Central Oregon News Digest
by The Garner Group
Posted 4/17/2008
April 2008
Compiled by The Garner Group Realtors & Development LLC
388 SW Bluff Drive, Bend, Oregon 97702 • Tel. 541 383-4360 • www.thegarnergroup.com
HOUSING TRENDS
‘Buy now or miss the boat,’ speaker recommends
Increasing population alone will erase the current oversupply of homes on the Bend real estate market in five months, appraiser Dana Bratton asserted at the annual Bend Chamber of Commerce Real Estate Forecast Breakfast in February. Tracing home inventory and price trends, the president of Bratton Appraisal Group said population growth will create demand for 100 to 160 new homes per month in Bend, while few building permits are being issued. “Strike now or miss the boat,” Bratton declared. Low mortgage interest rates, high inventory and price reductions make this a buyer’s market. Bratton bravely predicted the Central Oregon real estate market will turn upward on April 25.
Sandy Garner, president and CEO of The Garner Group Realtors & Development LLC, described changing trends in home buyer preferences that parallel age and demographic changes in the market. “Today’s buyers like working from home, health and fitness activities, tech toys, travel, entertaining and dining out,” she said. Neighborhoods should have a distinct brand with which residents can identify, she recommended. “Buyers want the neighborhood to reflect their self-image and provide a sense of belonging.” Home design preferences are shifting to clean, contemporary urban designs that admit a lot of light and connect indoor and outdoor living spaces.
Home sales pick up in March as median prices roll back
Spring is bringing some encouraging signs to the Central Oregon home market, which is poised to cycle upward after residential sales slowed sharply through the fall and winter. The Bratton Appraisal Group’s monthly report indicates a jump of 64% in Bend home sales in March over February. Wendy Adkisson, The Garner Group’s principal broker, told Bend’s daily newspaper late in March to expect Bend home prices to begin increasing in the next 12 months, well ahead of national market expectations.
Median home sale prices in the Bend area trended downward in the first quarter of 2008. Calculated at $306,500 by the Central Oregon Multiple Listing Service, this figure for homes on residential lots was 11.9% below the first quarter 2007 median and 11.2% below the full year median. It is higher than any other year’s median price except for 2006 and 2007. The pattern was similar elsewhere in Central Oregon, although at lower price points. Redmond’s first quarter median was $220,000, 14% below the first three months of 2007. Crook County reversed the trend, posting a record high median sales price of $214,000 for comparable homes, 8.1% above first quarter 2007.
LAND USE, GROWTH
City buys out Juniper Ridge Partners
City officials are taking a more measured approach to development of Juniper Ridge now that they have come to a separation agreement with Juniper Ridge Partners, the master developer. The sometimes-controversial 1,500-acre tract of city land at the northeast edge of Bend will follow a unified mixed-use master plan but segments are likely to be developed in stages as segments are put up for sale. The city will pay JRP $2.52 million for the project’s master plan and JRP will have first right of refusal to purchase 50 acres near the south entrance to the site. The Oregon Department of Transportation has red-flagged any development beyond the Les Schwab Tire Centers headquarters building now under construction until a plan is in place to rebuild the intersection of Cooley Rd. and US Highway 97.
UGB hearings to start in June
A new draft proposal extending Bend’s urban growth boundary is scheduled to appear June 9, about a year after the first draft created an eruption of controversy and a do-over by the city. The initial version placed virtually all new growth northeast of the city and included most of Juniper Ridge. Look for greater dispersal of growth areas around the perimeter, in part because the city is considering a major long-term sewer expansion program. The city’s UGB timeline calls for planning commission adoption this summer, city council adoption in the fall and state Land Conservation and Development Commission approval in December. Any appeals will delay final adoption further.
Central Oregon high on national growth lists
Deschutes County ranked fifth in the nation for rate of population growth over the seven years between the 2000 census and last July 1, according to US Census Bureau statistics released in March. County population increased by 33.5% in that period to 154,028, the bureau calculated. For one-year growth to July 1, 2007, the county ranked 17th in the nation at 3.3%.
