2014 Program

Title

Media

Gold

Tuesday, May 6, 2014

7:15 AM
REGISTRATION & CONTINENTAL BREAKFAST

8:00 AM
HOW ARE THE MONTREAL OFFICE, RETAIL AND INDUSTRIAL LEASING MARKETS PERFORMING? HOW MUCH ACTIVITY AND DEAL FLOW CAN WE ANTICIPATE?

How much transaction activity has there been in the Montréal office, retail and industrial leasing market over the past twelve months? How would you describe deal flow and velocity in today’s market? What are the current occupancy rates, rental rates, etc. and where are they heading? What are the anticipated absorption rates for the remainder of 2014? What are the profiles of the tenants that are looking for space? What is the outlook for the performance of the leasing markets in Montréal in 2014 and beyond?

Andrew Cross

Laurent Benarrous

Jean-François Grenier

Erik Charton

Moderator:
Andrew Cross, Publisher, Espace Montréal

Office Market:
Laurent Benarrous,
Managing Director & Principal, Avison Young

Retail Market:
Jean-François Grenier,
Senior Director, Altus Group

Industrial Market:
Erik Charton,
Senior Vice President, JLL Real Estate Services


9:10 AM
MORNING REFRESHMENTS

9:40 AM
CONCURRENT SESSIONS (Select A1, A2 or A3)
Session A1:
THE CHANGING LANDSCAPE OF THE RETAIL MARKET AND THE IMPLICATIONS FOR CURRENT TENANTS AND VARIOUS FORMATS

The retail market in Québec is poised to experience some transition. One of the most significant changes is the range of U.S. and European retailers who have entered Canada and the implications of these new entrants on landlords, developers, existing retail tenants, and consumers. What will be the major implications as a result of this influx on new retail developments, tenant profiles, and leasing activities? What are the expectations of foreign tenants re: retail leases and the transaction process in Canada? How much change are we likely to see in formats and size? E.g. bigger is not always better. What impact is inner city condominium development having on urban retail formats to serve that new market segment? Who are now the real anchors in today’s retail centres? What effect is online shopping having on retailers and conversely on the leasing market?

Denis Paquin

Chantal Desjardins

Jack Klaiman

Danielle Lavoie

Judy Taylor

Moderator:
Denis Paquin, 
Partner, Fasken Martineau DuMoulin LLP

Panel:
Chantal Desjardins, 
Founding Principal, Chantal Desjardins Law Office Inc.
Jack Klaiman, President, Oberfeld Snowcap
Danielle Lavoie, Vice President, Operations, Eastern Canada Portfolio,
The Cadillac Fairview Corporation Limited
Judy Taylor, Vice President, Leasing, Eastern Canada Region, First Capital Realty


Session A2:
RISK MANAGEMENT IN COMMERCIAL LEASING: THE IMPORTANCE OF INSURANCE AND OTHER STRATEGIES

Risk management is a growing concern and objective of all parties today: from landlords to tenants, from brokers to lawyers, from lenders to investors. The first part of the session will examine a key risk management tool in leasing: insurance and indemnification, e.g. why are insurance clauses in leases, why landlords/tenants care about each other’s insurance, what is a waiver of subrogation and why is it important, why is a release better than a waiver, how is accountability for damage and destruction dealt with in a lease. Part two will focus on some current issues in insuring commercial real estate. How much push back is there from tenants on the demands of landlords and their insurers these days? What are the issues that are creating the most difficulty? How are insurers dealing with asbestos abatement, toxic mould and other environmental and potential health risk issues in their policies? Discussion will also focus on the increasing use of title insurance within the leasing process, and what this resource can offer to landlords, tenants and accelerating the leasing transaction process.

Louis-Martin Dubé

John Antonecchia

Laurent Roy

Jean-Claude Roy

Moderator:
Louis-Martin Dubé, 
Partner, Lavery de Billy LLP

Panel:
John Antonecchia,
 Vice President, Real Estate Practice, Montreal, Marsh Canada Limited

Laurent Roy, Partner, Gowling Lafleur Henderson LLP
Jean-Claude Roy, Director, Legal Affairs and Claims, Québec, FCT

Session A3:
NEGOTIATING IN TODAY’S MARKET: HOW TO UNDERSTAND THE DEAL, RESOLVE KEY ISSUES AND CLOSE THE TRANSACTION

What are the issues and sticking points when negotiating in today’s market conditions and what are the arguments used to reach middle ground? How do you determine NERs in this leasing environment? What are some of the major issues that are being raised in negotiations today? What can be done to resolve these differences? Are there any creative ways to complete a successful transaction? How long should it take to finalize a deal? Under what circumstances would an owner offer an inducement or allowance in this market? What should you do when you have competing offers on the same space? How is risk being managed by the landlords and the tenants within the leasing process, e.g. tenant worthiness, covenants, security, landlord worthiness? Is it important that someone “quarterbacks” the transaction to expedite the process? What else can be done to get a deal turned around more quickly by the broker, the landlord, the lawyer and the tenant? What do landlords wish that lawyers, brokers and tenants understood better?

