The Dealmaker: 1/16/2018

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The Dealmaker is a daily note of the day’s top real estate stories served just in time for lunch. Bon Appetit! Subscribe here to receive the Dealmaker to your inbox

 

 

 

 

Maracay closes on 80-acre land purchase in Peoria. Here’s Maracay’s Jason Weber on Riverwalk at 77th Ave. and Pinnacle Peak, a neighborhood which will feature “94 oversized homesites” — “some of the largest lots Maracay has developed”: “[The homesites] are deep and many back to open space… On select homesites, there will be options for… boat or RV storage, and larger backyards.” Further deal and development details in Rose Law Group Reporter. http://bit.ly/2mC1jqo

Camelback Pointe Grand Opening: A new permanent supportive housing opportunity. “Native American Connections, Mercy Care Plan and Mercy Maricopa will open the doors to [the] new 54-unit permanent supportive housing community, located at 1537 W. Camelback…” Diana Yazzie Devine, Native American Connections’ president and CEO, says “Camelback Pointe… brings together the wisdom and best practices… of building design and wrap around supportive service delivery.” Sonoran News. http://bit.ly/2mERXdx

Home buyers with popular millennial names buying more Arizona homes, analysis says. “Housing market watchers are on the lookout to see if Millennials [the Lindsays and Dylans of the world] will buy homes at the same rate of their Gen-X older siblings or baby boomer parents [i.e., those possessing old school names like Kristin, Stanley, Kurt, Jaime, Edwin and Carol].” AZCentral real estate reporter Catherine Reagor calls this report from ATTOM Data Solutions “definitely an interesting look at home sales I haven’t seen before.” http://bit.ly/2mIFs1c 

Is that a Frank Lloyd Wright? Prove it. “In the real-estate world, buyers pay a premium for a famous property only to see their home’s value plunge when its history is debunked.” In this paywall piece, The Wall Street Journal looks at how “buyers are increasingly turning to historians, architectural experts and nonprofit foundations to authenticate the provenance of the property.” http://bit.ly/2D8VgAA 

Construction input prices inch down in December. “Overall construction input prices declined 0.1 percent in December, yet despite the lack of inflation for the month, prices are up 5 percent on a year-over-year basis…” Associated Builders and Contractors Chief Economist Anirban Basu weigh in on “December’s reprieve from rising inflationary pressures,” in AZRE. http://bit.ly/2ELrAK5

Pollack: Lots of interesting info. Foremost among The Monday Morning Quarterback’s assortment of “interesting info” is the latest Blue Chip forecast, which points to “another year of above-trend… growth in 2019.” MMQ notes that if “this happens, the current cycle will be the longest in U.S. history,” but definitely not “the strongest.” Other “interesting info” includes data for these ‘Snapshots’… U.S.: CPI-Urban, Consumer Credit (w/ chart showing CC use “heating up”), Retails & Food Sales, Manufacturing & Trade. AZ: Residential Sales & Median Resale Prices – Maricopa County & Greater Tucson. http://bit.ly/2DjkjVB

MONTI’S LA CASA COLAPSADA? – Why a vacant Monti’s La Casa Vieja worries Tempe leaders. “The once iconic Monti’s La Casa Vieja stands vacant, and some worry in disrepair, as plans to build a hotel and office building on the downtown Tempe site have stalled… Tempe leaders gave the property owner a list of items to fix”; he says, “we’re almost there.” Meanwhile, AZCentral reports that Monti’s is “built with unreinforced adobe,” and that has one Historic Preservation Foundation member worried that “vibrations of construction could damage or destroy it.” KEY  QUOTE: “The risks of construction are enough to send a chill down your spine.” http://bit.ly/2r8RrJW

Empty store fronts a sign of changing times, says ASU expert. “Why does the small business economy, such as strip malls, appear to be struggling locally?” W.P. Carey School of Business prof, Dennis Hoffman, gives us his take, in KTAR. http://bit.ly/2DfIGDx

Mesa youth sports complex hopes to snag visitor money. “The long-gestating youth sports complex project [‘which is being spearheaded by the Visit Mesa tourism organization’] has the potential to be an economic boon for the city, though whether the facility’s impact will justify its estimated $60 million price tag is still up for debate.” East Valley Tribune. http://bit.ly/2B6D74z

Crowds swarm Casa Grande Sam’s Club as community reacts to planned closure. A day after Walmart announced the shuttering of 63 Sam’s Clubs across the country, customers lined up around the membership warehouse building, “waiting an hour or longer” to get in. Meanwhile, area officials — including CG Mayor Craig McFarland, City Manager Larry Rains, and Eloy City Councilman Micah Powell — started “speaking out” about the closure, with various ideas about uses “for the empty building that will remain.” In Casa Grande Dispatchhttp://bit.ly/2FIGz8U

