No.1 - McAllen, Texas: Forbes’ “Best Mid-Sized Cities” for Job Seekers

Midwest cities great for job seekers

By David Balinsky
Forum Columnist
Share this article Published: Wednesday, September 23, 2009

Too often, recent graduates look to cities such as New York, Boston, and Los Angeles to find jobs thinking these locales have a plethora of opportunities.

This year, however, east and west coast cities are not the places to look. Looking closer to home might likely prove more fruitful, according to Forbes. In two lists, one for large cities and another for mid-sized cities, Forbes.com lists the best cities for jobs in 2009.

Overall, Texas dominated the list, but Oklahoma found a spot on the list, as well.

Six Midwest cities found themselves on Forbes’ list for the ten best large cities in America.

Overall, Texas dominated the list, but Oklahoma found a spot on the list, as well.

No. 6 - Oklahoma City - Oklahoma City jumped from 30th on last year’s list. Employment rose a meager 0.4 percent, but considering many large cities lost jobs, this is actually very good.

— Most promising sectors: natural resources, mining and construction

No.5 - Dallas, Texas - Dallas is one of those cities that experienced negative growth. However, it has lost only 0.1 percent employment over the past year. Wholesale and manufacturing are two sectors that led the contraction in employment.

— Most promising sectors: government, education and health services

No. 4 - Ft. Worth, Texas - The economy has slowed but not as much as cities in the Northeast and West coast.

— Most promising sector: transportation

No. 3 - San Antonio, Texas- Education and health care have done quite a bit to spare San Antonio from much of the problems seen in the rest of the country.

— Most promising sectors: health care and education

No. 2 - Houston, Texas- Houston seems to be one of the most stable cities in America. Many job sectors experienced slow and stable job growth despite the economic turmoil the rest of the country experienced.

— Most promising sectors: education, health care, mining, natural resources and wholesale

No. 1 - Austin, Texas - Austin’s job growth during the past year was effectively zero. However, job prospects in many different job sectors make it rate as the best large city in the nation.

Most promising sectors: education, health care, leisure and hospitality

Forbes’ “Best Mid-Sized Cities” ranks four Midwest Cities in the top ten.

Many of these cities have oil and mining supporting them through these tough times. Again, Oklahoma has a representative on this list.

No. 6 - Corpus Christi, Texas - Last year, Corpus Christi was 111th on Forbes’ list. This year oil and construction have helped give it a boost.

— Most promising sectors: natural resources, mining and construction

No. 5 - Kansas City, Kan. - In 2008, Kansas City lost only 600 jobs. This stability is due to everything from oil to business services.

— Most promising sectors: natural resources, business services and government

No. 2 - Tulsa - Oil is usually the first thing most people think of when Tulsa comes to mind. However, Tulsa has found itself in great shape in many different sectors. Business services, health, education and government have all experienced double digit growth over the past year.

— Most promising sectors: natural resources, business services, health, education and government

No.1 - McAllen, Texas - Education and health care grew almost 50 percent over the past five years. Government also employs about a quarter of the population.
— Most promising sectors: health, education and government

Steelcase announces new location in Reynosa South Texas Border Town

Steelcase announces new location in Reynosa
Blog Post by MEDC

Steelcase, a leading manufacturer of designer office furniture, announced plans to open operations in Reynosa. This facility will focus on chairs and will begin production in early 2010.

From the Steelcase news release:

“This will help us improve gross margins and allow the three affected plants to focus on their core product lines,” says Hamid Khorramian, vice president, North America Operations. “The new plant, located near the U.S. – Mexico border and about 250 miles south of San Antonio, Texas, is ideally located so we can serve customers across North America while controlling our shipping costs.”

To read full post by MEDC click here

McAllen, TX one of America’s Best Cities for Jobs: Forbes.com | McAllen, TX in the Rio Grande Valley

Forbes.com has recently named McAllen as one of the top ten cities in American for jobs. The study found that more companies plan to hire employees, resulting in about a 9-percent expected increase in the next quarter.

