News/Blog

August 06, 2024

US manufacturing activity on the rise

By Brittney Sherman

A report from the Federal Reserve states that manufacturing activity increased by 0.6% for the month in June after a 0.9% increase in May. Research firm Oxford Economics also says that industrial production is expected to increase next year from the current industrial capacity utilization of 78.8%. The growth in manufacturing includes industries such as construction, consumer products, defense, and technology.

Did you know: Morgan Hill has 100+ Manufacturing companies accounting for approximately 20% of all jobs citywide. There is 7.7M sq.ft. of existing industrial, R&D, and warehouse space in Morgan Hill. Where the City’s previous industrial vacancy rate was 2%, today it is over 12% largely due to the recent completion of the Butterfield 5 and Cochrane Technology Center Industrial Parks. Morgan Hill has some of the newest and largest industrial space available in Silicon Valley, positioning them as a preferred location for manufacturers looking to expand, condense, or relocate.

July 31, 2024

Morgan Hill-based Bay Area Panthers enter IFL Playoffs

By Brittney Sherman

The Bay Area Panthers are the Western Conference’s top seed in the upcoming playoffs of the Indoor Football League. The team has achieved a record of 12-3 this season with a recent victory of 50-28 on July 13th against the Duke City Gladiators. Morgan Hill is proud to host the Panther’s practices at the Morgan Hill Outdoor Sports Center. In addition, the city’s Aquatics Center, Centennial Recreation Center, local hotels, apartments, and offices have provided an ecosystem for the team to succeed. The Panthers are working hard to advance in the playoffs and win the IFL title for the second year in a row.

Read the full article in the Morgan Hill Times HERE.  

July 29, 2024

Amazon sales hit new records

By Brittney Sherman

Have you noticed an increase in Amazon delivery trucks this past week? Amazon is currently delivering millions of items sold on Prime Day, a two-day sales event on its e-commerce platform that took place July 16 and 17. American consumers spent a total of $14.2 billion this year, an 11% increase year-over-year. The largest product categories included electronics, furniture and back-to-school items. As a whole, United States online retail spending is projected to hit $1.2T resulting in a potential 9.8% increase as compared to 2023.

July 25, 2024

The top 100 retailers

By Brittney Sherman

Each year the National Retail Federation (NRF) publishes a list of their anticipated top 100 highest performing retailers. After 6-months into the 2024 year, their predictions are still holding true. The top 20 retailers continue to perform and hold their status, reflecting the same top 20 retailers outlined in last year’s 2023 top 100 list; think Walmart, Target, Home Depot, Costco, etc. Grocers represent 6 spots in the top 20, many of which enjoyed sales increases year-over-year. Electronics companies experienced a decline in revenue due to the downside of the surge in electronic purchases during the pandemic.

Read the full NRF article HERE.

July 22, 2024

Investors double down on Extended Stay hotels

By Brittney Sherman

Hotel deals are expected to increase in the last half of 2024 with a focus on adding mid-market and extended stay hotels to portfolios. Extended stay hotels are leading hotel deals and investment by yielding the highest performance measures and profit margins in the industry.

A Morgan Hill Hotel Industry Snapshot-

There are 14 lodging facilities in the City of Morgan Hill not including the Downtown Hotel MOHI currently under construction and the Holiday Inn Express currently in the permitting process. The Residence Inn by Marriott and Extended Stay America are both extended stay properties. Morgan Hill collects an 11% Transient Occupancy Tax (ToT) on every overnight hotel stay, less than 30-consecutive nights. The overall ToT collected accounts for 5% of the General Fund Budget which pays for services such as fire, police, parks, roads, etc. There are four vacant parcels in Morgan Hill where a future hotel could be developed by right.

July 18, 2024

2024 Sales tax gets a slow start

By Brittney Sherman

Morgan Hill sales tax generation year-over-year was down 4.5% largely due to a decline in recreational auto sales and a misallocation in the Business and Industry Group back in 2023. When compared to this same quarter last year, the State was down 0.2% and the Bay Area was down 2.2%, however Santa Clara County was up 2.5%

Read the full report HERE.