Annual Meeting Annual Meeting 2011 2011 2011 2011 The Landings - - PowerPoint PPT Presentation

Annual Meeting Annual Meeting 2011 2011 2011 2011

The Landings Association, Inc. F b 22 2011 February 22, 2011

2010 Association President 2010 Association President 2010 Association President 2010 Association President

John F. Sobke John F. Sobke

Agenda Agenda Agenda Agenda

Approve Minutes of 2010 Annual Meeting Approve Minutes of 2010 Annual Meeting 2010 and 2011 Boards of Directors Volunteer of the Year Volunteer of the Year 2010 Year In Review – President’s Report

2010 Fi i l R t

2010 Financial Report TLCo Report 2011 Projects Questions

A l f th Mi t f th Approval of the Minutes of the 2010 Annual Meeting

2010 Board of Directors 2010 Board of Directors

John Sobke, President Lorraine Boice Vice President Lorraine Boice, Vice President Jim McInerney, Treasurer

Jim Rich Secretary

Jim Rich, Secretary Chuck Beck Dick Dent Lou Molella Jim Scott Gerry Von Bargen

y g

Gary Bross, Ex-Officio

Reti ing Di ecto s Reti ing Di ecto s Retiring Directors Retiring Directors

Dick Dent Dick Dent Gerry Von Bargen Gerry Von Bargen

Reti ing E Officio Retiring Ex Officio

Gary Bross Gary Bross

2011 2011 E Officio E Officio 2011 2011 Ex Officio Ex Officio

John Sobke John Sobke

2011 2011 B d f Di t B d f Di t Board of Directors Board of Directors

Jim McInerney, President

Jim McInerney, President

Jim Rich, Vice President Milly Pitts-DiCicco, Treasurer

Milly Pitts DiCicco, Treasurer

Chuck Beck, Secretary Lorraine Boice

Lorraine Boice

Dan DeGood Gary Herrman

Gary Herrman

Lou Molella Jim Scott

Jim Scott

John Sobke, Ex-Officio

2010 Volunteer of the Year 2010 Volunteer of the Year 2010 Volunteer of the Year 2010 Volunteer of the Year

Don McCulloch

Has led the task force to eradicate more than 2,000

noxious tallow trees noxious tallow trees

Has encouraged volunteers with 34 appointed to this

committee for 2011

“He has been the ‘Jaws’ of the Chinese Tallow Tree

Project.” “D ’ ti l l d hi d d h h k t

“Don’s tireless leadership and good humor has kept

us (the Tallow Terrors) on track for over 10 months, with no end in sight.” with no end in sight.

2010 Year in Review 2010 Year in Review

O Vision Our Vision

We continue to be the most We continue to be the most desirable private, residential community in the coastal Southeast Southeast.

Our Vision is attained through a focus th

• n these

Enduring Principles

Effective and financially sound governance Sustaining the beauty of our natural

g y developed environment

Fostering a connected and caring

g g community

Effective marketing of The Landings

g g

Powerful internal and external

communications

What did your Association y do in 2010? What did you get for y g $4 per day?

Good Shape Financiall Good Shape Financially

Through sound and responsible

management, equity increased by 4.6% to $11,405,559

TLA has $3,873,000 in certificates of

deposit as reserves

More on finances from the Treasurer

More on finances from the Treasurer later

Accomplishments 1 Accomplishments - 1

M h T t t ll t d d

Marsh Tower totally renovated and

brought up to safety code

Delegal Tower reconstructed—further

work under review by consultant

Deer Creek Bridge re-decked 788 mail boxes & street signs repaired 788 mail boxes & street signs repaired 1,477 mail boxes & street signs

repainted repainted

Accomplishments 2 Accomplishments - 2

16,600 lineal feet of asphalt cart paths replaced with

concrete 213 196 d f d d d 246 li l

213,196 square yards of roads repaved and 246 lineal

feet of curb repaired

Three vehicles replaced with fuel efficient vehicles Three vehicles replaced with fuel efficient vehicles Administration building roof replaced Marshwood, Tidewater Square, and Oakridge irrigation