McAllen has also been named one of the top cities to sustain and grow despite the economic slowdown.

Full Story...

Cameron County gets $4 million grant for rail relocation

Cameron County gets $4 million grant for rail relocation
By LAURA B. MARTINEZ, The Brownsville Herald

The federal government has provided Cameron County with a $4 million grant that will be used to help fund the West Rail Relocation Project.

The project calls for the relocation of the international rail bridge from the downtown areas of Brownsville and Matamoros to less populated areas in both cities.

Construction on the West Rail Relocation Project is expected to begin in spring 2010, County Judge Carlos H. Cascos said Tuesday.

"This critical funding will help close the current funding gap on the estimated total amount for the construction of the new rail bridge," Cascos said. ‘‘This award of $4 million will allow us to go to construction with the necessary funding in place."

The construction cost on the United States side of the rail relocation project is estimated at $35 million.

Local, state and federal funds are funding the project. The county’s West Rail Relocation Project is among seven projects nationwide that were awarded funding by the Federal Railroad Administration’s Rail Line Relocation and Improvement Program.

To be eligible for grant funding, a project must include the reduction of adverse effects of rail traffic on safety and motor vehicle traffic flow and not negatively affect a community’s quality of life, according to the FRA.

In addition, grant recipients are required to pay at least 10 percent of the project’s cost.

Cameron County is contributing $2.5 million to the project.

The relocation project will move the rail bridge to the west side of Brownsville near the River Bend area. Moving the rail bridge is expected to reduce traffic jams and help expedite emergency medical help when needed around the Cameron County area.

Officials said the new rail bridge would also improve the ability for trains to cross at all hours. It should eliminate the three-to six-hour delays when trains are not allowed to cross during peak motor vehicle travel times during the morning and evening hours.

In late 2008, county officials traveled to Washington, D.C., to make a technical presentation to the FRA prior to submitting its application.

The project has been in the works for nearly a decade.

SPI's 'leaning tower' to be demolished

SPI's 'leaning tower' to be demolished
By Rio Grande Guardian

SOUTH PADRE ISLAND, Sept. 21 - Ocean Tower, the 31-story building dubbed by many as the “leaning tower of South Padre Island," is to be demolished.

The 158-unit skyscraper, situated on the north end of the island, was sinking slowly into the sand.

The tower will be demolished, probably in mid-November, through implosion by Controlled Demolition, Inc., the company that set a Guinness World Record when it “imploded” the Seattle Kingdome.

“After careful consideration, we believe it is in the best interest of all parties involved, including the people of South Padre Island, to demolish Ocean Tower,” said Ocean Tower, LP, in a prepared statement.

“Unfortunately, multiple engineering studies have led us to the conclusion that it is not economically feasible to complete the building and to provide the caliber of condominium tower that we intended to build. We believe the responsible action at this point is to clear the site to enable potential future development of the property.”

In the statement, Oceans Tower said it is important for residents and visitors to know the problems with the building are specific to this project. “We believe South Padre Island remains a viable and desirable place to build that continues to attract economic development and growth,” the statement said.

Construction of Ocean Tower was halted in summer 2008 after it was determined that the building had experienced differential settlement of more than 14 inches, which resulted in cracks in the beams and columns of the structure.

It was supposed to offer a luxurious setting for South Padre Island tourists, with 134 condominiums on 25 floors. Four high-speed elevators were installed along with fine interior design, luxurious bathrooms, gourmet kitchens, security, hydro-jet pools, a Beach Club; a Kid’s Club, a gym & spa, a media room and much more. Penthouse and condominiums levels were available ranging from two-bedrooms with two-baths to three-bedrooms with three-baths.

Developers of nearby properties were concerned that news about Ocean Tower's safety would hurt their projects.

