Ben Moore’s mom affectionately nicknamed him “Big Ugly,” but that nickname came well before his business The Ugly Company.
The Ugly Company saves unsellable fruit from being tossed out and repurposes it into dried fruit snacks. Last year The Ugly Company saved and repurposed nearly 2.1 million pounds of food waste.
Moore and his Chief Brand Officer Matt Gorells joined the show with some samples of their ugly fruit and what their plans are for the future.
California rental housing investment returns may lag behind the rest of the country, but Central Valley cities have the biggest gains in the state. Zillow data show rent in Madera will pay back a 20% down payment — the typical amount needed for a rental property — faster than anywhere else in the state. Real estate website Agent Advice compiled the data.
At an average rent of $2,195 a month, .57% of the average home value, it only takes 36 months to pay off the down payment, four months shorter than the national average of 40 months. The state average to pay back a down payment is 50 months, due in large part to very high average property values, the report stated.
Hanford, Visalia, Fresno, and Bakersfield round out the top five, in that order.
Madera’s year-over-year rental rate increases far outpace the other four cities. Zillow’s rent index — which includes apartments — shows rents growing 17.4% to $1,997 a month in May. Rent hikes in the other four cities hovered around 5%.
Population growth in Madera falls behind other cities in the ranking. Of the top five, Bakersfield has undergone the biggest population boom over the past five years, growing 6.15% to 408,373 as of Jan. 1, according to the California Department of Finance. Madera only grew 1.7% to 65,540 people. Visalia has grown 5.37%, with a population of 143,031 people.
For landlords competing with housing affordability, Madera County has one of the highest housing affordability ratings in the Central Valley. Approximately 54% of households can afford an entry-level home in the county, according to the California Association of Realtors. Tulare and Kings counties have slightly higher shares with 55% of households able to afford an entry-level home.
The state affordability average is 36%.
The class of 2023 has made it pretty clear that they are ready and willing to move for job opportunities — and the destination doesn’t have to be a metropolis like New York City or Los Angeles. Zillow revealed exclusively to CNBC Make it, the marketplace’s 2023 ranking of the best places in the U.S. for recent college graduates.
“Navigating rent affordability can pose challenges for recent graduates entering the housing market, especially if they are doing it for the first time,” Nicole Bachaud, Zillow senior economist, tells CNBC Make It.
“It is important for these graduates to remain mindful of impending student loan repayments that will soon come into play, which will factor into the budgets of many and may impact housing decisions.”
Zillow’s report found that the second-largest markets across the U.S. can offer college graduates a higher quality of life and an accessible cost of living.
Colorado Springs, Colorado, ranked no. 1 on Zillow’s list of the best U.S. cities for recent college graduates. The Zillow Observed Rent Index found that the average rent in the Colorado city is $1,824, compared to $2,031 in Denver, about 90 minutes away. The study found that the average salary for a recent college grad in Colorado Springs is $63,190—which means the rent ratio is 35%. Colorado Springs is home to the University of Colorado: Colorado Springs, and Colorado College, both places that offer employment opportunities to their own recent grads and graduates of nearby colleges like Pikes Peak Community College.
Spokane, Washington, ranks second on the list. The average rent in Spokane is $1,563, compared to Seattle, where it’s $2,223, according to Zillow. And the average salary in the city is $61,162 making the rent-to-income ratio 31%. Like Colorado Springs, Spokane, Washington, is the second-largest city in its state. During the pandemic Spokane saw a rise in remote job postings and has been able to maintain that rate, specifically in areas of technical services, health care, social assistance, finance and insurance.
Rounding out the top three is Des Moines, Iowa. The city is a hub for recent college grads looking to get into the insurance and financial services sector. Some major companies with a significant presence in Des Moines include Wells Fargo and UPS. According to Zillow, the typical rent is $1,202, while the average salary for recent college grads is $59,697. The rent-to-income ratio in Des Moines is 24%, which is less than a quarter of the average salary for 2023 college graduates, $59,600, according to The National Center for Education Statistics. “With strong job growth and affordable rents, Des Moines becomes an attractive city for recent grads to build their careers and enjoy a comfortable lifestyle,” Emily McDonald, Zillow rental trends expert, tells CNBC Make It.
https://www.cnbc.com/2023/05/24/top-10-best-cities-for-new-graduates-zillow-report.html
Paying property taxes is no picnic, but according to a new analysis, Central Valley residents receive the best value for their tax dollars in all of California. Financial information firm SmartAsset first calculated changes in property tax rates per capita. It also tracked school district rankings and home value growth for 2022 over a five-year period. It formed an overall index of all those factors to determine where property tax revenue is most effectively spent in the Golden State.