systems were replaced

Accomplishments 3 Accomplishments - 3

F 650 truck repaired and tires replaced in

F-650 truck repaired and tires replaced in

lieu of complete scheduled replacement Negative forklift purchase for Landings

Negative forklift purchase for Landings

Harbor; elevator eliminated and bulkhead reconfigured reconfigured

Lagoon Structure One reconstructed and

repaired repaired

Emergency generators installed at

Marshview Landings and Deer Creek Marshview Landings and Deer Creek

Accomplishments 4 Accomplishments - 4

Recycling plastics operation improved Recycling plastics operation improved 28,279 bales of pine straw delivered to

residents; 7,919 bales installed residents; 7,919 bales installed

Community garden location finalized in

cooperation with The Landings Club and p g Skidaway Audubon, Inc.

Landscape efforts sustained the attractiveness of

p The Landings

Signage in the Village improved by Public Works

g g g p y staff under contract with Village POA

Accomplishments 5 Accomplishments - 5

Street sweeping operation improved to be

more efficient and cost effective

The Landings Journal format revamped to

reduce publication costs and increase reduce publication costs and increase quality

2011 Residential Directory continues to 2011 Residential Directory continues to

provide important information to the community community

Accomplishments 6 Accomplishments - 6

Partnering among the Club, the Company, and

the Association led to greater cooperation and collaboration

Kane Commission reviewed governance issues

l di ff ff di i leading to greater staff-to-staff coordination

Reorganization of Departments to meet

d d t ff d ti f 73 FTE t 69 demands—staff reductions from 73 FTE to 69 reduced costs

Community Survey Results Community Survey Results Community Survey Results Community Survey Results

94% of respondents agreed that “The services

provided by TLA are a good value for the assessment provided by TLA are a good value for the assessment I pay”.

96% of respondents are satisfied with overall Safety

and Security Operations.

96% of respondents are satisfied with overall

appearance of TLA common property appearance of TLA common property.

96% of respondents are satisfied with TLA’s overall

customer service.

96% of respondents are satisfied with internal

communications. 90%

f d t ti fi d ith th

M i

90% of respondents are satisfied with the Marinas.

I n S m I n Sum…..

TLA i ll iti d f th f t TLA is well positioned for the future And that’s good because And that’s good because….

I n the Future…we must, as a , community, decide…

Whether to adopt the Georgia Property

Owner’s Association Act

Whether to adopt a new set of Covenants

What the next three year assessment

What the next three year assessment

levels will be Wh t th b t th d t t i

What the best methods are to sustain an

appropriate national marketing program

Man man thanks Many, many thanks

To Shari and the TLA staff To the many volunteers on our To the many volunteers on our

committees To the Board for diligent attention to duty

To the Board for diligent attention to duty

and for excellent service this past year T B th d Ch k f b i t

To Beth and Chuck for being great

partners in cooperation and collaboration

Financial Financial Report Report Report Report

Jim McInerney 2010 Treasurer

The B dget P ocess The B dget P ocess The Budget Process The Budget Process

An Annual Process Beginning with Budget Assumptions

g g g p

Departments Review Capital Asset Management Plan Life Cycle Replacement of $65M for Association

Assets Work Plans Services Projects Staffing Equipment

Work Plans – Services, Projects, Staffing, Equipment,

Programs

Prepare Departmental Budgets, Reviewed in Detail by

p p g , y Board Members and Senior Staff

Department Budgets are Correlated to Board Priorities,

the St tegi Pl n nd Fin n i l C p it the Strategic Plan, and Financial Capacity

The B dget P ocess The B dget P ocess The Budget Process The Budget Process

• Organization-Wide Operating Budget for Current Year and…
• Six-Year Long Range Financial Plan and Annual Budget for the Year

Developed to Account for Changes in Economic Conditions and Developed to Account for Changes in Economic Conditions and

Trends

Account for Board Priorities and Policies and Resident Survey

Results Results

Reviewed and Approved by the Finance Committee and Board

• 2010 was Second Year of Three-Year Assessment Plan 2009 – 2011

d 2 b f l 2 2

• Budget Year 2011 is beginning of Long Range Plan 2011 - 2016

Where Do My Assessment Where Do My Assessment y Dollars Go? Dollars Go?

