Weekly Market Report – March 7, 2024

Mar 7, 2024 | 0 comments

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Restaurant & Retail Updates

Big Grove Brewery & Taproom plans to open a location in 2025 on the University of Nebraska Medical Center campus. The Iowa-based brewery will open its first non-Iowa location inside UNMC’s Catalyst building, which is under construction at 795 South 48th Avenue. The space will include a brewery, modern patio, private event space and “vibrant, classic taproom.” Big Grove has locations in Solon, Cedar Rapids, Des Moines and Iowa City, Iowa.

Talus Spirits & Sustenance plans to open a location in a new retail strip south of 171st & West Maple Road in the Whispering Ridge area. Talus’ existing location is at 10914 Cumberland Drive in Papillion.

The Whispering Ridge retail building mentioned above is also getting a GOLFTEC store. The Denver-based business provides golf instruction and club-fitting and has an existing location near 114th & West Dodge Road.

Omaha Teriyaki plans to open in 2,000 sq. ft. space at 723 North 114th Street formerly occupied by Pappa Roti, according to Sam Estivo of NAI NP Dodge, who represented the tenant. The Miracle Hills restaurant will have the same ownership as The Best Teriyaki food truck, which is based near 72nd & L Street.

Cunningham’s Pub and Grill’s second location at 3814 Farnam Street in the Blackstone District will hold a soft opening this weekend. An official grand opening is planned for Tuesday, March 12th.

Madida Clothing has opened at Village Pointe Shopping Center between Altar’d State and 402 Eat + Drink. The retailer is a “trend-driven women’s clothing boutique” and also has a store in Lincoln.

Restaurant Industry News – If you plan to dine with a party of six or more, many upscale restaurants would prefer you stay away. According to a recent Wall Street Journal article, large groups are too loud, stay too long and generate per-person checks that are too small. Large parties can put stress on the kitchen and waitstaff. In 2023, groups of six or more made up 8 percent of reservations.

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The “Restaurant & Retail Updates” section is sponsored by Anderson Convenience Market, featuring Quality AMOCO Fuels and serving Omaha since 1952, and proud to announce the return of Quality Amoco Fuels. Look for changes this Summer at Anderson Convenience Market – 8 Omaha area locations!

Learn more about Anderson Convenience market at www.Anderson1952.com

The Big Story

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image of a beautiful home with a landscaped yard and curved driveway to highlight the street of dreams
Photo Above: Aerial view of The Crossroads last September
Photo credit: Brad Williams

Planning Board Approves a Dramatically Bigger Crossroads Development

The City of Omaha Planning Board yesterday approved a dramatically different plan for the Crossroads project at 72nd & Dodge Street.

The total cost of the development has increased from $553.8 million to $861.7 million, and the ownership team has an additional member.

The new plans show a higher value development with a commitment from the City of Omaha to build and operate new parking garages, which would be dispersed throughout the project.

Under the new plans, the parking garage on the southwest corner of 72nd & Cass Street would be demolished. The new vision for The Crossroads is much more expensive and much denser. The mixed-use development would have double the number of residential units originally planned and far less office space.

Retail and entertainment would be a big part of the first phases of development. Representatives from the development team told the Planning Board that the center of the project would have high-end retailers and restaurants. In fact, the owners are currently working on letters of intent for two upscale restaurants and a major entertainment business.

The upgraded plans require an amendment to the 2023 redevelopment agreement. That amendment increases the amount of Tax Increment Financing (TIF) for public infrastructure improvements and the anticipated Enhanced Employment Area (EEA) revenue that will be collected by retail businesses that located in The Crossroads. It also expands the redevelopment area to include the city’s new Central Library now under construction on the southwest corner of 72nd & Dodge Street.

The original redevelopment agreement with KJ Ventures included $79.4 million in TIF and estimated $64.98 million in EEA. The amendment increases the TIF to almost $105.6 million and EEA to nearly $66.8 million.

Woodbury Corporation of Salt Lake City, Utah has joined the ownership and development team. The 104-year-old development company has completed billions of dollars’ worth of projects across the nation.

The city will own and operate multiple parking facilities within the Crossroads development including underground garages. The increased TIF revenues will support infrastructure improvements and the construction of the parking facilities within the mixed-use development district.

