Gaughan Community Manager, Lauren Cichy, awarded the Certified Manager of Community Associations certification
In case you haven’t heard – Gaughan Community Manager, Lauren Cichy was awarded her Certified Manager of Community Associations (CMCA®) certification last month! The CMCA certification is the only internationally accredited certification program in the Community Association industry. The CMCA recognizes individuals who have demonstrated the fundamental knowledge required to manage community associations.
Lauren joined the team at Gaughan Association Management in July of 2017 and has been knocking it out the park since day one. In 2018, she earned the Rookie of the Year award from the Community Associations Institute – Minnesota Chapter. After taking a brief sabbatical the beginning of 2020, she rejoined the team last Fall and we are very happy to have her back, as are the clients she works with on a daily basis.
An estimated 70 million people live in America’s nearly 345,000 community associations. Running a community association is like running a business. The best way for homeowners to protect their investment is by hiring a management company who invests in training and certification for their management team. Therefore, during the process of managing their communities, homeowners and managers look for qualified professionals to manage their communities. By obtaining the CMCA certification, you will be able to demonstrate to your employer and your community that you have the specialized skills needed. By staying current about community association issues and holding themselves to a high standard of professionalism, CMCA holders demonstrate their dedication to their profession. It is the key to building a successful community management career.
“The ISO/IEC accreditation of the CMCA program provides assurances to homeowners, developers, regulators, and legislators that professional managers who have earned and maintained the CMCA credential have the comprehensive competency and ethical standards to serve their communities.”
Dawn M. Bauman, Former Executive Director of CAMICB
Learn more at www.gaughanhoa.com
St. Paul’s Newest Apartments, Liffey on Snelling
Gaughan Multi-Family has a new apartment complex opening in Spring 2022, Liffey on Snelling.
Located conveniently in St. Paul at HWY 94 and Snelling Ave, Liffey will provide beautiful studios, 1 bedroom, and 2 bedroom apartments. Residents will be able to enjoy an array of amenities including cozy fire pits on a courtyard terrace, gas grills, private workstations, pet wash stations, a state-of-the-art 24/7 fitness center, heated underground parking, bicycle stations, and more.
Liffey, will be the perfect living space to enjoy sporting events, the Minnesota State Fair, concerts and more St. Paul events. Liffey is a short walking distance to the light rail and bus stops, so that residents can easily access cafes, restaurants, entertainment, and a number of parks including trails without needing a car.
“We are thrilled to offer a project that will provide a smart and balanced lifestyle for our future residents. Live Liffey!” – Dan Hebert, Senior Vice President
Gaughan has a reputation for successfully completing and managing multi-family residential communities throughout the Midwest. Each property is carefully maintained by on-site management and caretakers, with emergency maintenance service and exceptional customer service.
Prospective residents can pre-lease their apartment at Liffey on Snelling as soon as Fall 2021.
Learn more on www.liffeyonsnelling.com.
Introducing the Right Financial Partnership
In every industry, it is key to introduce the right partnerships to our customers. Recently, our Association Management team chose to partner with Pacific Premier Bank.
Pacific Premier Bank is ranked in 2020 as one of America’s Best Banks by Forbes and has received a 5-Star Superior rating from BauerFinancial for the last 55 consecutive quarters. Pacific Premier is a Member FDIC bank.
Their specialists are experienced in Condominium, Townhome, Homeowner’s Associations, Community Associations and Planned Unit Development loan programs to meet the specific needs required.
While considering the best partnership for our customers, we were driven to ensure that the selection was a group that was forward-thinking, their services would integrate with our softwares and they had the capabilities for us to grow with.
In addition to meeting the aforementioned criteria and services, a primary focus was to find the banking relationship that efficiently and securely provided the following:
- Online payment channels for collecting homeowner assessments
- Integration with bill pay services to convert homeowner initiated payments to electronic transactions
- No bank service fees for the Association
- Positive Pay to protect the Association’s payables
- Bank data accessible through our management software to speed responsiveness to homeowners
- Enhanced authentication features to protect the Association’s accounts
- Integration to submit new account requests through the management software to streamline the account opening process
- Money market accounts at the most competitive rates; and one-stop investment options for reserves
- A dedicated HOA & Property Banking business unit provides banking services to thousands of HOAs with CAI designated bankers
Ease of access, reporting and most importantly the fraud and security protection tools Pacific Premier Bank tailors to meet the communities’ needs is sure to elevate the communities’ banking experience.
