WEF sounds alarm over world economy

Published on Jan 18, 2019

VIEWS: 287+

The 2019 World Economic Forum will open Tuesday next week in Davos-Klosters, Switzerland. The five-day annual meeting will bring together 3,000 leaders from businesses, governments, civil societies, academia, media, the arts and culture, as well as global experts and young leaders. In its latest report on Wednesday, the Davos forum warned that the world is facing a growing number of complex and interconnected challenges, from slowing global growth and persistent economic inequality to climate change and geopolitical tensions. The theme for 2019 is "Globalization 4.0: Shaping a Global Architecture in the Age of the Fourth Industrial Revolution."

The World Economic Forum Founder Shares The Biggest Threat To The Economy

Published on Jan 18, 2019

Views: 472+

Economist Klaus Schwab is the founder and executive chairman of the World Economic Forum which will be holding it's Annual Meeting in Davos, Switzerland January 22-25, 2019. Schwab explains the theme of this year's meeting, "Globalization 4.0: Shaping a New Architecture in the Age of the Fourth Industrial Revolution.” When asked if we were currently in a trend of de-globalization he said no, "we have to make a differentiation between globalization, which is a fact, and globalism." He says the biggest threat to economic stability is the imbalances in the world. Schwab says he believes trade imbalances are a problem. He is not an unconditional advocate for free trade, which he says is great but only if there is equality. 

Planning & Zoning Board Meting Wed 16 Jan /2019

Published: 17 Jan 2019
Views: 10
Running Time: 1:06:59

Joe Cocker / With a little help from my friends

Mental Lift Du Jour: From Iman

The Infamous Site 17: Downtown Mesa's Biggest Urban Eyesore/Downtown Development Wreck

This is a reminder - a strong reminder and a call-to-action - to GET INVOLVED in fixing this 30-year old scar in the downtown landscape and to WATCH OUT for the Mesa Grande/ANA (Action Neighborhood Alliance)  

Here's an excerpt from a post on this blog site two years ago:
18 November 2016

Here We Go Again With That "Downtown Vision Thing"

Who wants to go here to take Mesa to the next level? Is this what works for Mayor John Giles or is there another direction?
At tonight's Mesa City Council Study Session for Monday, Nov 21, 2016,one item stands out on the Final Agenda, but first some background to put things into perspective . . .

16 years later fast-forward to this Monday, November 21, 2016 where Director of Downtown Transformation, Jeff McVay, will be making a presentation of the results of months of online surveys and community meetings to a study session of the Mesa City Council. Real estate developers' perspectives are included also.

16 years ago demolition bulldozed the site, with reporter Gary Nelson calling the 30 acres " a vast scar of empty real estate" in an article from 3 years ago. . .

Link to another post 20 Oct 2018 > https://mesazona.blogspot.com/2018/10/infamous-site-17-urban-eminent-domain.html

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It's the result of bad urban planning when city officials only listened to real estate developer speculation schemes that demolished more than 60 homes to destroy a neighborhood leaving 27 acres vacant, ugly and un-used and it's city-owned. City officials now own the damage done and have hired a group of consultants who tried to transform a part of downtown Gilbert's Heritage Area.
The history here on this infamous site - and all the problems - simply cannot be ignored now. . . Jeff McVay, the city's so-called "Director of Downtown Transformation" failed miserably two years wasting time-and-money on citizen input sessions that got nowhere.
Did the community already provide input on this site?
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BLOGGER NOTE: I only attended one of the workshops two years ago, observing the domination and control by the Mesa Grande/ANA (Action Neighborhood Alliance).
Likewise, once again, at the Steering Committee the same complaint was voiced for actions by the Mesa Grande/ANA (Action Neighborhood Alliance)
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 Yes! There were two community meetings and a survey conducted in the summer of 2016. After those meetings, Mesa City Council asked that a consultant be hired to create conceptual master plans for the property with more community input. The consultant, Crandall Arambula, was hired in September 2018 and has received all of the input from 2016 for review.
This is their promise to fulfill the ____ contract:
“We will provide the Mesa community with maximum value for investment. We are passionate about assisting communities through our depth of experience and research, and we are committed to the long-term success of this project. The measure of that success will ultimately be the development of a vibrant community that is harmonious with greater Downtown Mesa. We look forward to working with you.”
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What makes your MesaZona blogger turn red is this statement just a few days ago made by Mesa Mayor John Giles: 
"The city is not in the business of owning remnant, undeveloped pieces of properties, . . . " 
WTF????
How wrong can Giles get spouting bullshit like that with blinders on when Site 17 has been an ugly eyesore for more than 30 years. He sees only what he wants to see and lacks any vision whatsoever unless it's fed to as bait.
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Some people who attended the first presentation have told me they were "disappointed" and that's putting it mildly to say the least!
Here's a link to the workshop six weeks ago where attendees were told to only submit written comments: https://www.mesaaz.gov/about-us/city-projects/downtown-transformation/university-mesa 
Slick-and-slippery: The Process

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Results of Community Workshop 1
Nov. 13, 2018

You can access and download this 1.66MB 6-page Summary

Workshop Summary Notes 

Discussion Notes Total Response Sheet Results
Community Workshop 45 Response Sheets
Steering Committee Meeting 35 Response Sheets
Stakeholder Sessions 24 Response Sheets
Online Platform 15 Responses

TOTAL 119 Responses Received

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1Workshop 1 Summary | November 13–14, 2018
The first project milestone and community engagement session was held November 13th and 14th of 2018.

