Tag Archives: winston-salem

Things Are Getting Better, but…

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The Dixon Hughes Triad Business Index for March, 2010 shows that the local economy is improving, but it's not by much and we've got a heckuva long way to go before we can say things are good.  It will be interesting to see what happens in real estate when the stimulus plan expires at the end of this week, but when you read this from the report you wonder how much worse it can get (knock on wood):

At the end of the 1st quarter of 2010, the inventory of homes on the market was 9,098, or 6.3 times the number of homes sold in the 1st quarter.  At the current sales pace, it will take 18.9 months to exhaust the existing inventory.  The number of existing homes offered for sale was up 16.5% from what it was at the end of the 4th quarter, and it was 9.5% higher than at the end of the 1st quarter one year ago. 

The price of the average home sold in the 1st quarter was down 2.8% from the previous quarter.  The average quality-adjusted price of an existing home in the Triad was $158,718.  The average this quarter was down 1.7% from the average recorded in the 1st quarter of last year.  By comparison, over the past year, consumer prices nationally have risen 2.2%.

Winston-Salem City Council Needs to Be Aware of the Law of Unintended Consequences

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According to this story on WXII's site the Winston-Salem city council is considering a new set of fees for Internet cafes.  From the story:

The city of Winston-Salem could stand to generate more than a $500,000 if City Council members approve new taxes on Internet cafes.

The City Council has proposed a $2,500 license fee and a fee of $500 per machine for the nearly 50 new locations operating inside the city. Currently, the businesses pay no taxes to the city or state.

"We're getting no revenues from these very rapidly growing businesses that are in our communities," Winston-Salem Mayor Allen Joines said. "Our budget is very difficult right now, so any revenue enhancement we can come up with that will not really impact a business, we're trying to look at. We believe these are very lucrative businesses and could easily afford this fee we are proposing." 

I haven't seen the actual proposal so I can't speak to the specifics, but what worries me about this is the definition of "Internet cafe".  If the definition is too loose then here are some of the businesses that could get sucked into this:

  • Any business that charges for wi-fi access – for instance Starbucks – could conceivably be charged for each person that pays to access the network.
  • Hotels that charge for internet access in rooms, or that provide internet access on computers in their business centers and lobbies.
  • Even coffee shops that provide free wi-fi could get hit for $3,000 – $2,500 for the fee and $500 for the computer/router.  They aren't making a dime off the wi-fi, but if the proposal isn't worded correctly they could get hit with the fee regardless.

It sounds to me like the City Council is trying to target a specific type of business (essentially legal gambling parlors), but sometimes when fees or ordinances are adopted to target specific types of businesses then other "innocent" businesses get caught in the crossfire.

I can guarantee you this: if every company that offers free wi-fi learns that it's going to be hit with a $2,500 fee then you can bet your bottom dollar that free wi-fi will disappear in Winston-Salem.  Paid wi-fi might survive, but you'd have to sell a LOT of daily access passes to justify it.  As for hotels that charge $15.95 a night for internet access in your room?  I'd like nothing better than to say "Hit 'em with your best shot!" since that's one of the most annoying business practices in the hospitality sector, but if you do they'll just pass it along as a higher daily rate.

That Winston-Salem is looking for additional sources of revenue is not surprising, and neither is the fact that the targeted industry is a "sin" business, but let's hope the City Council is smart enough not to tax itself.  After all, this is the city that just a few years proudly unveiled its own free wi-fi on Fourth Street.  The description of the free wi-fi service from the city's own website sounds to me suspiciously like what the rest of the world considers an Internet cafe:

Fourth Street Wireless Internet access is a free service provided by the City of Winston-Salem. Citizens in restaurants and businesses along Fourth Street can access the Internet through high-speed connections and enjoy browsing the Web, checking and sending e-mail, or chatting through instant messaging services.

Like I said, I just hope the City Council is very careful with this thing.  

One last thought: Can anyone think of other fees that are targeted at specific industries?  I'm sure there are some out there, but my fatigue-fogged mind isn't hitting on any right now.