BUSINESS, ECONOMY
Diversification brightens employment picture
Observers of the Central Oregon economy point to diversified employment sources and growth in the industrial sector as bright spots in the job picture. The region added 1,250 jobs in February compared with a year before, with healthy gains in professional and service sectors offsetting a decline in wood products manufacturing and construction jobs. Unemployment rates in February were above year-ago levels in all three counties (8.3% in Deschutes). Rates are expected to decrease throughout the spring and summer and bottom out for the year in September and October, according to the Oregon Employment Department.
Roger Lee, executive director of Economic Development for Central Oregon (EDCO), said 35 expansion projects among Central Oregon high-tech and manufacturing companies could create 1,531 new jobs and $127 million in investment within the next 12 to 18 months. EDCO is working on 23 recruitment projects that could bring another 5,400 jobs to the region, he said.
Private sector employment in Central Oregon is distributed across several major categories, unlike some resort communities that depend heavily on tourism. The top five in 2006 were (1) trade, transportation and utilities, $497.5 million; (2) education and health services, $351.9 million; (3) manufacturing, $326.3 million; (4) construction, $313.5 million; and (5) professional and business services, $243.4 million. The payroll for all levels of government was $427.5 million.
Growing solar company finds new home
PV Powered Inc. of Bend ended its search for larger quarters with the announcement that the solar power inverter manufacturer will occupy the former Oregon Woodworking mill site in northeast Bend. The nine-acre site provides room for expansion. The company employs about 60 people and may add up to 60 jobs by the end of 2008.
Geothermal project draws investors
Two investors will provide development capital for the Newberry Geothermal Project being undertaken south of Bend by Davenport Power LLC. They are US Renewables Group LLC and Riverstone Holdings LLC. Davenport Power holds a 20-year agreement with Pacific Gas & Electric Co. to provide 120 mW of electricity. The project is scheduled to come on line in phases between 2009 and 2011.
Orders push Cessna growth
Cessna Aircraft Co. plans to add some 130 people to its workforce in Bend by the end of 2008. The company currently employs 420 people, 300 of them in manufacturing. Brisk orders for the high-performance planes made here are driving plans to increase capacity.
Hotel project undergoes changes
The Village luxury hotel complex at the east edge of the Old Mill District is being trimmed back in size. Plans filed with the city have cut some of the restaurant and amenity space but developers are sticking with the concept of five buildings to be built in three phases. The $127 million project was to be a condominium hotel with spa, restaurant and retail space, but it now is shaping up as a conventional hotel.
RETAIL EXPANSION
Kohl’s may be coming to Bend
No one is talking, which is typical in such cases, but reports based on city records indicate a Kohl’s department store will be added to Bend River Promenade. Preliminary plans show a 69,000-sq ft building on a pad at the east side of the shopping mall. Construction could start this summer. Kohl’s would join Sears, Macy’s and TJ Maxx as anchor tenants.
Truck stops yield to new uses
SunWest Builders is going vertical on the old Jake’s Truck Stop corner in south Bend, where the Pioneer Crossing shopping center will be anchored by a 55,000-sq ft Gottschalk’s department store. But Jake’s isn’t the only former truck stop site getting a makeover in Bend. On the site of the former Northgate 76 Truck Stop and Tom Tom Diner, at the north end of town, the new Empire Car Wash will be joined by a South Valley Bank branch and a Sonic Drive-In. One parcel remains vacant.
Trader Joe’s a reality
To considerable fanfare, Trader Joe’s opened its 306th store March 28 in Bend. The specialty foods retailer is located in the Cascade Village Shopping Center.
DESTINATION RESORTS
Aspen Lakes seeks status change
Owners of Aspen Lakes are seeking a Deschutes County Code amendment that would allow the residential golf course development near Sisters to become a destination resort with more homes, overnight lodging and expansion of the golf course to 27 from 18 holes. It appears to be an uphill battle as county planners, several residents and the state Department of Land Conservation and Development oppose the move.
Thornburgh process inches along
Thornburgh Resort developers continue to pursue the approval process they hope will greenlight the 2,000-acre project west of Redmond. Deschutes County officials are working through a fixit list attached to the conceptual master plan by the state Court of Appeals and Land Use Board of Appeals. More hearings are certain as a final master plan evolves. A cadre of neighbors is attempting to block the resort, claiming adverse impact to wildlife, fish and waterways.
