Friday, April 12, 2019

Distressed Entire Downtown Mesa Has Been Bought (Just In Case You Didn't Know)

Your MesaZona blogger has been saying this all along since 2017. Now you can hear that fact directly from Caliber's CEO Chris Loeffler right here and right now in 4 minutes.
They started out flipping houses and now they've bought an entire downtown: Mesa.
REAL ESTATE PRIVATE EQUITY
MONOPOLY JOCKS
REAL ESTATE SYNDICATION
O Yeah! We got all here in "The Old Donut-Hole"
They knew ahead of time what was "coming down the road" before November in 2017. Yes, every deal has a story and it started months and years before the public it . . .
What was Caliber's Secret Sauce? 
Certainly NOT Transparency in any way, shape or form.
All "the deals" to scoop up a portfolio of first eight and then ten commercial properties right here on Main Street were all done behind the scenes. The structures used were the formation and register of holding companies.
As far as the Relationships go, it's the same closely-connected cohorts - some who hold public state and local office - who all have schemes for their own private wealth creation. 
Conflicts-of-interest. . . Who's asking?
After rumors for months - and a downtown Mesa Bus Tour in Nov 2017, we found out that then current AZ Senator Bob Worsley was forced to come out in public at a Mesa City Council Study Council [joined by Revolving-Door U.S. Congressman Matt Salmon and high-salaried ASU lobbyist, sitting behind him with a middle-finger under his nose, to admit he was privately gambling in rampant real estate speculation at the same time holding public office, scooping up ten commercial properties in holding companies with his wife as CH Holdings LLC.
The neglected and distressed downtown Mesa had turned into an Opportunity Zone for their own private wealth-creation. Worsley did this in public office.
Mesa Mayor John Giles does this also from the time he filled in the unexpired term in 2014 for former mayor Scott Smith. Giles is now serving his first elected 4-year term

Featured Speaker: Mesa Mayor John Giles
Take a look at this upcoming 7th Annual Caliber Summit Arizona Access
EDUCATE UPDATE CONNECT
May 2 - 4, 2019 | Phoenix, Arizona
The world of investing has fundamentally changed – knowing this, we’ve made it our mission to not only create a better way to invest, but to educate and empower individual investors along the way.
Join us for our 7th Annual Caliber Summit: Alternative Access 2019 for your chance to connect with world class experts in a fun and approachable environment. Guests will gain knowledge from seasoned industry insiders, stay up to date with live property tours and updates and connect with like-minded individuals – all while gaining access to wealth building alternatives you deserve.

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At the same time Worsley formed a partnership with his own campaign manager Kent Lyons and W Tim Sprague (at left)[Found:Re Hotel in Phoenix] in a development company Habitat Metro.
Here's Mayor John Giles standing in the middle of Main Street with two other Caliber Wealth Fund principals in 2018

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Here's the 4-minute streaming video uploaded to YouTube where CEO Chris Loeffler tells how he started out in foreclosures just a few years ago and then gives his best spin on the company now making deals in Opportunity Zones and establishing Qualified Opportunity Funds - all of these subjects have been featured in multiple posts on this blog before.
Listen to what Chris Loeffler has to say . . . Pay close attention and play it again.

Published on Apr 11, 2019
Views: 12 at the time of upload to this blog
Length: 04:47
Caliber, the Wealth Development Company, is a Scottsdale-based real estate investment firm co-founded by CEO Chris Loeffler. The company has always focused its energy on alternative investment opportunities for clients, and now it’s diving into a new market: opportunity zones. Investors who create economic development and growth in areas that need it can get a tax break on capital gains, creating a win-win situation for investors and communities alike.

