Indiana's private 100.
In presenting the third annual Indiana Business listing of the largest privately held companies in Indiana, we are reasonably sure of two things:
1. The annual revenue figure for our No. 1 listing, Melvin Simon & Associates, Inc., of Indianapolis, is wrong.
2. That the shopping-center company built by the Simon brothers, Mel and Herb, is as successful as it is media-shy. Therefore, we're confident that it belongs at the top of an Indiana Private 100 list, whatever its precise revenues may be.
Michael Murphy, a spokesman for the company, responded to our request for an accurate number with a cordial reminder that Mel and Herb simply do not talk in public about their financial statistics. "I doubt that there are many people working here who have any idea about what the annual revenues are," he said.
We know a few things about Melvin Simon & Associates. The company did tell us that it employs 4,450 people, including more than 1,000 in Indiana. It also said that it owns or manages 229 properties in 38 states.
We also know that two leading industry publications, Shopping Center World and National Mall Monitor, rank Simon first in the country in amount of gross leasable area managed. Shopping Center World put the total a year ago at 66 million square feet. National Mall Monitor counted 72 million square feet in January.
In January as well, Shopping Center World ranked Simon third among shopping center developers, with 58 million square feet owned. Simon's mammoth Newport shopping-residential-office project in Jersey City, N.J., begun in 1985, will eventually have 1.2 million square feet of space in a single shopping center.
Dollars and Cents of Shopping Centers, published by the Urban Land Institute, lists operating receipts per square foot from shopping centers ranging from $16.60 for super-regional malls to $6.30 for neighborhood centers. Taking an average, Melvin Simon & Associates would receive $664 million in annual revenues from its developed centers. By itself, that would put Simon at the top of the list.
Throwing in other sources of income, such as other management fees, interests in retail stores, the Indiana Pacers basketball team and Logo 7, which wholesales custom embroidered clothing, we decided that $750 million would at least put us in the financial ballpark. If we're wrong, we invite Melvin Simon & Associates to set us straight.
We also extend that invitation to the other 99 companies on our list. Private companies do not have to report financial information to the public, so we are grateful for the cooperation we received from most of the companies on our list.
This year's list is noteworthy for some new entries and the absence of some earlier ones. Besides Melvin Simon & Associates, we welcome to the Private 100, among others: Golden Rule Insurance Company of Indianapolis (6th), which had been considered Illinois-based; Wiese Automotive Group of Indianapolis (20th), a major player we discovered in our profiles of Indiana auto-dealership moguls in December 1988; Steel Warehouse Co., Inc. of South Bend (54th), a steel service center; and Service Supply Company, Inc. (81st), an industrial-fastener wholesaler in Indianapolis whose officers wrote us after last year's list was published to say they should have been included.
To be included on our list, a company must be headquartered or incorporated in Indiana. Cooperatives (such as Indiana Farm Bureau Co-Operative of Indianapolis), mutually owned companies (such as Citizens Gas & Coke Utility) and not-for-profits are excluded.
As always, let us know which ones we missed.
PHOTO : Mel (seated) and Herb Simon head Melvin Simon & Associates, which tops our Private 100
PHOTO : list. Shopping Center World magazine reports the firm has developed more than 58 million
PHOTO : square feet of shopping centers.
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|Title Annotation:||top 100 privately held companies in Indiana|
|Publication:||Indiana Business Magazine|
|Date:||Mar 1, 1989|
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