This past week was an exciting week in the local market, as far as I am concerned.
Marion County commissioners actually lowered impact fees. While it was a temporary fix (even a band-aid on a deep cut mentally feels better), it was a step in the right direction. Later on in this brief, and upcoming in the June issue, you will be able to read far more details about this move, but from my understanding, there will be a price break of about $4000 on new residential construction for the next 90 days, then it will return to where the fees have been. On commercial, the cuts are very significant, and should spur considerable activity. The bigger issue, which could impact all of North Central Florida, is how this ties in to a bill on Governor Crist's desk. If he passes it, the Sadowski Trust Fund gets an additional $22 million a year for affordable housing. If a county/municipality lowers impact fees by 25 percent or more, and keeps it lowered for at least 18 months, they can tap into those funds. Can you imagine if our county commissioners actually took advantage of available money for affordable housing?
It seems more and more, FHA loans are making a big comeback. They allow for a larger percentage to borrow, the loan rates are affordable, and they can help you get into that first home. In fact, based on the median income in Alachua and Marion counties, this is a fiscally responsible way to approach it. I know that many lenders and mortgage brokers are getting very familiar with the process and procedeures, and I would recommend talking to them so you could refer this to your homebuyers. You also can visit the FHA site at www.fha.mortageloanplace.com.
This past week, the Builder's Association of North Central Florida held their Past President's membership meeting. I am a nut for history. I love it. I am a big believer in knowing where you have come from, and how you got to where you are today. There really are no words to thank the pioneers of our industry, and how they have helped shape where we are today, other than to acknowledge them whenever we can. I applaud the Builder's Association for their choices for the AW Fletcher Award and Don Lester Award. The AW Fletcher Award went to Jim Painter. Anyone who has met Jim (or come within a city block of him) can feel his passion for our industry. He constantly strives to help leave our association and its members better off than it was when he started, and has helped implement policies and programs that will be around long after we are gone. Teresa Faul-Kelly won the Don Lester award. I stand up and applaud this decision. For those of you who know Teresa, she seems to always have a smile on her face. If you ask for help, she is usually the first in line. What stands out the most is that Teresa does it because she believes in it, not for the recognition. In the six years I have been publishing Building Edge, I have never seen her seek out the limelight, or ask for a pat on the back. She definitely deserves it, and I congratulate her on being the recipient of the Don Lester award this year.
It is election season. I have positioned myself as an advocate for our industry, so I feel I owe it to everyone to keep you abreast of who is running and could positively impact us. We have a few races that we can impact. In Gainesville, Rick Bryant is continuing his run for county commission. Rick needs our help. I am sure many of you heard about the commission's latest decision. They want to try and raise taxes so they can purchase land for Alachua County Forever. Never mind that we need to fix our roads, address concurrency, get prepared for the new comp plan, discuss overcrowding at our high schools or figure out how to pay the taxes Byerly and his team have forced down our throat for gas. Commissioner Pinkoson was the only one who even addressed the fact that we have other issues, and if we are going to look at a sales tax, let's address multiple needs, not just one that caters to a very small, but extremely vocal group. Commissioner Pinkoson needs help on the commission. Visit Rick's website at www.voterickbryant.com to see how you can assist.
In Marion County, we have Emerson Clauss. Emerson is dedicated to our industry. He is one of us, building in our area for many years. Emerson, co-president of the Builders Association, is dedicated to impacting our community as it continues to grow. There is a $750 million deficit for roads in Marion County. Construction has fallen all the way to roughly 80 permits a month. Emerson has been fighting for years for our issues. Isn't it time he does so as a member of the commission? As far as I can tell, he is the only candidate for the District 1 commission seat that even went to the commission meeting on impact fees last week. We are all tightening our belts right now, but Emerson could use a little help so he can run an effective campaign and make changes for us that will help those belts get loosened again. To help, call Emerson at (352) 629-8922 or visit www.emersonclauss.com.
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www.BuildingEdgeMagazine.com
Our May issue, featuring The Enclave Apartments developed by Collier Enterprises, and constructed by Davis and Sons Construction is available online and in print. The National Feature is on Outdoor Living: decking, landscaping, fencing, outdoor lighting, retaining walls, outdoor kitchens, fireplaces.