2010 2011

General Assessment $1,136 $1,190 Capital Reserves $132 $143 Roads and Cart Paths $192 $192 Total $1,460 $1,525 $ , $ ,

Overview of Financial Overview of Financial Components Components

Association Operating Fund Association Reserve Funds Association Reserve Funds Marinas Operating Fund

Th L di C

The Landings Company

Resulting in Consolidated Statement of Revenues and Expenses p

Association Operating Funds Association Operating Funds -

• 2010

2010 2010 2010

(in thousands)

2010 2009 Revenues Assessment $5,061 $4,826 Vehicle Registration & Service Agreements 912 928 Vehicle Registration & Service Agreements 912 928 Other income 677 520 $6,650 $6,274 Expenses Operations 6,107 5,962 Depreciation 404 377 Income taxes 16 (140) ( ) 6,527 6,199 Excess of revenues over (under) expenses $123 $75

Association Reserve Funds Association Reserve Funds – 2010 2010 Association Reserve Funds Association Reserve Funds 2010 2010

(in thousands)

2010 2009 Revenues Assessment $1 432 $1 349 Assessment $1,432 $1,349 Other income 7 20 $1,439 $1,369 Expenses Reserve Projects 942 977 Income taxes (1) 1 941 978 Excess of revenues over expenses $498 $391

Marinas Marinas 2010 2010 Marinas Marinas -

• 2010

2010

(in thousands)

2010 2009 Revenues Dues & Boat Storage 1,142 $ 1,244 $ Fuel/Merchandise Sales 276 284 Fuel/Merchandise Sales 276 284 Other 11 43 1,429 1,571 E * Expenses * Operating Expense 1,232 1,252 Interest Expense 26 64 Depreciation 227 218 p 1,485 1,534 Excess of revenues over (under) expenses (56) $ 37 $ * Includes cost of goods sold

The Landings Company The Landings Company – – 2010 and 2009 2010 and 2009 2010 and 2009 2010 and 2009

(in thousands)

2010 2009 2010 2009 Total assets 1,471 $ 1,596 $ Revenues Brokerage commissions 2,241 $ 1,529 $ Other 925 927 3,166 2,456 Expenses Direct costs 2,154 1,658 National marketing expense 530 442 General and administrative expense 603 726 General and administrative expense 603 726 Depreciation 35 41 Income tax benefit (46) (119) 3,276 2,748 Net loss (110) $ (292) $

Consolidated Statement of Consolidated Statement of Revenues and Expenses Revenues and Expenses

(in thousands)

Year Ended December 31 2010 2009 Revenues Association Operating 6,648 $ 6,273 $ Year Ended December 31 Association Reserves 1,439 1,369 Marinas 1,429 1,571 Landings Company 3,167 2,445 12,683 11,658 Expenses Association Operating 6,527 6,200 Association Reserves 941 978 Association Reserves 941 978 Marinas 1,485 1,534 Landings Company 3,277 2,736 12,230 11,448 Excess of Revenue over Expenses 453 $ 210 $

Consolidated Balance Sheet Consolidated Balance Sheet Consolidated Balance Sheet Consolidated Balance Sheet

December 31, December 31,

(in thousands)

2010 2009 Assets Cash & investments 5 867 $ 6 058 $ Cash & investments 5,867 $ 6,058 $ Property, plant & equipment 5,813 4,949 Other Assets 931 1,163 Total 12,611 $ 12,170 $ Liabilities & Equity B k d bt 353 $ 413 $ Bank debt 353 $ 413 $ Other liabilities 852 806 Equity 11,406 10,951 Total 12,611 $ 12,170 $ , $ , $

Community Real Estate Community Real Estate and Marketing

Chuck Koepke Chuck Koepke 2010 Chairman of the Board

H P i T d All L di Home Price Trends – All Landings

YEAR CLOSINGS MEDIAN AVERAGE YEAR CLOSINGS MEDIAN AVERAGE PRICE PRICE 2006 297 $500K $578K 2006 297 $500K $578K 2007 193 510 590 2008 137 485 585 2009 99 425 499 2010 137 382 466 CHANGE (2006-2010)