Nathalie Bédard

Philip Belliard

Elias Benhamou

Christian Charboneau

Marie-France Desrochers

Moderator:
Nathalie Bédard,
 Partner, Donati Maisonneuve LLP

Panel:
Philip Belliard,
 Senior Director, Leasing- Québec & Atlantic, GWL Realty Advisors
Elias Benhamou, Partner, Davies Ward Phillips & Vineberg LLP
Christian Charbonneau, Senior Vice President, CBRE Limited
Marie-France Desrochers, Senior Manager, Corporate Accounts, Newmark Knight Frank Devencore


10:45 AM
CONCURRENT SESSIONS (Select B1, B2 or B3)
Session B1:
DOWNTOWN VS SUBURBAN OFFICE MARKETS: WHERE ARE THEY HEADING?

How has the office market performed in downtown Montréal vs. the growing interest in midtown vs. outlying areas? How much unoccupied space is there currently on the market? What impact will the new developments have on the market? Will demand absorb most of the new space? How are older A space buildings responding? Where are NERs heading at this time? What are projected to be the long term trends? What is the profile of tenants who are attracted to the downtown core and the new space? What will likely happen in the remainder of 2014? How successful have landlords been as well as brokers on their behalf in rebranding or repositioning B and C class older office buildings vs. A space? How do landlords address the challenge of dealing with a tenant who is only in the market once every five or ten years? To what extent are tenants increasingly pushing the demand for greener building environments? What are the views of landlords in Montréal about greening their existing assets?

Marie-France Benoit

Luciano D’Iorio

Richard Poirier

Frédéric Seigneur

Colin Worrell

Moderator:
Marie-France Benoit
, Senior Director, Altus InSite

Panel:
Luciano D’Iorio, President, Terramont Real Estate Services Inc.
Richard Poirier, Senior Vice President, Leasing, Magil Laurentian Realty Corporation
Frédéric Seigneur, Vice President, Leasing, BTB REIT
Colin Worrell, Director of Leasing, Allied Properties REIT

Session B2:
TENANTS’ RIGHTS & REMEDIES: ISSUES THAT YOU NEED TO BE AWARE OF AND CLAUSES THAT DESERVE RESPECT

Rights and remedies are a key element of commercial real estate leases. They are at times contentious issues for landlords as well as to tenants. Building owners have had these remedies with respect to tenant defaults for ages. This discussion will focus on how tenants can protect themselves if landlords do not fulfill their obligations. The tenant needs a set of tools to deal with the different situations that can arise. Where the default is something the tenant can cure, then they need the ability to collect the costs back from the landlord; if the landlord does not pay, can the tenant set off against rent? Usually the argument for abatement is strongest where it is clear the tenant needs something for its business and the landlord somehow is at fault in not delivering as promised; when should the tenant have the right to terminate, e.g. if critical services are not available for a period of time, regardless of fault of the landlord; if the tenant has a right to terminate – especially where the landlord defaulted – should the landlord be responsible to reimburse the tenant for its leasehold improvements, moving costs, lost profits?

Catherine Guertin

Richard Burgos

Frédéric Gilbert

Julie Salvail

Moderator:
Catherine Guertin,
 Partner, Borden Ladner Gervais LLP

Panel:
Richard Burgos,
 Partner, Lavery de Billy LLP
Frédéric Gilbert, Partner, Fasken Martineau DuMoulin LLP 
Julie Salvail, Director, Legal Services, Magil Laurentian Realty Corporation


Session B3:
WHAT INNOVATIVE CHANGES ARE EMERGING IN TODAY’S WORKPLACES? WHAT DOES THIS MEAN FOR LANDLORDS AND TENANTS?

Tenants are strongly focused on having workplaces that are conducive for optimum productivity and that help attract and retain valuable employees. Employee retention is a key for any tenant which is one the reasons that they make the link between work environments, employee engagement and organizational value. This session will explore some of the latest trends on how space planners, interior designers, architects and manufacturers are able to extract maximum value from today’s workplace. What are other issues and priorities for corporations as they strive for work environments that offer higher productivity? What is the business case for tenants and landlords related to such projects, and what role other strategic thinking has in these decisions? To what extent are workplace trends reducing the size of the footprint that tenants currently occupy? What will be the implications of these innovations on the office market? Are existing buildings suitable to meet the changing workplaces?

