Builders Outlook 2016 Issue 3

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  • 8/19/2019 Builders Outlook 2016 Issue 3

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    Builders

    Outlook

    Generation X Real Estate Habits

    By Deon SwiggsJust as the Baby Boomer

    generation has its characteristics,so does the “Generation X” first-time and move-up homebuyers.The Gen Xers are children ofwealth, privilege, and instantgratification. Very few have been towar. Nevertheless, they are alsothe products of the highest divorcerate in history.

    So whats different withgeneration X:

    Half of the Gen X group alreadyowns their own homes, andalthough most don’t live alone,they are not necessarily married to

    the person with whom they shareliving space. This group can be astudy in contradictions; admittingthat they would sacrifice for homeownership by brown-bagging andeating out less frequently, butpreferring plenty of restaurantsnearby.

    Although they value family, theywould much rather use a third orfourth bedroom for a home officethan for more sleeping space.

    Formal living and dining roomsdon’t make sense to Gen Xers.

    Highest on their list of prioritiesare abundant counter space in

    their kitchens, lots of storage andcloset space, good energyefficiency (with passive solardesigns), high-speed Web access,and a large yard.

    When people of generation X gohouse hunting this group tend tolook for things out of their pricerange and then settle forsomething less. Then a few yearslater attempt to upgrade again to a

    bigger or better house. Thisgeneration is a motivatedconsumer, experiencinghomeownership at younger agesthan even their Boomer parentsdid.

    Gen X’ers likely buy homesearlier because they have a higherproportion of two-incomehouseholds. Many of thesehomebuyers become homeownersshortly upon finishing theireducations. Further researchreveals that Gen X often get a

     jump-start from their better-heeledparents. So what we will be seeingis an influx of parental assistedhousing purchases.

    I have done a lot of readingregarding the Generation X peopleand when it comes to selling themsomething you’ve got to be straightwith them. They are the mostmedia-savvy generation in history.People of this age group do notlike being sold!

    Gen X is the first generation toregard use of computers ascasually as the telephone orrefrigerator, Gen X members usethe Web for the flexibility it offers;the freedom from having to makeappointments, as a way to avoidsitting through endless meetings in

    stuffy conference rooms, and forthe ability to make better use oftheir limited free time.

    As to housing preferences, theywant that freedom as well. Noroom will go unused, but they willnot permit homebuilders to pre-determine their needs.

    I always say that Generation X isthe generation that reads from themenu. What I mean by that is that I

    believe the people of thisgeneration like to have choices.They like to have the choice tomake sure that they are getting thebest deal and that they are gettingthing that suits them the best.

    Now in terms of Real Estate Ibelieve that the people from thisgeneration like to look around formuch longer than their parents for

    a home. Meaning that each personmay be in the market looking forsome time looking for that perfecthouse for a number of months. Andwhen they sell Gen Xérs will mostlikely interview 2, 3 or even 4agents before they make the

    decision as to who they will use. Inshort Gen Xérs are maximizes theywant the most for their time, moneyand experience, as well as thespace in their homes.

    To sum up people of thegeneration X age are now thewave of new buyers and sellers inthe market. Unlike their parentswho are generally holding onto thetop portion of the market thisgeneration has the families and thelarger homes. They are alsohaving most of the new homesbuilt sculpturing our contemporarystyle of homes. They want to useall the space the space they can.Having separate living areas is not

    of any use as this to a Gen Xér awaste of space. The typical housethese people like is a 3 or 4bedroom, open plan house with a

    double internal access garage.

    Editor’s Note: This is part three of our 

    series that focuses on housing 

    preferences by generation. In our last 

    issue we looked at Baby Boomers and 

    their changing housing needs. Previously 

    we focused on how millennials are 

    shaping the future of the housing industry.

    The article can be found in our digital 

    edition by visiting: 

    https://issuu.com/snappypublishing 

    About the Author: 

    Deon is result driven and strategic Real Estate professional. Deon believes in 

    open honest information so that 

    everybody can be knowledgeable and 

    informed when it comes to making 

    decisions with Real Estate and Business.

    His Real Estate Blog at 

    blog.deonswiggs.com is a source of great 

    information.

    National, State & Local Building Industry News2016: Issue 3

    www.elpasobuilders.com

    X marks the spot

    The housing needs of the

    ‘MTV Generation’

    Generation X were thebabies born between 1965and about 1980, theGeneration X group ismuch less concerned with

    formality and impressingothers than previousgenerations. Instead,group members preferliving wherever, wheneverand however they want.Generation X people arenow between the ages of36 and 51years.

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    2 Builders Outlook 2 16 issue 3

    NATURAL GAS IS

    YOUR KEY TO HOME SALES.By installing natural gas in your new homes and developments, you’re opening the doorto added value for potential buyers.

    Natural gas kitchens sell themselves, and natural gas furnaces, water heaters and clothes

    dryers offer greater efficiency and lower operating costs than their electric counterparts.