The addition of the Central Library property on the south side of Dodge will allow the city to pay for its $20 million contribution to the construction of the library with redevelopment bonds. That project, led by Heritage Omaha, is valued at $150 million and is expected to open in 2026.

Since the original Crossroads structures were demolished, the developer has completed approximately $30 million in site preparation, sewer/utility work and street construction through the site.

The amendment still must be approved by the Omaha City Council.

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Grow Omaha Snippets

Grow Omaha Snippets Sponsored by:

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The City of Omaha and Metropolitan Entertainment & Convention Authority are preparing for a $175 million expansion of convention center portion of CHI Health Center Omaha, according to the Omaha World-Herald. The project would add 24 meeting rooms to the east side of the building. The addition would be constructed over the loading docks below.

In addition to providing more meeting space, the project would enhance the appearance of the building from the Riverfront and Kiewit Luminarium. The additional rooms would help Omaha attract more conventions as the CHI Center currently has only 16 break-out rooms. That number is smaller than convention centers in Omaha’s competitor cities. The project could break ground as early as this fall and be open in 2027.

Urban Village Development received a green light from the Omaha Planning Board yesterday for its $18.5 million, multi-family project at 1508 Marcy Street. That’s just a block south of 15th & Leavenworth Street in the southwest corner of the Old Market area. Plans call for a 4-story building on top of indoor parking with 83 apartments. Units will range from 600 to 1,100 sq. ft. Construction could begin this spring with completion planned for July of 2025.

The long-anticipated rebuild of the 192nd & West Dodge Expressway interchange began earlier this week. The Nebraska Department of Transportation is converting 192nd Street under the freeway into a diverging diamond interchange. Construction should take about a year.

The Open Door Mission is planning a multi-phase expansion and renovation of its campus near 23rd & Locust Street south of Eppley Airport. The project, which would take place over several years, includes a handful of new buildings including a 5-story, 114,000 sq. ft. housing building, a 3-story, 60,000 sq. ft. permanent supportive housing building and a 21,000 sq. ft. hospitality center. The main men’s shelter would be renovated.

Construction is going vertical on Griffin Point, a new retail development on the northeast corner of 180th & Highway 370 in Gretna, according to Oak Investment Real Estate. A new-to-the-market athletic training facility will occupy four bays in the two-building development.

A record breaking 4,408 nominations were submitted last month, and now the public is invited to vote for the metro area’s best attractions, restaurants, retail businesses and hotels. The Omaha Metropolitan Area Tourism Awards uses public opinion to honor businesses in Douglas, Sarpy and Pottawattamie counties that inspire travelers to visit the metro area. Voting is open at OMATourismAwards.com through March 31st.

Grow Omaha Snippets are brought to you by Omaha Car Care with four metro area locations – 131st & Dodge, 58th & Center, 85th & L and 144th & Harrison.

Omaha Car Care “We’ll be along for the ride.”

Business News

Local Business News Sponsored by FranNet of The Heartland:

Berkshire Hathaway is sitting on a cash pile of more than $167 billion. To help readers better understand just how large that number is, Yahoo Finance provided a list of 10 countries with a lower gross domestic product than Berkshire’s current cash load: Ukraine, $161 billion; Morocco, $134 billion; Ethiopia, $127 billion; Slovakia, $115 billion; Ecuador, $115 billion; Oman, $115 billion; Dominican Republic, $114 billion; Kenya, $113 billion; Angola, $107 billion; and Bulgaria, $89.04 billion.

WIT Sports, the digital activation platform across sports and entertainment based in Holmdel, N.J., last month closed a round of funding led by Omaha-based McCarthy Capital out of their Emerging Growth strategy. WIT will use the new funding to scale its operations, fuel product innovation, invest in new verticals, and expand the team.

Lutz, an Omaha-based business solutions firm, has been named a 2024 Top 100 Firm by Accounting Today for the sixth consecutive year, placing 78th.

This week marked Mutual of Omaha’s 115th anniversary. On March 5, 1909, Dr. C.C. Criss acquired the charter of Mutual Benefit Health and Accident Association, along with his wife, Mabel, and his brother, Neil. The company is now listed on the Fortune 500.

