Daily Business Report-March 11, 2014
San Diego Ranked as Third Best
Biotech Region in the Country
San Diego was ranked third in the nation for top biotech region by Genetic Engineering and Biotechnology News. The ranking was based on number of patents awarded, NIH grant funding, venture capital funding, total lab space in the region, and total number of jobs. San Diego’s industry group Biocom counted 56, 605 jobs in the region in 2012, 143 more jobs than Boston, the No. 2 ranked region.
The top two regions are the San Francisco Bay Area and the Boston/Cambridge Mass. area.
The San Diego region placed third in patents (1,335), VC funding ($386 million), and lab space (13.05 million square feet). But the city lagged in NIH funding (seventh at $98.4 million) despite its dense concentration of research institutes and one of the larger campuses within the University of California system.
The seven other regions of the top 10: Maryland/Suburban Washington, D.C.; New York; Seattle; Philadelphia; Raleigh-Durham, N.C.; Los Angeles; and Chicago.
No Raises for the Mayor or City Council
The San Diego City Council voted Monday to maintain current salaries for the mayor and council members for the next two years, and seek procedural changes to how compensation is determined for elected officials.
The mayor currently makes $100,000 and change annually, while City Council members earn a little over $75,000.
Bob Ottilie, the leader of the Salary Setting Commission that recommended no pay changes, told the council members they had made it clear in recent years that they didn’t want a raise.
While the council held the line on salaries during the recession and resulting fiscal crisis in municipal government, Ottilie said the city was risking a leadership drain by offering relatively low pay to elected officials.
“Any further delay in addressing a problem the commission has warned you of over the last six years will have, in our view, catastrophic consequences to our ability to attract the largest number of talented individuals in the candidate pool for the city’s leadership positions,” Ottilie said.
He said only people who don’t already make $75,000 a year, or the wealthy, can afford to run for office. Salaries would have to be increased by 30 percent just to meet the higher cost of living, he said. – City News Service
Five North County Cities Unite to Attract Business
Five North County cities that are launching a cooperative branding campaign have come up with some ground rules that discourage poaching companies from each other and instead focus on working together to better compete with San Diego, the U-T San Diego reports.
The branding campaign, which aims to attract new businesses by highlighting North County’s strengths as a region, will include a variety of aggressive marketing efforts that a consultant is scheduled to unveil in late May.
Before those efforts begin, leaders of each city — Oceanside, Escondido, Carlsbad, Vista and San Marcos — are approving a five-year memorandum of understanding to help govern and coordinate their partnership.
Carlsbad, Vista and San Marcos are scheduled to approve the three-page document tonight. Oceanside approved it Feb. 19, and Escondido is scheduled to approve the agreement March 19.
“The philosophy is we promote our North County region first and our cities second,” said Jenny Windle, economic development manager for San Marcos. The agreement encourages cooperation and discourages competition among the cities, which are linked by state Route 78.
“The cities acknowledge that intra-regional competition may be counterproductive to regional economic development,” the agreement says. “While individual cities want to encourage businesses to locate within their boundaries, they prefer not to do so at the expense of their neighbors.” It also addresses poaching and incentives.
Taylor Morrison Homes to Build 146 Homes in Carmel Valley
Taylor Morrison Homes has purchased 29 acres of land in Carmel Valley to build two residential developments consisting of 146 market rate homes and 28 affordable housing units. The approved developments are The Ivy (146 homes) and The Elms (87 homes). The property was purchased from the Lin Family Trust. It spans both sides of Highway 56. Colliers International brokered the sale.
MachineTek Buys $2.4 Million Building
CARLSBAD — A 21,400-square-foot industrial building has been sold for $2.4 million to Carlsbad-based MachineTek, which manufactures honeycomb core components for the aerospace and defense industries. Located at 1985 Palomar Oaks Way, the building was purchased with SBA-504 financing assembled by CDC Small Business Finance and Avana Capital. MachineTek CEO Kevin Darroch expects to save $2,000 a month by owning his facility versus leasing it. Loan officer Merri Adams of CDC facilitated the transaction, with involvement from commercial real estate brokers Mike Erwin and Tucker Hohenstein of Colliers International.
NextImage Medical Completes Acquisition of WorkWell
NextImage Medical of San Diego, a radiology imaging company servicing the workers’ compensation market, has completed the purchase of WorkWell Inc. of Duluth, Minn., a physical therapy wellness company. The individual company product lines will continue to operate under their respective names. Liz Griggs, chairman and CEO of NextImage Medical, will become the CEO of the combined entity. The financial terms of the acquisition were not made public. NextImage Medical is backed by Louisville, Ky-based Chrysalis Ventures. The firm’s managing partner, Koleman Karleski, sits on the company’s board of directors.
“WorkWell has been known for very high quality physical and occupational rehabilitation training and producing significant cost savings through providing faster return to work, improving function, and helping employers avoid similar future injuries from specific jobs,” said Griggs.
Andaz San Diego Hires New Director of Sales and Marketing
Andaz San Diego has named Christopher Wingerberg as its new director of sales and marketing. Wingerberg will direct sales, catering and marketing efforts for the Gaslamp Quarter hotel and its roofTop60 and the Andaz Wine Bar.
Wingerberg has been with the Hyatt family since 2006 and brings several years of hospitality experience to Andaz San Diego. He began his career with the Grand Hyatt Kauai Resort and Spa in Kola, Hawaii, and most recently held the position of assistant director of sales with Park Hyatt Aviara Resort and Spa in Carlsbad.
Wingerberg will spearhead a new collection of events, a series of cultural events held at Andaz hotels around the world, including Andaz San Diego. Past Andaz Salons have included everything from local artist exhibits to wine and cheese immersions. Wingerberg intends to offer a completely new selection of events to San Diegans and hotel guests in the coming months.
Covario Promotes Jeff MacGurn to Senior Vice President
Jeff MacGurn has been promoted to senior vice president of Covario, a search and content marketing firm. A 14-year digital marketing veteran, MacGurn will lead Covario’s team of more than 100 specialists in search marketing, social media, content marketing and analytics. He has been with the company for more than six years, joining as a subject matter expert.
MacGurn has been with Covario for more than six years, where he originally joined the firm as a subject matter expert. He has a decade of experience in software and web development for media companies and professional sports organizations. He holds a bachelor’s degree from the UC San Diego.