Sunriver town center project downsized
Redevelopment plans for the Sunriver Village Mall have been scaled back. While a majority of Sunriver Owners Assn. members voted to sell an adjacent 6.2 acres to mall owners SilverStar Destinations LLC, the required 60% margin was not achieved. Plans submitted to Deschutes County commissioners in April for the remaining 16.5 acres reduced the number of residential units to 375 from nearly 600. The retail/residential town center would replace a 30-year-old mall. A public hearing will take place April 30.
Metolius resorts litigated
Controversy over two proposed destination resorts in western Jefferson County has not abated. Opponents have asked the Oregon Court of Appeals to overturn a state Land Use Board of Appeals decision allowing the Metolius basin projects to proceed conditionally. Dutch Pacific Resources LLC proposes to rehabilitate 627 acres of logged-over timberland near Suttle Lake into The Metolian, an “eco-friendly” resort that would stress environmental values. Ponderosa Land and Cattle Co. has plans to develop part of its 10,000-acre holding near Camp Sherman into a residential, lodging and golf resort.
State eyes firmer control
The heavy hand of the state may alter the shape of future destination resort development in Central Oregon. Alarmed by the high concentration of current and proposed resorts in the region, the Department of Land Conservation and Development indicates it and other state agencies will recommend legislative changes to reduce the impact of destination resorts on natural resources, public services and farmland, and give the agency stronger authority to change state planning rules. Governor Ted Kulongoski asked agencies to review destination resort laws following the Metolius basin resort controversy spearheaded by high-profile state senators Ben Westlund (D-Tumalo) and Betsy Johnson (D-Scapoose).
Resort freeze on Crook ballot
Crook County voters will be asked to influence the future course of destination resort development in the county. An advisory measure placed on the May 6 primary ballot through the efforts of residents in the Powell Butte area asks the county court to freeze the number of resorts to the three already approved and under development—Brasada Ranch, Remington Ranch and Hidden Canyon. A fourth, Crossing Trails (initially named Seven Peaks), has not yet been approved. The final decision will be up to the county court.
MEDIA ATTENTION
Good business environment puts Bend on list
Bend is one of the 100 best places “that will feed your soul and nurture your business,” according to Fortune Small Business. Bend scored No. 87 on a list that included three other Oregon cities—Portland, 6th; Corvallis, 48th and Eugene, 96th. Cities on the list “combine a great business environment with alluring leisure opportunities,” declared staff writer Joanne Chen. Economic conditions, tax rates and startup activity also were factors.
Locals score in workplace satisfaction
Central Oregon employers were well represented on Oregon Business magazine’s 15th annual ranking of the 100 Best Companies to Work For in Oregon. Confidential employee surveys were used to compile standings on a range of topics. Here they are:
Among the top 50 large companies (250 or more employees):
Edge Wireless LLC, Bend, 2
David Evans & Associates, Portland (office in Bend), 13
T-Mobile, Redmond,14
R&H Construction, Portland (office in Bend), 20
AmeriTitle, Bend, 21
Les Schwab Tire Centers, Prineville, 23
Bend Metro Park and Recreation District, 35
Bank of the Cascades, Bend, 50
Among the top 50 small companies (less than 250 employees):
tbd Advertising, Bend, 12
‘Hot’ to retire? Come to Bend
Bend is on an unranked list of “hot retirement communities” showcased by Bankrate.com, an business and financial web site. Known for its easy access to adventurous outdoor activities, the Bend area “has a formidable set of local breweries and restaurants, as well as a very strong local arts culture of museums, galleries and theater companies.”
Cowboy up, Bend style
For celebrating the Western lifestyle, Bend was selected as one of the 20 Best Places to Live in the West by American Cowboy magazine. “Laid-back Bend is an ideal place to hang your hat,” the magazine noted, citing recreational opportunities such as fishing, skiing, hiking and rafting.
Kudos from Nashville
Bend turned up on Country Music Television’s web site with a glowing review as a vacation site “off the beaten path.” Blogger Deb Barnes writes under “CMT Lifestyles” about “a town that’s close to heaven” with favorable climate, scenery, recreation and the revitalized downtown. “You’ll see runners, bikers, hikers and horseback riders along every road, taking in the views.”
