Regional Economy

ohio city's great lakes brewing adds two 300-barrel fermentation tanks
Great Lakes Brewing Company is now the 18th largest craft brewery in the U.S. and the 27th largest overall. The company brews more than 110,000 barrels of handcrafted beer every year.

The brewing process takes place in a warehouse at Carroll Avenue and West 28th Street near the West Side Market. Visitors to Great Lakes Brewing Company's flagship bar and restaurant on Market Avenue often can catch a whiff of the beer brewing and fermenting as they walk in to grab a pint.

Recently, Great Lakes purchased and installed two new 300-barrel fermentation tanks to further expand its brewing capacity. The new equipment, which was hoisted in by crane through the roof of its Carroll Avenue tank farm, is on top of $7 million in capital improvements completed in 2010 to expand capacity.

Great Lakes beer is now available in 13 states and Washington D.C., and the company has a philosophy of supporting sustainability and natural, locally grown food. Owners Patrick and Daniel Conway have plans to deepen Great Lakes' presence in existing markets as they celebrate its 25th anniversary in 2013.


Source: Great Lakes Brewing Company
Writer: Lee Chilcote
orlando baking company will expand its operations, add 15 workers
The Orlando Baking Company, which was founded in 1872 in Castel di Sangro, Italy and came to Cleveland in 1904, has received a $1.3 million Clean Ohio grant to clean up a brownfield adjacent to its facility at E. 79th and Woodland Avenue. Orlando plans to expand onto the property, retaining about 40 jobs and creating 15 new jobs. 

The funds will be used to demolish and remediate the former Van Dorn property at 2700 E. 79th Street. The City of Cleveland is a partner in the cleanup project.

Orlando Baking sells bread throughout Northeast Ohio and around the country. Orlando recently introduced a probiotic bread that contains the same healthy microbes that exist in foods such as yogurt. The company has expanded several times in its Cleveland location, and currently employs about 300 workers.

Clean Ohio grants are provided through a competitive application process to allow for the reuse of commercial and industrial properties that are currently underutilized. Since its inception, 150 Clean Ohio Revitalization Fund projects have been awarded more than $295 million, leveraging $2.5 billion in private sector investment and creating and retaining more than 12,500 jobs.


Source: Ohio Department of Development, Orlando Baking Company
Writer: Lee Chilcote
owner of thriving downtown real estate biz nabs realtor award
Scott Phillips Jr., president of Keller Williams Realty Greater Cleveland, has been named one of Realtor Magazine’s 30 Under 30. Each year the magazine recognizes 30 young practitioners who are making a mark in the real estate industry through success in real estate sales, business management, leadership, or community service.
 
Tapping into the renewed interest in downtown living, Phillips, 28, has grown a thriving real estate business out of an old factory in the Warehouse District focused on the urban market. Since 2009, Phillips has grown his office to 29 agents and employees with a capital budget of $1 million. In the past year alone he has added eight people to his team.
 
Phillips is the first Ohio agent to win the 30 Under 30 award in 12 years. He is Cleveland’s top producing realtor between 2009- 2011, and has sold over $50 million in homes in Cleveland during that period.

“The award is usually reserved for the East Coast and West Coast because those are areas where the purchase prices are typically higher,” explains Phillips.
 
Phillips spotted the market potential in downtown Cleveland after living in the city. “I promoted living in the area before I became a license agent,” he says. “It wasn’t as much about business as being passionate about it.”

 
Source: Scott Phillips, Jr.
Writer: Karin Connelly
salon points to gordon square as model of arts-district development
In a feature titled "Urban entertainment districts: Blocks where no one has fun," Salon writer Will Doig describes the modern “urban lifestyle destination” as a "swath of cityscape whose character has been preordained by a city council vote and is now identified by brightly colored banners affixed to lampposts."
 
“The problem with these created-overnight districts is that you’re trying to create a culture as opposed to letting one grow,” Nathaniel Hood, a Minneapolis-based transportation planner, is quoted in the piece. “You’re getting the culture that one developer or city council member thinks the city needs, as opposed to the ground-up culture that comes from multiple players.”
 
Cleveland's Gordon Square Arts District is mentioned as an example of a neighborhood that got it right.
 
"[Milwaukee's] Water Street is an example of how, when the city declines to step in, citizens will. In a less cacophonous way, Cleveland has done this with its Gordon Square Arts District, where a group of nonprofits got together and created their own urban district where theaters already existed.
 
“You had three very humble nonprofit organizations, no powerful boards, that just needed capital improvements,” says Gordon Square's executive director Joy Roller.
 