Last November, Antun T. Domit, of Ocean Tower SPI, sent a letter to buyers of condominiums in Ocean Tower to say there were no immediate prospects for completion of the project. Local realtors had begun selling units in the building to local Rio Grande Valley residents, as well as some from Mexico, Canada and Europe.

”Over the past six months, we attempted to maintain the commitment of Ocean Tower’s
general contractor and lenders while studying the settlement and repair of the building,” Domit said.

“Unfortunately, our efforts have been unsuccessful. Last week, with a proposal pending for the study and repair of the tower, the general contractor discharged its subcontractors and walked off the job.”

Domit said the contractor’s refusal to participate further in the study came at a time when Ocean Tower’s lenders refused to advance additional funds for the study, repair, and/or construction of the tower.

“With the future of Ocean Tower in serious question, we release you from your purchase
agreement and plan to immediately return your earnest money,” Domit said.

“This has been a difficult decision for us to make, but under the circumstances and given our desire to maintain your trust, we feel that we have no alternative. Obviously, no one anticipated the extensive delay or the problems the project is presently suffering. We are taking steps to have your earnest money returned. Please take a look at the attached release.”

In its statement on Monday, Ocean Tower, LP, acknowledged that litigation is currently pending against the geotechnical and structural engineers of Ocean Tower. There are claims that the settlement of the condominiums is the result of a flawed engineering design.

Ocean Tower, LP, said it has hired one of the nation’s premier demolition firms, Controlled Demolition, Inc. (CDI), to demolish the tower through implosion. The company promises as little impact as possible on the local community.

CDI has safely demolished thousands of structures worldwide, including the Seattle Kingdome, the Stardust Hotel in Las Vegas and the RCA Dome in Indianapolis.

Mark Loizeaux, president of CDI, said his company is in the process of establishing a site office and mobilizing resources at Ocean Tower. He said CDI will maintain frequent communication with regulatory agencies and adjacent property owners to ensure the local community’s concerns are addressed.

“In the coming weeks, we will be contacting nearby property owners, listening to their needs and keeping them informed throughout the process,” Loizeaux said. “We have been demolishing structures for more than 65 years and have an unparalleled safety and success record. Our methods are designed to minimize disruption, optimize safety and protect adjacent properties and the environment. We will conduct the Ocean Tower demolition with the utmost sensitivity to the local community.”

More than 98 percent of the above-grade materials used to build Ocean Tower will be recycled or reused, including all steel and concrete, according to Ocean Tower, LP. Steel and concrete can be recycled for other development projects in the region. Items that can be removed safely and reused, such as bathtubs, granite flooring and windows, are currently being removed from the building, the company said.

Record numbers of students attending STC, UTPA

Record numbers of students attending STC, UTPA

Dave Gragg
The Monitor

McALLEN — Student enrollment is on the rise at the Upper Rio Grande Valley’s two main schools of higher learning.

South Texas College reported the number of students enrolled in its campuses jumped by more than 5,000 students this year compared to a year ago. The University of Texas-Pan American, meanwhile, has almost 1,200 more students than it had at this time last year.

Enrollment in community colleges typically goes up when the economy slows down and jobs are scarce, said Juan Mejia, STC’s vice president of academic affairs.

"The economy played a role, but not the only role,” he said.

He also credits several joint initiatives with school districts and economic development corporations such as dual-enrollment programs, in which students receive both high school and college credit for taking a course.

“The community has built a college-going and workforce-readiness culture,” Mejia said.

The college also has increased its online offerings and night and weekend classes, he said.

The more than 27,000 students at STC are equivalent to almost 20,000 full-time students, so many students are taking bigger course loads than they have in the past, Mejia said.

STC’s strong relationship with UTPA makes it easier for students to take basic courses at the lower-cost STC, then transfer those credits to finish out their bachelor’s degrees at the university, he said.

UTPA’s 18,000 students translate into about 14,000 full-time students, according to the university’s Office of Institutional Research and Effectiveness, although official numbers won’t be available until mid-October.