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RELATED CONTENT: They reward their own
Readers of this blog have had the opportunity to know who owns this so-called "independent" - The Times Media Group that also owns The East Valley Tribune.
The new editor is Wayne Schutsky, who was promoted from his previous position as a reporter
Caliber CEO Chris Loeffler receives Vistage Leadership Award

Chris Loeffler (Submitted photo)
The CEO peer-advisory organization, Vistage, recently announced the winners of its 2019 Arizona Member Excellence Awards.
Among the three honorees was Chris Loeffler, the founder and CEO of Caliber-The Wealth Development Company, according to a press release.
[This report is a press release with the image submitted by Chris Loeffler who looked like that, who-know-when]
 
Mr. Loeffler was presented with the Vistage Impact Award for making an impact on the group and demonstrating company growth and business development, according to the release, adding that the organization has emerged as an “early adopter and industry-leading expert in opportunity zones” under his direction.
Created by the Tax Cuts and Jobs Act of 2017, opportunity zones are designed to spur economic development in underserved communities by providing tax incentives, noted the release.
Caliber was among the first organizations to open a Qualified Opportunity Fund for investors to take advantage of the capital gains tax reduction program, the release detailed
https://www.scottsdaleindependent.com/news
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MORE RELATED CONTENT Please note the image inserted if from the author of this post, not the reporter from Crain's who published this in 2016
In this ongoing series, we ask executives, entrepreneurs and business leaders about mistakes that have shaped their business philosophy.
Chris Loeffler

 

 

Pie's Breakfast Television Debut

Can't think of too many things that make Britain GREAT
Published on Apr 11, 2019
Views: 181,331 at time of upload to this blog
This morning I was on Good Morning Britain.
Warning: contains no strong language. Huha?

Global development disrupted: A field in transition

Note the backgrounds of the panelists. Also that this is not a representative sample. and note it's a very fragmented development system. Similarly listen what is said about INNOVATION.
Poverty is only mentioned 14 times in survey responders.
Word = FRAGILITY, CONFLICT & MIGRATION IN A 2-TIERED WORLD
Published on Apr 12, 2019
Views: 41 at the time of upload to this blog
On April 8, the Global Economy and Development program at Brookings explored findings from “Global development disrupted: Findings from a survey of 93 correction 94 leaders,” a new report that surveys development leaders and offers insights on the international development landscape.
BETTER TO READ THE FULL REPORT: https://www.brookings.edu/events/glob... (transcript available)

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Mesa Council Study Session - 3/21/2019

Off to a fast start with John Giles sporting a Chicago Cubs polo shirt and saying "There's a lot of good things".
This goes on for how long ???????????????????????????????????????????
If you trust a hired consultant to deliver the results certain people and city officials wanted, they've done their slick and slippery job jiggering the data.
Transform 17 has always been an urban development nightmare

Streaming 2-Hour Video Mesa City Council Study Session 11 April 2019

This study session is almost two hours long. When uploaded to this blog at 08:00 this morning there were 40 views on YouTube. The screengrab provided by Mesa Channel 11 that you see in the insert is from Item 2 on the session's agenda.
The first item is TO REVIEW AND DISCUSS ITEMS on the agenda items for Monday's Regular City Council Meeting on April 15th at 5:45 p.m.
Please watch how the mayor makes the points of order at this study session instead of just saying "various" this and that . . .
 A number of small-dollar grants, added to the agenda made public the day before the meeting, are the first thing to get mentioned. The revenues come from a mandated city-share of gambling incomes from two tribes, one from Homeland Security. There's also an item for more money for the city's Facade Improvement Project that's required due to the fact that the consultant hired by the city only did a casual job estimating, while other required details were found by the construction company doing the work.
There are other agenda items with big-dollar amounts attached to them, especially with job contract awards.
There are major multi-residential and industrial developments in District 6, some "opt-ins" by City Manager Chris Brady that need to get approved at the Elliot Road Technology Corridor, the creation of some more water irrigation districts, and action the city wants to take by using eminent domain to seize an 18.6-acre privately-owned land parcel next to city-owned land by Lehi Road when a low-ball offered got turned down.
The fact that all these items and the review of the Mesa Police Department budget are both included in this one study session would test anyone's power of concentration.
Perhaps that is done for a reason, when the Mesa PD budget might deserve closer attention in itself - it's puzzling that the police have been enlisted in "mental health" when there are so few, in any, professional qualified mental health experts on-staff. But let's not get too-detailed too early.  
Mayor John Giles notes that D5 David Luna is absent, then goes right to asking if the entire Consent Agenda is still intact - those are action items that all get approved at the same time, but any councilmember or member of the public can ask for an item to be removed for individual consideration - D6 Kevin Thompson requests that Item 4-t be removed within the first few minutes
Yes, there are consequences: The input that the mayor and the six city councilmembers do receive will then originate from other sources than the public without you . Not everything is fair in politics as you probably realize when there are other competing priorities that will set and determine the policies here in the City of Mesa. With that in mind, here's what on the agenda for today's study session.
At first glance the list on Agenda Items might look easy-and-simple. FAIR WARNING > It is not just 1, 2, . . . 3
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1 Review and discuss items on the agenda for the April 15, 2019 regular Council meeting.
  