PLANES, TRAINS AND AUTOMOBILES
Air passenger numbers continue to rise
It’s a familiar refrain, but one that’s music to the ears of people cheering Central Oregon’s economic growth. Continuing to exceed comparable 2007 figures, passenger boardings at Roberts Field in Redmond were tabulated at 21,328 in January, 20,509 in February and 21,777 in March. All are monthly records, surpassing the same months in 2007 by 17.4%, 24.1% and 14.8%, respectively. The first quarter total was 18.5% above 2007.
Terminal expansion contract awarded
Plans to increase the size of the passenger terminal at Roberts Field moved forward in March when Kirby Nagelhout Construction Co. of Bend was awarded a $39.79 million contract for the job. The terminal will grow to 136,000 square feet, nearly six times its present size. The project will extend through September 2009.
New radar tracks to ground level
Flights in and out of Central Oregon airports will be expedited by a new low-altitude radar beacon at Roberts Field. The $3.5 million system will give regional controllers at Seattle Center a picture of air traffic to ground level at Redmond and Bend, and nearly so at other airfields. Previously, radar signals from west of the Cascades were shadowed below 4,000 ft. This required planes to enter or leave the blind spot one at a time in bad weather. The new system also will allow controllers to see small aircraft.
Bend airport tower up for discussion
Increasing air traffic at Bend Municipal Airport is generating efforts to place a control tower at the busy general aviation facility. Cessna Aircraft Co., which plans to enlarge the former Columbia Aircraft Manufacturing Corp. plant purchased last December, has asked the city council to provide a tower by the end of 2009. That timeline is problematical, officials say, as the Federal Aviation Administration must approve a tower and the city will need to come up with an estimated $4 million to pay for it.
City seeking partners for 97/Cooley fix
The city of Bend will ask commercial property owners seeking to build in an area extending roughly from Cascade Village Shopping Center to Juniper Ridge to help fund improvements to the congested intersection of US Highway 97 and Cooley Rd. The Oregon Department of Transportation has nixed any further development in the area until the intersection is fixed, and the city has a $37 million plan to do so. Many details remain to be ironed out, and ODOT must bless whatever emerges from talks between the city and owners.
Bus levy may go before voters
It is likely that Bend area residents will find a measure on their November general election ballots asking for a $2.8 million levy to provide operating funds for a regional transit district to replace Bend Area Transit, now financed out of the city’s general fund. Proponents figure the large turnout expected for the presidential race will favor passage of the tax measure. Bus routes would be extended beyond the city limits, requiring Deschutes County commissioners to join the city council in approving the ballot proposal.
Highway 97 south to be widened
US Highway 97 will be four lanes wide between Redmond and Sunriver when a $31 million project, due to begin next summer, is completed in 2011. The roadway between Lava Butte and Sunriver will be widened to four lanes. Two wildlife underpasses described as “large culverts” are included in current plans.
TOURISM AND RECREATION
Tourism revenues continue to grow
Visitors to Central Oregon in 2007 spent an estimated $570.8 million, a bump of 5.2% over the $542.5 million calculated for 2006 by Dean Runyan Associates of Portland in a report to the Oregon Tourism Commission. The 2006 figure exceeded 2005 by 8.3%.
Mt. Bachelor invests in upgrades
Parent company Powdr Corp. will invest $3.4 million for improvements at Mt. Bachelor Ski Resort including a two-year preventative lift maintenance program aimed at avoiding routine breakdowns caused by equipment wear and tear. The expenditure also will pay for new equipment, improvements to the new park-and-ride lot in Bend, and a heated walkway at Sunrise Lodge. The resort will end its 2007-2008 season May 18.
Bend park projects under way
The Bend Metro Park and Recreation District is moving forward on three major projects:
• Three full-size soccer fields and two softball fields were restored to plans for the first phase of the 157-acre Pine Nursery Community Park in northeast Bend, with completion due in fall 2009.
• Plans for Riverbend Park, now an undeveloped 13-acre parcel on the Deschutes River adjoining the Old Mill District, are taking shape. It will provide large grassy areas suitable for public events such as those now held in Drake Park.
• Skanska USA has been awarded a $5.8 million contract to build a new administration building near the Columbia St. boundary of Riverbend Park. Both projects are due for completion in February 2009.
Athletic club adds court building
The Athletic Club of Bend is erecting a 13,450-sq ft steel building on its 18-acre campus to hold an NCAA regulation-sized basketball court and a half-court that can be fitted with a rubberized floor for children’s games. The existing basketball court will be converted into a weight room and other fitness facilities will be moved as space is reconfigured. Completion is due in the fall.