Trillion Health & Hormone will hold a ribbon cutting with the Greater Omaha Chamber on Friday, March 15th for its now location at 12002 Pacific Street. Trillion Health & Hormone is “a medical clinic conceived, designed, and built to make women and their health a priority.”

The Boys Town Education Center has been honored with the prestigious 2023 Award of Excellence from the American Concrete Institute for its innovative use of concrete in Nebraska, according to MCL Construction, general contractor on the project. The new school building was designed by DLR Group.

After climbing above growth neutral for December and January, the Creighton University Mid-America Business Conditions Index, a leading economic indicator for the nine-state region stretching from Minnesota to Arkansas, slumped below the 50.0 growth neutral threshold for February. The reading dropped to 49.1 from January’s 50.9.

Scotsman Guide, Inc. of Bothwell, Wash. published an article proclaiming the Great Plains region as “an economic powerhouse in recent years.” The states included were Iowa, Kansas, Missouri, Nebraska, North Dakota, Oklahoma and South Dakota. The article focused on the Omaha area more than any of the other Great Plains cities or states. The article said Omaha is experiencing robust job growth and a building boom.

Federal Reserve Chair Jerome Powell said Wednesday that the central bank won’t begin cutting its key interest rate “until it has gained greater confidence that inflation is moving sustainably toward” its 2 percent goal, noting the move will likely occur “at some point this year,” according to USA Today.

This section is sponsored by FranNet of The Heartland, the local, trusted franchise experts. They are “in the business of helping you get into business!”

Grow Omaha Residential

Douglas County Residential Real Estate Growth Since 2016

By Joe Finlay

Ahead of the spring real estate market, buyer and sellers are more aware than ever of their switching costs. Sellers are becoming more impatient with the rise in mortgage rates that have kept them from moving on with their lives. Lifestyle changes for these sellers will drive the spring market, increasing the number of available homes and giving options to buyers.

Lifestyle changes and seller impatience are two of the important factors that keep the Omaha housing market stable. Nationally, the average person makes a real estate move every eight years. Below is a look at the past eight years of residential real estate growth in Douglas County showing the stability of our market.

Average Sales Price
2016 – $204,500
2023 – $346,450

Average Days on Market
2016 – 30 days
2023 – 14 days

List Price to Sale Price Percentage
2016 – 98.5 percent
2023 – 100 percent

Average Interest Rate
2016 – about 4.5 percent
2023 – about 6.75 percent

Bottom Line
As you consider your real estate options this year, consider the impact it will have on your life eight years from now. If the next eight years are similar to the past eight years, homeowners will significantly increase the equity of their home regardless of interest rates. Let’s connect and talk through the changes in your lifestyle may affect your future.

Grow Omaha Residential is developed and sponsored by Joe Finlay, REALTOR with NP Dodge Real Estate.

Grow Omaha University

Leadership & Sales Insights for Ambitious People

Compiled by Grow Omaha co-founder and sales trainer Jeff Beals.

Sponsored by Dundee Bank

LEADERSHIP & MANAGEMENT

Humility is a desirable trait among leaders, but too much of a good thing can be bad. According to the Harvard Business Review, being overly humble can damage your perceived authority: 1. You may be seen as indecisive; 2. You may hinder your career advancement; 3. You may be limiting your team’s advancement.

There were 55 million meetings held in the United States each week in 2023, according to The Hustle. That’s more than a billion meetings a year. Workers average of 7.5 hours per week in meetings. The U.S. economy loses $37 billion each year to unproductive meetings.

Employee confidence fell to 45.1 percent in February’s Glassdoor Employee Confidence Index. That’s the worst rating since 2016, according to Fortune.

Book Recommendation – Brandon Bornancin has achieved massive success in his life. Early on, he became a serial salesperson with more than $100 million in sales. Today, he’s a successful tech startup entrepreneur (Seamless.AI) with experience hiring, mentoring and working alongside highly talented professionals. His new book dropped today: The Power of Going All-In. Details HERE.

Last year, the average time it took to hire an employee reached a record high of 44 days, according to Fortune.

Business Travel – What can you do about rising airline baggage fees? Steve Glenn of Lincoln-based Executive Travel has a few tips. You might want to apply for an airline credit card, as they often include free luggage if you purchase your ticket using that credit card. If you fly enough to become an elite member of a frequent flyer club, you get free checked baggage waivers. Of course, you could just travel light with only a carry-on.