On Tuesday, February 25, 2020 Gaughan Institute hosted an introductory educational event for our Boards and Community Managers. We are excited to share the benefits of this partnership and the momentum this change provides our communities.
Feel free to contact us for additional information.
Pacific Premier Bank is not an affiliate, subsidiary, related party, agent or fiduciary of Gaughan Companies and does not represent or warrant the validity, accuracy, content, completeness, legality or reliability of the information contained in this webpage.
Shakopee Apartments Development Progressing
The Shakopee Apartments Development in Shakopee, MN is progressing well.
This development consisting of luxury market rate apartments, townhomes, restaurant and retail/fitness is on track to break ground this year.
The Riverside Redevelopment project is intended as a vehicle to revitalize and extend development to the westside of downtown Shakopee. This project seeks to be a catalyst for future development. With 170 units, it will
add a significant number of residents into downtown Shakopee. The project seeks to make connections to the Minnesota River and the downtown core.
The site context is dominated by the presence of the Minnesota River, which has great significance both today and historically. The restaurant will provide residents a convenient opportunity to take in the splendor of the
river and surrounding beauty.
Given the Businesses to the west along 1st Street, the project seeks to become a gateway to the City from the west and will add a significant architectural presence. Its design will emphasize the qualities of elegant and durable materials that speak both to its historic nature
and a revitalized future.
For further details on this exciting addition to Shakopee, contact Dan Hebert.
Understanding the Basics of 1031 Exchanges
When a business owner or investor sells a piece of property, the taxes on that sale can be significant. Using a 1031 exchange can help you defer tax payments, under qualifying circumstances. Here, we will explain how this process works and help you understand the basics of 1031 exchanges.
WHAT IT IS
The 1031 exchange gets its name from Internal Revenue Code Section 1031. Under this law, a taxpayer can postpone taxes from the sale of an investment or business property by reinvesting those earnings into another property or properties of equal or greater value to the one sold.
Some of the most common properties exchanged include:
• Apartment buildings
• Retail shopping outlets
• Office buildings
• Duplexes and triplexes
• Industrial buildings
Exchanges once were allowed for any type of investment property, including vehicles, collectibles, equipment, and even patents. Because of changes made by the Tax Cuts and Jobs Act of 2017, exchanges of personal property and intangible business resources are no longer permitted.
IRS GUIDELINES
To qualify as a 1031 tax-deferred exchange, the IRS has a list of rigorous guidelines that must be followed.
• Relinquished property (any property being sold) and replacement property (the property being acquired) must be real estate, or “like-kind” assets. But exchange properties can be of different types, i.e. a duplex seller can buy a retail property, or a land seller can buy an apartment building.
• Replacement property should be of equal or greater value, though that value can be spread across several properties. If replacement property is of lower value, you will be taxed on the difference.
• The most common type of property ID is the Three Property rule. Here the property seller can identify up to three replacement properties within a 45-day window, which includes weekends and holidays. This timeline is activated as soon as your relinquished property sale closing occurs.
• Any replacement property or properties must be fully purchased within 180 days of the relinquished property’s sale. This includes an official transfer of ownership title.
• You are prohibited from holding any money from the sale of the relinquished property you want to exchange. A qualified intermediary, or accommodator, is required to hold onto your money until the new property is purchased.
Failure to follow these regulations will repudiate the 1031 exchange provision, resulting in tax impositions.
BENEFITS
The most obvious benefit of a 1031 exchange is the capital gains tax deferment. By delaying (or ultimately eliminating) the tax burden, you will have more money available for your next investment or investments.
Additionally, a 1031 exchange can be reapplied any time you sell a property. This allows you to increasingly trade into investment properties and significantly grow your net worth.
LET OUR EXPERTS GUIDE YOU
If you have questions about whether this tax strategy can work for your investments, contact us. Tom Opsahl or John Chirhart from our team of real estate brokerage experts can help you navigate the details to ensure you understand the basics of 1031 exchanges.