Read the rest of the good news here.
babies travel too takes top award at bad girls graduation
More than 100 people turned out May 16 at the Ohio City Firehouse to celebrate the newest graduates of Bad Girl Ventures’ business plan competition. Babies Travel Too was the recipient of a $25,000 loan from KeyBank.
 
Babies Travel Too was created by Alison Musser, who based the company on her own experiences as a parent. The company provides nightly and weekly rentals of full-size cribs, car seats, strollers and other essential baby gear to people traveling to the Cleveland metropolitan area. The equipment is JPMA-certified and sanitized before every rental.

“Musser not only had a good idea; she was the right person to run the business,” says Rachel Czernin, director of marketing and developments for BGV. “She is smart, dedicated, and has personal experience in this area. She uniquely understands the predicament traveling mothers have and has the business sense to develop her concept and turn this regional business into a national business.”

Three additional companies received $5,000 loans from The Giving Back Gang. Those companies were: Anne Hartnett, creator of Harness Fitness, Inc., Cleveland's first sustainably run group cycling studio and fitness clothing retailer; Karen Malone Wright, creator of TheNotMom.com, a blog for women who are childless; and Kelley Hynds creator of Hyndsight Media, an online video journalism platform that provides short-form video web spots on current social and civic topics.
 
The event was sponsored by Huntington Bank, Additional support came from The Cleveland Foundation and The Business of Good Foundation. “Catering was provided by past finalist and loan recipient Hungry Bee Catering.
 

Source: Rachel Czernin
Writer: Karin Connelly
q & a: cara lageson, community manager, yelp cleveland
As Yelp Cleveland community manager, native Northeast Ohioan Cara Lageson is a pro-Cleveland powerhouse. When she's not busy penning reviews -- she has logged in about 400 -- she connects "Yelpers" and local businesses by coordinating marketing outreach that extends well beyond the digital realm.
2013 cle film fest will be bigger, better, longer, later
It is hard to believe, but this year's Cleveland International Film Festival -- the 36th annual -- once again broke the previous year's attendance figures.
 
The 11-day film festival, which wrapped up on Sunday, April 1, checked in a record total of 85,018 filmgoers. This is a 9-percent jump from the previous year and a whopping 143-percent increase from 2003. What's more, the festival saw it's largest single-day attendance on Saturday, March 31, with 13,176 coming to see a film.
 
Changes to next year's festival can only add to those numbers. Organizers will be adding a full day of films -- making it a 12-day festival -- while pushing back the dates. The 2013 film fest will begin almost two weeks later, running Wednesday, April 3 through Sunday, April 14, at Tower City Cinemas.

Here's looking to another record-setting year!
goldman sachs chooses cleveland as next entrepreneurial center
Goldman Sachs announced last week that it will bring its 10,000 Small Businesses (10KSB) initiative to Cleveland. The initiative commits $500 million to entrepreneurial education, access to capital and technical assistance services. Goldman Sachs and the Goldman Sachs Foundation have pledged $15 million to Cleveland.
 
Cleveland is the seventh city to host a 10KSB. Unlike many organizations in Cleveland that focus on startups, this program is designed for existing small business owners who are ready to grow their companies and create jobs.
 
“We’re really excited about this because it fills a gap,” says Jumpstart CEO Ray Leach, who has been in talks with Goldman Sachs for nearly a year about bringing the initiative to Cleveland. “It puts a new focus on the segment of the market that includes existing low-tech, medium-tech and high-tech companies that have been in business for a while.”
 
Other local organizations involved are Tri-C, the Urban League, the Northeast Ohio Hispanic Chamber of Commerce and COSE.
 
Leach says Goldman Sachs saw Cleveland as primed for growth. “The entire ecosystem in Northeast Ohio is already pretty robust, so if they brought the program here it could generate jobs more quickly,” he explains. “The philanthropy will go further here than in an area less organized.”
 
Tri-C will host the 11-session course beginning in September. The course is intended to be a practical business management education program that helps entrepreneurs develop skills they need to grow a company. Selected participants receive a series of one-on-one business advising sessions from professionals to help develop a tailored plan for growth.
 
Business owners eligible to apply for the program generally have been in business for two years or more and typically have at least four employees and a revenue stream of $150,000 to $4 million per year. Applications for the free September session are being accepted through July 2. Future sessions will be offered on a quarterly basis.
 

