SUWANEE TALK!: October 2008

SUWANEE, GA - THIRD QUARTER 2008 IN REVIEW

The data collected below for the third quarter, 2008 is specific to Suwanee, Gwinnett County.  It appears the third quarter closings for homes in Suwanee (Gwinnett) outperformed the second quarter by 18 units: 155 units closed third quarter vs. 137 units during the second quarter. However, the average original list price (based on solds) fell from $445,069 to $364,764 in the third quarter. Foreclosures  almost doubled in the third quarter with 21 homes closed under foreclosure vs. only 12 homes in the second quarter. Foreclosures continue to dominate our metro market as a whole. And, with the current instability in the financial markets, we are seeing an even further slow-down in the market place. However, with the current first time home buyers credit, also known as the Housing and Economic Recovery Act of 2008 (or H.R. 3221) if you are first time homebuyer this is a wonderful time to be in the market for a new home.

             SUWANEE, GWINNETT 
               Third Quarter, 2008
(July, 2008 through September, 2008)

CURRENT ACTIVES:
Total Units:  587
High Price:   $8,500,000
Low Price:  $63,000

Breakdown:

Corporate:  25
Estate Owned:  3
Foreclosure:  39
Fixer-Upper:  6
Lease/Purchase:  36
Transfer:  34
Other:  444

CURRENT PENDINGS:
Total Units:  41
High Price:  $1,199,000
Low Price:  $108,400

Breakdown:

Corporate:  7
Estate Owned:  1
Foreclosure:  6
Fixer-Upper:  1
Lease/Purchase:  3
Transfer:  3
Other:  20

CLOSED/SOLDS:
Total Units:  155
High Price:  $2,778,877
Low Price:  $72,000

Breakdown:

Corporate: 15
Estate Owned:  2
Foreclosure:  21
Fixer-Upper:  1
Lease/Purchase:  4
Transfer:  7
Other:  105

 

   

3rd Quarter vs. 2nd Quarter  

 

3rd Quarter
Active High Price:  $8,500,000
Active Low Price:  $     63,000

High Pending Price:  $1,999,000
Low Pending Price:   $   108,400

High Sold Price:  $2,778,877
Low Sold Price:  $     72,000

Avg ORIG. List Price:  $364,764
Avg SOLD Price:         $355,301
2nd Quarter
Active High Price:  $7,950,000
Active Low Price:  $     80,000

High Pending Price:  $2,499,000
Low Pending Price:  $     85,000

High Sold Price:  $2,080,816
Low Sold Price:  $   119,000

Avg  ORIG. List Price:  $445,069
Avg. SOLD Price:         $355,301

 

Data is believed to be accurate at the time collected, but is not guaranteed. ALL data is specific to Suwanee, GWINNETT COUNTY.

 

 


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State Ballot Referendum Information and Gwinnett SPLOST - Nov. 4

Every two (2) years, in the Governor's and Presidential Election in the State of Georgia, the state legislature has the authority to ask the voters of Georgia to change the State Constitution.  This year is no exception. One note to point out that I recently was told, over the past 12 years, 40% of the people who actually vote for Governor or President never vote on these important ballot questions (mainly because the politicians make these very confusing).  

This year at the end of the ballot, you will see three (3) Amendments to the Georgia State Constitution.  Although I am one of the AJC's worst critics, the best explanation of these three amendments (including their endorsement which I agree), was published in Wednesday's edition last week.  Please take a moment to read through these and if you feel as though you need more information than that is provided, please contact me and I will try my best to answer your questions.  To summarize the information below:

Amendment #1 - Deals with preserving forests in Georgia with the use of a property tax incentive program.  Vote Yes.  (will mainly be used in southern Georgia)

Amendment #2 - Allows local school boards the choice to participate to improve blighted property in redevelopment areas.  Vote Yes. (will mainly be used in Metro Atlanta including Gwinnett and the School Board supports its passage)

Amendment #3 - Allows developers the authority to charge a tax to future homeowners for infrastructure improvements.  Vote No.  (will mainly be used in south Georgia, currently used in northern Florida with a lot of problems).