• 24%
• 20%

Home Supply Trends … All Landings Home Supply Trends … All Landings

YEAR INVENTORY SALES Number Months Days* Discount* Number Months Days Discount 2006 161 6 83 5.3% 2008 231 20 113 10 7% 2008 231 20 113 10.7% 2010 270 24 148 14.2%

* Median Values

Marketing Spending g p g

1600

$1,435 $1,451 $1,475

1200 1400

$1,259 $1,435 $1,305

600 800 1000 $= K

$929 $530 $600

200 400 600

$442 $530

200 20032004 200520062007 20082009 2010 2011

The Landings - Organization g g

PROPERTY OWNERS THE LANDINGS ASSOCIATION (TLA) THE LANDINGS C ASSOCIATION (TLA) CLUB

COMMUNITY

THE LANDINGS

COMMUNITY OPERATIONS

THE LANDINGS COMPANY (TLCo)

COMMUNITY MARKETING

TRANSFER FEE REAL ESTATE

$$$

Community Marketing $$$$ … Co u y a e g $$$$ 100% The Landings Company

________ $ K _______

2007 2010 2011E

REAL ESTATE CASH FLOW 1200 400 400 TAX REFUND 0 150 CASH DRAW (BUI LD) 100 (20) 200 MARKETI NG 1300 530 600 NET CASH @ YR-END 1030 540 340

Community Marketing Examples

New Airport Display

Landings Company Profile g p y

MI SSI ON

• 1. Community Marketing

Build Awareness & Bring Buyers

2 Real Estate

• 2. Real Estate

Close Deals & Fund Community Marketing

ORGANI ZATI ON

4 Full Time & 4 Part Time Staff 4 Full Time & 4 Part Time Staff 23 Realtors Discovery Center

Discovery Center

Landings Company Profile g p y

MARKET POSI TI ON

50 – 60% Market Share Competitive Commissions

S ll All Li i

Sell All Listings

ECONOMI CS (5 YR. AVG.)

• 60% of Gross Income from Listings
• 20+ % Margins on Real Estate
• $5,000 Per Closing to Marketing

Progress g

Hired “Marketing” President Hired Marketing President G&A / Overhead Expense Down 35% vs 2007 G&A / Overhead Expense Down 35% vs. 2007

Enhanced Community Communications

Enhanced Community Communications

P t hi ith L di Cl b

Partnership with Landings Club

What’s Ahead? What s Ahead?

THE MARKET

Modest Recovery at Best

Modest Recovery at Best The Landings is an Excellent “Product”

THE LANDI NGS COMPANY

Continuous Improvement

Continuous Improvement

Maximize Effectiveness of Marketing $$$

THE LANDI NGS ASSOCI ATI ON

Evaluate Options for Additional Marketing $$$

Ne Ma keting Video! Ne Ma keting Video! New Marketing Video! New Marketing Video!

The Year The Year Ahead Ahead Ahead Ahead

Jim McInerney 2011 President

2011 Board Committee 2011 Board Committee Chairs Chairs

E ti Ji M I Executive Jim McInerney Finance & Audit Milly Pitts-DiCicco h Governance Jim Rich Strategic Planning Chuck Beck

O Vision O Vision Our Vision Our Vision

We Continue to be the Most Desirable

Private Residential Community in the y Coastal Southeast.

Conce ns Concerns

Delegal

Walkway Creek: Cable and dredging

Marinas

Marinas Covenants: Vote in 2012

A t V t i 2011 f 2012 2014

Assessment: Vote in 2011 for 2012-2014 National Marketing

Many hours invested in solution development Trying to develop a clear and concise strategy In process of gaining agreement from all stakeholders In process of gaining agreement from all stakeholders

S mma Summary

Debt Free Solid Operation Solid Operation Strong Financial Management

G t St ff

Great Staff

Great Neighbors

Questions? Questions? Questions? Questions?