Dave Gragg is the metro editor for The Monitor. He can be reached at (956) 683-4435.

Local University Makes Forbes "Best Public Colleges" List | NAI Rio Grande Valley

Forbes Ranks UTPA as One of the Best Public Colleges in the Country

Posted: 09/16/2009

Author: UTPA Office of University Relations

Forbes has rated The University of Texas-Pan American as one of country’s Best Public Colleges in its recently published “America’s Best Colleges 2009” rankings.

"As I have said before, UTPA is a jewel in our midst and a lot of people don’t appreciate that. This is a sterling example of the importance and value of UTPA to the region," Dr. Charles A. Sorber, UTPA interim president said.

UTPA ranked No. 32 in the top 100 list for “America’s Best Public Colleges” category. Overall, the Edinburg campus was listed at 218 in the complete list of “America’s Best Colleges” rankings, which profiled 600 universities and colleges from across the nation.

Taking the No. 1 spot in the overall and public colleges categories was the U.S. Military Academy. Other Texas universities that made the public colleges list included The University of Texas at Austin (No. 19), Texas A&M University – College Station (No. 23), Texas Tech University (No. 55), The University of Texas at El Paso (No. 72), and The University of Texas at Arlington (No. 84).

The second annual rankings were collected by Forbes and the Center for College Affordability and Productivity and were based on student evaluations of courses and faculty, post-graduate success, average student debt after four years, and four-year college graduation rates.

To read more about the Forbes’ “America’s Best Colleges” rankings, visit http://www.forbes.com/2009/08/02/best-colleges-ratings-opinions-ranking-2009_land.html.

NAI Rio Grande Valley, McAllen, TX South Texas

Valley's regional marketing plan comes together with logo, Web site | NAI Rio Grande Valley

Valley's regional marketing plan comes together with logo, Web site

September 17, 2009 8:20 PM

Jared Janes

The Monitor

WESLACO — The Rio Grande Valley never made it past the short list.

An incentive package the region’s leaders quietly put together to lure in an aerospace manufacturer was still in consideration at the end, said Steve Ahlenius, president of the McAllen Chamber of Commerce. But the company looking to expand its operations instead turned to options in other states.

The “Project Thrust” effort was the first collaborative approach to economic development by the Rio South Texas Economic Council, a 19-member alliance formed earlier this year to promote the region.

The group’s first shot at economic development ended unsuccessfully, but Ahlenius said it showed them that working together at least puts them on the lists.

“It never would have happened” without the council, Ahlenius said. “There’s a lot of companies that are going to start coming because of this.”

Council members signed a resolution Thursday that Hidalgo County Judge J.D. Salinas said is a step toward “collaborating to compete.”

He unveiled the group’s Web site — http://www.riosouthtexas.com/ — and presented its logo and slogan, “2 Countries, 1 Region, Many Choices.”

The collaboration resolution states the partners will work together to make the region competitive, promote its benefits and help each other to land projects.

Salinas, the chairman of the council and catalyst behind the effort, said the resolution pulls together a region that is among the nation’s 25 most populous if neighboring communities in Mexico are included.

It also gives the region the financial power to spread its message.

The council’s marketing budget through its member dues is $300,000, a number that could grow as it recruits businesses and other groups into its ranks.

An economic development team was hired this summer to develop a marketing strategy for the council.

Some items — the Web site, logo and slogan — were unveiled Thursday, but officials were tight-lipped on other elements of a 100-page marketing plan.

Splash events are in the works for Houston and New York to promote the region using a gamut of mail-outs, publications and studies.

The Web site will provide regional statistics on the workforce, incentives and educational assets, and it will soon include a database of available properties.

The effort gives smaller cities like San Juan access to marketing tools like the property database that it wouldn’t have with its own limited budget, said Miki McCarthy, executive director of the San Juan Economic Development Corp.

San Juan and other small cities usually can’t compete for companies seeking assets like a 200,000-square-foot building, she said. But the regional effort gives the city a chance to promote its small assets like a 50-acre plot of land that may be overlooked.