    For more information:

    [email protected]

    William Nieves: 915-496-6126

    Jorge Sejera: 915-680-7216

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    The latest home purchasingpatterns are signaling a New HousingCrisis in America, it seems, however,that the nature of the current crisis isopposite to the last one, i.e., thependulum has swung the other way.

    Whereas last time, easy moneycreated an oversupply of housing,this time the problem is related to ashortage of supply. There are severalvariables at play here:

    1. Lack of jobs in suburban areasare forcing people to move to citycenters where work is more readilyavailable. The challenges thatbuilders face when chasing jobs tocity centers are many, but the main

    one is lack of affordable land todevelop. This is forcing builders tolook at infill properties that have beenempty for all of these years for areason. The challenging landscapescome with a hefty price tag and this ispassed on to the consumer, whichbrings another important variable atplay.

    2. Affordability: Lack of affordablehousing is pricing many first timehome buyers out of the market andforcing them to rent. Some nationalbuilders are reporting that theaverage price of a home in some

    markets has increased by over$100,000 in the last three yearsalone. It is estimated that while firsttime home buyers made about 65%of purchases in 2009, now thatnumber is closer to 50%.

    3. Low Wage Growth: Not only arehouses more expensive nowadays,this effect is being compounded bythe low wage growth in the past 5years, forcing many to rent instead ofbuying.

    4. Psychological Factor: Anotherimportant factor driving this trend isthe attitudes of many would bebuyers of not wanting to commit to a30 year mortgage which many see as

    an anchor in a dynamic job marketwhere one might have to move onceagain to follow a job.

    These factors, amongst others,have caused home ownership to beat historically low levels. We mustnot, however, see this as a problembut as a challenge. Conditions arewhat they are, and it is necessary forus as homebuilders to understandand analyze these trends so we cancreate the housing solutions oftomorrow.

    32016 issue 3 Builders Outlook

    Carlos

    VillalobosPresident,El Paso Associationof Builders

      merica’s New Housing Crisis

    President’s

    Message

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    Lack of affordable housing is pricing many first timehome buyers out of the market and forcing them torent. Some national builders are reporting that theaverage price of a home in some markets hasincreased by over $100,000 in the last three yearsalone.

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    The news from Washington is thathome builders remain confident butcautious. I guess that comes fromthe fact that we have a wildlyinteresting political game going onboth sides of the aisle. Homebuilders are like other businesses inthat we live in a world economy but

    depend on our local economy for alivelihood. It’s interesting thatpolitics would play such asignificant role but then we’retalking about who’s going to leadthe free world and therefore dictatethe business environment. Wehave seen such devastating rulescome down from Washington overthe last twelve years that there ishope for change and change ofhope. One builder told me thatthere is still some hesitation on thepart of buyers to make thecommitment. Others say that new

    rules have made it near impossibleto clearly figure what the buyer cando given the new rules. While thereare troubling signs all around usthere is also good news aboutwhat’s going in El Paso. Our cityplanning department tells us thatpermits are up from a year ago and

    that it all appears to signal a banneryear. We can use that good news.Our builder members have beenthrough rough times recently so tohear good news is welcome news.A recovery for us would certainlymake El Paso a great place to growa family, start a business andemploy El Pasoans.

    Can it be true? The San Jacintoplaza redo is about ready to turnback to the city. News about thepotential finalization of the projectwould end one of the mostcontroversial projects ever done

    here. While the media and otherswill blame the contractor I havecome to understand otherwise,particularly with initial selection ofproject managers from Los Angeles,ridiculous specifications, costly oneoffs on items for the park, and themeddling by city council. When it’sdone everyone will be happy, orperhaps it’ll be when the lawsuitscome tumbling out like weeds inspring.

    I would like to thank so many ofyou for the encouragement and

    prayers sent my way for therecovery from knee replacement.This is like what my dad said aboutgetting old, it’s not for wimps. Iknow that one of our members hadboth knees done at the same timeabout the same time as I did myright one. I can’t imagine doingboth at the same time. Recovery istough, but so is my nurse. She’s nononsense and that my friends is thekey to recovery. Or so she’s toldme.

    Go sell something, would you.

    Ray Adauto,

    ExecutiveVice President

    EPAB

    4 Builders Outlook 2 16 Issue 3

    Recovery hard both for housing and Ray

    Executive’s

    Message

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     GINDILB

    El P 

    soSIN 0951E

    5  16 issue 3 Builders Outlook

    New Home Sales Rise 2Percent in February

    Sales of newly built, single-family homes

    rose 2 percent in February from anupwardly revised January reading to aseasonally adjusted annual rate of 512,000units, according to newly released data bythe U.S. Department of Housing and UrbanDevelopment and the U.S. Census Bureau.

    “The February bounce back in sales is inline with our builders’ reports that thehousing market continues to recover at aslow but steady pace,” said Ed Brady,chairman of the National Association ofHome Builders (NAHB) and home builderand developer from Bloomington, Ill.

    “While builders contend with industryheadwinds such as labor shortages,relatively low mortgage interest rates andsolid job growth should keep the housingmarket moving ahead as we enter thespring buying season,” said NAHB ChiefEconomist Robert Dietz.

