The Good News Report

[videtur quam contuor]

13 hours ago, KJHburg said:

^^^Nascar Hall of Fame is and plenty of visitors stay in the university area.  Come up to University area on April 19 Allstar race or the 600 on Sunday May 27.  It is still attracts more fans than a Panthers home game.  Plus a couple of the NASCAR teams are in Mecklenburg like Joe Gibbs in Huntersville. 

and yes I forget to mention Speed Street which attracts 1000s to uptown Charlotte and they are heading  to restaurants and bars for sure. 

My brother in law was big NASCAR fan and one visit we went to HOF and he LOVED it. I have minimal interest but he was a boy again while there and it delighted me (and educated me) and I shared his joy. Again? Not likely.

[KJHburg]

Story about US Bank's growth here now up to 800 jobs and they admit they will be  outgrowing their space  soon (a good thing)  Subscriber article in the Business Journal

Key paragraph :  ""The first thing I’d say about Charlotte is it’s been a very attractive market for U.S. Bank just because of the talent pool. Charlotte’s still a growing place, so it’s a very attractive place for people to come to work. Since 2009, we had about 100 people when I joined, and now we have almost 800 in Charlotte — over 800 including all of North Carolina. The wholesale bank has been one of the biggest drivers of that. One area we have that’s actually based in Charlotte as part of the wholesale bank, which we now call the corporate and commercial bank, is our credit fixed income business. That area, in 2009, had $0 in revenues, and last year it grew to $200 million in revenues. ""

https://www.bizjournals.com/charlotte/news/2018/05/10/how-u-s-bank-is-building-a-big-presence-in.html

Financial incentives paid for this company Zero.  Big huge headlines no, just quiet growth.  Disclosure I have a US Bank credit card LOL 

[J-Rob]

hmmm... Midtown Tower??

[Dale]

GOP convention looking good for Charlotte, if only by default ...

http://www.msn.com/en-us/news/politics/gop-has-few-takers-for-2020-convention/ar-AAx6BTQ?li=BBnb7Kz

[QCxpat]

From Photo of the Day, Sunday, May 13, 2018 (Mother's Day), by @KJHburg  

Photo from Friday of south end of Uptown.   Happy Mothers Day to all the mothers, grandmothers, aunts, caregivers out there.  Don't forget to call or better yet visit your mom tomorrow if you can!  My mom grew up in Charlotte and lived on the far edge of the city (Oakhurst) went to the rural East Meck High School (she took a field trip to see the massive new highway being built it is was called Independence Blvd.).  Worked at  the real Wachovia uptown in the brand new then  129 West Trade (that now needs a renovation)  First date with my dad at the Manor Theater and first home purchased in Charlotte was on Pecan Ave (this is the one I wished they had kept all these years) (It is still standing) Gave birth to baby KJ at Mercy Hospital when the nuns still ran the place.  Happy Mothers Day! (and yes she saw a guy named Elvis at the Carolina Theater) 

@KJHburg  Member of UP since February 12, 2016,  going on 821 days.  4059 posts with 9224 likes, as of 8:30 A.M. on Mother's Day 05/13/2018.

Everyday @KJHburg  is busy posting and lifting up UP'ers hearts with his magnificent photography of our beautiful home, Charlotte.    

Everyday @KJHburg reminds us that        

 

Thank you @KJHburg   Here's one for you:

 

George Harrison - Here comes the sun - YouTube

 2:56

https://www.youtube.com/watch?v=GwmVfewqu7I

1.  

Jun 10, 2011 - Uploaded by SW1AOAA

Here comes the sun, doo doo doo doo Here comes the sun, and I say It's ... This is still my fav. song by a ...

 

[KJHburg]

Lincoln Harris released their 1Q 2018 office market report as always there are a few nuggets of new information in there.  In line with the other previously released reports first quarter 2018 is off  with a bang with 234,000 sq ft  of office space absorbed.    An interesting new nugget of gold so to speak is that Ally Center at Tryon Place is now 71% preleased and they are reporting 530,000 sq ft preleased.  Interesting since Ally Bank announced a  400,000 sq ft lease so they either took more space or someone else leased a chunk in there or a combination of two.   Anyone know?   Ally at TP is now more preleased than LH Legacy tower with Bank of America as anchor.  They do confirm Allstate as everyone else reported but not in the press yet. The lease with EY might have happened after this report period ended which was 3/31.       Anyway upward and onward for the Charlotte office market.    More Office Leasing means More new buildings. 

