May 2,2014
Brighter Times Ahead for Central Valley Says Economist
Chris Thornberg, founding partner at Beacon Economics LLC in Los Angeles, spoke at the annul Sequoia Valley Economic Summit held Friday in Tulare. Thornberg says he is bullish on the national economy and plays down low first quarter growth numbers announced recently expecting they will be revised upward. Likewise in California Thornberg is “reasonably bullish” suggesting the negative business climate talks have been overstated. Regards news that Toyota will leave California for Texas taking several thousand jobs with them, he says “Toyota has been beat-up pretty bad bad in the past year and needed to consolidate.” adding that the Japanese car maker came to California “when they were exporting almost all their vehicles to the US.Now they are making most of them in the South and it makes sense to have administrative offices nearby.”
”Besides,Texas paid them a pile of money”
Locally,Thornberg discounts the notion that people are leaving the Central Valley because of a depressed economy.”Bakersfield has the fastest growing economy in the state” and although Tulare County’s growth is not as fast – “employment is growing, real estate has come back,tourists are coming here and the ag economy, despite the drought is strong.”
“I expect to see the water markets open up to allow trades from wetter areas.” Still, he says the local economy” could use more of a bump.” He adds the area lacks higher education options but the educational results from our existing schools show improvement, a good sign.
Gas Prices may have peaked say both oil economist Tom Kloza and local oil exec Walt Dwelle. As of this week California prices have been lower for just the past few days after rising more than 65 cents since early February. Kloza he expects gas prices to be cheaper by Memorial Day than they will be on Cinco De Mayo. Visalia’s Walt Dwelle, whose family owns the Flyers chain, says he expects prices to moderate now that both oil prices are lower and the summer fuel blend conversion is over. “I would look to a 15 or 20 cents decline over the next month” Dwelle says. While the summer driving season usually means higher demand we are using less gasoline than a year ago because of fuel efficiencies. Gas Buddy sees wholesale prices dropping this week, a sign of future lower prices at the pump.
Home building permits in Visalia jumped to 51 in April compared to 34 in April 2013,the highest monthly total so far this year. For the year the number of new single family home permits is up 19% and valuation is up 30%.
Lovers Lane Commercial Center
Visalia Planning Commission will take up a conditional use permit application from Coachella Valley developer Singh Chandi who wants to build a commercial center on the eastside of Lovers Lane on 12 acres ,some 310 ft from Noble Ave. Chandi seeks to develop 6 parcels including a gas station, fast food with drive-thru,three story hotel, drug store with drive-thru totaling 106,400sf. Chandi has developed a number of projects that typically include an Arco station and Del Taco eatery.
Dinuba was the fastest growing city in Tulare County says the state Department of Finance with a January 2014 population estimate of 23,666, up 2.5% in a year.The County as a whole grew by 0.7% with the City of Tulare recording a 1% gain.The City of McFarland in Kern County was the fastest growing city in state but that was due to more prisoners locating there. Avenal was one of the big losers but again due to fewer prisoners.