    The inventory of new homes for sale was240,000 in February, which is a 5.6-monthsupply at the current sales pace. Themedian sales price of new houses sold inFebruary was $301,400.

    Regionally, new home sales rose 38.5percent in the West. Sales dropped 4.1percent in the South, 17.9 percent in theMidwest and 24.2 percent in the Northeast.

    Single-Family HousingStarts Reach Highest Levelsince November 2007

    Nationwide housing starts rose 5.2

    percent to a seasonally adjusted annualrate of 1.178 million units in February,according to newly released data from theU.S. Department of Housing and UrbanDevelopment and the Commerce

    Department. Single-family productionincreased 7.2 percent to 822,000 units—itshighest level since November 2007—whilemultifamily starts remained virtuallyunchanged, inching up 0.8 percent to356,000 units.

    “This month’s report is consistent withpositive builder sentiment and othereconomic indicators showing that thehousing market continues to recover at agradual pace,” said NAHB Chairman EdBrady, a home builder and developer fromBloomington, Ill.

    “February’s single-family gains indicatethat this sector is strengthening in line withour forecast,” said NAHB Chief EconomistDavid Crowe. “As the U.S. economy firms,

     job creation continues and mortgage

    interest rates remain low, we should seefurther growth in housing productionmoving forward.”

    Combined single- and multifamily startsrose in three of the four regions inFebruary, with the West, Midwest andSouth posting respective gains of 26.1percent, 19.9 percent and 7.1 percent. TheNortheast registered a 51.3 percent loss.

    A decline in the volatile multifamily sectorpushed overall permit issuance down 3.1percent in February. Multifamily permits fell8.4 percent to a rate of 436,000 whilesingle-family permits ticked up 0.4 percentto 731,000.

    Regionally, permits increased in theNortheast by 40.4 percent. The Midwest,West and South registered respective

    permit losses of 11.4 percent, 7.2 percentand 4.4 percent.

    NAHB’s Ed Brady onHousing Finance ReformPlan Ed Brady, chairman of the National

    Association of Home Builders (NAHB) anda home builder and developer fromBloomington, Ill., today issued the followingstatement regarding the housing financereform plan, A More Promising Road toGSE Reform, put forth by a group ofprivate sector experts.

    “The strategy released today is athoughtful, serious proposal that contains a

    number of elements along the lines of awhite paper released by NAHB last year.We believe that any plan must transitionFannie Mae and Freddie Mac into aprivate-sector oriented system where thefederal government’s role is clear, but itsexposure limited. Both plans underscorethe need for Congress and thisAdministration to stop kicking the can downthe road and move soon to passcomprehensive housing finance reform.Fannie Mae and Freddie Mac cannotremain in conservatorship indefinitely. It’stime for this government to act now.”

    National

    Builder News

    This month’s report isconsistent with positive buildersentiment and other economicindicators showing that thehousing market continues to

    recover at a gradual pace

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    Despite all the news to the contrary,the US economy is in pretty goodshape, better than the financial punditsthink. Sure, the stock market hastaken a battering of late, exploration

    and production activity in the oil patchhas been declining, and exports areperforming poorly, but the rest of theeconomy is fine. The service sectorcontinues to grow nicely andconstruction activity continues toincrease. Let’s take a closer look atthe facts.

    The recent tumble in equity priceshas nothing to do with a slowingeconomy and is not the precursor of arecession. Rather, the declines arethe result of three quite independent

    factors. First, as the Fed raisesinterest rates, the value of financialassets must decline. Remember, theFed initially lowered rates to boostasset prices and stimulate spending.As this process slowly unwinds, thevalue of equities must decline.Second, corporate profits have beenflat for several quarters, and third,even at today’s somewhat lower equityvalues, P/E ratios remain high byhistoric standards.

    As for exports, the US is much lessdependent on them than most nations.Exports of goods to China total lessthan one percent of GDP, while exports

    of goods to Europe are about 1.5% ofGDP. While exports of services suchas movies, music and intellectualproperty add to these totals, they donot vary much with economicconditions. As a result, while a 10%decline in exports certainly hurtsmanufacturers and their employeesand reduces GDP by about 0.2%, it isfar from catastrophic in an economygrowing by a healthy 2.5%.

    Regarding falling oil and gas prices,the benefits to the economy are just

    beginning. Until now, the pricedeclines have resulted in largecutbacks in exploration and production(E&P) activity, as well as relatedmanufacturing, construction and oilservices activity that supports oil andgas E&P. The key here is that cheaperenergy prices have boosted householdincomes by about $130 billion or$1,000/household. While to date mostof this money has been socked away, Iexpect that to change and to seeincreased consumer spending thisyear and next as households perceivethe recent price declines as somewhatpermanent.

    Most importantly, the rest of theeconomy is already doing well.Unemployment is at 4.9% and willdecline further as the year progresses,and at 4.9%, unemployment is alreadyat one of the lowest levels in decades.Moreover, home sales and prices areup, as is loan demand. In addition,tight labor markets are finally leadingto sizable increases in hourly earnings,which will boost household spendingfurther, and inflation, which has beencompletely dormant for several years,

    appears to be rising. This is aparticularly welcome developmentgiven that Japan and Europe continueto fight deflation.