Download your copy here

http://lincolnharris.com/Research/Charlotte.html

 

[atlrvr]

I suspect most of the preleasing is BofACC relos.

 

I think JLL is confirmed, and it wouldn't surprise me if Crescent moved from Carillon.

Other guesses are MVA law firm and McKenzie.

[Missmylab4]

JLL is in the Tyron Place numbers, I believe 25,000 SF. 

[KJHburg]

Most people choose Charlotte first then find a job here which means people really want to move here.  Poor San Jose CA and surprised to see Raleigh so far down the list maybe it does not have as much of a reputation as Charlotte does.

https://www.apartmentlist.com/rentonomics/where-do-renters-move-for-jobs/

[elrodvt]

I think you just tortured this data. 

[elrodvt]

^What i got out of it is that people with lower levels of skill need to live in lower cost areas and it is hard for them to move. Not that "people really want to move here".  I sure would not want to move to  the other cities at the top of the location based list...

[QCxpat]

1 hour ago, elrodvt said:

^What i got out of it is that people with lower levels of skill need to live in lower cost areas and it is hard for them to move. Not that "people really want to move here".  I sure would not want to move to  the other cities at the top of the location based list...

 

3 hours ago, KJHburg said:

Most people choose Charlotte first then find a job here which means people really want to move here.  Poor San Jose CA and surprised to see Raleigh so far down the list maybe it does not have as much of a reputation as Charlotte does.

https://www.apartmentlist.com/rentonomics/where-do-renters-move-for-jobs/

Apartment List / Rentonomics surveyed 20,000 Apartment List users (renters) in 33 major metro areas.  The report noted that "metros with the most Location-First movers tend to be more affordable, fast growing Sunbelt metros, while those with the largest share of Job-First movers have a higher share of college-educated workers and high housing costs.  

Among the Apartment List / Rentonomics findings were:

• 4 of the 33 metro areas had a higher % of Location-First movers than Charlotte:  (i) Las Vegas - 81.8%,  (ii) Phoenix - 68.8%,  (iii) Portland - 68.8%,  (iv) San Diego - 65.7%,  (v) Charlotte - 63.9%.
• Just 2 of the 33 metro areas had a higher % of the Combined Share (Job-First & Location-First Movers) planning to settle down long-term than Charlotte:  (i) Las Vegas - 63%,  (ii) San Antonio - 62.1%,  (iii) Charlotte - 57.6%.

There were sharp differences between Charlotte and Raleigh, viz.,  Share of Location First Movers --  CLT 63.9%  vs.  RDU 40.6%.   

The Apartment List / Rentonomics report observed:

• RALEIGH:   "The combination of large technology companies, start-ups and job opportunities in science and academia attract many Job-First movers to the Research Triangle surrounding Raleigh." 
• CHARLOTTE:  "The prevalence of Location-First movers in ... Sunbelt metros is part of a broader movement to 'growing regions where employment is plentiful.'  These metros, including Phoenix, Charlotte, and San Antonio, offer more affordable housing options...."

The U.S. Census Bureau is scheduled to release population estimates as of July 1, 2017, for incorporated cities and towns later this month (May, 2018).   It'll be interesting to see how the growth of cities with a large share of Location-First movers (such as, Charlotte, San Antonio, and Las Vegas) compares with the growth of cities with a large share of Job-First movers (such as, Raleigh, Boston ,and San Jose).   

Link:    https://www.census.gov/programs-surveys/popest/about/schedule.html  -- U.S. Census Bureau Schedule for Release of Estimates of City and Town (incorporated place and minor civil division) Population.

[KJHburg]

another quote from the above cited study of renters is this

""More affordable Sunbelt metros such as Houston and Charlotte have a higher share of renters planning to settle down long-term, while relatively few renters plan to stay in expensive cities, such as New York and San Francisco.""    what this tells me once people move here they really like and plan to stay long term.  That is indeed good news.  A growing labor force attracts employers. 

[southslider]

^Given all the new heads, is per capita income up or down?

[CLT2014]

5 hours ago, southslider said:

^Given all the new heads, is per capita income up or down?