Our June issue of Building Edge is in the final stages of production, and will be online next week. Our feature is on Claeys Construction. Jim and Sarah are exceptional at what they do, and have had as many referalls to me from other builders as from subs and suppliers. Their parade house this year had quite a bit of the "Wow Factor." I look forward to sharing it with you. The National Feature will be on Doors: entry, interior, patio and overhead. This will be the issue that we recap the Spring Parade of Homes™.
closes Thursday. We are thrilled to be able to feature Barry and his team with you, and look forward to updating everyone as to what is going on with one of North Central Florida's finest builders. Our National Feature is on Baths: fixtures, faucets, home spas, appliances, tile, countertops and appliances.
Coming up in August is Schaefer Construction of Gainesville. The National Feature will be on Curb Appeal.
In September, we return to Ocala, and we catch up with Bennett Construction Services. The National Feature is on Interior Design.
October finds us back in Lake City with Isaac Construction. The National Feature will be on weathering the Elements. This issue will also mark the return of our highly successful, semi-annual Buyer's Guide.
The Spring 2008 issue of Commercial Building Edge is online here. 2007 Marion County Small Business of the Year Stentiford Construction Services, led by Paul Stentiford is our cover story. We are also in the process of developing a website for Paul and his team. Bookmark this site at www.stentifordconstruction.net.
The Summer issue of Commercial Building Edge, featuring Brian Crawford, owner of Concept Construction of North Florida closes at the end of this month. Brian is also the president of the Columbia County Builders Association. We look forward to our first Columbia County Commercial issue. To participate, please give us a call.
HOME™: Living in the Heart of Florida:
Our Spring issue of HOME: Living in the Heart of Florida, featuring TV20's Paige Beck on the cover is out and in circulation. Judging by the response, it is a hit. We are constantly on the go - restocking our distribution points. We have been very busy. This issue should take us over 500 distribution points. Those include the Gainesville Chamber of Commerce, Ocala Marion County Chamber of Commerce, Newberry/Jonesville Chamber of Commerce, Williston Chamber of Commerce and the Gainesville Regional Airport. It can also be seen online at www.LivingintheHeartofFlorida.com. In addition to our cover story on Paige Beck, this issue is filled with articles about the home and community. If you would like to have HOME displayed in your place of employment, please let us know. Everyone who knows Paige knows how truly genuine her heart is. I think that is part of the reason we can't keep the magazines stocked. If you would like to get a copy, please call us today. At the rate we are going, we may be out of stock very soon. (352) 372-5854 in Gainesville, (352) 368-1707 in Ocala.
The Summer issue of HOME is open for sales for two more weeks. Our cover story will be on Judy and Davis Rembert. Look for this issue to start arriving the first week of July. |
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Marion County Reduces Impact Fees
Marion County took a small step forward towards helping the local economy last week when the county commissioner voted to approve an ordinance to reducing the road impact fees on commercial and residential developments. The board's decision will positively affect homebuilders and potential buyers in today's stifled real estate market. "While any cut is a positive move, it still was not to the extent we were hoping for, said David Craft, co-president of the Marion County Building Industry Association (MCBIA). "Ideally, we want a larger cut for a longer period of time." While there was some initial question, the county attorney ruled a few days after the meting that the commission's action was legal. The first part of the ordinance will have become effective June 1, and last for 90 days.
UF Students Take No. 2 Spot in Bridge-Building CompetitionThe Gators were oh, so close Saturday to winning another national title, and once again it would have been the result of work accomplished in the O'Dome. This weekend's nearly-national-champs were from the UF civil engineering department instead of the athletic department. The University of Florida placed second in the 17th annual National Student Steel Bridge Competition, which UF hosted at the O'Connell Center. http://www.gainesville.com/article/20080525/NEWS/632631381/1002/NEWS&title=UF_students_take_No__2_spot_in_bridge_building_competition
Start of a Solar Boom
Gainesville has become a leader in the use of solar energy in Florida, installing 17 percent of the solar electric projects that received state rebates over a two-year period ending in February. Local officials and business leaders say they hope that's just the start of the city's solar boom.