    Lastly, services, which account forroughly 84% of GDP, and constructionactivity, which accounts for about 6%of GDP, both of which are almostentirely domestically focused, are infine shape and growing nicely. Duringthe past 12 months, constructionactivity increased by 10.4% andservices grew by 3%. In short, theparts of the economy that are inwardly-centered are doing well, and thenegative impacts of softer growth from

    abroad are not nearly strong enough toderail our economy. As for theupcoming election, let’s fervently hopethat the threats to dramatically raisetaxes or increase the deficit do notcome to pass.

    Elliot Eisenberg, Ph.D. is President of 

    GraphsandLaughs, LLC and can be reached at [email protected]. His daily 70 word 

    economics and policy blog can be seen at 

    www.econ70.com.

    6 Builders Outlook 2 16 Issue 3

    Financial

    Perspective

    Elliot Eisenberg

    Economic & PolicyBlog

    No recession in 2 16

    Affordability5 worst housing markets for first-time buyers

    First-time homebuyers will havebetter luck in some spots than others.

    New homebuyers are far better offpurchasing a home in many towns inthe middle of the country, and farworse off in many cities in California,according to an analysis released this

    week by financial websiteSmartAsset.com. The site examineddata on housing affordability for peopleliving in the area (as measured by theratio of median household income overfive years to ownership costs over fiveyears, including closing costs,mortgage payments, insurance andtaxes), ease of getting a mortgage and

    the stability of the housing markets incities with populations of 300,000 ormore.

    Oklahoma City tops the list, thankslargely to how affordable homes are inthe area for those who work there (themedian home is only about $125,000,

    according to Zillow) and how stable thehousing market is. Tulsa, Okla. issecond on the list; even though it hasfewer mortgage lenders thanOklahoma City, it is even moreaffordable for residents with themedian home costing just over$100,000. Indianapolis, Pittsburgh andHouston round out the top five. (Added

    bonus: all of these cities haveunemployment rates below thenational average.)

    Meanwhile, a number of cities inCalifornia are the worst for first-timehomebuyers, thanks in part to the factthat they are unaffordable for many in

    the area and the markets tend to bevolatile. Indeed, the seven worst citieson this list — Los Angeles, Santa Ana,Anaheim, Riverside, Stockton, LongBeach and Oakland — are all inCalifornia.

    Other rankings of best and worstspots for first-time home buyers cometo similar conclusions. All the best

    cities for first-time buyers chosen bypersonal finance site WalletHub werein the middle of the country particularlyTexas, while two California towns(Richmond and Compton) were theworst. The site looked at affordability,the health of the real estate market

    and city livability.To be sure, many first-time buyers

    love the perks that these Californiacities have to offer including warmweather and close proximity to theocean.

    CATEYHILL

    BUILDER MAGAZINE 

    California markets all in topfive of worst cities for first time

    homebuyers. Conditionsimprove in West and Midwest

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    Buildeers Outlook

    On the Scene

    Issue

    2016 Home and

    Garden Show bestsestimates

    The 2016 home and Garden Showheld over the March 11 weekend beatestimates of attendees and exhibitors.“I’m pleased to tell the EPAB that wehave completely sold out the floorspace for this show,” said Pam Rogers,Sales manager for Show TechnologyProductions the producers of the show.With the large number of exhibitorsand a lot of advertising on television,radio and print the number of visitorsbeat expectations as well. “I can tell

    you that the numbers of people comingin the door was phenomenal, and whilewe don’t have final attendance figuresthe lines on Saturday and Sunday tolda story in itself,” said Ray Adauto, ElPaso Association of Builders.

    The lines on Saturday required thecivic center to open two ticket windowsto accommodate the crowds. Onceinside the mood was fun and exciting.The expectations were high and theywere realized. “From what we see thisshow has just about everything andthen more,” said Delia Velasquez asshe visited.

    A prime reason for the interest wasthe displays put up by the 2016

    Parade of Homes builders, showing offeither a kitchen or a bathroom. J. J.Vasquez, Pacifica Homes summed uphis effort. “I had no idea how to do thisbut from the feedback I’m getting onmy kitchen we hit a homerun,” he said.His gray toned kitchen, with distressedlooking wood tile on the floor was a hit.It was clearly featured on the noonshow from KDBC Channel 4, as theydid a live program from the show. “Ican tell you I’m blown away at thebeauty of these displays,” Josh theweatherman said on air.

    The builders who participated wereBIC Homes, DR Horton, Deal 2 DealHomes, Edwards Homes, Pacifica

    Homes, Trinity Homes, Pointe Homesand CTU Metro Homes. Everyvignette was different and was mannedby the respective builder’srepresentatives.

