From the JoeBurnsBlog: July 2008

It is wonderful to see more and more Toyota Prius' on the road nowadays.  Every time I pass one I say to myself, "ah, another person doing their part (and in turn, my part) for the environment."

As a commercial real estate broker in a rural area, there is a lot of road between where I am and where I need to be.(now there is a metaphor)  Through my travels I have had the opportunity to observe the Prius and their owners, and I have some questions:

1.  Did Toyota calibrate the Prius speedometer 5 mph lower than normal?  It seems no matter what speed zone I am in, I'm having to pass a Prius that is going 5-10mph below the speed limit.  And not only on the uphill segments; they are consistently below the limit on declines as well.  I wonder if this is the hidden secret to their incredible mileage.

2.  Does the Prius manual re-emphasize the 10 and 2 recommendation?  Prius drivers consistently have their hands placed at the 10 and 2 o'clock positions on the steering wheel. I'm still not sure if this is AM or PM. (based on their speed it could be 10pm to 2am).  I know that 10 and 2 is a wise driving practice and makes a lot of sense for automobile control, just look at Jimmie Johnson and Jeff Gordon, they are always 10/2.  Prius drivers never release from this position.  I've never seen an 11 and 1, or even a 7 and 4; and a lazy left wrist over the noon hour with right hand on the stick shift is beyond imagination. 

3. Why no smiles?  You would think that Prius drivers would be ecstatic with glee about reducing their carbon footprint while they demonstrate new age style and sleek engineering design.  However, when I courteously pass on the left, using my turn signals appropriately, I glance over to see a very stern and serious driver with no smiles, salutations or expression.  And if there is a group of passengers, none of them are smiling or talking; it's like passing a Botox center waiting room.  I've been running late for appointments for nearly 30 yrs now, so I have seen just about every facial expression as I pass on the left.  At least the Volvo moms show a reaction - a quick snarl at me, then a return to their effervescent smile as they tilt their head up to look at the precious cargo in the rear car-seat.  But Prius drivers - no emotion. It is almost as if they don't know I'm passing, even though I always say, "Passing On The Left" as I go by.  Maybe they are bored because they can't take their hands off the wheel to turn on the radio.

Please let me know if you can help me with any of these observations. It won't be long until we are all driving a hybrid of some sort, so we should identify early all the potential characteristics that we will need to assume.

In all seriousness, if you are a Prius owner, thank you.  You are doing more to reduce our dependency on oil than myself or the politicians and their pundits.

This is an incredible opportunity for restaurant, resort, or retail developers.  Located at the popular Nyack exit of Interstate 80 in Placer County, CA, this 126 acre property has the most incredible views in the Sierra.  The views span over Lake Spalding and Bear Valley, across to the Sierra Butte and as far West as the Sutter Buttes.  With an ideal build pad adjacent to the westbound off-ramp, the property stretches up the hill to the pinnacle view.  A restaurant and retail up front and lodging, resort or multifamily in back would be ideal.  Over 36 acres of Highway Service zoning.   Only $4,500,000.

http://sale.svn.com/nyack

Did you get the memo?  No.  Well, it appears the K is being shown the curb as the accepted abbreviation of a thousand; and G is taking over.  For the second time in the past month I have read a national news media story that has abbreviated a thousand with a capital G.  Most recently was today's gripping story of Britney Spears' foundation showing a$200G deficit.  At first, I assumed the G was for good sense or for the units of force as her world spins out of control.  But, the dollar sign concerned me, so I had to click through to the story.  Sure enough, the foundation was $219,000 out of whack.  Hey, what happened to the K?

If I had been wearing my nerdy computer glasses, then I binarily would have assumed the G to be a lazy reference to a billion little bits.  Too few think like that, especially someone covering the Britney diaries. I understand a grand is a very common use for a thousand, and G is short for grand, but in large dollar amounts we very rarely refer to the G's. Maybe in smaller amounts like 5 Gs.  Playing the craps table, "I would like to drop a g-spot on the Come bet."  If you're refering to an amount over 100, then the K has to come back into play.  Yeah, the K could get confused for kilometers, but doesn't the dollar sign help us through that scenario?  What else could a $xxxK mean? 