Sylvie Cadieux

Yves Boucharrd

Gilbert Dumont

Sandra Neill

Moderator:
Sylvie Cadieux, Director, Business Development, JLL Real Estate Services

Panel:
Yves Bouchard, Director of Leasing, Office, Eastern Canada Portfolio, The Cadillac Fairview Corporation Limited
Gilbert Dumont, Director – Real Estate, Risk Management & Administration, Bell Média Inc. 
Sandra Neill, Interior Designer, Associate, Lemay


11:50 AM
LUNCHEON
LUNCHEON REFRESHMENTS

MINI ROUNDTABLE DISCUSSIONS – WITH THE EXPERTS AND YOUR PEERS!

Take advantage of this opportunity to participate in informal discussions on the dynamics of key legal issues, market trends, and transaction activity. Tap into the minds of experts, gain insight into proven strategies, and share experiences with your peers. You will have an opportunity to be part of one of the following small discussion groups that will be held as an extension of the luncheon. Choose from one of the following discussion topics:

  1. Downtown Office Market
  2. Industrial Leasing Market
  3. Retail Leasing Market Trends
  4. The Continuing Debate Over Operating Costs
  5. Green Buildings and New Office Developments: An Update
  6. Five Lease Clauses That Do Not Get Enough Respect
  7. The Challenges of Leasing in Mixed-Use Developments

If your preference is to sit at another table, that is fine. Several will be available for individuals to do their personal networking.


1:00 PM
RAPID FIRE LEGAL ROUNDTABLE: HOT TRENDS AND PUZZLING ISSUES IN 60 MINUTES

A fast-paced session that will cover an assortment of “odds and sods” that people often experience in the leasing process and do not always fully understand. Each issue will be addressed by a legal expert in approximately five minutes, and a debate is sure to ensue with the other experts – and the audience. The questions examined will include:

  • Putting leasing legalese to the test – or to rest. “To the best of my knowledge”, I’ll use “best efforts” to give you the space “as is” – and don’t worry, you’ll have exclusive rights for your “principal use” in the building. You’ve read these words a million times, but are they more than jibberish? What do they mean, and what is their impact on tenants or landlords?
  • The quest for healthy indoor environments. Is fresh air too much to ask for? Mould in the workplace is causing legal headaches as well as real ones. Is your lease putting the health of workers and your reputation at risk? This presentation will review shocking recent case law and suggest ways to draft leases to protect workers and enhance talent retention and productivity.
    • Hidden gems in your lease: penalty clauses. Recent case law suggests that you should give penalty clauses a second look, as they can come in quite handy.
    • Who cares about contaminated lands? Hey, I’m not buying the place, just renting. Why should I worry about land contamination? This presentation will outline the often misunderstood environmental obligations of tenants. 
    • Where are we on asbestos in Québec? From miraculous, to innocuous, to suspicious, to downright villain. What the commercial leasing professional must know about new surveying and reporting regulations as they pertain to asbestos, and their impact on landlords as well as tenants/employers.
    • Recovering legal costs when you go to court. Can you make the tenant pay the lawyer you’ve hired to sue him for unpaid rent? What to do and what not to do so that the judge orders the recovery of your legal fees (or most of them)?

Stéphanie Beauregard

Steven Chaimberg

René Gauthier

Speakers:
Stéphanie Beauregard,
 Real Estate Lawyer, Delegatus Legal Services Inc.
Steven Chaimberg, Partner, Lapointe Rosenstein Marchand Melançon LLP
René Gauthier, Partner, Gascon & associates LLP

2:00 PM
CONCURRENT SESSIONS (Select C1,C2 or C3)
Session C1:
THE BUZZ BEHIND MIDTOWN: WHAT IS THE UNDERLYING REASON FOR THE POPULARITY OF THIS SUBMARKET?

“The most efficient and productive cities and regions are ones in which people are thinking and working – not sitting in traffic. The shift toward the urban core is increasing in major cities across Canada. The coming decade will see greater concentrations of people, increasing densities, and further clustering of industry, work and innovation in cities. Alongside that will come ever more concentrated economic opportunity.” Richard Florida

Every strong community has a vibrant mixed-use core where people gather: where commerce, culture, recreation, entertainment, education and inspiration meet. This session will examine the unique and growing popularity of midtown Montréal. What type of innovative and successful projects are emerging in this inner city area? How is the concept of “work, live, play and learn” applying to the Montréal market? The panel will examine the new office developments, the significant evolution of the “brick and beam” market and the profile of tenants who are moving into the midtown office and retail market.