EDUCATION
Redmond measure goes to voters, Crook will wait
Redmond School District voters in May will be asked to approve a $110 million bond issue but a $66 million proposal in Crook County was postponed for reconsideration in 2009. The Redmond measure will finance a new high school, a replacement for Evergreen Elementary School, and $10 million in repairs and maintenance.
AROUND CENTRAL OREGON
REDMOND: Highway 97 re-route set to open
After playing tag with spring snowflakes, final paving began on the US Highway 97 re-route through Redmond in time for a scheduled opening of northbound lanes April 22. Southbound lanes were to open May 12. Work will continue along the route through the summer.
REDMOND: Civic center architects chosen
Redmond’s new civic center is moving toward reality. BBT Architects of Bend and Walker Macy, a Portland landscape architectural firm, were the recommended staff choices to design the new city hall and Centennial Park on both sides of Evergreen Ave. downtown. Eight companies bid for the architectural contract. The project is estimated to cost between $11.5 and $14 million and should be complete in 2010.
REDMOND: Developers gearing for growth
Two future housing developments in southwest Redmond have appeared on the radar. Forked Horn Butte will contain 129 homes in two phases. The Badger planned unit development will be a smaller mixed-use project. Both are on Helmholtz Way near the site of a proposed new high school.
REDMOND: More projects penciled in
On a more distant horizon: (1) Redmond Community Ventures LLC has indicated a desire to develop a large parcel outside the city limits, west of Helmholtz Way between Quartz and Wickiup Avenues. (2) Owners of the 553-acre former diatomaceous earth mine along Lower Bridge Way west of Terrebonne would like to develop the site into 10-acre residential lots, but face an uphill battle that involves land use issues, rezoning, toxic waste removal and dust mitigation.
LA PINE: Affordable housing project okayed
Pacific Crest Affordable Housing LLC has been named by Deschutes County to develop an age-restricted affordable housing project near the present senior center in La Pine. Estimated cost of the first 26 apartment units is $4.5 to $5.9 million, most of which will come from Oregon Housing and Community Services. A second apartment building with 28 to 30 units would follow in the future. Pacific Crest built Mountain Laurel Lodge and is building Discovery Park Lodge in Bend, also for residents 55 and older.
PRINEVILLE: Wind farm, biomass plant on drawing board
The Crook County court is considering a proposal that would turn the county into the state’s sixth rural renewable energy development zone and the first in Central Oregon. Wind, solar, biomass and other alternative energy producers could qualify for up to five years of property tax exemptions. Ochoco Power LLC hopes to build a $40 million biomass power plant in Prineville. California-based Pacific Wind Power is in the early stages of planning a $210 million wind energy project in the county north of Millican.
MADRAS: Affordable housing project targets farm workers
Due for completion in the fall of 2008, the 24-unit Canyon East apartment complex in Madras will provide subsidized housing for agricultural workers employed in the area. Funding comes from the US Department of Agriculture and Oregon Housing and Community Services. Housing Works, based in Redmond, will administer the facility.
MADRAS: Bank branch planned
South Valley Bank & Trust is expanding to Madras with a branch proposed for a portion of the Les Schwab Tire Center property at the north end of town. Site and design plans have been submitted to the city. Based in Klamath Falls, the bank has branches in Bend, Redmond and Prineville.
388 SW Bluff Dr., Bend, OR 97702
Tel. 541 383-4360
www.thegarnergroup.com
Compiled by The Garner Group Realtors & Development LLC
388 SW Bluff Drive, Bend, Oregon 97702 • Tel. 541 383-4360 • www.thegarnergroup.com
HOUSING TRENDS
‘Buy now or miss the boat,’ speaker recommends
Increasing population alone will erase the current oversupply of homes on the Bend real estate market in five months, appraiser Dana Bratton asserted at the annual Bend Chamber of Commerce Real Estate Forecast Breakfast in February. Tracing home inventory and price trends, the president of Bratton Appraisal Group said population growth will create demand for 100 to 160 new homes per month in Bend, while few building permits are being issued. “Strike now or miss the boat,” Bratton declared. Low mortgage interest rates, high inventory and price reductions make this a buyer’s market. Bratton bravely predicted the Central Oregon real estate market will turn upward on April 25.