Gaughan Institute Releases 2020 Schedule
Over the years, Gaughan Association Management has not only recognized the need to ensure their staff is well educated but also the knowledge the Board of Directors and Homeowners need to receive.
The more education provided to the Board and Homeowners, the more efficiently the associations can operate.
Each member of the Board of Directors volunteers their services while taking on significant responsibilities and liabilities. Through our educational sessions, the Boards can become more confident in their decisions. Educated Homeowners also feel secure in their Boards’ leadership.
Gaughan Association Management is excited to release the following schedule of educational sessions for 2020:
Board Basics Insurance: Types of Policies, Market Trends
Presented By: Eric Skarnes, Insurance Warehouse
When: Tuesday, January 21, 2020
Location: Water’s Edge Clubhouse in Hugo
Time: 6:00 pm – 7:30 pm
HOA Lending Solutions
Presented By: George Toubekis, Pacific Premier Bank (PPBI)
When: Tuesday, February 25, 2020
Location: The Tavern Grill in Blaine
Time: 3:30 pm – 4:30 pm
Roundtable Presentations & Discussions
Reserves: Components, Updates and Statutory Requirements
Presented By: Finn Jacobsen, Smith Jadin Johnson
Landscape – Winter Kill/Pet Damage/Grub Control/Chemical Applications
Presented By: Lunseth
Irrigation – Make Every Drop Count: The New Reality of Negligent Irrigation
Presented By: Matt Kuha, Irrigation By Design
Directors and Officers Liability Insurance (D&O): Non-Monetary/Personal/Individual Protection
Presented By: Tony Ciro, American Family Insurance
When: Saturday, March 7, 2020
Location: Smith Jadin Johnson Conference Room in Bloomington
Time: 9:00 am – 11:00 am
Board Basics: Efficient Board & Annual Meetings
Presented By: Smith Jadin Johnson
When: Wednesday April 22, 2020
Location: Smith Jadin Johnson Conference Room in Bloomington
Time: 6:00 pm – 7:00 pm
Board Basics: Landscape & Snow Removal Contracts
Presented By: Birch, Inc
When: Monday, September 21, 2020
Location: Birch, Inc in Little Canada
Time: 6:00 pm – 7:30 pm
Roundtable Presentations & Discussions
Maintenance Obligations: Limited Common vs Common vs Unit – Who is Responsible?
Presented By: Nancy Polomis, Hellmuth & Johnson
Surplus Funds/Minutes and Conducting Reviews/Audits
Presented By: Michael Mullen, Michael P Mullen CPA|PLLC
Insurance: Crime/Fidelity/Employee Dishonesty
Presented By: Jake Nelson, Wise Insurance Agency
Slip & Fall Liability
Presented By: KC Ahrens, Hellmuth & Johnson
When: Saturday, November 7, 2020
Location: Hellmuth & Johnson in Edina
Time: 9:00 am – 11:00 am
Contact us today to register for one or all of the sessions.
We look forward to you joining us!
Employee Education Returns Employee and Customer Reward
At Gaughan, we prioritize in empowering our employees through educational opportunities for their personal and professional growth, which results in our company being able to better serve our customers.
Recently, Rozeanna Berg our Director of Commercial Accounts & Facility Services attended a week long ASM track consisting of Financial Analysis courses, where you learn about the importance of Asset Management and Loan Analysis.
Certified Property Manager (CPM)
The Certified Property Manager (CPM) designation, administered by the Institute of Real Estate Management (IREM), is a professional real estate designation recognized by the National Association of Realtors (NAR). The course schedule for this designation:
- Ethics for the Real Estate Manager
- Budgeting, Cash Flow, and Reporting for Investment Real Estate
- Marketing and Leasing Strategies for retail, multifamily or office buildings
- Leading a Winning Property Management Team
- Managing Maintenance Operations and Property Risk
- Financing and Loan Analysis for Investment Real Estate
- Performance and Valuation of Investment Real Estate
- Asset Analysis of Investment Real Estate
Due to the difficulty of the course load, studying to become a CPM has its challenges. However, the information and knowledge gained from the courses sets you apart from other professionals in the industry.