All three Gainesville city commissioners sworn into office Thursday echoed a commitment to, and love of, the city of Gainesville as they outlined the priorities they hold for their three-year terms in office. Re-elected Commissioner Jack Donovan begins his fourth year of service to the city, while Commissioners Thomas Hawkins and Lauren Poe are first-time elected officials. The three winners of the city election earlier this year touched on politics, policy and community while speaking to a crowd at the Thelma Boltin Center on Thursday. Click Here>>
Habitat Women Help Build Homes for Families
A dwelling is being built for Angelica Cooper and her three children through Habitat for Humanity of Marion County's Women Build program. On days off from her job at Closet Maid, Cooper joins the group of about 50 women working to turn the house into a home. In addition to other requirements to qualify for the home, Cooper must put in "sweat equity" on her own home.
Merger Question Between City/County Could be off November Ballot
The question of city/county consolidation may not be on the ballot for Lake City residents this fall. Or it may be posed by the City of Lake City instead. City Councilman John Robertson requested during Monday night's Council meeting that City Manager Scott Reynolds draft a request to the Columbia County Board of County Commissioners asking that the straw poll question concerning consolidation be taken off the ballot for Lake City residents. Robertson said the request was not made because he fears what the answer will be, but rather how the information is going to be processed.
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Alachua's Biotech Boom
A multimillion-dollar industry is blossoming in the city of Alachua, leaving nearby communities eager for a piece of the action. Biotechnology - which uses living organisms to solve problems in areas such as agriculture, food sciences and medicine - has taken over the 200-acre Progress Corporate Park in Alachua, housing 30 different companies. Tuesday at the Fifth Annual Celebration of Biotechnology, some of those companies showcased their technologies, such as diabetes research or improving how drugs are administered or improving the effectiveness of toothpaste.
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School Board Wants Tax Hike on Fall Ballot
What's it worth to have nurses in every Alachua County school? How about current technology in middle and high school magnet centers? Or art, music and physical education teachers in elementary schools? The Alachua County School Board wants to put those questions to voters in the form of a referendum later this year. The board voted unanimously Tuesday night to begin the process to get a Voter Approved Operating Millage on the November general election ballot.
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County Sales Tax for Land Backed
A poll to gauge public support for a sales tax initiative has found that the referendum most likely to get voters' OK would involve funding for land conservation. In response to the poll, speakers and at least one commissioner at Tuesday's Alachua County Commission meeting voiced support for a half-cent sales-tax initiative - funding from which would go toward buying up land for conservation.
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USGBC Heart of Florida Chapter
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Governor Urged to Sign Stimulus Package
Florida's economy is at a critical point. We are an economy in transition. Our economic development options are increasing, but so are our global competitors. It is important to every person who lives and works in Florida that our state's plan for economic development allows us to be globally competitive. That is why I am encouraging Gov. Charlie Crist to sign Florida's biggest economic stimulus legislation that will provide "rocket fuel" for our economy. This economic stimulus package will invest $1.8 billion back into Florida's economy, acting as a catalyst for the state's high-tech, high-wage industries and create better jobs for Floridians.
Click Here>> Homes Program for Middle-Income Workers Urged
Local and state government should spend more money to help provide housing for middle-income South Floridians, according to a new initiative launched by the local branch of a respected national real estate organization. The South Florida branch of the Urban Land Institute wants government to do more to help build housing affordable to households who earn between 60 and 140 percent of the median. That works out to $36,180 to $84,420 in Miami-Dade or $42,720 to $99,680 in Broward.
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Crist Signs Measure to Spur Innovation
In a move meant to signal to investors Florida's intent to spur innovation, Florida Gov. Charlie Crist signed legislation on the floor of the New York Stock Exchange on Thursday that allows nearly $2 billion in pension money to be invested in high-tech and growth industries within the state, such as biotechnology and green energy. The legislation also doubles to $18.4 billion the amount of other state money that can be placed in alternative investments, which include private equity, venture capital and hedge funds, as well as investments in portfolio companies. The legislation comes as the state's economy labors with a stalled housing market, high fuel prices and a growing unemployment rate, and as policymakers look for ways to attract and develop high-wage industries.
