, Young Tower, Oxford Properties Group. Sovereign Centre, Tonko Realty Advisors. 53 Alberta Infrastructure. Sheldon M Chumir, Bentall LP. Livingston Place, Bentall LP. BP Ave Building, Tonko Realty Advisors. Foothills Park II (B – E), Tonko Realty Advisors. Centre, Bentall LP. Southcentre Executive Tower, Ivanhoe Cambridge. Southcentre Foothills VI, Tonko Realty Advisors. Gateway Industrial Pak, Tonko Realty Advisors. Mall, Ivanhoe Cambridge. Deerfoot Mall, Ivanhoe Cambridge. Deerfoot Meadows, Deerfoot South Trade Park, Tonko Realty Advisors. Foothills IV, Tonko Realty Advisors. Ivanhoe Cambridge. Marlborough Mall/ Marlborough Professional Building, 20 Vic Western Commerce Court, Tonko Realty Advisors. Management. Nexen Tower, Realex Property Management.

Eastlake Industrial, Tonko Realty Advisors. Eastlake Portico, Tonko Realty Advisors. Eastlake I & II, Tonko Realty Advisors. Foothills VI, Tonko Realty Advisors. Gulf BOMA’s programs continued to evolve in 2009. In particular, BOMA’s Canada Square, GWL Realty Advisors. Franklin Atrium, Dundee Realty Management. environmental standard, BOMA BESt, proved to be highly popular and sought McFarlane Tower, Dundee Realty Management. Roslyn Building, Dundee Realty after with 49 new buildings being certified this past year bringing our Calgary Management. Atrium I, Dundee Realty Management. Atrium II, Dundee Realty total to 184. I believe this level of activity demonstrates that our industry takes Management. 520 5 Ave SW, Dundee Realty. Management. IBM Building A, Dundee environmental responsibility very seriously. It is noteworthy as well to report that Realty Management. IBM Building B, Dundee Realty Management. IBM Building C, the scores realized by Calgary buildings are consistently among the highest scores Dundee Realty Management. 435 4 Ave SW, Dundee Realty Management. Dominion in the nation. Our industry members deserve our congratulations for this Centre, Dundee Realty Management. Life Plaza, Dundee Realty Management. outstanding achievement. We have moved closer to our objective of positioning Provincial Building High River, Alberta Infrastructure. Calgary as the national leader in environmental matters related to the built - 6 - environment. - 7 -

VOLUNTEERS

Volunteers are the human capital that never appears on our “ balance sheet. Industry associations could not function

without members serving in some voluntary capacity. BOMA ERIC TOKER TOKER & ASSOCIATES EH&S BEST PRACTICES WORKING GROUP Calgary is blessed with a large cadre of volunteers serving on EH&S EXECUTIVE FRED EDWARDS SERVPRO CLEANING FRED MILLS DELTA FACILITY its Board of Directors, on numerous committees and those that MANAGEMENT GABBY FRANCO STANDARD LIFE GERRY JOBAGY STANDARD LIFE GLEN step forward to willing assist with organizing many BOMA KITTERINGHAM BROOKFIELD PROPERTIES GOLF GOVERNMENT AFFAIRS GRAHAM events and activities. Hopefully it is sufficient to state that KERSLAKE ALTUS GROUP GRAHAM SIDDERS TONKO REALTY ADVISORS GREG PHEIFFER 20 VIC volunteers are the keystone of foundation blocks. We MANAGEMENT GUY PRIDDLE BLJC FACILITY MANAGEMENT HAL CURRIE ENMAX JAMES SANFORD STEBNICKI + PARTNERS JAN GORSEHT CUSHMAN WAKEFIELD LEPAGE JIM HARVIE TELUS appreciate your contributions and are grateful for your gift of CONVENTION CENTRE JIM UTTLEY REALEX JOHN HARDER RJC JORDAN HYSHKA PHH ARC time and expertise to your industry association. -William Partridge ENVIRONMENTAL JOSH CAINES ENCANA KATHERINE KOWALCHUK FIELD LAW KEN THIESSEN

