5. Labor Force:
Large, Young & Trainable
McAllen Chamber of Commerce
55%
47%
37.90%
34.20%
10%
20%
30%
40%
50%
60%
Mexico RGV Texas United
States
47% of Population under 25 of
Age (2008)
11. Foreign Trade Zone
What the FTZ offers:
• 775 Acre Industrial Park
Warehousing & Storage
Low Cost manufacturing
$1.3 Billion in products handled
annually
12. Medical Community
Only Sector Showing Significant Growth!
Rio Grande Regional –Increased Size: 200 to 320 beds., Doubling size of
hospital, Increased Trauma Service to Level 3. Only hospital in the Valley
offering pediatric cardiovascular care.
Doctors Hospital at Renaissance- Bringing the latest technology in CAT
scanners, MRI devices and cardiac catheterization to our area.
McAllen Medical Center- Opened area’s only kidney transplant program.
Mission Regional Medical Center – Expanded Neonatal ICU and added
S.A.F.E Place (Sexual Assault Forensic Unit)
13. Tourism
Birding Center
9 Sites along a 120 mile corridor (SPI to Roma)
Over 500 species migrate through the Valley
26 species specific to the Valley
Ecotourism boosts economy
14. South Padre Island
Beautiful beaches, deep sea fishing, dolphin watching, parasailing,
fine dining, shopping & an array of events and activities guaranteed
to delight everyone.
15. Mexico
Recent reports of civil unrest and drug violence have created a
negative perception of our area. If the conditions in Mexico do not
improve, it could have a long-term negative impact on our economy.
19. “Economic policy can result from
governmental inaction as well as
governmental action.”
-John F. Kennedy
TARP
Money
Abused
Too Big
To Fail
Mentality
23. McAllen MSA ranked one of the top 100 Leading Locations for
doing Business in 2011
- Area Development Magazine, 2011
24.
25. Brookings Metro Monitor
McAllen MSA ranks among Top 20 Strongest Metros in the US
March 2011 — Metro Monitor: Tracking Economic Recession and Recovery
in America’s 100 Largest Metropolitan Areas
26. McAllen ranked No. 1 mid-market cities for the top emerging
restaurant markets & restaurant expansions the U.S.
- QSR magazine, 2011
Quick Service Restaurant
27.
28.
29. La Plaza Mall
Simon Owned
Top Sales-Producing
Retail Mall in Nation
Avg. $650/psf sales
1,203,000 sf
Macy's, Dillard's(#1
in
nation), JCPenney, S
ears, Joe Brand
30. Palms Crossing
Expwy. 83 & Ware Rd.
100% Community &
Lifestyle Center
322,000 sf
development
Bealls, Chocolate
Factory, Cavenders,
PF Chang’s
31. The Shoppes at Rio Grande
EDINBURG
1.1 million sf
open-air center
on 130 acres
$80 million
development, $
90 million
economic
impact
JC Penny, TJ
Maxx, Academy
(just added
90,000 sf)
33. Rapid Response Center
280-acre research & educational park
Mind to market in 30 days
Creating a Culture of Innovation!
Creates Competitive Advantage
The New Silicon Valley!
34. Santana Denim Plant
“Welcome to Denimburg!”
$180 million denim-manufacturing plant
23-acre site along U.S. Expressway 281
Will create an estimated 800 new jobs by 2015
and 3,200 indirect jobs to Valley suppliers
Will pump millions of dollars into local economy
35. McAllen MSA
0
500
1000
1500
2000
2500
3000
2006 2007 2008 2009 2010 2011
2579
2714
2565
2465
2335
1180
Total Units Sold - YTD
115
130
145
160
2006 2007 2008 2009 2010 2011
138
143
147 148 147 146
Avg. Days on Market - YTD
0
25000
50000
75000
100000
125000
150000
2006 2007 2008 2009 2010 2011
$128,990 $129,690
$122,617 $119,525
$124,751 $126,446
Average Sold Price - YTD
0
50
100
150
200
250
300
350
400
2006 2007 2008 2009 2010 2011
$333
$351
$313
$294 $298
$148
Total Sold Dollar Volume - YTD
In Millions
36. Housing Starts
Jumpstart Economy
Pre-Construction
• Title Companies
• Mortgage Co.
• Insurance Co.
• Contractors
• Realtors
• Attorneys
• Engineers
• Surveyors
• Architects
• CPA’s
• Bankers
Construction
• Plumbers
• Electricians
• Painters
• Brick Layers
• Carpenters
• Inspectors
• Appraisers
• Lumber
• Brick
• Flooring
• Concrete
Post Construction
• Furniture
• Appliances
• Electronics
• Landscapers
• Hardware
• Window Coverings
• Security System
• Interior Decorators
• Home Entertainment
• Pool Maintenance
• Sprinkler Company
37. Valley Resourcefulness
• Continued Job & Population Growth
• Emergence of New Innovations
• Construction Expansion
• Increased Presence in Global Economy
38. CHARLES MARINA, CCIM, CRB, GRI
First American Realty Co.