Source: Ray Leach
Writer: Karin Connelly
huffpo publishes mike symon's love letter to cleveland
"Cleveland, You have been my best friend for over 40 years," writes Symon, in a heartfelt love letter to his one and only native town.
 
"I hid from you like every other teenager with a skateboard and BMX, choosing to play in the suburbs, a wide world of vanilla filled with malls, chain stores and entirely too much mediocrity."
 
"It wasn't until I left you that I realized how amazing you are and all the great treasures you possessed. Whether it was the old world headcheese at The Sausage Shoppe, amazing pierogies at Sokolowski's or the perfect steak and steam at the Shvitz, you were -- history and culture aside -- loaded with old-world culinary traditions that most cities could only imagine."
 
Enjoy the rest of his ode here.
entrepreneurs organization seeks to boost local companies to $1m mark
The Cleveland Entrepreneurs’ Organization is one of the oldest and strongest chapters of the worldwide organization. Comprised of 115 members who are founders of business with at least $1 million in annual gross revenues, the members network, socialize and share their success stories.
 
Now the EO wants to share its collective knowledge with other entrepreneurs through its Accelerator program. Started three years ago, the purpose of the program is to educate and mentor small businesses to help them grow. “EO Cleveland decided to step out and take companies that are under $1 million and grow them into million-dollar companies,” says EO member Gene Roberts. “The concept is, if we can accelerate them to the $1 million mark, we can make them members.”
 
Participants must have businesses that make at least $250,000 annually to participate in the three-year program. EO members speak about their experiences and provide one-on-one mentoring once a month for a year. Accountability groups meet to share their progress, and regular events are designed to share advice and success stories.
 
“Our EO members meet with Accelerator group members once a month and talk about responsibility, how to get focus to grow, and 10 goals for growth,” says Roberts.
 
The Accelerator graduated six members in 2011. Ideally, Roberts says they would like to host 30 entrepreneurs in each class.
 
Source: Gene Roberts
Writer: Karin Connelly
'downtown cleveland is surging,' says salon
In an article titled, "Rust Belt chic: Declining Midwest cities make a comeback," Salon writer Will Doig reports on the surprising growth and popularity of former Rust Belt cities like Cleveland, Detroit and Pittsburgh.
 
"More than any other city in America, Cleveland is a joke, a whipping boy of Johnny Carson monologues and Hollywood’s official set for films about comic mediocrity," Doig begins.
 
"But here’s what else is funny: According to a recent analysis, the population of downtown Cleveland is surging, doubling in the past 20 years. What’s more, the majority of the growth occurred in the 22-to-34-year-old demo, those coveted 'knowledge economy' workers for whom every city is competing."
 
This newfound growth and appreciation can go one of two ways, writes Doig. "Demand for decay could spell a new era for post-industrial cities -- or run its course as a faddish blip that attracted more media coverage than actual converts."
 
Cleveland-based writer Richey Piiparinen argues for the former.
 
"The country in the 2000s, it became about growth, glamour, living beyond your means,” Piiparinen says. “It was all aspiration. Now we’re comparing the foreclosed glass condo tower to the old brick building that’s stood for a hundred years.”
 
Read the rest right here.
cuyahoga arts & culture accepting grant apps, hosting workshops
Cuyahoga Arts & Culture is accepting applications for its 2013 grant programs. Nonprofit organizations offering arts and culture programming in Cuyahoga County are encouraged to apply.
 
To learn more about its Project Support grant program, Cuyahoga Arts & Culture encourages applicants to attend one of three informational workshops, to be held June 5, 7, or 13.
 
“In 2012, CAC is investing $15 million in 154 organizations throughout Cuyahoga County, and we welcome organizations offering arts and culture programs to apply now for CAC grants in 2013,” explains Executive Director Karen Gahl-Mills. “Our county is fortunate to have this source of public funding for arts and culture, which strengthens our community by making it a better place to live, work, and play.”
 
At each workshop, CAC staff will review its grant programs, eligibility requirements, and CAC’s application process. The same content will be reviewed at each workshop. Workshops are optional, but are a valuable learning opportunity for new applicants to the Project Support program. Attendees are encouraged to register online.
 
Click here for more information.
cleveland cyclewerks to move motorcycle manufacturing ops to local facility
Scott Colosimo loves designing cool motorcycles. When he and his partner Jarrod Streng were laid off from their industrial design jobs in 2009, they decided to chase their dream and created Cleveland CycleWerks. (Fresh Water featured him in this article from 2010)
 
CycleWerks bikes feature 250cc engines, are lightweight, simply designed, inexpensive to maintain and get 100 miles to the gallon. They are quite the opposite of America’s typical love of larger, more complicated bikes. “America has typically been home to the philosophy that bigger is better,” explains Colosimo. “But the bigger bikes are not great for riding around town. We’ve actually seen a ton of people who want a smaller bike.”
 