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Crane Operators Win Temporary Halt Against Safety Ordinance
A crane-safety ordinance in Miami-Dade County is on hold while crane operators, state and county officials argue over who should have jurisdiction over crane safety. A federal court ordered a temporary halt Tuesday on the ordinance that would beef up inspections and safety measures. A coalition of construction and crane industry groups had filed a lawsuit. They claimed that under the county's standard none of the 200 tower cranes currently in use would meet the requirements.
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Home Insurer for Rich Reaps $17 Million In Help From State
A property insurance company devoted solely to insuring the houses of Florida's richest residents received a $17 million low-interest state loan that enabled multimillionaires to save an average of $4,700 a year on their premiums. The money came from a $250 million state capital loan program that was designed to increase the availability of property insurance for Florida homeowners. The 2-year-old program is up for renewal at the same funding level, but this time, the $250 million would come from a surplus held by Citizens Property Insurance Corp., the state's insurer of last resort.
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Six Insurers Remove Citizens Policies
The Office of Insurance Regulation has approved the plans of six insurance companies to remove another 100,000 policies from Citizens Property Insurance Corp. in June. Some of the companies already began taking out policies earlier this year and others will begin with the June take-out. Florida law allows Citizens' policyholders to refuse the offer and stay in Citizens. All of the take-out companies have agreed to offer the same or better coverage than the policyholder had with Citizens, and at the same or lower price, the state agency said.
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Debate Grows Over Impact Fees
With state lawmakers floating the possibility of lower impact fees as an antidote to the construction collapse, some are asking whether the city should have impact fees at all. Others say it's the only fair way to deal with the consequences of growth. "There's a huge debate over whether growth should pay for growth," said Mike Quaintance, president of the Cape Coral Chamber of Commerce. The city, like others across the state, instituted impact fees in the 1980s as a growing population stressed the region's infrastructure and services. Anyone putting up a new building is assessed fees to offset the strain on services such as fire coverage, police protection and road maintenance.
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Impact Fees May Change in Santa Rosa County
The Santa Rosa County Commission is considering changing the impact fees the county collects to help build roads and bridges. The discussion came during an annual review of the impact fee ordinance Tuesday. One key area of discussion was the impact the fees have on revitalization efforts in historic districts. Cassandra Sharp, a Milton businesswoman who owns the former post office on U.S. 90 in downtown, wants to open Old Post Office Antiques in the historic building, but she got a shock when she went to pay her impact fees. The county was counting the fees as if the building was new because it had been vacant for more than four years.
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West Palm Beach Approves Extensions for Developers
City commissioners, despite strong objections from the planning department, passed an ordinance today that automatically grants extensions to site plans for developments that have been approved in recent years but haven't been built. Projects due to expire by the end of the year and now sit fallow - evidenced by the vacant and often unsightly lots around town - would be given an automatic extension of one year. There are four such projects in the downtown and 40 outside of downtown. The proposed change to city rules cites "the difficult conditions of the 2007-2008 real estate market."
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Crist Signs off on Hospital Construction Bill
After downing a breakfast bowl of Raisin Bran at the Boynton Diner, Gov. Charlie Crist made his way to Bethesda Memorial Hospital this morning to sign legislation streamlining state approval of new hospitals. It's an especially fitting place for this particular bill. Bethesda's 15-year quest to establish an open heart surgery unit did not end until 2004. The heart institute opened in February.
Click Here>>
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Buy New! Buy Now! The Building Industry Association Launches Advertising Campaign
Read today's headlines and you'll likely get conflicting messages about the real estate market. Today's homebuyer is confused and, more often than not, waiting on the sidelines to see how the housing market unfolds. But by doing nothing, many homebuyers waiting for prices to go even lower may lose out on their shot at owning a piece of the American dream. That's why today the Building Industry Association is launching a regional consumer confidence campaign aimed at educating the public on the realities of the housing market and why buying a brand new home is a wise investment today and every day.
