HERE'S WHAT'S MAKING NEWS AROUND INDIANA.. THE PRESIDENT OF BLOOMINGTON-BASED COOK MEDICAL
SAYS CHANGES TO THE COMPANY'S ORGANIZATIONAL STRUCTURE WILL DRIVE INNOVATION AND CONTINUED GROWTH. COOK IS RESTRUCTURING
FROM 10 BUSINESS UNITS TO TWO DIVISIONS, BUT PETE YONKMAN TELLS INSIDE INDIANA BUSINESS THAT NO LAYOFFS WILL RESULT FROM
THE NEW STRUCTURE. EVANSVILLE-BASED VECTREN CORP. HAS ANNOUNCED PLANS FOR TWO MAJOR PROJECTS IN SOUTHWEST
INDIANA. THE UTILITY SAYS THE EFFORTS, WHICH INCLUDE A $900 MILLION NATURAL GAS-FIRED GENERATION PLANT, WILL REDUCE
ITS CARBON EMISSIONS BY 60 PERCENT OVER 2005 LEVELS. THE PRESIDENT OF WHITE COUNTY ECONOMIC DEVELOPMENT
ORGANIZATION INC. SAYS "EVERYTHING IS ON THE MOVE" IN TERMS OF BUSINESS PROGRESS IN THE NORTHWEST INDIANA COUNTY.
WHITE COUNTY FARMERS PRODUCE MORE POPCORN THAN ANY OTHER COUNTY IN THE STATE AND RANDY MITCHELL SAYS THE WHITE COUNTY
ECONOMY IS BOLSTERED BY A MANUFACTURING PRESENCE THAT IS TIED TO ONE-THIRD OF ALL JOBS THERE.
AND THE PRESIDENT OF THE KOSCIUSKO COUNTY ECONOMIC DEVELOPMENT CORP. IS RETIRING. GEORGE ROBERTSON, WHO BECAME THE
ORGANIZATION'S FIRST FULL-TIME LEADER IN 2010, WILL STEP DOWN AT THE END OF THE YEAR. WHILE THE INDUSTRIAL MARKET
REMAINS STRONG SOME WONDER IF RETAIL IS DEAD? CUSHMAN & WAKEFIELD'S JASON TOLLIVER RETURNS FOR HIS TAKE ON
STATEWIDE TRENDS IN COMMERCIAL REAL ESTATE WELCOME BACK! >> THANK YOU, GERRY. >> FIRST OF ALL, I WANT TO
START, YOU'RE TALKING ABOUT A STRONG MARKET, 2017, AND INTO THE NEW YEAR, IN CENTRAL INDIANA, BUT REALLY SEEING THAT
PERCOLATE AROUND THE STATE. >> YEAH, WE THOUGHT IT WOULD BE A PRETTY SOLID YEAR STATEWIDE AND 2017 SURPRISED ME.
WHAT BODES WELL FOR 2018 WE SAW LEASING ACCELERATE AS THE YEAR WENT ON. COMMERCIAL REAL ESTATE AND
PROPERTY MARKETS GOT STRONGER, AND EARLY INDICATIONS, INTO 2018 IS THAT THAT'S GOING TO CONTINUE.
>> LET'S LOOK AT SOME OF THE SEGMENTS. THE OFFICE MARKET CONTINUES TO DO WELL.
>> WE SEE GROWTH IN THE CENTRAL BUSINESS DISTRICTS AS WELL AS SUBURBAN MARKETS. STRONG PERFORMANCE IN FORT
WAYNE, INDIANAPOLIS, EVANSVILLE LOOKING STRONG. I THINK IT'S GOING TO CONTINUE. REALLY TIGHT MARKET CONDITIONS
IN MOST OF THOSE METROS, MAY SOFTEN A LITTLE BIT, REALLY POSITIVE OUTLOOK. >> INDUSTRIAL, CENTRAL INDIANA
IN PARTICULAR, CONTINUES TO BE A DYNAMO. >> IT REALLY HAS. GROWTH ACROSS ALL SIZES AND
SECTORS. LOGISTICS, FOOD AND BEVERAGE, MANUFACTURING. WHAT IS MOST INTERESTING TO ME
LAST YEAR, OVER HALF OF THE NEW LEASING WE SAW IN CENTRAL INDIANA WERE NEW TENANTS CHOOSING INDIANA.
THAT TELLS ME THAT THIS PHENOMENAL GROWTH THAT WE KNOW WILL OCCUR WITH E-COMMERCE IS GOING TO LIFT INDIANA.
>> YOU REALLY SEE E-COMMERCE AS A POTENTIAL POSITIVE. >> ABSOLUTELY. ABSOLUTELY.
IT'S DRIVING HISTORIC LEVELS OF LEASING, AND WE'RE TRACKING NEW AND NEW TENANTS COMING IN. BOTH PURE ONLINE RETAILERS AS
WELL AS THIRD PARTY LOGISTICS FIRMS. INDIANA IS A GREAT PLACE TO BE TO SERVICE MARKETS ON THE EAST
COAST AND ALSO GREATER CHICAGO AREA. >> ALL RIGHT, LET'S LOOK AT THE RETAIL MARKET, A LOT OF CLOSURES
AND BANKRUPTCY THAT WE SAW IN 2017. HOW -- >> A LOT OF BLOOD IN THE
HEADLINES ON THE RETAIL SEGMENT. I WOULDN'T READ TOO MUCH IN THAT. RETAIL IS DEAD IS OVERBLOWN,
THERE'S STRONG BRIGHT SPOTS, STRONG LEASING IN CLASS A. MIXED USE DEVELOPMENTS ARE FORMING PHENOMENALLY WELL.
CERTAINLY SECULAR STRESS IN THE RETAIL SEGMENT, BUT NOT IMPACTING ALL LEVELS OF RETAIL. >> YOU ARE SEEING A CORRECTION
IN PARTICULAR IN RESTAURANTS. >> A LOT OF RESTAURANT GROWTH. 60% OF LEASING HAS BEEN RESTAURANT DRIVEN.
YOU'RE GOING TO SEE THAT SHAKE OUT IN 2018. NOT EVERYBODY IS GOING TO MAKE IT.
AGAIN, THAT'S LONG BEEN THE SORRY IN RESTALE -- STORY IN RETAIL. THAT DOESN'T MAKE WE CONCERNED
FOR RETAIL. >> OVERVIEW, AS YOU LOOK FOR THE REST OF 2018... >> IT COULD BE ANOTHER GOOD
YEAR. THE MARKET IS GOING TO PEAK IN 2018, MAYBE SOFTEN IN 2019. NO INDICATION THAT THE BOTTOM IS
GOING TO FALL OUT. I THINK IT'S GOING TO REMAIN A LANDLORD FAVORABLE ENVIRONMENT WITH TENANTS PROBABLY GETTING
LEVERAGE IN 18 AND 19.