SALES

Sales guru Mike Weinberg has two rules when selling: 1. Create the most value and best outcome for the client; 2. Give yourself the best chance of winning the sale. Don’t let a customer dictate a process that violates those rules. “You’ll have more fun and increase your win rate when you stop acquiescing to selling process requests that don’t help you.”

Sixty percent of customers say no four times before saying yes, but 48 percent of salespeople never even make a single follow-up attempt, according to HubSpot.

The BragBird online sales training program gives you an edge when competing for new business. There are 40 modules, each a different topic with a video and matching workbook. It’s only $79 per month and group discounts are available. You can cancel at any time. If you’re ambitious, click HERE now!

WISDOM

“There’s always somebody who is paid too much and taxed too little – and it’s always somebody else.” – Cullen Hightower

Founded in 2006 right in the heart of Omaha’s Dundee community, Dundee Bank is all about local ownership, friendly customer service, and supporting the needs of our beloved community. With nearly 100% of your deposits going right back into our neighborhoods, Dundee Bank is committed to fueling growth, enabling loans, and fostering stability for you and your neighbors. So why not open an account at Dundee Bank and discover what it means to truly support local?

https://www.dundeebanking.com/

Did You Know?

Surprising Facts, Figures & Points of Pride That Make Omaha Unique

This section is sponsored by Lockbox Storage.

Did you know that the size of Eppley Airport’s terminal will increase from 375,000 sq. ft. to approximately 646,000 sq. ft. as part of the $950 million terminal modernization and expansion program?

Did you know in the early days of Omaha history, the downtown area had only diagonal parking instead of parallel parking? Diagonal parking allowed for more than one horse and wagon to park in front of a business. When cars came into being, parallel parking became an option. Source: Historian Howard A. Hamilton.

Did you know that the project to add a third building to Joslyn Art museum costs more than $100 million? The Rhonda & Howard Hawks Pavilion will open to the public September 10th.

This section is sponsored by Lockbox Storage, an affiliate of Omaha-based McGregor Interests Inc. We provide storage solutions for all of your storage needs. Our facilities have full-time managers and bright lighting to provide superior security for your belongings. In addition to space for rent, we also provide packing supplies, protection plans and locks along with complimentary handcarts and dollies. Visit LockBox Storage and let us help you with all your storage needs.

Upcoming Events in the Metro

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Marigold Lunch & Learn | Storytelling Through Video Marketing on March 12th: Want to learn why good storytelling through video marketing can make a huge impact on your small businesses brand? Kaleb Duncan, owner of Kaleb Duncan Photography, will talk about his expertise in telling compelling, creative and unique stories through video marketing. Small business owners, entrepreneurs, marketers and professionals interested in storytelling, video marketing and content creation are encouraged to join in!

Modus Free Coworking Day and Happy Hour on March 14th: Experience the freedom of coworking at Modus’ monthly FREE coworking day, held every second Thursday of the month from 8 a.m. to 5 p.m. Work in a vibrant atmosphere with high-speed wifi, and take advantage of our office amenities. And that’s not all – enjoy the delicious Amateur Coffee and Artemis tea throughout the day. As the day winds down, stick around for our complimentary happy hour starting at 4 p.m., where networking opportunities abound. Indulge in free wine and snacks and connect with fellow professionals in a relaxed setting.

Relief Printmaking on March 14th: Join instructor Josie Langbahn at Lauritzen Gardens to learn the basics of printmaking in a fun and inspiring environment. In this hands-on workshop will be creating prints using relief and monotype methods of printmaking. All materials provided. Absolutely no experience is necessary, just make sure to preregister for the event!

Night Light: Adults-only happening on Thursdays: Thursday evenings at the Kiewit Luminarium are reserved exclusively for adults! Delve into our engaging exhibits and stimulating events designed to broaden your mind and ignite delight. Adult drinks will be available for your enjoyment all night long! Whether you come with a companion, a date or by yourself, it’s the perfect setting for an adults-only experience.

Art Fluid Open Studio Night on March 15th: Hot Shops Art Center is hosting another open studio night! This free event focuses on what is most unique about the Hot Shops- experiencing the creative process. Featured exhibit is from Creighton University Kappa Pi showcasing SPECTRA. There will be a cash bar and snacks available throughout the evening.