PV’S THREE-LEGGED STOOL – 2018: Financial prospectus unfolds at Paradise Valley Town Hall. “The municipal economic forecast is based on reviews provided by the Joint Legislative Budget Committee, private economist Elliot D. Pollack and data from the Smith Travel Accommodation Report.” Town Manager Kevin Burke: “If you look at our three-legged revenue stool, hospitality is up solidly… Construction is also up substantially, there is some concern about weakness on the horizon as it related to the housing market…” Paradise Valley Independent. http://bit.ly/2DhZgmv

Advance acquisition of land near Meridian Road sought for State Route 24. “Owners of two parcels of land along the proposed State Route 24 Gateway Freeway extension from Ellsworth Road to Ironwood Drive have requested advance acquisition by the state… ‘Pursuant to [A.R.S] 28-7094, it has been determined that a reasonable need exists for this land…’ ” Queen Creek Independent. http://bit.ly/2DCjrbw

[OPINION] A velodrome-free alternative to developing Tucson’s birthplace worth considering. “If… an oval track for cyclists… is not the best use of an empty historical site at the foot of Sentinel Peak, is there a better alternative?” Ernesto Portillo thinks there is. The Arizona Daily Star columnist lobbies for a “Sonoran desert park” — “a wide-open, free public space that would be a proud and visible representation of our history, our ecology, our urban environment and our values.” http://bit.ly/2DaI3al 

[GALLERY & VIDEO] Maricopa kids engineer Future Cities. “Desert Wind Middle School Blended Learning students competed in Future City… hoping for a chance to take their idea of a futuristic community to state or even national competition. Maricopa Wells Middle School also staged a competition a day after presenting projects to Maricopa City Council members.” Check out the designs at InMaricopa. We may just have in our midst some future ULI or Valley Partnership members! http://bit.ly/2D9iOoQ

The fastest growing (and shrinking) states: A closer look. “To determine the fastest growing (and shrinking) states, 24/7 Wall St. reviewed the one-year population change [births less deaths, plus international migration] from 2015 to 2016 with data from the U.S. Census Bureau.” See how Arizona stacks up at AZCentralhttp://bit.ly/2mM2Jzv



As a supplement to the Dealmaker, we thought you might enjoy these articles!

2018 Elections 

* McSally’s flight from her district gives Dems hope. “Martha McSally’s Senate bid adds a new face to the Republican race, but also gives Democrats new hope of winning her Tucson-based House district… Larry Sabato’s Center for Politics at the University of Virginia rates the race a toss-up. So does Nathan Gonzales’ Inside Elections.” AZCentral. http://bit.ly/2FK4d54

* [OPINION] No, Joe. National Review editors come out in vehement opposition to the Senate candidacy of former Maricopa County Sheriff Joe Arpaio. “We respect a grey head as much as the next bunch of conservatives…” <– That is about the kindest thing they have to say about Sheriff Joe. http://bit.ly/2DBjnc5 

* Coolidge man wants another crack at O’Halleran. “Miguel Olivas is running again for the Congressional District 1 seat held by fellow Democrat Tom O’Halleran. Olivas lost to O’Halleran in the 2016 primary, [running] on a budget of less than $5,000, but this time he is committed to a more aggressive campaign through fundraising.” (Also from Pinal Central: “O’Halleran working to block transfer of National Guard helicopters from Pinal Airpark.”) http://bit.ly/2B6WVog


Scottsdale legislator Jay Lawrence agrees with Trump about ‘sh**hole’ countries. “During a back-and-forth Friday, Lawrence commented on Facebook, ‘Trump’s reference to certain places in the world was accurate.’ In another comment in the same thread, Lawrence wrote, ‘You Trump haters will use anything to deride a great president.’ Phoenix New Times reports that “liberal constituents reacted with astonishment at Lawrence’s endorsement of Trump’s words.” http://bit.ly/2DCw1Yf

Interior secretary pounds chest taking credit for Grand Canyon protection from mining. “Late last month, the Interior Department published a ‘comprehensive list of accomplishments’ in its first year under Secretary Ryan Zinke’s leadership, including several actions it felt demonstrated ‘a conservation stewardship legacy, second only to Teddy Roosevelt.’ ” The Huffington Post goes on… “But the most perplexing accomplishment listed on the summary was that DOI had ‘successfully defended a mineral withdrawal near the Grand Canyon.’ ” http://bit.ly/2DjpjsJ

Passage Prevented. “President Trump wants to stop illegal immigration with a wall… but experts agree it would harm the ecology of one of the most biodiverse regions of North America.” The report along with some pretty cool shots of wildlife — bobcat, jaguar, mountain lion, coyote, javelina, black bear — captured by motion-activated cameras along the border, at Arizona Center for Investigative Reporting. http://bit.ly/2FHzaqz

List of Arizona anti-wall cities grows; Tempe next up to vote. “Tucson and Pima County passed similar [anti-wall] resolutions last summer, and Flagstaff City Council will review one on Tuesday… [The Tempe] resolution opposes the effects a proposed border wall could have on the environment and animal migration patterns.” AZCentral. http://bit.ly/2FIpmMN