Governor’s Volunteer Service Award

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Remember a couple of months back how I wrote, incessantly some would say, about the Labor of Love project the Triad Apartment Association (my day job) was doing at The Children's Home?  Well, the folks at The Children's Home were kind enough to nominate us for a Governor's Volunteer Service Award and a bunch of us will be attending a breakfast for the Forsyth County nominees on April 29.  The project was highly rewarding in its own right, but the award process is very exciting too.  We're very grateful to the folks at The Children's Home for nominating us and hopefully we'll do them proud!

A Little Tarnish for BB&T

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Winston-Salem based BB&T has enjoyed a very strong, positive public image especially during the last few years as other "local" banks like Wachovia painted themselves as evil-banker-villain people.  Well, it looks like the sterling image is in danger of being tarnished.  To wit, two stories in the last week (h/t to Ed Cone for lead to first story):

Visions of Profits Gone, Lot Buyers Sue (News & Observer)

Attorney Wes Hodges, whose firm filed the suits against Saunders, said that buyers were subjected to high-pressure sales tactics. He said they were told it was certain that they would reap big profits by the time the two-year loans came due and that the subdivisions would be finished by then.

He said prices of the lots were artificially increased via fraudulent appraisals and that the lender – BB&T in most cases – signed off on the loans knowing the prices had beenhyped. The frontline bankers approving the loans were paid bonuses of up to 100 percent of their annual salary for hitting targets for the number of loans written, he said.

BB&T is a defendant.A spokeswoman for the bank said it doesn't comment on ongoing litigation but that it will vigorously contest the allegations.

Whistle-Blower Ordered Re-Hired in a Ponzi Scheme (Associated Press)

The BB&T Corporation must rehire a former company investigator who said she was fired after exposing a $100 million North Carolina development scam, an administrative law judge said in a ruling released Friday. The decision, made by Judge Jeffrey Tureck, said the investigator, Amy Stroupe, should be reinstated to her position with back pay because of protection afforded by whistle-blower laws…

Investigators say the development, known as the Village of Penland, was a Ponzi scheme, and Judge Tureck said in his ruling that the bank was assisting the fraud by making loans to investors in the community.

Split Google Loyalties

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Today I attended the Linking Winston-Salem luncheon and part of the program was a plea to support the Winston-Salem effort to get Googled. Winston-Salem is a little late getting started with its public push, especially when you compare it to Greensboro's weeks old effort, but I guess it's better late than never, and since I live in the Winston-Salem burbs I'm happy to see them going for it.

On the other hand thanks to my job and my long-time interest in the Greensboro blog community I've also been invited to participate in their various Google-wooing efforts.  Typical of Greensboro they've been working out the kinks in public, but they seem to be making decent headway.

I've been thinking about this and I've come to the conclusion that I can't be the only one who's in this situation.  I'm guessing that since this isn't an election I can vote for as many municipalities as I want, but I'm also guessing that Greensboro and Winston-Salem could be missing an opportunity.  Wouldn't a consolidated, regional effort for the Triad make a lot of sense to Google?  I haven't studied the requirements in depth so I don't know if this is even an option, but if it is I can think of a lot of compelling reasons for a Piedmont Triad effort:

  • The combination of all the higher ed institutions in the Triad is pretty impressive (Wake, UNCG, Winston-Salem State, NC A&T, High Point U, Salem College, Greensboro College, UNCSA, etc.)
  • The combination of all the large, public corporations between the two cities
  • Each of the cities is doing some pretty cool economic development on its own (FedEx and HondaJet in Greensboro, PTRP in Winston-Salem) but when considered together the efforts seem even more impressive

That's just three positives off the top of my head, and I'm sure that there are people who will let me know if I'm all wet, but I still have to ask if a joint effort has even been contemplated?

I do realize that Google's basic info page says "We'll offer service at a competitive price to at least 50,000 and potentially up to 500,000 people" and that even if you combined only Greensboro and Winston-Salem you'd be awful close to the upper limit so the entire Triad would obviously exceed it.  Still, if Google's going to wire multiple mid-sized cities wouldn't it be of interest to them to do a couple in close proximity for purely logistical reasons?  And if that's the case wouldn't it make sense for the various players in the Triad to throw in together to make a really, really compelling case with Google?  Just askin'.