No. 1 was Kings County with an overall index score of 62.25. Home values in Kings County, where the property tax rate was 0.79%, grew by 65.08% in five years (No. 8 overall). Analyzing quality of schools based on math and reading/language arts proficiency scores, Kings County had a 5.00 school rating (No. 3 overall).
Fresno was No. 2 for SmartAsset’s best property tax value list with an index score of 58.56. In Fresno County, with a property tax rate of 0.82%, home values increased by 70.93% over five years (No. 5 overall). The school score index was 7.00 (No. 2 overall). Tulare County came in at No. 5 with an index score of 55.52. Its school rating score was 2.00, with home values increasing by 68.14% (No. 7 overall). It had a 0.75% property tax rate.
Madera County scored at No. 7 with a 53.24 overall index. Home value growth was 71% (No. 4 overall), while the school rating score was 2.00 and the property tax rate was 0.74%. Other counties packing the best overall property tax value list were Imperial at No. 3, Lassen at No. 4 and Merced at No. 6.
https://thebusinessjournal.com/study-central-valley-a-property-tax-value-paradise/
The Nov. 25 print edition of The Business Journal
Despite inflation and a limited housing market, Madera is still poised for a positive economic outlook for 2023.
With a slew of new projects waiting to come online, Madera County remains robust with strong growth in both the industrial and commercial sectors.
Darren Rose, the new executive director of the Madera County Economic Development Commission (EDC), said there is strong business interest in the county because of its location, workforce and business friendly environment.
Rose said that the industrial sector is seeing a lot of movement in the county, adding up to 1 million square feet of industrial space.
Cold storage company Amond World is currently building a 250,000-square-foot almond cold storage facility near the Madera Airport. Construction is expected to be completed by the second quarter of 2023.
Though they cannot be publicly named because of proprietary issues, a few local businesses in the county are preparing to expand, including a food manufacturer, a light-industrial construction fabrication company and an industrial component manufacturer and solutions provider.
Ready Roast Nut Company, an industrial supplier and processor of roasted tree nuts, is working with the city for its expansion as well, Rose said.
In August, ground broke for AutoZone’s Northern California distribution center, located in the Chowchilla Industrial Park near Highway 99. The $150 million project will create 300 full-time jobs.
The facility will cover 540,000 square feet and will be online by the end of 2023.
On the retail end, Rose said that there are inquiries from national brands, but with the national economic fluctuations, these companies cannot be disclosed.
“We have our eyes wide open — we are on the precipice of potential national recession, and retail tracks the economy very closely. We are excited, but we don’t know what the future holds from a national standpoint and what it would mean to locate a national company in the Madera market,” Rose said.
But the county does remain on the radar for national companies he said. The available workforce and land, as well as the transportation corridors, make the region attractive to national actors.
Madera will also be getting its first In N’ Out that will be going in the former space of the SugarPine Smokehouse restaurant near the Madera fairgrounds, which could open possibly by 2024, Rose said.
Rose said the ag industry in the county is expected to remain strong, but it is facing several challenges.
“The cost of fuel, supply chain issues with international markets are not as active and of course water,” Rose said. “Hopefully, the international markets begin to open and in turn help with commodity prices.”
Residential real estate is expected to remain active, but Rose said there is likely to be a slowdown because of the lack of available housing.
Madera City Manager Arnoldo Rodriguez said that the city has been fortunate this year with investment from private development, as well as grant funding for public projects.
For retail, Rodriguez said that Madera doesn’t have a single large vacant retail space, which is a challenge as the city is getting inquiries from national companies.
A Big Lots is going into the space of a former Save Mart, expected to open by early 2023.
Madera is expecting to break ground for its “Village D” master plan in the summer of 2023, consisting of 11,000 residential units and approximately two million square feet of commercial space near the Madera airport.
With the approval of Village D, and other subdivision housing projects, Rodriguez said the city is hopeful for a strong housing market.
“If interest rates come down a little bit, I think we will see a decent amount of development. With interest rates a little bit higher than average, people are skittish,” Rodriguez said. “While we can do a lot locally, some of it is dependent on national economic issues that we cannot control.”
With federal and state funding programs available, Rodriguez said the city has been aggressive in securing millions in grants for road repairs, new parks and park improvement, Fresno River conservation efforts and repairs for sidewalks.
The city also secured a $14 million grant to rehabilitate portions of Highway 145, which includes Yosemite Avenue, Downtown Madera’s main street. Construction for this will begin in 2025.
As well as attracting the attention of national companies, Madera County was able to attract national and international travelers as well.