2 Presentations/Action Items:
  • 19-0405 Hear a presentation, discuss, and provide direction on the Police Department budget. (Item 2-a)
  • 19-0471 Appointments to the 2020 Census Task Force (Item 2-b)
3 Acknowledge receipt of minutes of various boards and committees.

  • 19-0460 Housing and Community Development Advisory Board meetings held on February 26 and February 27, 2019 (Item 3-a)
  • 19-0473 Economic Development Advisory Board meeting held on March 5, 2019 (Item 3-b )
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Here are meeting details and links for Item 2 and Item  3
Attachments:

File #Agenda #TypeTitleActionResultAction Details
19-0405 2-aPresentationHear a presentation, discuss, and provide direction on the Police Department budget.  Not available
19-0471 2-bAppointmentAppointments to the 2020 Census Task Force.  Not available
19-0460 3-aMinutesHousing and Community Development Advisory Board meetings held on February 26 and February 27, 2019.  Not available
19-0473 3-bMinutesEconomic Development Advisory Board meeting held on March 5, 2019.  Not available
                               
 
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Here's just one item. Note that members previously on the Task Force have resigned to get replaced by four new persons who are faith-based related. Likewise, unless you are curious who the other 20 members are, their names and affiliations are not included.
WHAT IS THE CITY'S 2020 CENSUS TASK FORCE?
The purpose and work of the Taskforce is to increase response rates from individuals that would otherwise not be counted, thereby increasing population-driven revenues to the City over the next decade. 
Here is the Council Report
The Bottom-Line: The city needs you to count because every person - man, woman, and child - is worth $3,195 every year.
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First note the Fiscal Impact
Fiscal Impact 
The City of Mesa receives approximately
$330 per person
in state-shared revenue annually for each resident counted.

According to the George Washington University report, Counting for Dollars 2020, it is estimated that each person counted directs $2,865 of federal funding to education, transportation, healthcare, housing and other needs in Mesa each year. 

Electric scooters may not be around for long…

I'm not crazy over these - investors are betting they will turn profitable. Planning to build "a better scooter", but both the scooters and the companies could have a short life-span
Published on Apr 12, 2019
Views: 2,520
Electric scooters have been one of the biggest tech crazes of the last year, with venture capitalists pouring more than $1 billion into the startups.
But the fundamental numbers don’t add up because the scooters don’t bring in enough money to cover their costs.
If the business continues on its current path, the scooter hype might be short-lived.

Read more here:
http://bit.ly/2P5g030

Thursday, April 11, 2019

Who's The Sports-Jock Allred Getting An Inside-Scoop from John Giles & Mark Garcia?