Rozeanna’s dedication to providing stellar service to our customers, inspired her to enroll in the fast track curriculum to obtain her CPM. She has already completed 9/10 courses necessary for this achievement and has began passing on the educational value to the clients we serve. We will track her progress along the way to reaching this goal.
In addition to Rozeanna being on the cusp of obtaining her CPM, Kelley Lemon, our Director of Multifamily & Facility Services and our Senior Residential Property Manager, MJ Fleming, have just obtained their Multifamily Housing Manager (MHM) designation administered by Quadel.
Multifamily Housing Manager (MHM)
The MHM certification provides staff with the knowledge and skills needed to ensure your multifamily housing properties are in regulatory and occupancy compliance with all HUD program requirements.
Our Multifamily Management team manages a significant portfolio of Class A to C Market Rate and Subsidized assets in the Twin Cities market.
Contact us to inquire about how our Management and Facility Services can provide for your Office, Retail, Industrial or Multifamily investments.
John Chirhart Moderates Annual Land Development Conference
On Friday May 6, 2016 The Minnesota Real Estate Journal held their 12th Annual Land Development Conference at the Golden Valley Country Club. Gaughan Companies’ John Chirhart was moderator for the Opportunities for Commercial Land Development section with a panel that included Brian Pankratz with CBRE, Tony Barranco from Ryan Companies, and Phil Cattanach of The Opus Group. Topics they covered in their discussion included:
- New Opportunities for development is happening in urban core right now
- What types of projects are in consideration for land development
- What are the challenges with land development vs. redevelopment
- Who is active in the market place and what is their risk tolerance and expected returns
- When or will there be a next big wave of land development or is it a thing of the past
Attendees were treated to a wide variety of topics moderated by industry professionals. Other topics in the Land Development Conference included Land Plan Optimization, “Hot” Legal Topics in Land Development, How to Effectively Work With Municipalities, and the Residential Home Builders Roundtable.
John Chirhart started his career in commercial real estate back in 2000 and has been with Gaughan Companies since 2009. During his time with Gaughan Companies, John has been involved in numerous land transactions including recently helping a client sell 157 acres in Lino Lakes to home builder Lennar. John, along with his business partner Lou Suski, have sold hundreds of acres of land in the past couple years and are currently listings hundreds of acres more for current clients throughout the metro and rural areas. If you own any land that you are interested in selling contact the Gaughan Companies Brokerage Department today at 651-464-5700 or contact them HERE.
There’s Magic in a Mission
When my leadership team and I were determining our Mission Statement, it was important to us that we not only convey what we do, but that we care about our clients.
Our Mission Statement is simple but not simplistic:
“We care for people’s real estate interests through Construction, Brokerage, Development, Management and Maintenance.”
Real estate is where life happens, where business is conducted or a family resides. We do not just care for the real estate, we care for the real people who occupy those places.
Our Mission Statement not only says what we do, but it keeps our team laser focused on our purpose and commitment to our clients, which is where the magic really happens!
In the article below my good friend and business colleague Chris Naylor talks about the importance of having a Mission Statement in her blog ‘There’s Magic in a Mission!’ I am confident that if you have not already found your mission this article will give you direction on where to start!
Patrick Gaughan
Gaughan Construction Completes Phase One at City Center Commons
Gaughan Construction’s City Center Commons project has reached a milestone with the completion of building one. Located along Highway 61 on the south end of town, this gorgeous building features a classy brick exterior as well as Silverdale Kansas limestone compliments. The development, paired with the new Forest Lake City Center, brings life to the site that was once home to the former Northland Mall.
The 11,000 SF building is the new home for Forest Lake businesses Thrifty White Pharmacy and Maplewood Oral and Maxillofacial Surgery. The new location puts Thrifty White Pharmacy’s new condensed store model on display as well as providing a drive-thru option for customer convenience. Maplewood Oral was able to increase the square footage of their business by more than double from the company’s previous Forest Lake location.
Stay tuned for updates as the City Center Commons project commences with the completion of building two. The 8,000 SF building will be the new home of Keller Williams and is slated to be completed early Summer 2016.