McCarthy said larger cities like McAllen can’t draw in big prospects without the support of smaller cities, which can benefit from having better job opportunities for their own residents.

“We’re dots on the map but we’re all feeding into the same population pool,” she said. “We can’t do it alone.”
____

Jared Janes covers Hidalgo County government, Edinburg and general assignments for The Monitor. He can be reached at (956) 683-4424.

McAllen Area is the New Logistics and Distribution Center of North America | NAI Rio Grande Valley

McAllen is the new Memphis, says Patridge

Article from Rio Grande Guardian
By Joey Gomez and Steve Taylor

McAllen Economic Development President and CEO Keith Patridge.
(File photo: RGG/Joey Gomez)



McALLEN, Sept. 18 - The greater McAllen area is the new Memphis, Tennessee, the logistics and distribution center of North America, says McAllen Economic Development Corporation President Keith Patridge.

“Everybody used to call Memphis the center of the U.S. for distribution and logistics. I think we are now the Memphis of North America,” Patridge told the Guardian, in an exclusive interview.

Patridge made his comments after learning of the findings in the latest MetroMonitor quarterly report from the prestigious Brookings Institution. The report shows the greater McAllen area to be among the 20 most vibrant metro areas in the country. In fact, McAllen was one of only three metros to surpass pre-recession peak output in the second quarter of 2009. The others were Austin and Washington.

The report shows only five metro areas with stabilized employment numbers. Of those five, only McAllen posted a gain for the second straight quarter.

The Guardian asked Patridge why things were looking up for greater McAllen.

“I think it's a combination of a lot of things. Number one, it’s our demographics. We have a young and growing workforce,” Patridge said. “Even though the job market is very slow because of the downturn, once the economy comes back we will see the underlying labor shortages that come from the retiring baby boomers coming back. I think that is an important part, demographically we're strong.”

Geography plays a big part too, Patridge said. “We are centrally located in the North American population center, strategically located next to the largest market in the world, with very cost-effective manufacturing facilities just across the river from Reynosa. It also allows us to use the ports in Mexico to source products and components from the rest of the world and bring them in to Mexico, where we can then produce products and then ship them directly to the customer in the U.S,” Patridge said.

Another factor is the exchange rate, Patridge explained. “We are seeing costs go up again in China. Mexico, because of the economic downturn and the Peso to Dollar exchange rate, is actually starting to become more competitive. As the marketplace is constantly changing, right now Mexico is more competitive for the U.S. market than China is,” he said.

“It’s resulting in a lot of companies that are looking at focusing more attention on Mexico and the South Texas area. Because we are so tied in with what happens in Reynosa and Mexico, you'll continue to see this area being very attractive for companies to locate and expand. We are seeing that with our existing companies, they're continuing to expand all the time and it's going to create opportunities for us.”

Patridge does not want to play down the impact of the recession, which he acknowledges has not the global marketplace hard. The Texas Workforce Commission reported a slight decrease in the McAllen-Edinburg-Mission MSA unemployment numbers on Friday. In August, the percentage was 11.4 percent, compared to 11.5 percent in July.

“We have felt the recession down here, but not really at the level of other locations. We are continuing to do pretty well in comparison to other locations. We are continuing to see companies coming in,” Patridge said.

Patridge cited the decision of Panasonic to move its divisional headquarters to McAllen from Knoxville, Tennessee. Alps Electric is moving its design center and much of its corporate support staff to McAllen from other locations across the United States.

“Those are good paying, more executive type, jobs that will help us provide job opportunities for many of our college graduates from both STC and UTPA,” Patridge said. “That's what it's all about. It's being able to not only train our folks here, but also create good paying jobs for them here locally. A lot of that is coming from the downturn and from the need for companies to reduce costs. They have identified that it just makes sense for them to move a lot of those port operations down closer to their plants which tend to be in Mexico.”

