Clean Energy Firm SunEdison files for Bankruptcy

SunEdison is a solar and wind company that was worth almost $10 billion less than a year ago. It has a mountain of debt to deal with. It has filed for Chapter 11 reorganization in the hopes to keep it afloat. It has $300 million in new financing to continue current projects, pay wages and keep things afloat. Recently its stock SUNE was at $33 a share but it has dropped under 30 cents a share. The company had made some solar plans in the Antelope Valley, but they have done more solar and wind in South Korea and Germany. They also have two subsidiaries TerraForm Power and Terra Global with inroads in Brazil, India and China. The bankruptcy doesn’t involve these two spinoffs. There have been other solar energy bankruptcies and one a few years ago in the Antelope Valley on the far-east side in High Vista Area. First Solar operates several solar farms in Antelope Valley and it is publically traded, but a number of other solar firms are private enterprises.

The Builders Index Or Housing Starts was down 1.09M in March vs. 1.17M expected

U.S. housing starts fell more than expected in March. The housing permits applications are also at a year low. This is a US number and not an Antelope Valley number, but is shows a slowing in housing being built. This may be different in the Antelope Valley for the future due to the new Stealth Bomber building plans at Northrop Grumman’s Plant 42. This does show a slow done in the first quarter housing starts for the first half of 2016 nationwide. The overall groundbreaking decreased 8.8 percent to a seasonally adjusted annual pace of 1.09 million units. This is the lowest level since October according to the Commerce Department. Although, last months housing starts were revised up, but only slightly from 1.19 million from 1.18 million. The largest segment of the housing market is the single family and that dropped almost 10 percent or 9.2 percent. This is the lowest national number since last fall. Again this is a national number and maybe different in Los Angeles County, but it is a reflection of the new housing market for 2016

Notice of Violation and What it Means to Vacant Land Parcels

Many property owners over the years and especially in the 80’s received a Notice of Violation. This is a notice from LA County Regional Planning that a parcel was subdivided improperly. Typically properties that have a dotted or dashed line around them have a notice of will get one. According to LA Regional Planning FAQ: If my parcel is represented by a dashed line on an Assessor’s Map Book Page, does that mean that my parcel does not have a certificate of compliance? Such a dashed line only indicates that the parcel was not created by parcel map, tract map or parcel map. It may have been created by parcel map waiver or by deed, and it may have already received a certificate of compliance. The only way to be sure whether or not a certificate of compliance has already been issued for such a parcel, is to do a preliminary title search-i.e. ask a title company to determine that for you. Alternatively, you could apply for a certificate of compliance and the Department will do such a search for you; however, if a previous C of C is uncovered, the Department will keep $453.00 of your filing fee, with return of the balance of your application to you. If you have dashed lines on your parcel plat map, but your parcel has not received a notice of violation then when you sell the parcel your parcel then you will not have to do anything. Most buyers will require a property owner to get a COC to satisfy a Notice of Violation, but if non Notice was ever filed then a property owner will not need to get a a COC. A Certificate of Compliance (COC) costs $1755 plus $171 Fire Referral. Most COC’s are not charged the additional $483 fee. If a property owner wishes to develop a parcel and it has dashed lines, but no Notice of Violation. Then LA Regional Planning will likely require the property owner to get a COC before they develop the property. WHY IS THE COUNTY SO CONCERNED ABOUT MY “ILLEGAL” PARCEL? State law requires that Los Angeles County, along with other counties and cities, regulate and control the subdivision of land. In this way streets, drainage, sewage disposal, fire access and other factors associated with good subdivision planning can be provided fo HOW DO I APPLY FOR A CERTIFICATE OF COMPLIANCE? Forms and instructions are at our Los Angeles office and in our field offices. They may also be downloaded from the Planning Department website: http//planning.lacounty.gov. Applications submitted through the mail cannot be accepted. All applications must be submitted at our Los Angeles office or one of our field offices. There is a fee. For additional information or questions, please contact them directly. You can also see http://planning.lacounty.gov/view/certificate_of_compliance_faq/

The Hyperloop is Coming and Maybe to a Town Near You

A half billionaire and venture capitalist who has funded Uber, Airbnb, Munchery among other ventures is backing Hyperloop Technologies. He is Shervin Pishevar and not long ago he made a pitch to Senator Harry Reid. Granted Senator Reid will soon be out of office, but this science fiction project is gathering attention. The billionaire Elon Musk is also pushing the program and both parties are conducting test programs in Texas and Las Vegas. The Hyperlook may not supersede the CalhighSpeedRail, but it will give many to pause. If cargo can be transported from Los Angeles to Denver or beyond via a Hyperloop then that changes transport costs. I will really change the way transport is done. It should clearly be a threat to the HighSpeed Trains, and the Airline industry. It this takes off like these innovators see it then it can eliminate the commute. A loop could run above a freeway and zip people for under ten dollars from downtown to LAX, or from San Francisco to San Jose and then maybe you can hope into a driver-less car to take you to the office. It is not that far off to being a reality.