Pierre Lacroix

Lucie Barao

Lloyd Cooper

François Desjeans

André Plourde

Moderator:
Pierre Lacroix,
 Senior Vice President, CBRE Limited

Panel:
Lucie Barao,
 Director, Gestion immobilière Quo Vadis inc.
Lloyd Cooper, Vice Chairman, Montréal, Cushman & Wakefield Ltd.
François Desjeans, Executive Vice President, Kevric Real Estate Corporation
André Plourde, President, Groupe immobilier (Montréal . Québec)

Session C2:
RECENT CASE LAW WITH THE COURT OF APPEAL DECISION IN EUROPE COSMETICS INC.: OFFERS TO LEASE, LETTERS OF INTENTION & BUSINESS TERMS SHEETS
This session will examine a significant legal decision and its implications on offers to lease, letters of intent and business terms sheets. How to draft them and what to enter into? What distinguishes them and what are the advantages and disadvantages of each document? When are they binding or not binding? Are letters of intention not binding until the execution of the lease: is that really the case? What are the important provisions to include in them and the ones that it may be preferable to leave out? How can tenants and landlords better protect their interests? Are there significant differences if you are dealing with the leasing of office space versus space in a shopping centre? Let’s not forget the obligation to negotiate the lease in good faith. If the lease is never signed, in which situations will the offer to lease be deemed to be the “lease”?

Anne Boutin

François Viau

Speakers:
Anne Boutin,
 Attorney, Delegatus Legal Services Inc.
François Viau, Partner, Gowling Lafleur Henderson LLP


Session C3:
INDUSTRIAL LEASING IS MAKING A COME BACK IN THE GREATER MONTRÉAL AREA
The session will open with a brief overview of the demand side of the Montrél industrial market: logistics and warehousing vs. heavy uses.What are the major trends in this leasing market? What is the pace of deal flow? What are some examples of deals that have recently been completed? How does leasing compare in Laval and the North vs. the South Shore vs. the West Island and other submarkets? What type of space is becoming obsolete and what is not? How are industrial tenant requirements changing, and what recent landlord initiatives are addressing this demand? How have values of B and C buildings been impacted over the past year? What does the future hold for these assets and other obsolete types of properties? Are large distribution centres potential white elephants or not? Has there any impact from the City of Montréal’s “PRAM-Industrie” tax incentive package?

Gabrielle Saine

Mike Jager

Gil Kastner

Stéphane Robillard

Jason Silver

Moderator:
Gabrielle Saine, 
Commercial Real Estate Broker, NAI Commercial

Panel:
Mike Jager,
 Business Development & Property Manager, The Montoni Group

Gil Kastner, Vice President, Leasing & Business Development, Landmark Properties Inc.
Stéphane Robillard, Real Estate Broker, CBRE Limited

Jason Silver, Director, Leasing, The Luger Group


3:00 PM
CLOSING SESSION:
THE LEASING MARKET OVER THE NEXT TWELVE MONTHS: WHAT DOES THE CRYSTAL BALL OF SENIOR EXECUTIVES SUGGEST?

As vacancy rates in office, industrial and retail markets appear to be softening somewhat, has Montréal now become a “tenant’s market”? How would you describe deal flow and velocity in today’s market? Virtually every new development in today’s market is being designed with LEED certification or some high performance metric in mind. However, new construction and adaptive re-use still only represents 1% of the building stock. What are the options facing the remaining 99% of buildings with respect to enhancing their energy and environmental performance in general? Is the average tenant looking for a greener and more innovative workplace environment? What steps can owners of existing buildings take to improve the operational efficiencies of their properties and to ensure that their space remains competitive in the market? What strategies can you use with B or C buildings to maintain or improve their Net Asset Value? This session will examine specific asset management, marketing, and capital investment strategies that landlords are employing in the Montréal market to maintain their competitiveness.

Tom Godber

Peter Picciola

Dan Rejwan

Michael Stones

Natalie Voland

Moderator:
Tom Godber, 
Principal, Avison Young Québec

Panel:
Peter Picciola,
 Vice President, Office Leasing, Québec, Ivanhoé Cambridge
Dan Rejwan, Director, Finance, Redbourne Realty Management Inc
Michael Stones, Vice President, Eastern Region, Oxford Properties Group Inc.
Natalie Voland, President, Gestion immobilière Quo Vadis inc.


4:00 PM
ADJOURNMENT