Proposed site for "Mesa Plays'
Just like some members in the Family Tree, Damon Allred somehow managed to get the fast-track on what is up in front of the Mesa City Council to approve "continuing negotiations" in-the-process for Eminent Domain to cease 18 acres at 2200 North Center Street in Mark Freeman's District 1 near Lehi Road above McKellips.
What's that about? A matter of "public necessity" or what?
Here's a clue in the opening image on a billboard at a toxic BLM piece of land deeded to the city for a buck, located at Red Mountain. It got flagged-out in 2018 by taxpayers.
It was what was once a foretold story from the "Field of Schemes" by Marc Garcia back in 2014, and again in 2018, re-packaged with a hotel complex, for an outdoor youth sports complex. Cheered on from the sidelines by the the mouth of Mayor John Giles about that "Mesa Plays" Ballot Item last year that taxpayers rejected. It was declared it dead-on-arrival. Giles said that taxpayers won't have to deal with it again. Look what horse got out-of-the-barn and what jock-journalist  jumped-the-gun loading up a story to Mesa Legend where he's a sportswriter
Damon Allred / Image from
https://twitter.com/bydamonallred
Youth sports project won’t die
04/03/2019 Damon Allred MesaCC Legend
Sports complex project persevering after Mesa Plays failure 
"Whether they pass or fail, not all bills are created equal. Despite a 2018 failure, the Mesa Plays bill continues to live and evolve from its original presentation.
The bill originally proposed the creation of 24 athletic fields, including 10 artificial turf fields, in one massive sports complex located on the corner of 80th St. and Adobe Road, just southeast of Red Mountain High School.
One of the major reasons the City of Mesa wants to build this new complex is to provide high-quality, well-lit fields available for youth usage. . . "
[cont'd farther down]
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BLOGGER NOTE: Little did with know that some players or special interests were making-the-rounds apparently for months.
> A written offer was made to the property owner in November 2018 in the amount of $3,820,000 for 18.63 acres of vacant land.
> A counter offer was received from the property owner’s attorney in December 2018 in the amount of $5,700,000.
> A 20-day letter has been sent to the owner on March 6, 2019, by our outside legal counsel. 
  • Arizona Revised Statutes require that at least twenty (20) days before filing an action for condemnation the City must provide the property owner with a written purchase offer and an appraisal supporting the amount of the offer. 
  • This letter serves as notice that we are not in agreement with their counter offer and we will be proceeding with eminent domain
 It's an item for a public City Council meeting on Monday 15 April 2019:
Requesting approval for Staff to continue negotiations to acquire certain property located in the 2200 block of North Center Street for the construction of athletic fields, and in order to avoid construction delays, authorizing and directing Staff, that fee title, or other interests in, and possession of, certain property, be acquired by the City of Mesa through eminent domain, as a matter of public necessity. (District 1)
It is Resolution 5-g       
File #19-0428
On agenda: 4/15/2019
Title: Requesting approval for Staff to continue negotiations to acquire certain property located in the 2200 block of North Center Street for the construction of athletic fields, and in order to avoid construction delays, authorizing and directing Staff, that fee title, or other interests in, and possession of, certain property, be acquired by the City of Mesa through eminent domain, as a matter of public necessity. (District 1)
Attachments: 1. Council Report,
2. Resolution,
3. Vicinity Map,
4. Detail Map
 
 
 
 
 
 
 
 
 
 
 
 
 
