Lubbock, TX - Real Estate Blog

Lubbock Economy Reaches Milestone

Tue, 30 Apr 2013 01:13:04 -0600

LUBBOCK - Lubbock Economic Index (LEI) numbers for January reflect the local economy has officially recovered to prerecession levels. The Economic Index and Consumer Price Index posted 131.6 in January, which was last reached by the LEI in September 2008.

The sharp month-to-month increase to 131.6 from 130.5 in December 2012 is a staggering 8.2 percent jump from the LEI posting of 121.6 for the same month last year, according to James Arnold with Lubbock National Bank.

The $46.3 million in permits for January 2013 was second only to January 2008’s $59 million. New single-family housing construction permits, at 115, were the highest number of permits in the LEI history.

The residential real estate market posted a new record as well, with the 217 sales closed the highest on record for any January reporting, and a 47 percent increase over January 2012.

The average home sale price for January was up 13.5 percent year over year, and also a record. The monthly total dollar volume of activity posted a 66 percent increase over January 2012.

Auto sales continue to post strong numbers, with spending up more than 24 percent compared to January 2012.

More Than 200 Jobs Head To Lubbock

Tue, 30 Apr 2013 01:12:26 -0600

LUBBOCK - The Lubbock Economic Development Alliance (LEDA) announced the creation of 261 new jobs. The additional jobs come as a result of the expansion of one local business and relocation of one new business to the Lubbock community.

Custom Teleconnect is a full-service operator service provider focused toward the telecommunications industry. The company is headquartered in Las Vegas and currently has locations in both Las Vegas and Lubbock.

There are currently around 40 employees in the Lubbock office and the expansion will add 163 new employees over the next few years. These jobs will total almost $3.5 million in annual salaries with a capital investment of approximately $228,000.

The second company to announce new jobs is Republic National Distributing Company (RNDC), the nation’s second largest premium wine and spirits distributor.

The company is consolidating their Amarillo and Odessa distribution centers to create one — West Texas distribution center in Lubbock. They plan to build a 125,000-sf facility at the Lubbock Business Park for the distribution center.

Over the next five years, RNDC will create 98 new jobs with total annual salaries equaling $3.5 million and a capital investment of $5.6 million.

The jobs created from these projects equal more than $7 million in annual salaries with a capital investment of more than $5.8 million.

Once fully operational, the total annual economic impact of these projects is $36,868,547.LUBBOCK - The Lubbock Economic Development Alliance (LEDA) announced the creation of 261 new jobs. The additional jobs come as a result of the expansion of one local business and relocation of one new business to the Lubbock community.

The second company to announce new jobs is Republic National Distributing Company (RNDC), the nation’s second largest premium wine and spirits distributor.

Over the next five years, RNDC will create 98 new jobs with total annual salaries equaling $3.5 million and a capital investment of $5.6 million.

The jobs created from these projects equal more than $7 million in annual salaries with a capital investment of more than $5.8 million.

Once fully operational, the total annual economic impact of these projects is $36,868,547.

Lubbock Housing Market Shows Strength

Tue, 30 Apr 2013 11:21:04 -0600

LUBBOCK - While the national real estate market begins to show recovery signs, both the Texas and Lubbock markets continue to steadily increase at above average rates.

January numbers for both existing home sales and new residential construction indicate the local growth trend will continue well into 2013. Months inventory is 4.4 months, a 35.3 percent decrease from 6.8 months a year ago.

There are about 1,074 single-family homes available in Lubbock County, a 22.2 percent decrease from January 2012.

Overall construction activity was up by more than 55 percent in 2012, and residential construction was up by more than 30 percent.

Commercial, farm and ranch and industrial real estate and construction activity have increased, along with existing home sales and new home construction, are all signs of a strengthening local economy.

The average residential price increased 13.5 percent to $148,979 in January 2013, up from the January 2012 price of $131,241.

Alamo Drafthouse Hit For The Hub

Tue, 30 Apr 2013 10:47:03 -0600

LUBBOCK - Alamo Drafthouse will open in North Slide Square center at 5200 North Loop 289. The theatre will feature eight screens with state-of-the-art digital sound, RealD 3D projection and 35mm projection in select auditoriums.

A combination of movie theatre and restaurant, the theatre offers food, drinks, films and events all under one roof.

Construction and site work has already begun at the new location, which is expected to be completed in time for the 2014 summer movie season, according Tim League, CEO of Alamo Drafthouse.

With three universities, over 30,000 students, a steady economy and a trade area of 500,000, Lubbock was an obvious choice for the new Alamo Drafthouse location.

Currently, Triple Tap Ventures, a local franchise partner, is developing Alamo Drafthouse locations in El Paso, Houston and Lubbock, and has plans for additional Texas locations.

Home prices rise statewide in Texas

Fri, 05 Aug 2011 08:37:54 -0600

The Texas Association of REALTORS® provides media outlets with the Texas Quarterly Housing Report, which reflects what's going on in 47 of the state's markets.