Finally, the very last question on the ballot is specific to Gwinnett County.  It is the extension of the 1 cent sales tax that has been critical to Gwinnett over the past decade.  This five year extension (not a new tax) will raise $850M for roads and bridges, green space and parks, new court rooms, fire stations, police stations and libraries.  This is certainly a yes vote for Gwinnett for this last question on the ballot.

 

Chuck Warbington,PE
Executive Director
770.449.6515 (Tel)
770.449.6561 (Fax)
www.GwinnettVillage.com

Guide to voting on state ballot questions

Atlanta Journal Constitution

Wednesday, October 01, 2008

Georgia voters face three proposed amendments to the state constitution this year, all of them dealing with changes in local taxing authority. Two of them deserve qualified support but will require careful monitoring after passage. The other should be rejected outright.

Text of proposed amendment No. 1:

To encourage the preservation of Georgia's forests through a conservation use property tax reduction program.

"Shall the Constitution of Georgia be amended so as to provide that the General Assembly by general law shall encourage the preservation, conservation, and protection of the state's forests through the special assessment and taxation of certain forest lands and assistance grants to local government?"

Explanation: This amendment would allow a special property tax assessment on tracts of 200 acres or more of forest land, provided the owner agrees not to change the way the land is used or sell it for development for at least 15 years. The assessment would be based on the value of the land in its current use and would not be influenced by neighboring tracts that are sold for development. If the owner reneges on the agreement, local governments would be authorized to recover the taxes that would have been levied against the property. Conservationists believe the amendment is needed to keep owners from being pressured into selling their property because they are paying higher taxes due to adjacent development.

The amendment also authorizes the General Assembly to appropriate grants to local governments to offset the loss of tax revenue from the lower assessment of such property. This portion of the amendment is critical since many rural school districts would lose even more of their tax base. Local school officials estimate that the cost to the state for reimbursements would be about $34 million annually. They worry that the Legislature will back off its commitment to help when the state budget is tight, which is why the Georgia School Boards Association opposes the amendment. Vote YES.

Text of proposed amendment No. 2:

To authorize local school districts to use tax funds for community redevelopment purposes.

"Shall the Constitution of Georgia be amended so as to authorize community redevelopment and authorize counties, municipalities and local boards of education to use tax funds for redevelopment and programs?"

Explanation: This amendment was necessitated earlier this year when the state Supreme Court ruled that the Constitution does not allow local governments to use school property tax revenue to help finance redevelopment projects. Dozens of projects around metro Atlanta, as well as other cities around the state, were proposing to use a financing mechanism called tax allocation districts to stimulate redevelopment in areas where developers would not otherwise be able to get conventional financing. Most of the tracts asking for the designation are in depressed areas that currently generate little or no tax revenue.

Tax allocation districts, or TADs, work by freezing property taxes in these designated districts while they are being redeveloped. Then, as the property is being improved and sold for residential and commercial use, the new taxes are used to pay off the debt for the redevelopment project. In the long run, everyone benefits, promoters say. Depressed property is improved and more taxes go into the general coffers.

This amendment does not authorize specific TAD-financed projects anywhere in Georgia. It merely allows school property taxes - which account for about two-thirds of all local property taxes - to become a part of the mix. Local school boards would retain the authority to say "no" to the use of school taxes or to negotiate specific terms in order to approve a TAD. That's important because some of the projects promoted for TADs in recent years are too risky, especially in a depressed housing market. Local government officials, including school boards, should scrutinize these requests closely before approving them, demanding to know why the developers can't get conventional market financing or why local governments won't issue general revenue bonds to get them off the ground.

Tax allocation districts can be a useful financing tool for well-conceived projects that might not otherwise be affordable. But they also should be used sparingly. This amendment will allow communities to keep them in their redevelopment tool box. Vote YES.

Text of proposed amendment No. 3:

To authorize the creation of special Infrastructure Development Districts providing infrastructure to underserved areas.