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The entire Council Report is reproduced after the rest of Damon Allred's article
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Mesa Mayor John Giles said, “We have a real shortage in Mesa of lighted athletic fields for youth sports… We could schedule another 1,000 hours per week of lighted athletic fields between soccer, baseball, football, field hockey, and all the things that people want to do.”
The original planned location was prime real estate for the city. Mayor Giles said, “We have over 100 acres of property that was given to the City of Mesa by the Bureau of Land Management with the restriction that it has to be used for recreational purposes.”
The average Mesa homeowner would’ve had to pay $24 per year, while tourism taxes on hotels and revenue generated by the complex would pay for the rest of the expenses. That revenue could reach astronomical levels thanks, in part, to the tourism the sports complex would attract. At full booking capacity, the facility would have an annual economic output of over $365 million, and the complex would bring in over 400,000 annual visitors while supporting nearly 3,500 sustainable jobs.
But the bill failed to pass. Questions 4, 5, and 6 made up the bill, and while Q4 passed with a 6.11 percent margin, Q5 and Q6 both failed with a combined margin of 3.11 percent. Mayor Giles attributed the failed vote to dissatisfaction with taxpayer-funded sports facilities ever since the attempted Arizona Cardinals stadium in Mesa.
He added, “Half of the project did pass, so you’re going to see a lot of nice, new fields there… And maybe once that happens and we can go back later and say let’s go ahead and finish the project if the voters see what a great facility this is.”
Going forward, the project has a few options, one of which is to bring slightly adjusted propositions before the people again, but Mayor Giles said, “I think the voters have spoken and I’m pessimistic the voters are going to change their minds on the stadium side of it.”
The project also has the option of using a different location and funding privately, as the current location will not allow for non-public use.
VisitMesa CEO and president Marc Garcia, who was not at liberty to share specifics, said, “At least two other parcels of land are being explored by a private sector entity.”
Garcia added,
“If it does come to fruition, I think it will be very successful because it will have our support.” The project in some ways seems like an inevitability.
Source: https://mesalegend.com/youth-sports-project-wont-die/
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City Council Report 
Date:  April 15, 2019

To:  City Council
Through: Kari Kent, Assistant City Manager   
From:  Beth Huning, City Engineer and Rob Kidder, Assistant City Engineer 
Subject: Authority to acquire property located at 2200 block of North Center Street  Council District #1  

Purpose and Recommendation 
The purpose of this report is to consider a staff recommendation to authorize staff to acquire parcels of land necessary for the North Center Athletic Fields located in the 2200 block of North Center Street. Staff is requesting authorization to acquire certain parcels through eminent domain if necessary. Staff intends to continue to negotiate with the property owner with the intent of reaching a settlement. Our goal is to acquire the parcels through negotiations with the property owner.  


Background 
On July 2, 2018, City Council was presented General Obligation Bond Projects for the General Election in November 2018.  As part of Parks & Cultural, the North Center Street property was on the list for athletic fields.  
In November 2018, the voters approved Question 4, that authorized the City to issue and sell general obligation bonds to provide funds to design, acquire, construct, reconstruct, improve, furnish, equip and install: libraries, museums, arts and cultural facilities and improvements, parks, open space and recreation facilities and improvements, and including acquisition of land or interests therein necessary for such purposes.  


Discussion 
Real Estate Services has received an appraisal in the amount of $3,820,000 for 18.63 acres of vacant land.

> A written offer was made to the property owner in November 2018. 
> A counter offer was received from the property owner’s attorney in December 2018 in the amount of $5,700,000.
  • This counter offer was not supported by an appraisal. 
  • The owner’s attorney has informed the City they will not be getting an appraisal at this time.  
> A 20-day letter has been sent to the owner on March 6, 2019, by our outside legal counsel. 
  • Arizona Revised Statutes require that at least twenty (20) days before filing an action for condemnation the City must provide the property owner with a written purchase offer and an appraisal supporting the amount of the offer. 
  • This letter serves as notice that we are not in agreement with their counter offer and we will be proceeding with eminent domain
The City is required by law to pay what is called “just compensation” for the land needed for this project. “Just compensation” includes the value of the land and any improvements being taken and damages equal to any diminishment in value of the remaining property resulting from the acquisition.   
Staff seeks Council approval to start the court proceedings on these parcels where the City and Property owner have not yet reached an agreement
> Staff will continue to work with the property owner and attempt to reach an agreement on a compensation amount for this property.
> Filing the court actions is necessary because it will allow the City to seek the Order of Immediate Possession (OIP), so that the Project may proceed while the negotiations regarding compensation continue a parallel course.  

Alternative 
The project cannot begin as scheduled if the use of eminent domain is not authorized when necessary to obtain immediate possession. 

Fiscal Impact 
The recommendation does not have a fiscal impact on the overall cost of the project. 

Concurrence 
The Parks, Recreation and Community Facilities and Engineering concur with this recommendation