Per capita income is up steadily since the recession (up 6.6% since 2009) in the Charlotte-Concord-Gastonia MSA, but it is still down compared to 2006/2007 due to declines in manufacturing as a component of the GDP (down about -11%) and a big spike in Finance/Insurance in 2006 (peak bubble season) that is down slightly today compared to that year. This isn't surprising when you think of the manufacturing layoffs that have impacted Gaston County, Cabarrus County (especially towards Kannapolis), Rowan County, even Mecklenburg, etc...  and the more conservative banking environment today. Construction was flat in 2016 vs. 2006/2007 as our single family home boom is still down vs the real estate bubble prior to the recession, offset by more apartment construction in urban areas to result in flat construction GDP.

Some highlights:
Professional & Business Services GDP in the Charlotte metro is up 61% from $14 billion to $22.5 billion of the metro GDP, which likely disproportionately benefits Mecklenburg and York Counties. 
Education and Healthcare GDP has grown 26% since 2006. 
Arts entertainment and food service are up 33% since 2006. 
Total Charlotte MSA GDP has grown 15% since 2006 and 22% since 2010 (in 2010 our GDP bottomed out from the recession impacts at -6% below 2006 GDP). 

The BEA doesn't disclose specific numbers for some categories (such as Utilities), but includes it in the total number, as the data is considered confidential (i.e. Duke Energy probably makes up a significant portion of the Utilities GDP in Charlotte MSA). 

Edited May 18, 2018 by CLT2014

[QCxpat]

7 hours ago, southslider said:

^Given all the new heads, is per capita income up or down?

According to Sperling's Best Places, Charlotte's income per capita was $31,844, which includes all adults and children.  The median household income in Charlotte was $53,274.  N.B.:  These figures appear to be somewhat antiquated and based on the 2010 U.S. Census Bureau's American Community Survey 5-Year estimates.

 According to the 2018 World Almanac and Book of Facts, Charlotte's per capita income is $44,935, with a net positive change from 2014-2015 of + 4.4%.  

Statista has a chart ranking the per capita incomes of the 25 most populous cities in the U.S. as of 2016.  Charlotte had the 10th highest per capita income ($34,461) of the 25 largest cities.

The 2016 Statista data follows:

(1) San Francisco               $  61,736

(2) Seattle                                   55,184

(3) Washington, D.C.            50,187

(4) San Jose                               42,122

(5) Denver                                  39,423

(6) Austin                                   39,103

(7) Boston                                  37,842

(8) San Diego                           36,954

(9) New York City                 35,508

(10) Charlotte                         34,461

(11) Chicago                             33,122

(12) Los Angeles                    31,619

(13) Dallas                                 30,739

(14) Nashville                          30,138

(15) Houston                           30,080

(16) Jacksonville                    27,226

(17) Indianapolis                   26,801

(18) Fort Worth                     26,735

(19) Columbus                        26,573

(20) Phoenix                            26,308

(21) Philadelphia                   24,685

(22) San Antonio                   23,921

(23) Memphis                          22,702

(24) El Paso                               20,655

(25) Detroit                              15,611

Links;

(1)  http://www.bestplaces.net/economy/city/north_carolina/charlotte  -  Sperlings Best Places / Charlotte

(2) https://www.statista.com/statistics/205618/per-capita-income-in-the-top-20-most-populated-cities-in-the-us/  -  Statista, Per capita income in the most populated U.S. cities in 2016

(3) https://en.wikipedia.org/wiki/List_of_North_Carolina_locations_by_per_capita_income  --  North Carolina Counties Ranked by Per Capita Income; Data from 2010 US Census

Edited May 18, 2018 by QCxpat
Include caveat re 2010 data

[KJHburg]

Charlotte area has 6 companies based here on the Fortune 500 and 15 total on the Fortune 1000 top companies.  

https://charlottechamber.com/blog/2018/05/21/data/charlotte-gains-on-fortune-1000-list/

Bank of America,  Lowes,  Duke Energy,  Nucor, Sonic Automotive, Sealed Air are all Fortune 500 companies based here. 

[atlrvr]

Hmmmmm....Brighthouse Financial would be too if they annualized the revenue since the spin-off.