During that period, the consultants presided over a total of 16 meetings with various community groups including the Steering Committee, individual stakeholder groups, and City Officials to discuss opportunities for the site as well as their issues and concerns.

Additionally, a Community Workshop was held to engage the residents and greater community of Mesa. The stakeholder and public issues and concerns identified in these meetings will become the reference point for creating the preliminary master plan concepts. 
The Steering Committee and stakeholder meetings were held at the Save the Family conference building on Tuesday November 13, followed by the Community Workshop from 6:00pm to 8:00pm at Eisenhower Innovation Center Elementary.

Subsequent meetings with City Officials took place at the Mesa City Plaza offices at 20 E. Main Street.
The following pages include:

 ▫ Meeting Purpose & Description

 ▫ Response Sheet Results

 ▫ Issues & Concerns Summary
 The purpose of the Workshop 1 meetings was to:

 ▫ Introduce the consultant team and project

▫ Present background information and analysis

 ▫ Identify key issues, concerns, and needs of the community, and opportunities for the site

 

Community Workshop November 13, 2018 6:00–8:00 pm

Eisenhower Innovation Center Elementary 
The Community Workshop was attended by 89 people.

The consultant, Crandall Arambula, gave a 25-minute slideshow presentation to introduce the team, project schedule, public engagement process, and provide an initial assessment of background and existing conditions information.

Following the presentation, the community was asked to have discussion around their tables to identify opportunities and constraints for the Property as well as discuss their issues and concerns.

Response Sheets were provided for community members to list their top three issues and any additional comments. Additionally, each table was given a table map to illustrate areas of opportunity and/or concern. The workshop portion concluded with table summaries, presented by each group. The key points of each group were transcribed on a presentation-sized notepad and easel.

 > A total of 45 Response Sheets and 11 table maps were collected at the close of the meeting.

 

The Steering Committee Meeting was attended by 45 people including local property and business owners, representatives from adjacent neighborhoods, community groups, local organizations, and key City staff.

Groups represented at the Steering Committee Meeting include the following: [see .pdf]

 

Stakeholder Sessions November 13, 2018  10:00 am–5:00 pm

Save the Family Conference Facility

The consultant met with eight focused stakeholder groups individually to gather additional background information and discuss the specific needs, issues, and concerns of these groups and individuals.

Meetings lasted 30–45 minutes, during which a brief 5-minute slideshow presentation was given to introduce the project, followed by discussion and annotation of the table maps. Groups represented in one-on-one stakeholder sessions include: Stakeholder Groups Glenwood Wilbur Historic Neighborhood

Escobedo Heritage Neighborhood

Mesa Grande/ANA (Action Neighborhood Alliance)

RAIL Mesa 

Mesa Public Library

Historic Preservation Board

Mesa Fire Department

Mesa Police Department

Arizona State University

 

Meetings with City Officials November 14, 2018  7:30 am–11:30 am

Mesa City Plaza offices

The day following the Community Workshop, the consultant met individually with City elected officials and management to provide a project update and summary of previously held community and stakeholder meetings.

Additionally, officials provided their input and feedback.

Mesa City officials—including the mayor, vice mayor, councilmembers (from each of the 6 districts), and the city managers—will be involved in one-on-one meetings for the duration of the project.

The following meetings took place as part of Workshop 1 Engagement.
City Officials

Mayor Giles

Vice Mayor Luna*

Councilmember Glover

Councilmember Freeman

Councilmember Heredia

Councilmember Thompson*

Councilmember Whittaker*

Councilmember-Elect Duff*

City Manager, Chris Brady

Assistant City Manager, Keri Kent

Assistant City Manager, John Pombier

*Meetings held outside of the listed timeframe.
 

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City of Mesa, Arizona Government

January 15 at 7:00 PM ·

Hey, Mesa! We want your help in transforming the southwest corner of University Dr. & Mesa Dr.
Join us on January 29th for the second Community Workshop!
Review 1st workshop and project details here 👉http://social.mesaaz.gov/dZ

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OZ: New Tool To Get There . . . Let's Go!

Right from the Get-Go we need to know that there are many INDUSTRY PLAYERS getting into the tax incentives named Opportunity Zones.
At the end of this post you can scroll down and see the industry sectors that drive OZ investments.
So far we only have "guidance" from the U.S. Treasury and IRS that complicates everything and poses more questions for both investors and attorneys.
Let's look at that first . . .
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AFFORDABLE HOUSING FINANCE

Attorneys Dissect Treasury Guidance on OZs

John Gahan and Daniel Ryan outline key takeaways and what questions still need answered.