It is important for us as stewards of the dollar abbreviation to come to a consensus here. You talk about a real estate bubble, just imagine the havoc when one agent's G is another's B. Who carries a billion dollars to a courthouse auction anymore? 

As an industry, let's not follow the attempted lead of those creative entertainment beat hacks.  Keep it simple:

$100K equals one hundred thousand dollars

$100M equals one hundred million dollars

$100B equals one hundred billion dollars

What do you think?

Now, what do we do about a the term, "a hundred large"?

This is downtown Nevada City, CA. An historic mining town in the Sierra Foothills northeast of Sacramento. At 2500 ft elevation, Nevada City offers residents and tourists the perfect year around climates. Snows that melt quickly in the winter and cool summer evenings that compliment the 90 degree summer days.  With top ranked public schools, an abundance of nature and an extraordinary dedication to the performing arts, Nevada City really is the ideal place for family, retirees and second home owners. 

If you live in No.California, don't forget about the fabulous foothills to cool off from the valley heat or escape the Bay Area traffic.  If you're from elsewhere and looking to expand your appreciation for good ol' American living, put Nevada City on your bucket list.  We have festivals and events just about every week of the year, the largest being the Nevada City Classic - the second oldest and most challenging cycling race in the country.

Last night I attended the American Idol Live concert in Sacramento, CA.  No, I didn't lose a bet; I happily accepted the invitation from my wife and parents-in-law.  (None of whom reflect the average attendee age of 12 yrs. old.)  As a closet-fan of the phenomenon known as 'Idol', I'm more appreciative of the marketing aspects of the show than the musical offerings. I am clearly a novice when it comes to the critique and analysis of the performers, this proved when I predicted Taylor Hicks would someday be a huge recording star and that Jason Dreadlocks would never make the top 10. 

If you were at last night's show, then you know who I am; the 43 yr old guy that jumped up and down like a teenager when Kristy Cook was introduced. The look from my father-in-law reminded me of that lost quality of not always acting on my thoughts.  If you were there, you also probably are five pounds lighter from the walk from car to show entrance in 111 degree heat.  You're also thinking gas is a bargain compared to the price of bottled water at Arco ($4.50) or that a six foot tall Pop Tart mascot really doesn't do much for your appetite.

As far as the show goes - Ramiele proved that her 9-spot was at least 2-spots too high, Michael Johns could have been a top 3 finalist, the cast is as sincere in concert as they are on the show and that David Cook is a legitimate star.  But, the real stars of this show were not present.  The creators.  WOW!! What a marketing empire Idol has become.

As I sat there watching Seysha Mercado (I'm still not sure what kind of market that translates to) imitate an uncomfortable lounge singer, I had two thoughts.  First, she is a brass pole and a lot of rolled up singles away from being a very big stage act, and why am I here watching an average performance with such affinity and revere?  Because the TV show told me to. 

The American Idol TV Show is a mega-monster by itself with historic viewership, branded merchandise and corporate cross-promotion opportunities. But, what I find more amazing is how that transfers on to the tour where 14,000 people in a cow-town will spend an average of $50 a seat and another $40 in parking and bottled water to see these hacks. No offense David.(which ever David is reading this)  I mean other than Cook's final song, Billy Jean, none of the performances even matched the quality of say Joan Jett or the Thompson Twins revival.  Yet, the energy, the show itself, the whole package was well worth the investment of my parent's-in-law.  I guess in economic terms (not tested by SF State Econ Admin) the combined effect of the performers was greater than the sum of their acts.  Why?  Because the TV show told us it would be.

Here is an idea, I'm going to take 10 inexperienced singers, with good voices, script their every move, restrict their lyrics and hip movements for the 12 and under audience, and put them on an arena stage with simple special effects.  Sounds like a $10 ticket to me. But hold on, first, I'm going to endear them to you, make you vote for them, make you want them, make you feel you know them, then I'm going to charge you $70 for that ticket and ask you to buy a $45 tee-shirt. (no, not a long sleeve, not a collared polo, not a zip up fleece, but a Fruit of the Womb cotton tee, $45)   Again, WOW!!!! What a marketing empire this tour will be. 

I've done Loolapalooza, OzFest, and Day on the Green and witnessed music entertainment at its best. But, this Idol thing is in a league all its own. I knew that with the show, now I know it with the Tour.  And you know what, I can't wait until next year. 