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Recessions No Sure Thing, Some Analysts Say
A funny thing happened to the economy on its way to recession: It's taken a detour. That, at least, is the view of a growing number of economists - including some who not long ago were saying a recession was all but inevitable. They note that stock and credit markets have steadily improved since the Federal Reserve intervened to keep Bear Stearns Cos. from bankruptcy in early March, while a series of economic reports have been stronger than expected.
Builders Aim for Boomers Who Seek to Go Green
Housing developments that target baby boomers might be the next big push for the green housing market, and statistics indicate this could be a good marriage. "There is no doubt that the green trend is going to accelerate more and more," says Rick Andreen, president of Shea Homes Active Lifestyle Communities division, in a recent interview.
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Housing Starts Jump 8.2 Percent
The housing industry finally got some good news today, as the U.S. Census Bureau reported an 8.2 percent increase in overall housing starts for April. That represents 1.032 million total starts last month. However, multifamily buildings provided all of that boost, with a 36 percent jump for structures of two units and above. In contrast, single-family starts declined 1.7 percent, to 954,000. Building permits, an important indicator of future housing activity, also inched upwards by 4.9 percent in April, to 978,000. Single-family permits also rose, showing a 4 percent gain to 646,000. Regionally, April starts provided a mixed picture. Total starts dropped 12.7 percent in the Northeast, but rose 3.6 percent in the South, 18.5 percent in the West, and 24.4 percent in the Midwest.
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NAHB Offers Tips For Remodeling Your Home To Age In Place
With an increasing number of Baby Boomers choosing to stay in their homes as they age, homeowners are turning to remodelers for help to renovate their homes to accommodate their changing lifestyles. During May - National Home Remodeling Month - the National Association of Home Builders (NAHB) Remodelers highlights benefits of aging in place with the help of a certified professional. "Even minor aging-in-place remodels make a huge difference in the lives of seniors and people with disabilities," said NAHB Remodelers Chairman Lonny Rutherford, CGR, CAPS, CGP, a remodeler from Farmington, N. M. "Certified Aging in Place Specialist (CAPS) remodelers are trained and certified to assist homeowners with making the adjustments needed so that they can live in their homes comfortably. "
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Executives Shrug Off Committee's Criticism; Senators Grill Big Oil Execs
As energy prices pushed to record levels Wednesday, senators drilled oil executives with questions about their business practices, salaries and consciences. "We're about to fall into a recession" because of high energy prices, Sen. Richard Durbin, D-Ill., told the chiefs of Exxon Mobil, ConocoPhillips, Shell Oil, Chevron and BP at a Senate Judiciary Committee hearing. "Does it trouble any of you when you see what you're doing to us?" Despite the verbal jabs from both Democrats and Republicans, the executives accepted no blame and did not admit to guilty consciences.
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Rates on 30-Year Mortgages Dip Below 6 Percent
Rates on 30-year mortgages dipped below 6 percent this week, falling to their lowest level in five weeks. Freddie Mac, the mortgage company, reported Thursday that 30-year fixed-rate mortgages averaged 5.98 percent this week. That was down from 6.01 percent last week. It was the lowest level for 30-year mortgages since they averaged 5.88 percent the week of April 17. After that, 30-year rates climbed above 6 percent for four straight weeks.
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Senate Deal Struck on Mortgage Aid
Senate Banking Committee leaders said Monday that they have come to a deal on a housing bill that would prevent foreclosures, create affordable housing and revamp oversight of two of the mortgage market's biggest players: Fannie Mae and Freddie Mac. A major part of the legislation would allow the Federal Housing Administration to insure $300 billion in new loans for at-risk borrowers if lenders agree to write down loan balances below the appraised value of borrowers' homes.
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The U.S. Green Building Council's Proposed Improvements to the LEED Green Building Rating System
The U.S. Green Building Council (USGBC) opened the first public comment period on LEED 2009, the next evolution of the LEED green building certification system. LEED 2009 represents a reorganization of the existing LEED rating systems for commercial buildings, combined with a series of major technical advancements focused on improving energy efficiency, reducing carbon emissions, and addressing other environmental and human health outcomes.