By John W. Gahan III, Daniel P. Ryan

Treasury issued its long-awaited guidance on Opportunity Zones (OZs) in October. Not all questions were answered; Treasury itself acknowledged that and promised further guidance. That said, it’s useful now, especially for developers with projects in OZs who would like to access capital in Qualified Opportunity Funds (QOFs), to summarize a few important takeaways: 

1. Debt is not itself an acceptable qualifying investment in a QOF, and using debt doesn’t reduce the capital gain investor’s ultimate tax benefit.

2. For purposes of the “tangible asset” test, the term “substantially all” means 70%.

3. A “working-capital safe harbor” aligns the OZ legislation with the mechanics of how capital usually flows into development projects.

4. Rev. Rul. 2018-29 provides that the land and building costs of purchase can be separated for purposes of the “substantial improvement” test.
Values can be attributed to both, and then the “substantial improvement” test can be satisfied by improving the building by the required amount.
5. Pre-existing entities can be used but are subject to important preconditions.

What Comes Next?
The industry still awaits answers to many questions, including:

READ MORE > News in Housing Finance 10 Jan 2019

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Just going along the lines from this article

AFFORDABLE HOUSING FINANCE

A New Tool for Housing

Industry players embrace Opportunity Zone incentive.

By Christine Serlin 10 Jan 2019
LINK > https://www.housingfinance.com                

Out of the 2017 Tax Cuts and Jobs Act [TCAJA] came a new community development tool aimed at spurring investment in low-income neighborhoods.

With high hopes, many in the affordable housing and community development industry are exploring how to turn an idea into reality by utilizing this resource to benefit the communities where they already work and the people who live there.

Blogger Note: With 11 Opportunity Zones here in Mesa we all have high hopes along the line where we live. Where will the roads to opportunities take us along the lines using public transit as a platform . . . So far LISC Phoenix has a track-record of success that started here in Downtown Mesa in December 2013 with the opening of Encore On First, the first new multi-family housing in 30 years, continuing with Escobedo-Verde Vista and El Rancho del Arte and El Rancho Del Sol, with Mesa ArtSpace Lofts opening in 2018.
With the TCAJA 2017 the financing landscape has changed: the article cites innovative projects in different states. Please take a look at those, while we take off on a diversion for about two minutes: We're Off To See The Wizard of OZ

Who's matching potential investors with projects in need of funding here in Mesa?

It might be Terry Benelli, President/CEO of the Local Initiatives Support Corporation.
There's nothing about Phoenix or Arizona in the report from Affordable Housing Finance. 
We do have high hopes . . .

Here are the pre-designated 11 Opportunity Zones in the City of Mesa. Note the areas to the left that are on the Valley Metro Light Rail lines. At the same time you can see that two large areas in Northeast Mesa and Southeast Mesa - in "The Outer Loops" where there's the most investments in just these two Opportunity Zones for commercial real estate [tech, industrial, and residential] and growth in job creation. Growth in the car-driven commuter culture expanding Suburbia reflects land-use planning.
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Here's a map of income distributions in the city of Mesa that needs some up-dating to fill-in the data gaps, especially in Southeast Mesa.
The color codes in the red-orange-yellow spectrum show higher-income areas concentrated in north and northeast Mesa. The darker-blue areas show lower-income areas.
[This is zip code data from the 2010 U.S. Census, It may or may not show the census tracts chosen as pre-designated Opportunity Zones, with the exceptions that qualify the NE and SE areas with higher-than-median-income levels but are nonetheless contiguous with distressed and neglected areas.
There are some areas and neighborhoods with a diverse mix.
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SOCIAL IMPACT INVESTING

“We see it as a critically important new tool that can have significant impact for affordable housing and community development, especially for economic development in communities that haven’t seen capital investment in a long time,” says Lori Chatman, senior vice president of Enterprise Community Investment and president of Enterprise Community Loan Fund.
For Local Initiatives Support Corp. (LISC) and its affiliates National Equity Fund (NEF) and New Markets Support Co. (NMSC), 924 of the 8,761 OZs that have been designated across the nation are in communities where they have made prior investments, so they know the area and have developer partners who work there.
“It makes sense for us to be a leader in OZs, given we know these communities, and we can try to increase development by utilizing this new source of capital.
It’s pretty exciting to tap these capital gains and see if we can use them for social impact investing,” says Karen Przypyszny, managing director of special initiatives at NEF.
Przypyszny says LISC and its affiliates will focus on the social impact piece to

• enhance communities
• provide jobs and housing
• help create more economic development.

“We’re really seeing OZs as another tool in our tool kit. On the deal side, it’s to achieve more volume and more impact in the communities,” adds Kevin Boes, president and CEO of NMSC. “On the investor side, it has great potential to broaden our investor base beyond Community Reinvestment Act–motivated banks.”
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