    Not to be outdone were the otherdisplays in the show and of course thecelebrity start of DIY Network, MattMuenster (pronounced MIN ster) whoshared his story with the throngs ofexcited fans. Matt took time to visit thebooths and displays, taking pictures allalong the way. This was Matt’s firsttime in El Paso and hopefully not hislast, especially if you want your bathmakeover to come from him. “I can’ttell you when, if, or maybe we are

    coming to do as show here,” he toldthe audience. “My calendar is sent tome, I show up, and we do an episodein three days,” he said.

    Overall the show brought out somegreat opportunities for sellers andbuyers of many different things. Frombrooms to puppies, dresses todressers, candles, tea and airconditioning if you were looking for ityou probably found it at this show.

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    Talent Search for

    ‘El Paso Proud’ familyheld at Home show

    The prospect of landing a starring rolein the upcoming Parade of Homestelevision ads enticed families andindividuals to get behind the stagemirror and try out for it. Ted Escobedoof Snappy Publishing took the conceptRay Adauto gave him and ran with it. Itwas a dual purpose campaign; first toco-market the 2016 Parade of Homes atthe Home and Garden Show; andsecondly to utilize the show to findpotential talent to do the commercials.Dozens of folks tried out and shared the

    experience on social media, as thepictures taken made their way throughcyber space. Out of those who signedthe release we’re hopeful to find theright combination of talent andcharisma. “We had a blast meeting ourpotential ‘stars’ and I think we havesome great families to choose from”said Escobedo.

    While no time frame was given for theselection Escobedo was confident tomake the right choice. “We got to talkto the families and get a feel fromthem. We are in the process ofnarrowing it down to just one or twofamilies. Some of them were veryexcited to be a part of the Parade of

    Homes advertising. It was a great wayto kick off the marketing for the Paradeof Homes. We are looking forward togetting started on the ad campaign”.

    Our special thanks to Ted and to CeciMarquez for spending hours at thebooth and doing the hard job ofsoliciting potential families. “It was funand at times a little trying, but mostlyfun,” Marquez told the Outlook.

    Tropicana Homes moves downtownOn March 15, 2016 the downtown

    skyline welcomed Tropicana Homes asthey officially opened their new offices at

    300 E. Main next to the Indigo Hotel.The move came after years of operatingin the Northeast part of town. “We’restill full of boxes and trying to figure outwhat goes where,” said Randy Bowling.He and his brother Bobby IV andpartner Demetrio Jimenez decided to

     join other businesses in movingdowntown. “It’s different for us, butwe’re across the street from city hall andseveral banks, plus we want to be a partof what this city is transforming to andthat’s a new start for downtown and us,”said Bobby Bowling.

    The grand ribbon cutting was the firstintroduction of the new location formany in attendance. “We welcome the

    Tropicana Homes group to ourneighborhood and look forward to aprosperous venture for them,” saidRichard Dayoub president of theGreater Chamber of Commerce.

    After the ribbon cutting the visitorswere welcomed to the 7th floor forrefreshments. “We’re occupying the 7thand 14th floor,” said Randy Bowling.

     Join our network.

    el paso associaiton of builders

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    11  16 issue 3 Builders Outlook

    El Paso Development News

    Planned Lofts CouldOverlook Downtown

    BallparkBy Armando Landin 

    The architect behind a planned loftsproject adjacent to SouthwestUniversity Park in Downtown El Paso isteasing what the project may ultimatelylook like once built.

    'Ballpark Lofts' is the name of theproject which will include three 2,600square foot apartments.

    Each apartment will be three storiestall, according to the website, andinclude a street-level garage. According

    to renderings of the buildings, eachlevel will include balconies and/orterraces.

    Based on the height of the structure,

    the uppermost terraces could possiblylook onto Southwest University Park,the home of the Triple-A El PasoChihuahuas.

    The description of the project on thewebsite indicates this is the case,stating, "Each three-story unit has2,600 Sq. Ft. with terraces overlookingthe baseball field."

    Though the website does notdisclose the exact location of theproject, not many empty propertieswould be close enough to offer a viewinside the ballpark. The most likelycandidate could be a vacant lot alongthe narrow passageway that is officiallyMissouri Avenue behind left field.

    El Paso Development News reachedout to the architect, EXIGO Architects,regarding the project but have notreceived a response.

    TopGolf Shows Interest

    in El Paso, But Where? By Armando Landin 

    With TopGolf's announcement last

    week that it is looking to expand into

    the El Paso area, it leads us to

    wonder... where should it go?TopGolf, a driving range

    entertainment venue, announced lastweek that it wants to expand to small

    and mid-sized cities, including El Paso.

    Topgolf locations vary in size buttypically require around 15 acres ofspace.

    The facilities are usually three story

    structures with about 100 "bays,"

    seating areas around the driving tee

    that fit up to six adults.Far East, West, and Northeast El

    Paso seemingly offer the most options

    for a TopGolf location, which could be

    built near or in conjunction with a

    shopping complex. In recent years, City

    of El Paso officials have expressed a

    desire to bring TopGolf to the city.The fringes of the city may provide

    the most options, property-wise. The

    East Side has the most people, while

    the Northeast and West Side offer the

    most scenic options.Nearer to the city's center, it would be

    difficult for TopGolf to find a suitablysized property on which to build. The

    most central possibility could be the

    former Asarco property near the

    University of Texas at El Paso, which is just two miles northwest of Downtown.