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Housing Industry Says Proposed Tax Credit Would Boost Sales
Realtors and home builders are pleased that Congress recognizes the need to stimulate the overall housing market, not just help borrowers who are facing foreclosure. The House included a tax credit for first-time home buyers in the housing measures that passed May 8. The tax credit would induce many Americans who don't own a home "to at least take a look at what's out there," said Jerry Giovaniello, senior vice president and chief lobbyist for the National Association of Realtors.
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Indianapolis Maintains Title of Nation's Most Affordable Housing Market
Indianapolis, Ind. maintained its standing as the most affordable major U.S. housing market for the 11th consecutive time in the first quarter of 2008, according to the National Association of Home Builders/Wells Fargo Housing Opportunity Index (HOI), released today. Nationwide, homes became more affordable for the third consecutive quarter, with the HOI rising to the highest level since the second quarter of 2004.
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Gainesville Greens Seeks Extension
Developers who had been trying to turn a parking lot into a high-rise condominium are requesting a second extension for the project and a change from condos to apartments. Gainesville Greens, originally proposed as a 12-story luxury condominium complex, would lose the option to buy a city parking lot on June 17, and developers are seeking a six-month extension. It was originally selected by the city in 2005. Click Here>>
Corridor Picked for Power Lines
Progress Energy Florida will follow existing transmission line corridors when it builds new lines to serve a proposed nuclear plant in Levy County. "That helps to minimize the impact on the community and the environment," Progress Energy spokeswoman Cherie Jacobs said. "Of the 200-mile project, 90 percent of it is following existing lines." The new 230- and 500-kilovolt transmission lines are expected to cross nine counties, including Marion. There will be three main segments: from the proposed nuclear plant in Levy County to the Leesburg area; from Levy south to Hernando County; and from Pinellas County to Kathleen in Polk County. Click Here>>
Marion County Eyes Big Bond Issue for Roads
County Engineer Mounir Bouyounes said Wednesday the funding plan for the county's road construction program may have been thrown for a loop one day earlier. "Prior to yesterday it was balanced and funded," Bouyounes told the County Commission. "But that may not be after yesterday's vote." That's because on Tuesday, commissioners decided to cut road impact fees development by two-thirds for 90 days. After that, the fees will be set at less than 60 percent of the amount a consultant recommended. Click Here>>
Fool Metal Racket
A recycling plant is an amalgamation of sounds. Steel shrieks, protesting being ripped apart; giant cranes grumble as they snap steel jaws around meals of metal, glass and rubber. A 100-foot-long conveyor belt flops materials up to a thundering behemoth of 300-pound hammers. Scrap metal, rusted refrigerators, intact automobiles - they all screech their way onto a towering pile. The noise is so deafening that workers resort to powerful whistles to summon each other. There is one quieter sound Marion County recyclers emit. It occurs off-site, but the genesis is at the recycling plant. It too is the sound of metal on metal, and occurs when handcuffs are snapped shut. Click Here>>
Leesburg's 441 Center to be Multi-Tasking Hub
A venue for Lake County residents to attend lectures, business forums, concerts, graduations and theatrical productions could spur economic development, proponents say. The 441 Center is the latest vision of a group trying to build an educational and entertainment venue at Lake-Sumter Community College. While in the past the project focused primarily on the performing arts, the group is broadening the scope of its vision to include more than just symphonies and ballets. http://www.dailycommercial.com/main.asp?SectionID=31&SubSectionID=162&ArticleID=23908&TM=38062
Construction Materials Continue to Rise In April Producer Price Index (PPI) data released May 20 by the Bureau of Labor Statistics showed the combined price of construction inputs rose 6.5 percent in April 2008 compared to April 2007 and climbed 1.2 percent in April 2008 over March 2007. Construction inputs include materials such as cement, lumber, steel and diesel fuel. According to ABC Chief Economist Anirban Basu, although construction inflation is less dramatic than during the 2004 - 2005 period when the overall 12-month construction PPI routinely approached 10 percent, the increase in construction inputs is still uncomfortably rapid. Click Here>>
AGCGF is now offering STP & Construction Estimating Classes online!
Click herefor the 2008 class schedule.
AGC of Greater Florida Calendar of Events
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Commercial Winter 2008
HOME: Living in the Heart of Florida
AGC: Constructor Spring 2008
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