” CANEM SYSTEMS KERRIE NAULT ICM REALTY GROUP KEVIN DELAHUNT BGE SERVICE & SUPPLY LEE THIESSEN ALTUS GROUP LES ANDERSON OXFORD PROPERTIES GROUP LILA KEITH DOME BRITANNIA AARON COFFEY ASPEN PROPERTIES ALAN HOCKING STANTEC ALVIN LAW ALBERTA LORNE MILZ ALBERTA INFRASTRUCTURE MEMBERSHIP MICHAEL KEHOE FAIRFIELD COMMERICAL INFRASTRUCTURE ANDREW BAXTER YALE PROPERTIES AWARDS BARRY THATCHER GE WATER REAL ESTATE MIKE LEBLANC SIEMENS MIKE TESLAK ALBERTA INFRASTRUCTURE MILES DURRIE TECHNOLOGIES BERT RITCHIE EMANS SMITH ANDERSEN BILL EVANS BROWNING PROJECTS BLAIR CALGARY HERALD PAM KENNEDY CADILLAC FAIRVIEW PARNELL LEA BROOKFIELD PROPERTIES CARBERT STONES CARBERT WAITE LLP BRUCE MACKENZIE MACKENZIE MANAGEMENT CONSULTING PATRICIA MAH OXFORD PROPERTIES GROUP PAUL GAUTHIER FUJITEC CANADA PETER MACHARDY BUILDING OPERATOR DEVELOPMENT PROGRAM CARMEL SMETSCHKA H&R GWL REALTY ADVISORS PUBLIC SAFETY COMMITTEE RANDY BORISENKO MORGUARD PROPERTY MANAGEMENT CAROL LEWIS CALGARY HERALD CHERYL VANDEGRAFT MRU CHRIS RANDY BROWN FAHRENHEIT 451 FIRE & SECURITY RANDY DRAGE BGE SERVICE & SUPPLY RANDY HOWARD HOWCO REC CHRIS LOVE HALSALL ASSOCIATES CHRISTOPHER BECKS OXFORD YEE WASTE MANAGEMENT RATNA PATEL 20 VIC MANAGEMENT RAY MCPHEE GWL REALTY PROPERTIES CHUCK PERRY CITY OF CALGARY CINDY MOORE WATTS MECHANICAL CLIVE MILL ADVISORS ROB FETTER HOPEWELL ROB BABIN TELUS CONVENTION CENTRE ROBERT BRAZZELL RESMAN MANAGEMENT CODES + REGULATIONS COMMUNICATIONS DANIEL ALTUS GROUP ROD DUFRESNE CAON SERVICES SAM QUIRING ENCANA SARAH BEGG GREEN POPESCU CADILLAC FAIRVIEW DARRYL KNITTLE MULVEY & BANANI DARRYL ELVERS INTERCON CALGARY STEVE RICKARD RICKARD REALTY ADVISORS STEVE WALTON OXFORD PROPERTIES GROUP SECURITY DAVID MIDDLETON GWL REALTY ADVISORS DENISE SWAIN TONKO REALTY ADVISORS STEVE WESTON BROOKFIELD PROPERTIES SUPPORTING MEMBER COUNCIL TAX TOM DENNIS VILLENEUVE BARCLAY STREET REAL ESTATE DION CHRAPKO GWL REALTY ADVISORS SULLIVAN GWL REALTY ADVISORS TONY HEADLEY GWL REALTY ADVISORS TONY VANDENCAMP DOMENIC MAZZOCCHI 20 VIC MANAGEMENT DON FAIRGRIEVE-PARK BENTALL LP DON GWL REALTY ADVISORS VIC BAGAI H & R PROEPRTY MANAGEMENT WAYNE BROWN CITY OF JOHNSON CONTROLS TRANSCANADA PIPELINES SCHAAB DOUG SLATER EDUCATION CALGARY WENDY CARDELL CADILLAC FAIRVIEW WOJTEK KOWLCZEWSKI YOURHERE INC

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THE AWARDS RENOVATED BUILDING Calgary Place

Oxford Properties Group Certificate of Excellence In terms of achievements, BOMA’s Awards program continues to evolve and following a hiatus the program was re-structured in 2009 to a Certificate of

Excellence program. EARTH AWARD Behind the scenes work was done to developing an Gulf Canada Square online building GWL Realty Advisors management system tool that is expected to radically enhance the awards system in Calgary and in Canada. BOMA Calgary volunteers and staff have spent numerous hours

coordinating the CERTIFICATE

OF development of this local program TOBY AWARD into a national system that will EXCELLENCE promote and recognize building 100,000-249,000 performance and develop and

EARTH measure against Industry Recognized Bank of Nova Scotia

BP Centre Practices or IRPs. Western Service Centre Bentall LP - 10 - - 11 -

PINNACLE PINNACLE

ABOVE & BEYOND INNOVATION SNC Lavalin Nexacor Brookfield Properties

One of the more notable outcomes of this year’s Awards program is that two of our members went on to compete

and win at the National level. Gulf ADVERTISTING Canada Square, managed by GWL AWARD Realty Advisors was

awarded the EARTH BOMA BUILDING GUIDE

Award. Bentall LP was

similarly recognized 1. Sizeland Evans with a Pinnacle Award 2. Sahuri + Partners Architecture for Customer Service. 3. Opus Building Corporation We often maintain that Calgary commercial properties are among PINNACLE the best in the country and the experience at CUSTOMER SERVICE The BOMA Canada National Awards in Bentall LP Montreal underscores