Colosimo describes his designs as “retro-futuristic,” combining vintage looks with the new age. “From afar, they look like perfectly restored old bikes,” he says. “Then you get close and see a little bit of a surprise.”
 
After having manufactured the bikes in China for the past few years, Colosimo and Streng are in the process of moving operations to Cleveland. They bought a 100-year-old warehouse on W. 65th Street and are in the “cleanup phase” of transitioning the building into the new CycleWerks digs.
 
Colosimo plans to do things incrementally. “We’re going to have a balance of manufacturing in Cleveland and manufacturing overseas,” he says. “We’re going to start with assembly and then eventually get into manufacturing.”
 
Colosimo is now turning to Cleveland companies for his manufacturing needs. He’s hired a general contractor to source out the work, but they plan to ramp up slowly. “We want to do it slowly because pitfalls can develop doing it all at once,” he says. “We can collaborate a lot easier locally.”
 
Colosimo has hired two part-time warehouse employees, a part-time technical liaison, as well as a part-time designer and an engineer.

 
Source: Scott Colosimo
Writer: Karin Connelly
growing software company to relocate offices, 150 staffers from beachwood to downtown
Brand Muscle CEO Philip Alexander freely admits that he was initially opposed to moving his firm to downtown Cleveland because he didn't want to give up his breezy, 17-minute commute to the office.

Research studies have shown that the most powerful predictor of a firm's location is where the top executives live. For Brand Muscle's leadership, it was convenient to commute from the east-side suburbs to their offices in Beachwood, where the software firm has grown to 150 employees.

But as the firm outgrew its suburban offices and launched a search for a location that would facilitate its expansion, what happened next was not quite according to script. Brand Muscle's younger employees launched a campaign to encourage Alexander and other leaders to consider downtown Cleveland.

"There was quite a bit of lobbying, actually -- many of our employees are younger, and I was surprised by how many of them wanted us to move downtown," says Alexander. "The increased vibrancy of downtown made us take a look."

In November, Brand Muscle expects to move to freshly leased offices at 11000 Superior Avenue in the Nine-Twelve District. Initially, the firm will lease about 40,000 square feet, but it has the option to continuously expand as needed.

Alexander says that Brand Muscle's new downtown location will allow the firm to better attract younger employees, facilitate networking with other software companies, and provide entertainment options when clients are in town.

Brand Muscle sells software that helps businesses customize marketing materials for local audiences in order to optimize their sales and improve revenue growth.


Source: Philip Alexander
Writer: Lee Chilcote
growing tech firm wins mobile app of the year at tech week
When TOA Technologies began in 2003, founders Yuval Brisker and Irad Carmi had one goal in mind: To eliminate that seemingly endless waiting time for home service calls.
 
“The company founders' reason to start TOA was to use technology to solve the problem of waiting at home for a delivery,” says John Opdycke, vice presidents of worldwide marketing. “The whole company’s purpose is to make sure people arrive on time.”
 
TOA’s ETAdirect Mobility App provides accurate, up-to-the-minute workforce management at the user’s fingertips. The app works on any browser, making it flexible for anybody. “The device is agnostic, no matter what you’re doing,” says Opdycke. “As long as it’s browser based, you can use it.”
 
ETAdirect currently manages more than 60 million appointments annually for many global brands in the satellite/cable/broadband, telecom, insurance, home services and retail industries. The app’s ease of use and accuracy earned it the Best Mobile App award at NEOSA’s Tech Week last month.
 
“It’s nice to win and get recognized for your accomplishments,” says Opdycke. “It’s nice to share with our employees as they work on the advancement of our product.”
 
TOA employs 40 people in its Greater Cleveland headquarters and has more than 320 employees on staff worldwide. They are actively hiring in Cleveland, in particular on the company’s marketing team.

 
Source: John Opdycke
Writer: Karin Connelly
las vegas looks to cleveland casino with appreciation
"Ohio's first casino opened Monday night with long lines of gamblers ready to roll the dice, a glitzy music video instead of a traditional ribbon cutting and a taste of Las Vegas with two bare-midriff showgirls wearing plumed hats and sequined tops," begins this Las Vegas Review-Journal piece on Cleveland's brand new Horseshoe casino.
 