"Shall the Constitution of Georgia be amended so as to authorize the General Assembly to provide by general law for the creation and comprehensive regulation of infrastructure development districts for the provision of infrastructure as authorized by local governments?"

Explanation: This amendment would give developers the right to assess fees to future homeowners in unincorporated communities to help pay off bonds for infrastructure. The proposal has been cleaned up somewhat from an earlier version, which had been referred to as a "private cities" bill. The districts would first need the approval of the local government before they could be formed, and developers using them also would be required to set aside some property within the development for green space.

Still, taxation, even in the form of a fee, is a power that should be confined exclusively to elected officials who can be held accountable to voters. There is no compelling reason for state or local government to surrender that power to developers. Taxpayers outside the district still would have to pay for access roads and improvements to sewers to accommodate the new construction. Homeowners inside the district would pay two sets of taxes - one levied by the developer and the other by elected county officials. Vote NO.

 

This article was posted to SuwaneeTalk with the express consent of Chuck Warbington.


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Gwinnett- Norcross, GA....Key Revitalization Principals Viewed First Hand in Raleigh-Durham, NC


By: Chuck Warbington, PE - Executive Director, Gwinnett Village CID

As I reflect over the past week concerning our recent trip to Raleigh-Durham, North Carolina with the Gwinnett Chamber, I cannot help but get excited about the potential and opportunity for Gwinnett as we begin a concerted effort to improve the southern part of the County.

The focus of the end of the strategic trip centered around revitalization of old growth areas.  In some cases, old buildings were demolished and new mixed-use developments rose in their place while in other areas, we saw where large existing tobacco warehouses were structurally maintained and internally gutted for class A office space.  It was clear that this resurgence was not by accident.  Several deliberate actions were common in both Raleigh and Durham that set in motion positive revitalization of areas that had in recent years been considered areas of blight and decay.

First and foremost, a champion organization was formed that brought vision and focus to these declining areas called Business Improvement Districts (BIDs).  The BIDs, similar to Gwinnett's CIDs, are self-taxing districts that were formed over 15 years ago.  The labor of their efforts were certainly evident with significant decreases in crime, triple digit property value increases, and a overall improved quality of life.   These champions were business and property owners who organized and did more than just talk about change.   The BIDs were results driven reaching out to elected officials, community leaders, and residents in the surrounding community to engage and foster full buy-in for positive change.   Although early in its tenure, Gwinnett County can be encouraged that champion organizations are already in place in declining areas called Community Improvement Districts (CIDs).  The CIDs are providing the leadership to begin the transformation of blighted and decaying areas.

Secondly, the start of any successful initiative begins with a plan.  Each of the communities began over 15 years ago with visioning and masterplanning that included the desires of the surrounding residents while building upon the wishes of the business community.  Bringing together these two entities were at times a challenge, but in the end an ultimate plan for the area was agreed upon.  The success story does not end there.  I was most impressed with their ability to understand how to stay committed to the plan for improvement while maintaining a flexibility to address economic and political pressures over time.  This balance was uniquely and carefully navigated by the "champion" organizations (BIDs) that ultimately created what can now be clearly seen in Raleigh and Durham as a destination where residents desire to live and businesses thrive. 

Finally, public funding was strategically used to spur signifigant investment in the private community.  From a $10 million dollar streetscape project to construction of $43 million worth of shared parking decks for businesses, it was certainly clear that public investment is needed in declining areas to set the table for the significant private investment.  The public investment was strategically spent on projects of impact meeting the goals of the overall masterplan for the area.  For example, over the 15 year period, the public investment in the declining areas totaled $314 million causing just under $1 billion worth of private investment.   This was a true win-win investment for the public and private investors.

I feel encouraged in the initial efforts that Gwinnett is making to transform our declining areas of the County.  We are finally reaching the point of understanding that we need to address urban issues with urban solutions (not suburban solutions).  These include the plans of all three CIDs, the Chamber's focus to bring in high paying jobs through Partnership Gwinnett, and the County's long range vision outlined in the 2030 plan that will be presented to the public in November.   Be encouraged and be involved in the movement to transform the southern part of Gwinnett.