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THE ADVOCATES

Annual BOMA Industry Compensation Survey Reports on approximately 40 different Review Power Engineering Regulations Governs the tasks of building operators; has occupational profiles. Survey adopted by BOMA Edmonton in 2009. Discussions initiated not been reviewed for decades, yet there have been significant advances in manufacturing with major national HR and compensation consultant to improve and enhance BOMA quality, monitoring technologies and industry operating practices. BOMA sent high level survey; goal to produce comprehensive and statistically reliable survey for Canada. delegation to Calgary and Edmonton meetings to present its case for modifications to this regulation. BOMA emphasized that the industry had no interest in compromising public +15 Safety Survey Participation from industry members and general public. Survey safety, and demonstrated it had the ability preserve, protect and enhance public safety in a results used to support advocacy efforts to improve public safety and the general City number of specific ways. The Review Committee listened to BOMA's recommendations and operating polices associated with the +15 system. BOMA regularly discusses +15 safety questioned the BOMA representatives extensively in respect of its recommendations. The matters, through the BOMA Public Safety Committee, with the City Planning Department and Provincial Review Committee continues to deliberate with a final report expected in 2010. Calgary Police Services. Pandemic Preparedness H1N1 was a reality in 2009, but fortunately did not become the Bill 202 Municipal Auditor General Private Member’s Bill lobbied for, but defeated in worst-case out-break. BOMA's Pandemic resources, and in particular BOMA Canada's committee. BOMA represents an industry which is the largest single contributor of property- Pandemic Planning Guide, available free, were a valued resource by industry members and based taxes and advocated for greater level of oversight, transparency and accountability businesses. BOMA Calgary partnered with its members to offer a webinar on practical for the approximate $2 Billion in tax dollar operations budget. BOMA representatives met pandemic preventive tips and solutions. This webinar attracted hundreds in Alberta and from with MLAs, led significant letter-writing campaign, corresponded with the Minister and Chair other venues in Canada. of the Provincial Standing Committee on several occasions. BOMA continues to advocate good stewardship of the public purse. Land Use Bylaw Underwent a first level review to address a number of anomalies as it related to industrial properties. BOMA representatives gave considerable input on the City of Calgary Plan It Report (Municipal Development Plan), which incorporated process, which led to modification of several LUB requirements and practical changes to the the Transportation Plan, represented a comprehensive, extensive and expensive planning interpretation and application of the LUB wording. These modifications benefit the owners initiative by the City of Calgary. Plan It was intended to set a 60 - 75 year planning horizon and operators of industrial properties. for the City. BOMA's direct input through representatives on technical bodies resulted in numerous practical and pragmatic modifications to the documents. Laptop Theft Survey Which collected Calgary data on office laptop thefts was published BOMA's advocacy in regards to the transportation plans not only address the essential by the BOMA Public Safety Committee. Widely published and circulated, this survey was aspects of dealing with commuters, but equally important the focus was on the movement of referenced extensively in the United States and most notably, was used in a security briefing goods and services, of vital importance to the commercial real estate industry. in Chicago, Illinois by the US Homeland Security.

Bill 23 Changes in assessment legislation effective January 1 2010; elimination of previous Coalition for Property Tax Fairness BOMA initiated and led a coalition of eight two level assessment appeal board structure in favour of single composite board. The business organizations in the design and publication of a "City Council Report Card". The Calgary Assessment Review Board (ARB) is now sole board responsible for hearing property report card received extensive media attention over an extended period of time in mid- tax appeals; Alberta will be the only jurisdiction in Canada where the only right of 2009. This objective measure of city council's performance, and voting record in particular, assessment appeal is to the municipality which prepared the assessment. To address was intended to promote transparency and public accountability in Calgary's municipal anticipated taxpayer concerns of impartiality and objectivity, members of Alberta Municipal government. A similar and greatly improved report card has been planned for 2010. Government Board (the second level of the previous system) will serve as presiding officers on panels of the ARB. BOMA Calgary monitoring these changes in 2010.

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THE SCHOOL THE FINANCIALS*

Education continues to be one of the pillars mounted on the BOMA foundation. Building Operator Level 3 – Introduction to Building Operations was successfully launched online and given pre-requisite status by the regulating body, Alberta Boiler Safety Association (ABSA). OPERATIONS This modular program allows users to take what they need, whether it be a refresh on a certain aspect or the entire course to prepare for…Building Gross Revenue $861,963.85 Operator Level 2 – 5th Class Power Engineering Course which was offered Gross Expenditures $825,284.41 in the spring of 2009 in the classroom format with a 90% completion rate. Net Revenue $ 36,679.44 BOMA formed a new partnership with PanGlobal Learning Systems to publish industry specific and customized learning materials. BOMA's RESERVES (Under Review) BOMA continued to offer BOMI courses including FMA mandatory course Technologies for Facilities Management and Ethics Is Good Business. Operational Reserve $150,000 Advocacy Reserve $40,000 The BOMA Environmental, Occupation Health Special Initiatives Fund $10,000 & Safety Committee, in partnership with the

Alberta Government, formed a Working Group and created Recommended Practices in Total Reserves $200,000 Health + Safety, A Guide for Building Owners + Managers.

New in 2009, BOMA partnered with the Real Estate Council of Alberta (RECA) to offer the in class session of the RECA Mandatory Course.

Rounding out the mandatory and training courses was The Art of Blackberry, a device training session and a Practical Solutions for Pandemic Readiness Webinar. And no year would be complete without *Buchanan Barry presently preparing the audited statements Pizza and BBEER, a BOMA BESt Lunch + Learn.

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