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Becoming one of the largest office landlords in Sarasota and Manatee counties doesn't just happen overnight.
In the Starling Group's case, it has taken 35 years of maintaining relationships, buying the right property at the right time and reading market trends correctly.
Starling has also reached the top by taking a long view, and by being honest and communicative with lenders and tenants — even when things haven't gone as planned.
Such was the case in 2008, when the recession took hold in Southwest Florida and sent shockwaves throughout the region's commercial real estate companies.
Though Starling was equally spread out through development, leasing, management and construction, declining rental rates and demand for new product stung.
Rather than run from reality, Fred Starling got proactive.
“We met with our banks, and we figured out a way to satisfy our obligations,” says Starling, who founded the companies that bear his name. “I think we were able to do that, in part, because we were so diversified.
“But communication was critical, it was just the right thing to do,” he adds. “If there was any obligation that we couldn't meet, or if we thought we wouldn't be able to, we let people know as soon as possible.”
In 2012, when development opportunities sprouted along the Gulf Coast, Starling was poised to take advantage.
The firm developed and constructed new buildings for Medical Educational Technologies Inc., or METI; long-standing clients like Intercoastal Medical Group; and the Kennedy-White Orthopaedic Center, all in Sarasota County.
“The thing that's always stood out to me about Fred Starling is his integrity,” says Lou Oberndorf, METI's founder.
“He builds quality products, and he stands by his work. His construction division makes sure things are on time and on budget. But mainly, it's his honesty. My sense is in the real estate development world, honesty can be a rare thing.”
For Meti, Starling developed a two-story, 75,000-square-foot headquarters that was completed in 2011. The building today is occupied by CAE Healthcare, which acquired Meti from Oberndorf.
But just as Starling had success diversifying his services, the co-developer of the $500 million Founders Club golf community and the Cattleridge Business Park in Sarasota County began seeking opportunities to diversify geographically.
That led Starling to construct a new medical office complex for Sarasota Memorial Hospital in North Port and a 32,500-square-foot building for Iriss Inc., in Lakewood Ranch.
It also prompted the company to explore opportunities in Charlotte County on behalf of long-time client Ed Ansin, and to take on building a new $30 million assisted-living and memory care facility opening in May called the Sheridan at Lakewood Ranch, for Senior Lifestyle Corp., of Illinois.
But Starling maintains he isn't interested in getting too far afield from his base in Sarasota County.
“My philosophy is if I can't drive to it in an hour, I probably don't belong there,” Starling says. “I've always liked to be close to the properties we've worked on. I like to visit them, see what's happening.”
In all, Starling's portfolio of office, retail and industrial properties today totals about 600,000 square feet, ranking the company among the top commercial property owners in either Sarasota or Manatee counties.
The company's growth has caused Starling to diversify personnel, too.
In 2013, Brian Kennelly, a Starling employee who left to head Schroeder-Manatee Ranch's commercial real estate division, rejoined the company to oversee development.
And two years ago, Starling hired Chris Verville to be the group's senior project manager over construction. Most recently, Starling's daughter, Kate DeMarsh, joined the Starling Group after moving back to Sarasota from Austin, Texas.
“We're looking to the future, and the hires we've made have been part of a larger succession plan,” says Starling, 63. “As we've gotten busy again, my focus has been spread over all areas, and this way, other people are now focused on various aspects, like development and leasing and construction.”
Not that Starling has any plans to leave the companies he's built — despite making that proclamation at a celebration to mark the group's 35th anniversary earlier this year.
“I told everyone I was retiring, and there was silence,” Starling says of the Founders Club gathering. “And then I added, 'over the next 10 years.' The reality is, I don't have plans to retire. I love to work and to build. I'd like to maybe downshift where I am in the office 50% of the time.
“I don't see the company going anywhere, either, and our goal remains to add one major property to our portfolio annually.”
- K.L. McQuaid
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