Friday, November 18, 2011

Some Outside Influences on Commercial Property

As a Builder and a Developer I constantly hear the word Sustainable to rationalize some new government regulation or fee. It is applied to Growth, Building Materials, Design and Energy.

Now, keeping in mind the desirability of Sustainable, I want to give you some food for thought on our nation’s spending. 

U.S. Tax Revenue: $2,170,000,000,000
Federal Budget: $3,820,000,000,000
New Debt: $1,650,000,000,000
National Debt: $14,271,000,000,000
Recent Budget Cut: $38,500,000,000

In other words, if this was a household budget, it would look something like this:

Annual Family Income: $21,700
Money the Family Spends: $38,200
New Debt on a Credit Card: $16,500
Outstanding Balance on a Credit Card: $142,710
Total Budget Cuts: $385

Sustainable or Unsustainable?

To see how government is spending the budget on regulations please read the post of Nov 17th below. If your thinking about a new facility, an addition to your current facility or a remodel you can call on us to help you navigate the rules and regulations.

Thursday, November 17, 2011

Regulations & Job Creation Don't Mix

I'm from the Government and I'm here to help you.

Recently in a speech our President stated Americans have been "lazy" in pursueing business. A prior statement questioned the innovative ability of Americans.

With all due respect to our President I disagree America has been "lazy" or lacking in innovation about business and jobs. I think we have been very busy doing the wrong things.

  • Small Business creates 2 out of 3 jobs*
  • Cost to Small Business per Employee to Comply with Government Regulations $10.585*
  • New or pending Federal Regulations potentially adverse to Small Business - 845 **
* Small Business Administration   ** Wall Street Journal
Learn more at www.sensibleregulations.org

From "Cost of State Regulations on California Small Business Study by Cal State Sacramento comes these four stats.

  • Small Business Segment CA Economy 99.2%
  • Cost of State Regulation $492.9 Billion
  • Cost of State Regulations per Business $132,122
  • Jobs lost as a result 3.8 Million or 10% of CA Population
Part of what we do for our clients is advise and advocate for them in regards to constructing, developing, buying or selling commercial real estate. What you don't know can severly impact your business and/or your real estate investments.

Tuesday, November 8, 2011

Local Elections Do Effect Rents on Commercial Property

Today is Election Day - Vote!

Every election and every office counts.

Costly regulation is not always generated at the State or Federal level. For example local Councils that over regulate exterior building materials to "raise the bar" on development can hurt your pocket book at rent time. Requiring all four sides of a building whether visible from a street or not to be constructed of expensive aestheticly please materials is costly. Know the candidates and determine if they are truly "business friendly". These hidden costs and hidden fees might be the difference between survival and profitability.         

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