Economic Outlook Vibrant In Solano
By Shelly Meron/Business Writer
Commercial real estate is flourishing in Solano County and will continue to grow, according to experts at Wednesday's Solano EDC Real Estate Round-Up Breakfast event.
Brooks Pedder, of Colliers International, told the audience of about 200 people that "things are actually really good" for commercial real estate in Solano County. Vacancies are down, rents are rising for the first time in about six years, land values continue to rise, and many companies are migrating to the county from the Bay Area.
Specifically, Pedder said Vacaville has seen a drop in commercial vacancies from 17 percent last year to 9.8 percent this year. Fairfield has seen a drop from 19.9 percent last year to 8 percent this year.
Pedder said he believed the county will continue to grow at a healthy pace, with developments on Mare Island in Vallejo, a new Kaiser hospital in Vacaville, revitalization in Suisun City, and a future Genentech research facility in Dixon, just to name a few.
Solano EDC president Mike Ammann agreed, saying developments like those at Genentech and Touro University in Vallejo were the key to a strong economy in the future.
"It's really the best of times," he said. "These research deals are huge to us."
Speaker Jim Shepherd, of Cornish & Carey, discussed the retail side of the commercial real estate market in the area, outlining several ongoing and future projects, including the Nut Tree Village in Vacaville, Green Valley Corporate Park in Fairfield, the future Home Depot in Dixon, Northgate Marketplace in Vallejo and the Rose Center in Benicia.
Shepherd said things are going well in the market, with one of the only problems being the rise in construction costs - up 40 percent since 2004 according to Shepherd.
"We are definitely experiencing bumps in the building costs," he said.
Speaker Ron Vyse, of Wells Fargo Commercial Banking Group, discussed real estate financing, saying he expected short-term interest rates to be flat through the first quarter of 2008, with long-term rates possibly going up.
Vyse said Solano County is "a gem," and said locals should expect to see more businesses moving in from the Bay Area.
There was little talk of the housing market at the event. But speaker Jose McNeill, of McNeill Real Estate, said after the event that the problems in the housing market all over California are serious.
"It's going to be a very tough thing," he said, particularly for those dealing with foreclosures, who will still have to pay taxes on the debt that is forgiven.
"That's the next shoe to drop," McNeill said. "People will declare bankruptcy because they can't pay off that debt. It's going to take a while for Solano County and the state as a whole to recover."
At the same time, McNeill said many people are still moving into California, which will lead to home prices stabilizing soon.
Shelly Meron can be reached at firstname.lastname@example.org.
- $100 million philanthropic grant for the establish...
- Travis Team Tops AMC Rodeo Test
- State Fund Makes Presence Felt In Vacaville
- Solano County should plan to add 12,985 new housin...
- FSC Insurance Solutions to expand in Suisun City
- Old Parts For New
- Better Process For City Sewage At $100 Million
- The Vacaville City Council acts to attract Asian M...
- Solano County and its cities planning an additiona...
- TJX Companies (Marshalls and T.J. Maxx) will open...
- PRIVATE SUPPORT FOR UC DAVIS TOPS $100
- $2.3B In Caltrans Projects Ready To Go To Bid
- City of Benicia Reaches State Historic Status
- Anheuser-Busch Enjoys Healthy Sales, Profits
- Economic Outlook Vibrant In Solano
- Experts: County Hot Spot For Businesses Looking To...
- Copart To Acquire UK-based Company
- Transportation Projects On The Way
- University of Phoenix (with Fairfield Campus) rece...
- Firm Turns 25
- Empress Ready To Rule Downtown Vallejo
- Set For Grand Debut
- Five New Solano County Building Projects Coming So...
- Solano EDC Breakfast To Include Growth Talk
- House Plan Elevations Are Given High Marks
- The More The Merrier At Nut Tree
- Bio-Rad (with facilities in Benicia) signs multi-y...
- Good Jobs, Affordable Homes in Solano County
- Sunset, And A New Dawn
- Economic Roundup Breakfast July 25
- 'Brand' New Vallejo
- Planners Set For Vote On Subdivision
- Subdivision Plan Moves Forward
- Genentech's Revenues Top $3 Billion
- Study: California to hit 60 million people by 2050...
- Hardwood Business Hits The Floor Running
- Just What The Doctor Ordered
- On Their Guard
- County's Population Predicted To Double By 2050
- City Officials: Touro Project Exciting News
- Touro's Radical Cancer Center
- City of Dixon Leaders to look at things needed by ...
- Unlike other counties, Solano not facing water red...
- Vallejo M.I. water project funding OK'd
- We need vision, infrastructure
- Rally for biotech Don't let jealousies sabotage So...
- PG&E offers economic-development grants
- Financial outlook good for schools in Vacaville
- Energy Department picks Bay Area for new bioenergy...
- Repairs to ease drivers' despair on I-80
- UC Davis joins bioenergy research partnership
- UC Davis lands federal grant for "knockout mouse" ...
- Repairs to ease drivers' despair on I-80
- Corporate park buildings OK'd in Fairfield
- $125 million from the U.S. Department of Energy ov...
- Developers gear up for new office projects across ...
- Mercedes dealership to open in Fairfield's auto ma...
- Stay A Day, Or Longer, At New Hotels
- Luxury Still Leads
- All Revved Up
- Benicia Span To Provide Relief For Commuters
- ▼ July (61)
- ► 2006 (662)
- ► 2005 (627)
- ► 2004 (125)