Realtors - if you're still reading this, challenge yourself to think like Simon Cowell and Nigel whatever.  Don't just create an amateur singing competition, create an empire. 

Joe

In Grass Valley, CA, the City Council is considering an ordinance to require a structure be retrofit with a sewer system backflow device at the point of sale or qualified title change. 

The ordinance is in 2nd reading, and when passed will require all new sewer line connections be fitted with the back flow unit.  The point of sale requirement will go into effect 9/1/08.  This is obviously a concern to our industry, both residential and commercial property sales.

The device proposed by the engineering dept of the city is a 3 ft tube coming off the line with a rubber stopper that is forced into the closed position up a back flow, allowing the excrement to rise out the tube and not into the structure. 

Another point of sale issue.  Though it does add value to using a realtor and add to our knowledge base on these issues, the concern is to the potential delays and cancellations it will cause to our already delicate escrow process. 

Our local association of Realtors has until mid-August to formulate a plan that we can run  of council to modify the ordinance in a manner that will still get these important devices on to the sewer lines, but not at the risk of a transaction.  We are considering things from seller credits, to promise bonds with the city, to a 'gifting' program of the unit itself to the owners.  Any other experiences with these types of devices or point of sale ordinances in general?  It always seems like the real estate community is downhill on these things, and you know what flows downhill..

Joe

What do people write on their initial blog?  Jokes?  Political comment?  Professional solicitations?  It is like singing in front of a 2-way mirror, you don't know if there is an audience or vacancy watching you.

Well, here it goes... Welcome to my Blog.  I'm 42 and 5/6 yrs old, so I'm from the generation right after those that had something to say (60's hippies) and those that know how to type proficiently.  Therefore, it is going to take me a long time to write something uesless. 

My claim to fame, and how most people recognize me on a national level, is that I am that guy who married the beautiful girl, had a daughter that looks like my wife, bought a little house in a small town and put a deaf dog in the front yard to guard the outdated stereo system and broken down lawn mower.  Oh, so you recognize me.  Yeah, well a lot has happened since that stereo went defunct.  I've demonstrated the ability to move residences each year, change jobs each year, rededicate myself to fitness each year and, now, write a blog for the first year. (How is it going so far?)

It would appear I have a lot of time on my hands. I don't.  My fingers are slow but my mind never stops. I was told long ago, and often since, to not say 75% of the things I'm thinking. The 25% that is released makes little sense, sans the other 75%.  I'm hoping this blog helps me release a portion of those unused thoughts and will finally convince my family that I do NOT have a talent for writing.  To do that, I realize I am going to have to offer my readers something quick before they exit this page.

I'M WRITING THIS NAKED!!  Not really, but hopefully you're still there.  Back to that time thing, I really don't have much. I'm suppose to be pulling rabbits out of my $%&^@ right now, which is remarkably familiar to making someone buy commercial real estate during a recessed economy.  I actually think it is a stellar time to buy, but that is for a different blog...  the time thing... I also have a wife that works full time. No pressure there. I mentioned her looks; she is also smarter than I. If she found out I was typing this blog... good thing no one will ever see it.  Anyway, we have the most spirited and charming child that two orders of Sake and a Harry Potter movie could buy. She needs 100% attention.  We have already determined I'm a 25 percent guy, so my wife has to do more than her share.  My 25% does take half my time and combined with this real estate hobby, I really don't have time for this blogging crap.

Real estate is more than a hobby, it is a passion. I really do like it.  I have sold houses - tiny houses, BIG HOUSES; I've sold land; I've sold dreams; and I sold our couch and tv set last weekend.  My speciality now is investment property.  No matching curtains or decor cabinets, but CAP rates and rent modifiers.  Much more appealing to an academic like myself who was educated at the most prestigious business school of our time. (Fresno State, '89) (GO Dogs!!) 

I was originally licensed in 1986. (6-8, carry the two, 19..+..divided by 4) yep, I got my real estate license at 21. Not an unheard of age to enter real estate; luckily they don't require common sense, good judgement or business experience to get one. Just fingerprints, $150 and a test. 

1/2 hour up.  Time to get back to work.  More about me later...

Joe