    What do you think? Where would the

    most ideal location be for TopGolf in El

    Paso? Leave a comment here or head

    over to our Facebook page to give usyour opinion.

    P.F. Chang's, MooyahAmong Several NewTenants Heading to

    Fountains at FarahBy Armando Landin 

    The Fountains at Farah shoppingcenter in East El Paso is seeing newretail and restaurant activity thanks tonew tenants that have opened or willbe coming soon, located alongGateway West between Viscount andHawkins Boulevards.

    On the horizon for the 600,000square foot hybrid lifestyle/powercenter are multiple new eateries and adessert shop. P.F. Chang's, Mooyah,and Ruth's Chris Steak House lead thelist of upcoming dining options.

    The P.F. Chang's location will be inthe center of the Promenade, on thesouthern side of the lifestyle street.This will be the second location in ElPaso for the restaurant chain.

    Ruth's Chris Steak House will belocated in a spot just above the P.F.Chang's location, considered the"Boulevard" area of the center. Ruth's

    Chris announced its El Paso location

    last year.Mooyah, a national chain of gourmet

    burger restaurants, has also posted a"Coming Soon" sign and will belocated adjacent to Ruth's Chris SteakHouse on the Boulevard level. This isthe second Mooyah location in the SunCity.

    Bricktown Tap House & Kitchen isheaded to an empty space nearGrimaldi's on the Promenade level.

    Raising Cane's Chicken Fingers willalso open a Fountains location,according to a building permit filed withthe City, possibly near the corner ofHawins Boulevard and Gateway West.This will be the chain's second El Paso

    location, with one open on the FarEast side of the ci ty.

    Rocky Mountain Chocolate Factorywill open a location along the wideparkway of the Promenade, next to thesplashpad on the eastern end. This willbe the second El Paso location, thefirst of which is located at the OutletShoppes in Northwest El Paso.

    Avenue, a clothing store specializingin apparel for plus-sized women, willopen on the western side of the

    Promenade. This will be the retailer's

    first El Paso location.The Fountains at Farah is quickly

    filling up with eateries. Already at thecenter are a myriad of restaurants,including Twin Peaks, Jason's Deli, LaMadeleine, Grimaldi's, Kona Grill,Chipotle, Five Guys, and FirehouseSubs.

    No official opening dates have beenannounced for the upcomingrestaurants or shops.

    In addition, J. Crew Mercantile, TresMariposas, and Boeau Belle Salon andSpa have all recently opened on thePromenade of the center, the lifestyle,lower area of the Fountains.

    J. Crew Mercantile, a new, more

    affordable concept from the J. Crewbrand of stores, offers clothing andaccessories for men and women. It islocated in center of the Promenadenext to Kona Grill.

    Tres Mariposas is an El Paso-basedwomen's clothing store with its originalstore still open on the West Side. TheFountains location is across from J.Crew.

    Builders Outlook 2016 Issue3www.elpasodevnews.com

    Coming Soon• P.F. Changs

    • Mooyah• Ruth’s Chris Steak House

    • Bricktown Tap House & Kitchen• Raising Cane's Chicken Fingers

    • Rocky Mountain ChocolateFactory

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    12 Builders Outlook 2 16 issue 1

    Preview Party June 24Enchanted Hills Subdivision Development by: Southwest Land Development

    Beautiful Homes by:BIC, Pointe Homes, DR Horton, CTU Metro Homes, Pacifica Homes,

    Deal 2 Deal Homes, Trinity Homes and Edwards Homes

    Festool’s NewCrosscutting TrackSaw for Carpenters

    By Chris Ermides

    Last week at the JLC Live show inProvidence, R.I. Festool wasdemonstrating their new crosscutting tracksaw system designed for carpenters.Throughout each day of the event, showparticipants gathered around thedemonstration area in groups and mostwalked away eager to get their hands onone. The system, which has been a big hitin Europe for a while now, is due out in theU.S. this coming fall.

    The HK 55 EB, and it’s 18V cordlesscousin, the HKC 55 EB mount to a shortrail or track. Unlike Festool’s original tracksaw system in which the saw stays abovethe track until it’s plunged into the material,the HK and HKC blade stay below thetrack at all times. The track, which isavailable in three different lengths, retractsafter you push through the cut. Equippedwith a 6-1/2-in. circular saw blade, the sawprovides a cut depth of 1-15/16” straight

    down and 1-7/16” at 45 degrees whenmounted to the track. The saw’scrosscutting capacity runs from 10”, 16-1/2”, and 27” at 90 degrees, dependingupon the length of the track. The saws arealso compatible with Festool’s FS guiderails, though the TSC saw isn’t compatiblewith the HK rails.

    Both saws have a riving knife built intothe blade guard. You’ll need to use one ofthe thin kerf saw blade options (Standard,Fine, Rip) to take advantage of the integralriving knife. The saw will come with thestandard blade (500 461).