[KJHburg]

In Business Journal article about JP Morgan Chase's office here in Charlotte a tidbit of information is found.  This is a subscriber article but check this out:  The article is talking about middle market banking and their new private banking office in SouthPark (other office is in Hearst Plaza) but then they say this:

""In Charlotte specifically, JPMorgan Chase continues to hire bankers, along with experts in treasury and risk management, according to May. Among its lines of business, the expansion is set to only continue.""

I am no banker but treasury and risk management is not considered middle market banking is it?    It almost seems like they this little operation is set to grow like US Bank did because of the pool of workers available here.  

https://www.bizjournals.com/charlotte/news/2018/05/24/how-jpmorgan-chase-is-driving-middle-market-growth.html

Says JP Morgan Chase has about 100 NC employees now this might be something to watch.    US Bank grew from 100 employees after buying a Wells or BofA unit to over almost 800 people here and is still growing. 

 

 

[sb_sb]

On 5/24/2018 at 6:38 PM, KJHburg said:

In Business Journal article about JP Morgan Chase's office here in Charlotte a tidbit of information is found.  This is a subscriber article but check this out:  The article is talking about middle market banking and their new private banking office in SouthPark (other office is in Hearst Plaza) but then they say this:

""In Charlotte specifically, JPMorgan Chase continues to hire bankers, along with experts in treasury and risk management, according to May. Among its lines of business, the expansion is set to only continue.""

I am no banker but treasury and risk management is not considered middle market banking is it?    It almost seems like they this little operation is set to grow like US Bank did because of the pool of workers available here.  

https://www.bizjournals.com/charlotte/news/2018/05/24/how-jpmorgan-chase-is-driving-middle-market-growth.html

Says JP Morgan Chase has about 100 NC employees now this might be something to watch.    US Bank grew from 100 employees after buying a Wells or BofA unit to over almost 800 people here and is still growing. 

 

 

Can confirm. Both risk management and Treasury fall under Middle office. 

[Desert Power]

1 hour ago, sb_sb said:

Can confirm. Both risk management and Treasury fall under Middle office. 

He asked if it was considering middle marking banking, not if they are middle office functions.

[KJHburg]

Let me restate this about Chase.  Treasury and risk management functions are not normal middle banking functions as  this office primarily does.   Is that a true statement?  Chase is adding some corporate type functions here as our financial labor pool is very experienced.    It just sounds like an US Bank office here where they grew in directions and with jobs like their headquarters would have.  

[atlrvr]

Not to be too technical, but I think they are talking about treasury services sales, and local market credit risk officers.  While these are certainly good jobs, they would just be supporting the Charlotte bankers.

This is different from the corporate treasury and bank corporate risk mgmt jobs that would be classified as "middle office".  I don't think these are the type of jobs they were alluding too.

 

All that said, Charlotte is a great destination for finance jobs. 

[KJHburg]

BB&T is buying 2 suburban office buildings in LakePointe Corporate Park (across from the new VA center and next to SealedAir HQ)   They plan to move employees in the buildings as the existing leases expire.  The 2 six story buildings contain over 331,000 sq ft of space.  However they noted in this article BB&T just renewed for 10 years their 120,000 sq ft in BB&T Center uptown.   They purchased them both for about $53 million. Owner occupied office space is a big plus as it means a long term commitment to the city and as I have pointed out with the proposed Duke Energy building uptown a long term savings.   Here are the  2 buildings purchased   http://www.childressklein.com/property_profiles/lakepointe-corporate-center/

This is probably job growth and interesting BB&T bought 2 suburban office buildings in Raleigh and a couple of years ago bought the old American Express office building in Greensboro near the airport.  Obviously they can draw from the large fiance banking labor pool here in Charlotte and this most likely represents a growing Charlotte workforce for the Winstn Salem based bank

.https://www.bizjournals.com/charlotte/news/2018/05/30/nc-bank-acquires-two-suburban-charlotte-office.html    subscriber only article 

Edited May 31, 2018 by KJHburg

[CLT2014]

Not a subscriber so can't read the article: Is BB&T vacating their more outdated suburban office space off Parkway Place and other suburban locations as part of the gradual relocation to LakePointe or is this all incremental growth?

Parkway Place office parks are going to be a ghost town. LPL moved out to Fort Mill, RoundPoint Mortgage is moving out to Fort Mill, and if BB&T moved out to LakePointe the block would be nearly empty. Is the owner of those office parks considering a more modern renovation? 

Edited May 31, 2018 by CLT2014