The future looks bright, Patridge insisted. “I think we are in a very good position because of our demographics, our workforce, our geographic location and just the trends of companies to reduce inventory and going to more of a build to order-type scenario,” he said.

“You can't do that from China or India. It's going to have to be from North America, and I think we're primed to see that growth. We're excited. You're exactly right. Just as we have an impact that is less than in most areas, I think we will be one of the first to come back also.”

Ramiro Garza, executive director of the Edinburg Economic Development Corporation, agreed with Patridge’s assessment. Garza told the Guardian he was very pleased to see the high marks being given to McAllen-Edinburg-Mission in the Brookings Institution report.

“It's very important because it shows the data that supports the fact that the area continues to do very well compared to other parts of the country. If you look at the report it shows that our metro was the only one that created jobs in the first two quarters of 2009. We are the only metro that is growing in terms of Gross Metro Product, which is really the way the area is evaluated,” Garza said.

Asked what factors led to this particular success, Garza said: “Our proximity to Mexico, the border and the fact that our Valley is stabilized; the fact that our population continues to grow. We are the only area that continues to grow at a rate faster than most areas in the country.”

Garza said Edinburg has several new and exciting projects on the horizon. In the industrial park, two manufacturers from Mexico are set to create about 30 jobs, he said. And the local call center, Tele-Performance, is also adding jobs.

“There is also a long term care facility being built here in Edinburg with about $7 million being invested and about 200 jobs being created on West University. There is a plaza being built on Trenton Road, which we just been approved through the EDC. It's a 30,000 square foot facility,” Garza said.


Write Joey Gomez and Steve Taylor

Development Boost Along Expressway 83 | Jackson Triangle McAllen, TX | NAI Rio Grande Valley

Development Boost Along Expressway 83
By Elizabeth C. Martinez
Valley Business Report

As economic pressures seem to be easing in certain parts of the country, phone calls from individuals making inquiries about retail and office space in McAllen has increased recently, according to Mike Blum, partner and managing broker for NAI Rio Grande Valley.

“In the past few weeks there have been more calls and showings of property for office and retail space,” Blum related. “The properties that people show most interest in McAllen are on North 10th Street, the downtown area, and especially along Expressway 83.”

One commercial retail plaza that has been constantly improving is Jackson Triangle, which is located on the Northwest corner of the intersection of Expressway 83 and Jackson Road in McAllen. The property will consist of approximately 37,800 square feet of retail space. The first of the Jackson Triangle tenants included Taco Cabana and AT&T. Since then, Baskin Robbins and Pay-N-Trade have joined them. Most recently, a sign for Cabrito Grill Steaks and Piano Bar went up.

Some of the most important things that businesses think about when choosing a retail of office space include: Is the location an ideal spot? Is there traffic in the area? And is it the right price?

Pedro G. Ayala, president of PGA Studio, Inc. a McAllen-based architecture firm, thinks about these questions when he signs on to work on a project.

“As a design principal for the firm, I feel I have a responsibility to create spaces that are going to be right for the occupants as well as their consumers,” Ayala explained.

“When it comes to building a retail environment, we always think about not only accomplishing the owner’s goals such as maximizing the site and cost constraints, and creating an attractive façade for the community and not turning it’s back on a major street as seen in other Big Box Retail Zones.”

Ed Alvarado, AIA, who worked on the Jackson Triangle project with Ayala, noted that the area is exposed to over 170,000 vehicles per day. Because of its unique triangular shape, doors face the bordering streets, thus creating the most storefront for the owner and the tenant. Not bad, for businesses who seek visibility.

Given the positive signs commercial real estate is beginning to move in the Upper Valley, there still remains to be a heighten focus on falling rent prices and the increasing number of defaults on commercial real estate loans.


Elizabeth C. Martinez is a partner in the public relations firm of Media Morphosis phone (956) 821-8662. Martinez served as Managing Editor and General Manager of The Business Times