This Upcoming Events section is sponsored by Eagle Mortgage Company, is a locally owned and full-service mortgage company in Omaha.

Eagle Mortgage can help you realize your dream of owning a home.

People in the News

Sponsored by The Greater Omaha Chamber

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digital rendering of Flatiron District project buildings

Security National Bank has appointed Teresa Layton as vice president-senior trust officer, within the private client services team based at its Three Pacific Place headquarters at 1120 South 101st Street. She has more than 30 years of trust and wealth management experience.

Hancock/Dana has hired Paula Bruggeman as an accounting specialist. An Omaha native, she attended San Diego State University and recently passed her Enrolled Agent exams.

WoodmenLife has appointed Lance Mayers of Panama City, Fla. to the role of regional director for the state of Florida. He began his WoodmenLife career as a Florida sales representative in 1991.

The Greater Omaha Chamber is a catalyst and connector, advocating for businesses small and large. Learn, share and grow with more than 12,000 professionals from 3,000 member businesses across Greater Omaha. Click HERE to see our latest events.

Wall Street: The Week in Review

with George Morgan

Morgan is the founder of Morgan Investor Education of Omaha.

Sponsored by Baird Holm Attorneys at Law

Views and opinions expressed herein are solely those of the author.

Okay, boys and girls, it’s time for a vocabulary lesson. Our word for this lesson is “misnomer.” A misnomer is the improper use of a word to describe a person or thing. Such as saying that my favorite peanut butter and jelly sandwich is a gourmet meal. Or that Taylor Swift is a classical musician.

Yahoo Finance announced that for the first time ever, American investors hold more assets in index funds than they do in actively managed funds. This translates into $14 trillion worth of index funds, or roughly one quarter of the total U.S. market.

The largest mutual fund in the world is the original Vanguard S&P 500 fund, with assets exceeding $1 trillion.

There are several misnomers about index funds. The first misnomer is to call them a passive investment strategy. The product index fund is passive, but investors do not always use them in a passive way. Wall Street legacy firms, and the growing number of Registered Investment Advisors, use computer-driven portfolios as their primary investment methodology. These robo accounts are computer-generated portfolios that contain a mix of index and actively managed funds. The portfolios are rebalanced when the fund mix deviates significantly from the target allocation, causing index funds to be bought and sold on a routine basis.

Index funds come in two flavors. The traditional Net Asset Value format that is held at the fund and the Exchange Traded Fund version that is bought and sold on the exchanges. ETFs are traded just like a stock, and their price is based upon supply and demand, just like a stock. A quick look at the Wall Street Journal’s most actively traded issues reveals that, on a consistent basis, three of the top 10 most actively traded stocks are ETF index funds.

The second index fund misnomer is applying the term index fund to all 3,500 funds bearing that title. The original concept behind an index fund was to arbitrarily blanket the market without cherry picking which stocks to include.

Ninety-eight percent of those funds that call themselves an index fund are some bastardized form of the virgin three – the Dow, the S&P 500 and the Nasdaq. All the others were created either in a smoke-filled Wall Street marketing department or in the office of a cloistered academic. All these IFINO (index funds in name only) are a slight variation of stock picking. They are an attempt to outsmart Mr. Market, which according to the data, is an exercise in futility – in most cases.

If you’re one of those brave and hearty souls who manages your own account, you need to do your homework and not be fooled by index funds in name only. Prudent investors also understand that they have options when using index funds, While buy-and-hold-forever is an option, they can also take Ben Graham’s advice and when Mr. Market offers to either buy or sell you his stock at a ridiculous price, they can make him a happy camper.

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Have You Watched Grow O on Video Yet?

Jeff Beals, Trenton Magid and a guest in the KFAB 1110 Radio Booth

The Grow Omaha radio show broadcasts live every Saturday morning at 9:00, but now you can watch videos of each episode instead of just listening.

Grow Omaha’s brand-new website features video footage shot inside the radio studio during each week’s show!

Videos include News of the Week, Lightning Round, guest interviews, and “Grow Omaha Uncut,” a behind-the-scenes look at what happens during commercial breaks.

Support the Grow “O” Mission

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