The latest report shows that real estate prices during the second quarter of 2011 indicate strength in the Texas market:
The median price was $150,400, 1% higher than the same quarter of 2010. The average price in 2011-Q2 was $201,288, 4.6% higher than 2010-Q2.

The increase in the average price of Texas homes indicates more activity among higher priced homes. Buyers of higher priced homes have been less affected by tightened mortgage lending standards, and real estate has been an attractive investment vehicle due to instability in other investments, such as securities.

Another important market indicator is the inventory of homes available for sale compared with the demand to buy homes. Measured in months, Texas had 8.1 months of inventory in the second quarter of 2011 compared to 7.2 months in Q2-2010. This is still fairly balanced, with some of the additional inventory believed to be banks resuming foreclosure proceedings.

Pending Home Sales Rise Again in March

Tue, 03 May 2011 07:06:34 -0600

March saw another increase in pending home sales, with contract activity rising unevenly in six of the past nine months, according to the National Association of Realtors®.

The Pending Home Sales Index,* a forward-looking indicator based on contract signings, rose 5.1 percent to 94.1 in March from a downwardly revised 89.5 in February. The index is 11.4 percent below 106.2 in March 2010; however, activity was at elevated levels in March and April of 2010 to meet the contract deadline for the home buyer tax credit.

The data reflects contracts but not closings, which normally occur with a lag time of one or two months.

Economic Growth Forecast Improves For 2011

Wed, 30 Mar 2011 09:36:34 -0600

Good News For Economy

Mon, 27 Dec 2010 09:55:45 -0600

According to the National Association of Realtors, home sales rose in November marking the third gain in homes sales in the past four months. Existing sales grew 5.6 percent from October to November of 2010. Home buyers bought homes at a seasonally adjusted annual rate of 4.68 million. The realtor association predicts that sales for 2010 will be 4.8 million. The November growth was propelled by a 6.7 percent rise in single-family homes while sales of condominiums dropped 1.9 percent. Home sales were up all around the country particularly in the West where sales rose 11.7 percent, sales in the Midwest rose 6.4 percent, 2.9 percent in the South, and 2.7 percent in the Northeast.

Consumer spending grew at a 2.4 percent pace in November. This is the largest increase since the initial three months of 2007 yet less than the 2.8 percent estimate the previous month. During a December 20^th interview on Bloomberg Television, the chief executive officer of Saks Inc., Stephen Sadove mentioned “we’re clearly seeing an improved environment, especially as the markets have held strong”.

More Jobs for Lubbock

Mon, 27 Dec 2010 09:51:30 -0600

X-Fab Texas and a Minnesota company are collaborating on a project that will lead to Lubbock’s having the world’s highest-volume solid state battery production facility, the Lubbock Economic Development Alliance said Monday.

LEDA’s board unanimously approved a $900,000 jobs and capital investment incentive package that’s expected to result in 77 new jobs with annual salaries of about $3.2 million. The first phase of the X-Fab project with El Elk River-based Cymbet would mean about $12 million in capital improvement expenditures.

Today’s announcement included incentive deals for two other companies.

B&J Welding Supply, which has offices in Amarillo, Lamesa and Snyder, is receiving a $105,000 jobs incentive deal to open its corporate headquarters here, creating 14 jobs and annual salaries of nearly $1.1 million along with capital investment of $1.5 million.

In addition, Jack in the Box franchisee Mo-Jack LLC is receiving a $50,000 job incentive deal to move its corporate headquarters here from Midland.

The incentives support six new jobs locally and an expected capital investment of $11 million.

“It’s a very exciting Christmas present for the entire city,” said John Osborne, LEDA’s chief executive officer.

The X-Fab deal took center stage as the first phase of a project that could create as many as 150 jobs here over five years.

Production of Cymbet’s EnerChip battery, about the size of a computer chip, is expected to begin in the second quarter of 2011.

“We’re very excited about working with Cymbet as a manufacturer,” said Lloyd Whetzel, president and chief executive officer of X-Fab Texas, adding the partnership is expected to “contribute to the long-term stability of X-Fab in Lubbock.”

“Cymbet aligns well with our long-term strategy,” Whetzel added.

Cymbet CEO Bill Priesmeyer had intended to be at Monday’s announcement, but last weekend’s snowstorm closed the Minneapolis-St. Paul airport.

In a statement delivered to reporters, Priesmeyer said the company had searched for about 18 months before selecting X-Fab Texas as the manufacturing partner.

“The proven expertise, capabilities, genuine partnership attitude and world class people we sought are right in Lubbock,” Priesmeyer said in the statement. “We have absolute confidence and commitment this will be a lasting relationship that will bring good job growth to Lubbock.”

Meanwhile, the head of B&J Welding said people in Lubbock might be familiar with the company name because of delivery vehicles passing through the city.

President Steve Hodges said the company’s plans for the site it has bought near 50th Street and Martin Luther King Boulevard include a warehouse, distribution, customer service and retail operations.