Links to other sites for more informationGwinnett Village CID

This article has been posted to Suwanee Talk with the express consent of the author.

 


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SIM'S LAKE PARK OPENS!!!

The newest park in the city of Suwanee's portfolio, Sim's Lake Park -  is open for business!

Staying true to form with their Open Space Initiative, Sim's Lake Park consists of 62 beautiful natural acres plus a 7 acre lake. The park is also comprised of 1.2 miles of looping trail, a picnic paviliion; and, two-2 acre play meadows.

Located at Suwanee Dam Road and Tench Road, the Grand Opening Celebration for the park is scheduled for November 8 from 2 pm - 5 pm.

 

Suwanee GA - RIVERMOORE PARK: 3rd QUARTER MARKET PERFORMANCE

 

Rivermoore Park, Suwanee GA

          Third Quarter 2008
Compared to Second Quarter 2008

Third Quarter, 2008


SOLD:  3

Corp Owned:  1
Foreclosure: 1
Owner Transfer: 0
Lease/Purchase: 0
No Special Circumstances: 1



High Sold Price:  $454,000
Low Sold Price:  $366,000
Average Sold Price:  $401,633

Avg DOM:  80

Avg ORIG. List Price to Actual Sale Price Percentage:  93%
Avg Seller Concessions:  $5,360
Second Quarter, 2008


SOLD:  9

Corp Owned: 1
Foreclosure: 1
Owner Transfer: 1
Lease/Purchase: 0
No Special Circumstances:  6



High Sold Price:  $717,000
Low Sold Price:  $460,000
Average Sold Price:  $575,277

Avg DOM:  49

Avg ORIG List Price to Actual Sale Price Pecentage:  94%
Avg Seller Concessions:  $4,152

 

Analysis:  
  • Number of homes sold 3rd quarter vs. 2nd quarter:  <6 units>
  • Avg SOLD price 3rd quarter vs. 2nd quarter: <$173,644>
  • Avg DOM 3rd quarter vs. 2nd 2008:  ^31 days
  • Avg ORIG List to Sale Price Percentage 3rd vs. 2nd:  <1%>
  • Avg Seller contributions:
     3rd quarter; $5,360 3rd  vs. 2nd quarter; $4,152  ^29.1%

**Drop in AVG SOLD PRICE 3rd quarter vs. AVG SOLD PRICE 2nd quarter does not reflect current property values within Rivermoore Park and is not the intent of this report.  It is an indicator, in my opinion, of what price point within Rivermoore Park is selling best in today's current market.

Current  market in Rivermoore Park:
  • ACTIVES in Rivermoore Park:  28
  • Avg LIST price of ACTIVES:  $581,035
  • Highest List:  $999,000   Lowest List:  $445,900
  • Predominant price range of current ACTIVE listings:  $525,000-$599,900
  • PENDING: 1


 

A Look Back at 3rd Quarter, 2007:
  • Units Sold:  10
  • Avg. ORIG List Price to Sale Price Percentage:  94%
  • Avg.  DOM:  108
  • Avg. Seller Contributions:  $1,973



Data is believed to be accurate but is not guaranteed.


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Gwinnett County, GA: Where's a Cop When You Need One? Too often, responding to a false alarm.

Chuck Warbington,PE
Executive Director

Article by:  Chuck Warbington, PE

It is probably that at one time or another, 99% of us have uttered the
phrase, "Where's a cop when you need one?"  Some startling statistics that
offers some explanation to that very question can be summed up under the
term: False Alarms. 

As has been reported earlier this year, the Gwinnett Village overall crime
rate was down by 1/3 over the first half of the year.  However, Gwinnett
Village, like the rest of the County, does register as problematic with
false alarms.

Annually, the Gwinnett County Police Department receives just under 39,000
security alert dispatches; security alerts are the leading cause for
dispatches and exceeds moving vehicle accidents that accounts for just under
24,000.  What is most alarming about these statistics is that 99% of these
security alarm dispatches are actually false or non-valid.  Of the 6111
alarm calls that occur at the Westside Precinct that covers Gwinnett Village
thus far in 2008, only 22 were valid.