Covid-19 restrictions in 2020, which carried into 2021, did lead to less visitors travelling to areas including Yosemite and Bass Lake, but the pent-demand led to a record number of visitors in 2022.
“The second quarter was strong — it beat all records,” said Rhonda Salisbury, CEO of the Yosemite Sierra Visitors Bureau. “2019 was the highest we had in tourism numbers, and 2022 beat that and 2021. But then the fires hit in July.”
California wildfires burned in the busiest time of the season, Salisbury said, which did bring down the number of visitors to the parks and lakes.
Since Yosemite National Park will no long be requiring reservations to visit, Salisbury expects this will draw more visitors in 2023.
She added that the bureau is expecting around the same number of visitors in 2023, especially with a lot of international travel rates returning to normal. They expect the typical European travelers to return in 2023, as well as for agritourism and Central Valley wineries.
Even with higher gas prices across the state, Salisbury said that if people are committed to traveling, gas prices are not going to deter them from taking a trip to the area.
“There’s more options of places to travel,” Salisbury said. “For a while California just toured California. Thank goodness we have so much to see and do.”
Prior to the Great Recession, Fresno ranked as one of the least economically productive cities in America. Here’s how the times have changed.
Fresno’s increase in productivity has been measured as one of the largest in the nation over the last 15 years.
A study conducted by the University of North Carolina, titled The Power of Productivity, found that Fresno’s productivity increased by 17.3 percent in the last decade and a half.
That increase is the sixth largest among the nation’s 50 largest cities.
The study defines productivity generally as the level of economic output generated for a given amount of input.
That output is seen in Fresno’s GDP, which has grown by $18 billion since 2007, including $3 billion in the last two years.
Over the last 10 years, Fresno has also had its unemployment rate drop from 17.5 percent to 5.8 percent this last October.
And while Fresno’s poverty rate remains high at 20.6 percent, it has declined from a peak of 27.4 percent in 2014.
“In 2007, Fresno was third from last in our productivity rankings,” the study reads. “However, a painful reshuffling during and following the Great Recession to advanced manufacturing and its traditional reliance on agriculture, which – thanks to heavy mechanization – can be very productive, pushed its ranking up to spot number 36.”
Fresno’s per capita income has also grown nearly 70 percent in the last 15 years.
The California Competes Tax Credit (CCTC) is an income tax credit available to businesses that want to locate in California or stay and grow in California. Businesses of any industry, size, or location compete for over $180 million available in tax credits by applying in one of the three application periods each year. Applicants will be analyzed based on twelve different factors of evaluation, including number of full-time jobs being created, amount of investment, and strategic importance to the state or region.
Application Period Timeline: For the remainder of the 2022-2023, applications for the California Competes Tax Credit will be accepted during the following periods:
Exeter-based California Citrus Mutual (CCM) and the Citrus Research Board (CRB) have received more than $1 million in new federal funding for critical research programs that support the U.S. and California citrus industries. Last week, Congress passed the 2023 Appropriations bill, which includes funding to help stop the deadly citrus plant disease Huanglonging (HLB) that has ravaged citrus production in Florida and other parts of the country.
The $1 million in new funding was approved to establish a citrus breeding program at the USDA Agriculture Research Service (ARS) field station in Parlier. “The commitment of the citrus industry to delivering quality research and innovation for all farm use has taken a big step forward with the support of congress funding the citrus breeding program in Parlier,” said Justin Brown, CRB Chairman. The funding will be re-appropriated annually.
The program, which was championed by Sen. Alex Padilla (D-CA) and Representatives Jim Costa (D-Fresno) and David Valadao (R-Hanford), will identify new citrus varieties best suited for changing climatic pressures such as drought, consumer taste preferences and resistant to pests and diseases such as HLB. Parlier’s new program is an expansion of the existing national USDA ARS citrus breeding program in Florida, which focuses on varieties with higher yields, increased disease resistance, improved color and a longer shelf life. Based off of these advancements in Florida, the CCM and the CRB saw the need for a similar program in California that would work with unique environmental conditions of the state’s production regions.
CRB, a grower-funded organization aiming to further the industry’s research priorities, has committed $500,000 toward establishing the new breeding program in Parlier to bring additional representation to California’s industry. “The addition of the breeding facility in Parlier will make the ARS Citrus Program a truly national project,” said CCM President and CEO Casey Creamer. “We look forward to watching the growth of this program and its collaboration with the UC breeding program to find solutions to the issues California citrus growers are faced with every day.”
https://thebusinessjournal.com/1m-in-funding-for-central-valley-citrus-breeding/
TULARE COUNTY – High-end rental complexes in the Central Valley proved to be a gold mine for Southern California investors, as the Mogharebi Group brokered the sale of yet another major housing community this year.