A Concise Description of Madhouse

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I've been watching Madhouse on The History Channel (for excellent reviews of the show see KT's reviews at Esbee's blog) and I do enjoy it immensely, but one of my fears is that my friends and family in other parts of the world will think that the Madhouse crowd is representative of Winston-Salem in its entirety. Fec offers his own evaluation and I have to say that the first and last sentences of his second paragraph kind of sum up my worries:

I stayed up last night and watched the History Channel’s Madhouse chronicle of W-S Bowman Gray stadium modified racing. The series portrays our area in the worst possible light.

The shows are highly effective cautionary tales of men who refuse to grow up and the families they neglect. It is a cogent primer in abnormal behavior. The soul-crushing pastime of habitually racing on a track too small to pass renders the participants beyond their already limited capacities to maintain composure. It’s Jerry Springer on wheels.

I have nothing against the Madhousians, and in fact the culture reflected in Madhouse is one of my favorite things about the Winston-Salem area, but you have to remember that just a few miles away from Junior Miller and his K'ville Mafia live grown men who wear loafers with no socks to the pool at FCC.  If that doesn't say "I haven't grown up" I don't know what does.

Official disclaimer: I see nothing wrong with going sockless, but why drag your loafers into it?

Why is Downtown Important?

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If you ask me "Why is having a vibrant downtown important" I would probably reply, "Well, it just is."  It's always seemed intuitive to me that a healthy and vibrant downtown is essential for a metro area, but I've never really been able to quantify my rationale.  Thankfully I can let the folks at Downtown Winston-Salem Partnership do it for me:

Helping The Children’s Home

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This actually has to do with my day job.  The Triad Apartment Association (TAA) is gearing up for it's annual Labor of Love and this year we'll be working with The Children's Home to fix up a building that's been vacant for over 25 years so that it can be used as transitional housing for kids who turn 18. 

As things currently stand when a child turns 18 they are pretty much on their own.  I don't know about you, but if I'd been left to my own devices at 18 I would have been in a world of hurt.  The Children's Home envisions taking this refurbished building and using it as a place to temporarily house the 18 year-olds while they learn how to make their way in the world.

The TAA is going to take several teams of volunteers to clean up, paint, fix the landscaping and make repairs to the building over two weekends in February.  We're in the process of organizing our teams and gathering supplies for the project.  To give you an idea of the scope of this project we anticipate using a minimum of 200 gallons of paint and having dozens of volunteers on site at any given time. 

One of the most exciting aspects of this project is that we keep getting donations and volunteers by word of mouth even though we haven't really been pushing it to this point.  I can't tell you how many calls we've gotten from "friends of friends" who want to know how they can get involved.  What I've been telling them is that we will happily take donations of supplies, or money (financial donations go directly to The Children's Home for the project), to help with the project.  If we get a duplication of donations, say for kitchen appliances, then we've been assured that The Children's Home can find a use for them.  If you have any interest in helping out please feel free to contact our office at (336) 294-4428 or visit our web page about the project here. 

I wasn't yet at TAA when we did the 2009 Labor of Love so I'm REALLY stoked about this year's project.

 

Sunday, Sunday, SUNDAY!

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Esbee links to the trailer about the History Channel show filmed at Bowman Gray last summer and set to debut this coming Sunday.  Looks entertaining and I'm sure it will be the kick in the pants I need to finally get me out to the track next summer.  I feel somehow un-Winstony for living here five years and not getting out there even once.  This despite the fact that a friend of mine who goes there religiously once described the atmosphere thusly (I'm paraphrasing):  "It's great.  There are all kinds of women there wearing halter tops and no bras, and they really should be wearin' bras since their tattoos get all distended."  If that's not a ringing endorsement I don't know what is.

Here's the trailer.  Show debuts on the History Channel at 10 p.m., Sunday, January 10.