    Although the saws are designed forcrosscuts, they also can be setup quicklyto make plunge cuts. Blade depth isadjustable too, and Festool shifted frommetric to imperial numbers on the depth

    adjustment settings. The blade adjustmentaccounts for the depth of the rail, so it’saccurate without having to second-guessanything.

    The guide rail can be adjusted to makeangle cuts up to 60 degrees thanks tostops beneath the rail that register on theedge of the work piece. The demonstrationof this feature was impressive to watchbecause it illustrated how quickly the usercan make repeatable angle cuts that areflawless. The saws both bevel up to 50degrees, so compound miters are possibletoo.

    The track system is designed similarly tothe original track saw in that the edge ofthe rail aligns on the cut mark so there’svery little setup time. The rails have non-slip foam on the bottom too so there’s no

    need for clamps.Festool said that they weren’t sure yetwhat the price point was going to be. Acouple of the carpenters I spoke with saidthey would buy it if the price was nearFestool’s track saw, which starts around$600 for a corded version. Most of themwanted to see it offered at a much lowerprice, though – which seems fair. Thesystem will come with only one rail, whichis shorter than the one offered in the TSCkit. This saw will be competing with thesliding compound miter saws. Imaginerunning trim along the rake, or siding, orsoffit and fascia material for that matter –from a scaffold or lull without needing amitersaw mounted to the staging. You’ll getthe same level of accuracy from this sawwithout the setup time.

    of 

    OPEN JUNE 25 JULY 10

    www.elpasobuilders.com

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    13016 Issue 3 Builders Outlook

    Association

    News Events

    APRIL 8

    SPRING GOLF TOURNAMENT

    PAINTED DUNES

    SHOTGUN AT 10:00AM

    APRIL 13

    BOARD MEETING

    11:00

    GENERAL MEETING

    12 NOON

    MARRIOTT HOTEL

    PARADE OF HOMES

    PREVIEW PARTY

    JUNE 24

    Enchanted Hills Sub.

    UPCOMING

    EVENTSNEW MEMBERS

    SODA SPONSOR

    SNAPPY PUBLISHING, LLC

    Connect to the El Paso 

    Association of Builders: 

    www.elpasobuilders.com 

    CINA GROUP, LLC

    CONTACT: GLORIA ALVAREZ

    11220 ROJAS, STE. B-5

    EL PASO, TEXAS 79935

    915-594-3331

    CENTRAL TEXAS METAL

    ROOFING SUPPLY Co. Inc.

    CONTACT: BEN GARZA, III

    720 W. IH-10

    SEGUIN, TX 78155

    512-964-2978

    If you have an event or meeting that you would like to share with 

    EPAB members, please submit your information to: 

    [email protected] 

  • 8/19/2019 Builders Outlook 2016 Issue 3

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    One question I am always asked iswhat do I get for my membershipdues. A huge benefit of membership isthe networking, business opportunitiesthe Builders Association creates forour members. Much of what acompany gets out of membership, isbased on what efforts you put into themembership; so we can encourage allmembers to actively participate in the

    many events and educationalprograms that take place throughoutthe year. These include the HomeGarden Show, Golf and Bowlingtournaments, speed networking (oneon one time with multiple builders inthe same afternoon) and luncheducational program monthly, not tomention bi-monthly lunches withinteresting speakers with greatknowledge of our community.

    It gives advance knowledge offuture growth and building plans of ourcity. It give you the ability to direct

    advertise to local builders within yourtarget market. Get the most out ofyour membership being an activeparticipate and join us at theseupcoming events. Watch for anannouncement of the upcomingassociates meeting.

    April

    Apr 8 Friday spring golf torment atpainted dunes 0900 show up 1000shot gun Apr 13 General meetingBuilders and Associates with MayorOscar Leeser Late Apr YoungDesigners identified

    May

    May11 Board MeetingJun 25 – July 10 Parade of Homes (Westside)

    The National Association ofHispanic Real Estate Professionals(NAHREP) and the Hispanic WealthProject recently released the2015State of Hispanic HomeownershipReport revealing that while the

    national homeownership ratedwindles, Hispanic homeownershipcontinues its rise.

    The report reveals thathomeownership among Hispanicsoutpaces that of all otherdemographics, achieving a net gainof 245,000 owner households in2015, 69 percent of total U.S.homeownership growth. As thestudy articulates, “For the first timein 10 years the Hispanichomeownership rate spiked upwardwhile overall homeownership ratesin the country continued a

    downward trend.”There was tremendous growth inHispanic homeownership betweenthe fourth quarters of 2014 (44.5percent) and 2015 (46.7 percent),marking a net increase of 531,000owner households. The reportclarifies that Hispanichomeownership hadn’t risen bythese levels since 2005, gains thatwere erased by subprimemortgages and the housing crisis.

    Now, supported by a decrease in

    poverty and an increase inpurchasing power, along with agrowing population, Hispanics aresituated to impact the housingeconomy.