The Mogharebi Group (TMG) brokered Oak View Apartments, a 237-unit garden-style multifamily community in Visalia, Calif., once again, but this time for $50 million. This is one of the largest multifamily transactions ever in Visalia, according to TMG executive vice president Otto Ozen. The new buyer plans to upgrade 173 units of the Oak View Apartments. Built on a 16.46-acre site in 1990, Oak View Apartments is located at 4700 W. Caldwell Avenue in Visalia. While under its previous ownership, those rooms remained unrenovated and only one of the community’s 37 duplexes had been fully renovated. The property comprises 48 buildings totaling 209,610 rentable square feet. The property features one-, two- and three-bedroom floor plans with an average size of 884 square feet.
Originally, the apartments were purchased by a private investor from Southern California on Nov. 3, 2020, for $42.5 million. However, two years later the property was up for sale again, and the lucky investor that scooped up the multifamily complex is also a private investor based out of Los Angeles. TMG specializes in the multifamily property sector throughout California, and this go around, they represented the seller, a private investor from Southern California.
The property also features two outdoor pools and spas, two playgrounds, three laundry centers, business center, fitness center, basketball/volleyball courts and reserved covered parking and garages. The property is adjacent to Linwood Elementary School, La Joya Middle School and is within a 30- to 60-minute commute to over 661,000 jobs.
This is not the first time TMG has helped sell large housing developments in the Central Valley, though. High-end rental complexes in the Valley have caught the attention of many Southern California investors looking to turn big profits on a tight housing market. Operations manager Brian Nakamura has said that many Southern California investors are buying homes within the Valley because it’s a much cheaper price per unit, and there is a much better capitalization rate in the Valley than in larger cities. Since their inception in 2015, TMG has been involved in the sale of more than 6,500 units in the Central Valley with sales exceeding $800 million.
A recent property TMG brokered the sale of was ReNew, a 128-unit development in Visalia from FPA Multifamily to a Santa Barbara-based private investment firm for $30.65 million in April 2022. In 2020 alone, TMG also brokered the sale of a 240-unit apartment complex in Bakersfield for $22 million, the sale of a 109-unit complex in Tulare for $15.66 million and a 237-unit complex in Visalia for $42.5 million.
In the last two years, 445 multifamily properties in the Central Valley have traded hands, 10% of those transactions brokered by TMG. Over that span, the average sales price per unit increased 21%. The greatest increases could be found in 4- and 5-star properties which increased 28%.
There are plenty more in the permitting pipeline, as well. Apartment permits in Visalia were up 30% in the first two months of 2022 alone. Permits in Tulare are estimated to skyrocket as they are often priced lower than similar sized homes in Visalia, and the same can be said of apartment complexes as well.
More clean machines are coming to valley farms. The San Joaquin Valley Air Pollution District has accepted an additional $118.8 million to replace agricultural equipment in the San Joaquin Valley, with the funding from the California Air Resources Board seen as a step in reducing agricultural emissions through regulatory and incentive-based strategies. The FARMER Program (Funding Agricultural Replacement Measures for Emission Reductions) is a collaborative effort between the agricultural community, the air district and CARB in addressing emissions from agricultural sources, particularly in the San Joaquin Valley.
To date, the district has been the recipient of $432,129,600 in FARMER Program funding during the first four funding cycles. “The district appreciates the state recognizing the public health benefit that results from the FARMER funding,” said Samir Sheikh, executive director for the Valley Air District. “The San Joaquin Valley agricultural sector feeds the world and programs like FARMER are critical to supporting the ongoing transition to more sustainable and air-friendly practices.”
Valley agriculture, in partnership with the district and CARB, has invested more than $1.7 billion in public and private funding towards replacing nearly 17,000 pieces of old, higher-polluting equipment and implementing other measures to reduce emissions associated with valley agricultural operations. In March, the valley district approved increases to incentive levels for its Agriculture Tractor Replacement program and added two new incentive tiers for smaller farming operations. Operations of 100 acres and less in size can now receive up to 80% off the cost of equipment, and operations between 101 and 500 acres in size can now receive up to 70% off.
Funding opportunities can be found on the program’s webpage at ww2.valleyair.org/grants/tractor-replacement-program. Smaller farmers also receive an increased incentive under the district’s Alternatives to Agricultural Burning program. The Valley Air District covers eight counties including San Joaquin, Stanislaus, Merced, Madera, Fresno, Kings, Tulare and portions of Kern.