Information from the Norcross Police Department indicates that false
security alarm calls are also a problem for the City's force.  Of the 1458
annual security alarm calls, approximately 2% are valid as provided by
police chief Dallas Stidd.

According to Gwinnett County Police, a false alarm dispatch can require one
to three officers to report to the scene.  These false alarm calls can take
up to two hours of an officer's time, thereby deterring them from regular
patrols where an actual crime could occur.  Not only do these false alarms
increase the threat of crime within the community, they are also serious
economic implications that are too easily dismissed by uneducated consumers
and the general public. 

Police officials confirm that it costs taxpayers $58.40 for every dispatch -
a number that does not truly reveal the severity of this problem until
multiplied by the 38,405 invalid false alarm dispatches.  Calculations
indicate that over $2.2 million in taxpayer dollars are wasted each year on
false alarms.  In a time of budget shortfalls, this is a significant problem
that businesses and residents alike should be attentive to.

The police have provided these few tips:

.       Mare sure the type of alarm is the right type for your particular
business
.      Use the correct motion sensor in the appropriate location.
Circulating air can move wall mounted items tripping the motion sensor.
.      Make sure employees are trained properly and have established
protocols for when employees accidently activate an alarm.
.        For repeated false alarms, contact your alarm monitoring company for
an analysis of your system.

   

This article has been posted to Suwanee Talk with the express consent of Chuck Warbington.

 

 

                                                            
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SUWANEE GOES HOLLYWOOD!

Article written by:  Carole Townsend/Gwinnett Daily Post

 

Driving through Suwanee, a newcomer might think the historic district and the thriving Town Center look like a postcard or a well-designed movie set. Three young men - couldn't agree more.

The next notch on the progressive city's belt of accomplishments will be a movie set. Filming of "Exit 111", an independent film will begin in April, 2009. "It's a story we know, about people we know," said Joel Hoffman, director, executive producer and one of the writers of the script.

Picture a hybrid flick with the feel of TV's popular "Friends," humor like "American Pie," with the sharp, quick pace of Aaron Sorkin's old "West Wing" dialogue. That's what the guys behind this film intend to create in "Exit 111".

"It's about three guys who grew up together here in Suwanee. It's their last weekend before one of them leaves for law school, and they are going to try to do as much as they can in that weekend, said Hoffman. What happens during that weekend, the twists and characters' personal struggles that result, are the backbone of the plot.

Adam Zappia, the film's producer and another 1999 NGHS graduate, is excited about making Suwanee the setting for the film.

"As a kid, I used to hunt and fish right here where we're sitting," said Zappia of Suwanee's Town Center. "There's definitely a small-town feel here. A different director couldn't capture that."

Hoffman has lived in Log Angeles for about 3 years and Zappia is moving to the West Coast at the end of September. It's been a dream of both to work together on a film, and the ability to bring in their hometown is just an added bonus.

"We think this film will be something people in Suwanee will be proud of," Hoffman said.

While the lead roles will be cast in Los Angeles, pivotal character roles and all the extras will be selected from local talent. Both Hoffman and Zappia feel strongly that there is untapped talent to be found locally, and they are eager to give locals a chance they might never otherwise get.

The team's production company, Quarter Water Entertainment, is laying the groundwork for the film and building local support. Hoffman and Zappia are scouting locations and talking with Suwanee business owners and city leaders.

"We want people to know we're not just a couple of kids running around town with DV camera," said Zappia.

"Our goal is to take the film to Sundance (Film Festival) in 2010," Hoffman said.

 

 THANK YOU TO GWINNETT DAILY POST AND CAROLE TOWNSEND

  • This article was printed in the Gwinnett Daily Post on Wednesday, September 24, 2008. The article was written by Carole Townsend
  • Permission was granted by Gwinnett Daily Post and Carole Townsend to post this article to "Suwanee Talk"