3827 N. 10th St. Suite 105
McAllen, TX 78501
(956) 682-3000
Email: cmarina@firstamrlty.com
Website: www.FirstAmericanRealty.com
http://www.facebook.com/chasmar1
http://twitter.com/FarcRGV
http://www.linkedin.com/in/cmarina37
Editor's Notes
If you had visited the Valley 30 years ago, you would find the frontage roads along the Expressway lined with Groves and some even nestled in between commercial developments on 10th Street, lots of Palm trees and not much else. However that was all about to change, the real estate boom was in its infancy, We began to experience Urban Sprawl and soon the fresh scent of the orange blossom was replaced with the smell of fresh lumber.
Growth and development are wonderful but they bring new challenges with themI call this the “Push” “Pull” effectFor every push, there is a corresponding pullThe push is the Growth and development and the pull is the strain placed on our infrastructure. We must plan ahead to accommodate our projected population growth. Our City services may be compromised, Stressed and tested: Police, fire and ambulance service may not be able to address the needs of a growing population. If not scenes like this portrayed in the photo will become a daily common occurrence, and not only on the Expressway but within our city streets. We are already seeing sign of traffic congestion on 10th and Noalna and other major arteries.
Some want to blame the recent recession on the Real Estate industry, calling it a real estate crisis, nothing could be further from the truthI say, it was a Financial Meltdown led by Bad Lending Practices that not only took down the real estate industry but had a far and wide reaching negative impact on the global economy. Mortgage companies were spring up seemly overnight; many were fly- by-night operationsLoan applications were approved with ease; some were called no doc loans with no or very little down paymentYou could even borrower money online and have the money deposited into your account the next day All this was driven by “greed and rampant speculation”
The old financial lending model was simple but sound Money comes into the bank in form of deposits the banks in turn loan the money to consumers (Jokingly) Artie, maybe you can help me explain the new system? (Jokingly)Looking at the New System, I find it difficult to explain, all I can really see is Greed. The new system, driven by greedy Wall Street speculators said, lets create Securities, Bundle them up sell them to Warehouse Lenders who in turn sell them to Mortgage banks and then finally the consumer.
John Kennedy said, “Economic policy can result from governmental inaction as well as governmental action”.TARP is an example of government Action,Which fell miserably on its face, the Fed with their infamous wisdom wanted to stimulate the economy by supplying banks with huge sums of money which in turn they were suppose to loan to the public what instead what did they do the large mega banks gobbled up smaller weaker banks putting money back into the economyInstead, banks used it to acquire more banks gobbling up small weaker banksWith no oversight, TARP proved to be a disaster Another example of Governmental action was when the feds bailed out AIG, “The Too Big to Fail” mentality was at work and for the most part, I agree with their decision. However, Governmental inaction allowed the 4th largest financial institution in the country to fall flat on its face and go into bankruptcy. The Feds sat back and did nothing .Lehman Brothers stock plummet from almost 70 dollars a share to 2 dollars a share. Warren Buffet attempted a hostile takeover at 40 dollars a share but was denied. This was the Too Big To Bail mentally” This type Government inconsistency led to fear in the market place and created a rippling effect throughout Global marks. Whoever coined the phrase, “The do nothing Congress had it right”. Gridlock and personal agendas seem to be the order of the day. The Country is faltering and looking for direction. Washington is completely4 largest banks – last qrt $3.6trill46 next largest – last qrt $2.6 trill
To further proof the resilience of the Valley and that it truly is Recession Proof, Experts say the Valley entered the recession 2ndQrt 08, almost one year after the rest of the country entered the recession. The Valley was last to enter and emerged the same time the official date for the rest of the country occurred.
Forbes ranked McAllen as the least toxic city in the US.I had to really think about this it even took me back, I asked what is the significance of this and why do we care. The answer is before a family moves or relocates, they want to know they will have a clean environment to live in, and industry wants the same for the workers.Based on: Air QualityWater QualityLand Fill (Management/Size)Green Initiative
While we are on the topic of real estate, I want to share with you something I have been working on. Multiplier effect Pulls economy out recessions, props up economyNAR every house purchased two jobs created.Housing starts will jumpstart the economy, when you consider the components that make up a new house. And who all is involved and which sectors of the economy it touches. Land sale, title co., ins. Co., Mortg. Co., appraiser, bldg. inspector, realty, atty, surveyors, engineers, landscaping, irrigation , concrete ., plumbing, elect. Lumber, hardware, brick, flooring, Appliance, Furniture and much much more.