News/Blog

December 13, 2024

Early holiday retail sales exceed expectations

By Brittney Sherman

Despite the early arrival of major shopping holidays like Thanksgiving and Cyber Monday in December, November retail sales remained robust, according to the NRF/CNBC Retail Monitor. This activity indicates that consumers are still eager to spend, with online sales leading the charge. While some categories such as electronics and appliances experienced declines, overall retail sales are on track to meet 2024 holiday shopping predictions.

The NRF's optimistic forecast for the holiday season suggests a 2.5% to 3.5% increase in retail sales compared to the previous year. As the holiday season progresses, it will be interesting to see how consumer spending evolves and whether retailers can capitalize on the remaining shopping days to drive sales.

Read the full press release HERE

December 12, 2024

Grocery sales hit record number in November

By Brittney Sherman

Online grocery shopping continued its upward trajectory in November 2024, with sales surging 17.8% year-over-year to reach $9.6 billion. This growth was fueled by a significant increase in the number of households actively shopping online, as well as a surge in delivery sales, driven by aggressive promotions and subscription offers. While pickup and ship-to-home options also experienced growth, delivery remained the dominant force in the online grocery market. To retain customers and drive long-term growth, retailers are focusing on enhancing the online shopping experience through personalized recommendations, user-friendly interfaces, and loyalty programs.

Read the full article by Sommer Stockton HERE

December 05, 2024

California launches new framework to increase jobs

By Brittney Sherman

Governor Newsom has unveiled a new economic framework, California Jobs First, aimed at creating more jobs and driving sustainable economic growth throughout the state. This initiative emphasizes a bottom-up approach, involving input from local communities and experts in each of California's 13 economic regions.

The framework will guide investments in key sectors, categorized as "Strengthen," "Accelerate," "Bet," and "Anchor," to foster growth and create good-paying jobs for Californians. The state will invest $120 million over three years to support "ready-to-go" job-creating projects aligned with these priorities. This initiative builds upon previous efforts like the Community Economic Resilience Fund and leverages input from diverse stakeholders, including labor, business, and community organizations, to ensure a more inclusive and equitable economic future for all Californians.

Read the article HERE

November 19, 2024

By Brittney Sherman

Morgan Hill currently has 3,138 apartment units citywide, of which approximately 1,900 are affordable. Blieu Companies will hold a grand opening on Wednesday November 20 for their 73-unit multi-family affordable farmworker housing development called Royal Oak Village, which is the 4th affordable housing community the company has built-in Morgan Hill. Royal Oak Village consists of 73 affordable apartment units, with 30 units dedicated for farmworker families, 18 units set aside as Rapid Rehousing (RRH) units for homeless individuals and families, 24 units designated for individuals and families earning up to 50% of Area Median Income (AMI), and one on-site manager unit.

Read the full Press Release HERE.

November 11, 2024

The shift to onshoring is full steam ahead

By Brittney Sherman

China accounts for 15% of the total U.S. trade, and according to The Reshoring Institue approximately 5 million industry jobs were lost to overseas workers between 2000-2014. The pandemic exposed the vulnerability of supply chains, the hyper dependence on foreign products and labor, and the impact of geopolitics on the manufacturing industry. As a result, manufactures have started to once again weigh the pros and cons of onshoring and nearshoring for business viability and longevity.

While experts don’t expect to see a full 100% shift back onshore, they do expect to see the construction of new facilities in closer proximity to end markets. Mexico, who surpassed China as the U.S.’s largest trading partner in 2023, and a handful of southern states are positioned to see the greatest uptick in manufacturing facilities as a result. Just this year, in July 2024, manufacturing construction spending increased 86% over the last two years, totaling $237 billion dollars. Further, there was a 25% increase in manufacturing jobs in 2022 versus 2021, totaling 350,000 new manufacturing employees.

Nationwide programs focused on the semiconductor and EV industries have helped pave the way to onshoring and industry experts expect the trend to continue as other manufacturers take advantage of the benefits. Consumers can expect to see an increase in “made in the USA’ labels on their favorite products in the years to come.

Read the full article by Kidder Matthews HERE.

November 07, 2024

US store closures surpass store openings

By Brittney Sherman

A total of 6,481 stores across the United States have closed, surpassing the 5,553 closures in 2023 and posting the highest annual number since 2020. A series of bankruptcy filings and downsizing from larger companies account for a significant portion of the closures. As it relates to closures by smaller retailers, a combination of interest rate spikes, increasing labor costs, and decreasing consumer purchases are to blame.

Although the number of closures sounds daunting, experts predict that growing markets such as food, fitness, healthcare, and entertainment will snatch-up vacant spaces as soon as they become available.

Read the full article from CoStar HERE.