    “The State of HispanicHomeownership Report should berequired reading by everyone inhousing, especially lenders andrealtors,” states David Stevens,President and CEO Mortgage

    Bankers Association (MBA). “The

    Latino community is massive, it’sready to own, and it’s now. Thesignificance of Hispanics to housingand the economy will only grow,creating opportunity for all whofocus on this vibrant, dynamic, andimpactful part of the U.S. economy.”

    The Hispanic population reached57 million in 2015, up 1.6 millionfrom 2014, and Hispanichomeownership is projected to

    grow 52 percent between 2010 and

    2030. With its capable buyers andgrowing households, home buyingactivity within the Hispanicpopulation is a great source ofbusiness and excitement.

    Builders Outlook 2 16 issue 3

    John DorneyAssociates Council Chair

    El Paso Disposal 

    772-7495

    Hispanic homeownership continues upward trajectory

    Value of Membershipssociates

    Council

    14

    Jaime’s Courier

    Service,Inc.

    Jaime’s Courier

    Service,Inc.

    915-549-4533or

    915-478-2404 

    Bonded, insured for

    your peace of mind.

  • 8/19/2019 Builders Outlook 2016 Issue 3

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      EXECUTIVE OFFICERS

    PRESIDENT

    Carlos Villalobos

    VICE PRESIDENT

    Don Rassette

    SECRETARY/TREASURER

    Kathy Parry

    ASSOCIATES CHAIR

    John Dorney

    ECECUTIVE VICE PRESIDENT

    Ray Adauto

    PAST PRESIDENT

    Edgar Montiel

    Membership Retentiion

    Patrick Tuttle

    Finance Committee

    Kathy Carrillo

    Henry Tinajero

      ADVISORY TO THE BOARD

    Jay Kerr, Firth, Johnston, Bunn & Kerr

    James Martinez, Law Office of James Martinez

    BOARD OF DIRECTORS

     Antonio Cervantes, BIC Homes

    Leti Navarrete, Dream Homes/Bella Homes

    Robert Najera, Joseph Custom Homes

    Bud Foster, Southwest Land Development Services

    Walter Lujan, Dawco Home Builders

    Fernando Torres, CTU Metro Homes

    Leslie Driggers-Hoard, Homes By Design

    Edgar Garcia, Bella Vista Cutom Homes

    Mark Winton, Mark Winton Homes, Inc.

    Jason Cullers, Cullers Homes

    Samira Gonzalez, ICON Custom Homes

    Sal Masoud, DRE Development

    Joe Bernal, Employer Benefits Of El Paso

    Linda Troncoso, TRE& Associates

    Bret Thompson, Foxworth Galbraith Lumber 

    Ted Escobedo, Snappy Publishing, LLC

    Patrick Tuttle, Legacy Real Estate

    Sam Trimble, Lone Star Title

    Luis Rosas, HUBInternational

    Gilbert Pedregon, GECU

    Gregg Davis, First Light FCU

     TAB STATE DIRECTORS

    Randy Bowling

    Greg Bowling

    Sam Shallenberger 

      NATIONAL DIRECTORS

    Bobby Bowling IV.

    Demetrio Jimenez

    2015 Builder Member Of The Year 

    Edgar Montiel

    Palo Verde Homes

    2015 Associate Of The Year 

    Interceramic Tile

    2015 John Shatzman Award

    Bradley Roe

    Honorary Life Members

    Mark Dyer 

    Wayne Grinnell

    Don Henderson

    Chester Lovelady

    Cliff C. Anthes

     Anna Gill

    Brad Roe

    Rudy Guel

    E H Baeza

    Past Presidents

    Committed to Serve

    EPAB Mission Statement:

    The El Paso Association of Builders is

    a federated professional organizationrepresenting the home building

    industry, committed to enhancing the

    quality of life in our community by

    providing affordable homes of 

    excellence and value.

    The El Paso Association of Buildersis a 501C(6) trade organization.

    © 2015 Builder’s Outlook

    is published and distributed for the

    El Paso Association of Builders

    by Ted Escobedo, Snappy Publishing, LLC

    [email protected]

    El Paso • Texas • 915-820-2800

    6046 Surety Dr. El Paso, TX 79905

    915-778-5387 • Fax: 915-772-3038

    Greg Bowling

    Kelly Sorenson

    Mark Dyer Mike Santamaria

    John Cullers

    Randy Bowling

    Doug Schwartz

    Robert Baeza

    Bobby Bowling, IV

    Rudy Guel

     Anna GilBradley Roe

    Bob Bowling, III

    Edmundo Dena

    Hershel Stringfield

    Pat Woods

    NATIONAL ASSOCIATION OF

    HOME BUILDERS

    (800) 368-5242

    TEXAS ASSOCIATION OF

    BUILDERS

    (800)252-3625

    For All Your Electrical Needs Residential Specialists

    Tract Homes • Custom Homes

    915-208-9313

    602-708-7560

    Total Customer 

    Satisfaction

    15

    Builders

    Outlook

    2 16

    Issue 3

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  • 8/19/2019 Builders Outlook 2016 Issue 3

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