Water policy proposals murky to many legislators. “Gov. Doug Ducey’s State of the State address did little to advance the water conversation. He mentioned the state’s water policy prowess and noted how prudent planners allowed Arizona to avoid the water crisis California experienced… [But beyond] the platitude of ‘speaking with one voice,’ the Ducey administration hasn’t said much publicly about what its policy plans will be.” <– That, according to Arizona Capitol Times reporter Rachel Leingang, who also notes that it has left some lawmakers “unclear” about “what types of policy changes the Governor’s Office will push for.” See what a few of those lawmakers are saying about it, here: http://bit.ly/2Dhlo0c

TAX TALK – Bill to permanently extend sales tax would at least get the conversation rolling. “[T]he bill [‘would extend a state sales tax that generates more than $644 million in annual funding for public schools,’ but it] may have a hard time getting through the House of Representatives if Rep. Doug Coleman’s Republican colleagues aren’t on board…” Minority Leader Rebecca Rios: “Does it start a conversation that is going to be taken seriously and be long term? That remains to be seen.” Arizona Capitol Times. http://bit.ly/2mCvJbK 

Attorney for state tells judge school funding is ‘political question.’ “[Attorney Brett] Johnson said the governor and the Legislature are working ‘very diligently’ to resolve these issues, adding the ‘experts’ in this area should be given the opportunity to deal with the question rather than having it decided by the courts.” Capitol Media Services Howard Fischer reports in Arizona Capitol Times that “Johnson has a backup plan already in place should [Maricopa County Superior Court Judge Daniel] Martin refuse to throw out the lawsuit filed by several school districts, education groups and taxpayers…” http://bit.ly/2D8coGt

Goldwater Institute asks U.S. Supreme Court to preserve voters’ free expression. “The U.S. Supreme Court will soon hear arguments in a free speech case involving a Minnesota law that prohibits citizens from wearing shirts, hats, buttons, or other items sporting the logo of any organization with ‘recognizable political views.’… In a friend of the court brief filed last week, the Goldwater Institute, which defeated two similar policies in Arizona in lawsuits filed almost a decade ago, is urging the court to find that the Minnesota ban violates the First Amendment.” ADI. http://bit.ly/2DhCpHN

Flagstaff residents will die before art wall goes up. “The Beautification and Public Art Commission considered a beautification in action grant to create a chalkboard wall for people to share their aspirations… There have been similar walls put up in four Arizona cities, Phoenix, Scottsdale, Oro Valley and Tucson.” Arizona Daily Sun reports, however, that “Flagstaff will not be adding one.” http://bit.ly/2DoGDfR

[COMMENTARY] Lawyers, journalists, business execs swim in dirty bath water; Throw ‘em out? “A journalist, a business executive and a lawyer walked into a bar . . . and were promptly told, ‘We don’t need your kind around here,’ ” began a story in Phoenix Business Journal about how its readers rated 10 professions on their contributions to society. But  Senior Reporter/Writer Phil Riske sees things a bit differently in his piece for Rose Law Group Reporter.  Tap through to read it. We’re betting you’ll “appreciate” it. http://bit.ly/2DnCLvx

Facing fears: iPhone X’s new facial recognition raises concerns. ASU prof Sonia Bovio: ’What are we willing to give up for convenience in terms of privacy and security?… We want things to be convenient and easy, but that comes at a cost. And that is usually the cost of our identity, and potentially, our financial risks.” Cronkite News. http://bit.ly/2D8dvG9

[IN-DEPTH] NFL concussion settlement hardly settling for one family.“Mike Webster, [‘the stalwart center of the Steelers’ dynasty of the 1970s] who died in 2002, was the first N.F.L. player to receive a diagnosis of chronic traumatic encephalopathy, or C.T.E., the degenerative brain disease linked to repeated head hits… 15 years after his death, and two years after the courts cleared the way for a settlement that would pay an estimated $1 billion to retired players, Webster’s survivors continue to struggle financially.” The New York Times. http://bit.ly/2rbFtzf

‘Saturday Night Live’ tackles talk of Oprah presidential bid [VIDEO].“Cast member Leslie Jones appeared as Winfrey during the show’s ‘Weekend Update’ news segment, saying she’s contemplating a run to get ‘white women back on track.’ The Hill has a recap of ‘Oprah’s’ visit,  but you can WATCH the entire 8-minute “Weekend Update” in Rose Law Group Reporter. http://bit.ly/2DhETpg

CoreLogic Reports Early-Stage Mortgage Delinquencies Increased Following Active Hurricane Season Read more

CoreLogic reports fourth consecutive month with more than 6 percent year-over-year home price growth in November Read more

CoreLogic reports Mortgage Delinquency Rates lowest in more than a decade Mortgage Delinquencies in Phoenix-Mesa-Scottsdale down year over year Read more

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