“temecula is a suburb of murrieta and hemet. and they have their own employment centers; starbucks and pachanga.
and just because re analysts are using sd as a bellweather for national re conditions doesn’t mean they’re right to do so.”
Three things:
– Neither Starbucks nor Pechanga pay their (non-tribal member) employees enough to be considered part of the homeowner class. It doesn’t matter how many Starbucks or Carls Jr. they build out in Temecula, it isn’t it’s own economic center yet.
– If anything, Murrieta is a suburb of Temecula; Temecula has almost all the professional office space and major retail centers in that area of the county, and it does have all the medium and heavy industrial. It’s not enough to provide employment for more than about 25% of the residents out there yet but to the extent there is an employment district in that part of the county, Temecula is basically it.
Hemet and San Jacinto have always been somewhat isolated. Hemet is MUCH closer to Hwy-60 and Interstate-10 than it is to I-15, and the road to I-10 has always been a 50mph road with I think 1 stoplight on the 7-mile road between San Jacinto and Beaumont to the north. Compare that to driving from Hemet west to Hwy 79, south through Winchester and French Valley before getting into Temecula and I-15. Almost all the employment is south of I-15. I think someone in Hemet can get to San Bernardino and maybe even Riverside in about as much time as it takes to get to Temecula. The next time you want to start commenting on economic sheres of influence may I suggest you first try looking at a map?
– As for SDs markets being considered a bellweather, the reason it is considered that way is because the trends for subprime abuse, rampant specuvestor activity, completely unwarranted price appreciation and now equity flight and rapid price declines all started here. The analysts first started calling SD the epicenter of these trends 3 years ago, and the events that have taken place here during the interim have certainly proven ALL those calls to be correct.
Conversely, you don’t seem to have anything to back up your claim that it’s not happening here or that we’re going to sit this RE recession out. That is, besides your apparently wishful thinking.
From your comments I have developed an opinion that your exposure to price declines is much higher than you’d like. Sorry ’bout that, but if you’d been following this blog for a while you’d have known a long time ago that this was always going to happen at some point and when it did there would be nothing to stop it.