Toledo's casino will open in two weeks, with Cincinnati and Columbus to follow suit by next year.
 
"Las Vegas-based Caesars Entertainment owns 20 percent of the $350 million project and will receive fees for managing it on behalf of majority owner Rock Gaming LLC."
 
Read all the news right here.
with lorktech, case students poised to enter growing flexible electronics market
How does an incorrect soda price at a retailer lead to an emerging tech company? Just ask Case student Mark Lorkowski, who came up with the idea for an electronic shelf display system while shopping for a case of Mountain Dew. With Lorktech, he hopes to drink up a portion of the $250 billion flexible electronics market.
cuyahoga arts and culture helps connect art and community
Free classical concerts held in churches throughout the city, a science, math, technology and engineering (STEM) high school at Great Lakes Science Center, and a partnership between Inlet Dance Company and the Music Settlement are just a few of the unique projects funded by Cuyahoga Arts and Culture

Since 2006, this countywide entity has invested over $80 million in nearly 200 organizations. Recently, CAC released new data showing that for every $1 that it has invested in arts and culture organizations, about $19 makes its way back into the regional economy.

CAC-funded organizations also serve over one million schoolchildren per year and more than 6.4 million visitors to the region. Moreover, about 55 percent of the groups that receive CAC funding require no admission charge at all.

One of the biggest developments in Cleveland's arts and culture scene, however, is the innovative ways in which nonprofit arts organizations are connecting with local communities. Karen Gahl-Mills, the organization's Executive Director, says that one of CAC's biggest areas of growth is in small project support.

"We see arts activity happening in unusual places," she says. "The projects aren't necessarily new, but people know who we are now. We're doing outreach to communities where people were not applying for grants before."

Gahl-Mills also says that Cuyahoga County's robust system of public arts funding, which stems from a countywide cigarette tax passed in 2006, is the envy of many other cities. "A lot of cities look at Cleveland and say, 'They did it, why can't we?'"

In the end, CAC will only be successful if it achieves its mission of maximizing community benefit. "Our goal is to make the community better by investing in arts and culture, so we're reaching into the community in different ways."


Source: Karen Gahl-Mills
Writer: Lee  Chilcote
flee to the cleve: symon picks hometown faves
Where does chef Michael Symon send out-of-town visitors when they come to town? The New York Post asked and he answered, ticking off a list of 10 can't-miss stops.
 
#1 West Side Market
 
“One of the most special places where I bring all my chef friends when they visit," Symon says in the article. “Regardless of whether I bring in chefs from New York or San Francisco or another country, it just blows them away.”.
 
#2 Great Lakes Brewing Co.
 
“Microbreweries are very hot right now; this has been there [almost] 30 years and is arguably one of the best."
 
#3 Velvet Tango Room
 
“It was so ahead of its time,” he says. “It’s been open 18 years; they were doing all the cool things long ago."
 
#4 ABC the Tavern
 
Symon recommends this bar for its cheap drinks and great burgers.
 
Also mentioned: Banyan Tree, Beachland Ballroom, Big Al's Diner, Greenhouse Tavern, Happy Dog and Superior Pho.
 
Read the entire list here:
life core receives $250k jumpstart investment for its cerebral cooling system
Life Core Technologies received a $250,000 investment from JumpStart for its Excel disposable cerebral cooling system, a device that reduces chances of death in a medical emergency.

“Excel has a cooling element that cools the brain 1.5 to 2 degrees Celsius very quickly after cardiac arrest, stroke, or traumatic brain injury,” explains Life Core CEO Mike Burke. “The cooling allows the brain to use less oxygen and prevent oxygen depletion and swelling.”
 
The technology was developed by cardiothoracic surgeon Aqeel Sandhu in the late 1990s. “He discovered though his work with animals that cooling the brain can reduce the metabolic rate and several hours later they came back,” explains Burke. “In 2010, the American Heart Association came up with guidelines stating the cooling as soon as possible after cardiac arrest increases the chances of survivability and retained mental capacity."
 
The JumpStart investment will allow Life Core to conduct additional scientific studies. “We are working with a number of organizations to do additional studies,” says Burke. “We are proving the effectiveness.”
 
Burke is proud that the product is manufactured by a local company and assembled by Patriot Packaging, which employs veterans.
 
Life Core currently has five employees. “We will be expecting to grow as we attain commercialization,” says Burke. “We expect to grow internally with two people and also grow externally through distributors in Northeast Ohio.”

 
Source: Mike Burke
Writer: Karin Connelly