Antelope Valley is the Silicon Sky

This is a reprint of an article from the AVPress by Jim Keen After suffering more than its fair share of down time, the Antelope Valley is on the upswing and the outlook for its leading industry, aerospace, is bright. In an essay titled "The Unfolding of Silicon Sky," economist Christopher Thornberg notes the Antelope Valley suffered through hard times in the 1990s from defense cutbacks and was hit hard than most areas in the housing market bust of the Great Recession. "The good news is that the Antelope Valley is on an upward swing and clearly recovering from the recession," Thornberg wrote in the essay, which appears in the 2016 Economic Roundtable Report produced by the Greater Antelope Valley Economic Alliance, or GAVEA. Thornberg is the founder of Beacon Economics and has been a frequent visitor to the Antelope Valley. Thornberg says signs of that upswing include home prices that are increasing at a 9% pace, falling unemployment, taxable sales growing at a healthy 5% rate, population growth holding steady at just under 1%, and overall job growth being at just above 2%. "While new construction remains subdued locally, growing unaffordability in the core areas of Los Angeles will undoubtedly create a new surge in local demand over the next few years," Thornberg wrote. The biggest bright spot is aerospace. "This isn't your father's aerospace industry, back when gutsy test pilots and bigger jet engines defined the industry," Thornberg wrote. "Today, it is all about material sciences and advanced computer technology." Thornberg notes some of the industry's recent milestones, including billionaire Paul Allen opting to build a giant airplane in Mojave to launch satellites into space, Northrop Grumman winning the contract to develop America's next bomber, and activity by the Air Force and the Navy in redesigning major weapon systems in the region. "All of these efforts require massive R&D activity and extensive high-tech supply chains - bringing in a new wave of suppliers and sub-contractors. These will be high-tech firms with highly skilled employees and represent an opportunity for the area to become a high-tech hub," Thornberg wrote. The key for the region is to make it as easy as possible for these companies and workers to come to the Antelope Valley, Thornberg said. The region will also need to make sure the area is a place where tech workers would want to live by improving education, expanding entertainment and retail options, and making space for high-end housing, Thornberg said.

Several Multiple Housing Tract Maps recently approved and extended in Lancaster

A recent planning commission meeting extended tentative tract map approval for a couple of investment firms. 64 acres at 80th West and Ave L was approved for a 60 day extension. The subdivion is for 204 homes zoned R-10,000. There was another 42 acre plot approved for a 60 day extension 40th Street West at H-8. This is approving 156 homes of R-7000 zoning. Another firm was approved for 66 home on R-10,000 zoning at 35th Street West at K-4. The same firm is getting another 39 home approved near this parcel. Another 40 acre parcel at 15th East at H-8 was approved for a 60 day extension on 151 homes also zoned R-7000. These extensions are currently only approving the tract map, so building doesn’t appear to be around the corner, but it looks positive that these firms are moving their plans forward for future housing development. It these all move forward then that is at least 550 new homes on the horizon. This will certainly put a dent in housing inventory. Stay tuned for future updates on these new developments.

SpaceX has Awarded MIT Team The design Contest for the Hyperloop

The Hyperloop is progressing. In this case it is Elon Musk's SpaceX financed Loop.The MIT grad students won out against a 100 other teams. This design will go into a proto-type in Hawthorne California. The proposed system would use pods traveling in tubes in a vacuum at 750 MPH from Houston to Dallas, or San Francisco to LA. The design is an elevated design above the ground and MIT design has been reported as using magnets. There are now several plans in place and all designed in the US. We will see which one or many work out. This certainly competes with a high speed rail in California which will cost billions. We are still unsure if the Hyperloop is really feasible as it will take a person at 750MPH. Some design include carrying vehicles. Hyperloop people say a person will not realize they are going 750 MPH, but how can it turn? Critics say a person can handle a change even gradual turns or rising and falling without getting sick. If that is the case then a Hyperloop would have to be at the same level from San Francisco to LA. It just seems impossible to be at say 50 feet up all the way since California is not flat. We will see where this goes.