Sandy Garner, president and CEO of The Garner Group Realtors & Development LLC, described changing trends in home buyer preferences that parallel age and demographic changes in the market. “Today’s buyers like working from home, health and fitness activities, tech toys, travel, entertaining and dining out,” she said. Neighborhoods should have a distinct brand with which residents can identify, she recommended. “Buyers want the neighborhood to reflect their self-image and provide a sense of belonging.” Home design preferences are shifting to clean, contemporary urban designs that admit a lot of light and connect indoor and outdoor living spaces.
Home sales pick up in March as median prices roll back
Spring is bringing some encouraging signs to the Central Oregon home market, which is poised to cycle upward after residential sales slowed sharply through the fall and winter. The Bratton Appraisal Group’s monthly report indicates a jump of 64% in Bend home sales in March over February. Wendy Adkisson, The Garner Group’s principal broker, told Bend’s daily newspaper late in March to expect Bend home prices to begin increasing in the next 12 months, well ahead of national market expectations.
Median home sale prices in the Bend area trended downward in the first quarter of 2008. Calculated at $306,500 by the Central Oregon Multiple Listing Service, this figure for homes on residential lots was 11.9% below the first quarter 2007 median and 11.2% below the full year median. It is higher than any other year’s median price except for 2006 and 2007. The pattern was similar elsewhere in Central Oregon, although at lower price points. Redmond’s first quarter median was $220,000, 14% below the first three months of 2007. Crook County reversed the trend, posting a record high median sales price of $214,000 for comparable homes, 8.1% above first quarter 2007.
LAND USE, GROWTH
City buys out Juniper Ridge Partners
City officials are taking a more measured approach to development of Juniper Ridge now that they have come to a separation agreement with Juniper Ridge Partners, the master developer. The sometimes-controversial 1,500-acre tract of city land at the northeast edge of Bend will follow a unified mixed-use master plan but segments are likely to be developed in stages as segments are put up for sale. The city will pay JRP $2.52 million for the project’s master plan and JRP will have first right of refusal to purchase 50 acres near the south entrance to the site. The Oregon Department of Transportation has red-flagged any development beyond the Les Schwab Tire Centers headquarters building now under construction until a plan is in place to rebuild the intersection of Cooley Rd. and US Highway 97.
UGB hearings to start in June
A new draft proposal extending Bend’s urban growth boundary is scheduled to appear June 9, about a year after the first draft created an eruption of controversy and a do-over by the city. The initial version placed virtually all new growth northeast of the city and included most of Juniper Ridge. Look for greater dispersal of growth areas around the perimeter, in part because the city is considering a major long-term sewer expansion program. The city’s UGB timeline calls for planning commission adoption this summer, city council adoption in the fall and state Land Conservation and Development Commission approval in December. Any appeals will delay final adoption further.
Central Oregon high on national growth lists
Deschutes County ranked fifth in the nation for rate of population growth over the seven years between the 2000 census and last July 1, according to US Census Bureau statistics released in March. County population increased by 33.5% in that period to 154,028, the bureau calculated. For one-year growth to July 1, 2007, the county ranked 17th in the nation at 3.3%.
BUSINESS, ECONOMY
Diversification brightens employment picture
Observers of the Central Oregon economy point to diversified employment sources and growth in the industrial sector as bright spots in the job picture. The region added 1,250 jobs in February compared with a year before, with healthy gains in professional and service sectors offsetting a decline in wood products manufacturing and construction jobs. Unemployment rates in February were above year-ago levels in all three counties (8.3% in Deschutes). Rates are expected to decrease throughout the spring and summer and bottom out for the year in September and October, according to the Oregon Employment Department.
Roger Lee, executive director of Economic Development for Central Oregon (EDCO), said 35 expansion projects among Central Oregon high-tech and manufacturing companies could create 1,531 new jobs and $127 million in investment within the next 12 to 18 months. EDCO is working on 23 recruitment projects that could bring another 5,400 jobs to the region, he said.
Private sector employment in Central Oregon is distributed across several major categories, unlike some resort communities that depend heavily on tourism. The top five in 2006 were (1) trade, transportation and utilities, $497.5 million; (2) education and health services, $351.9 million; (3) manufacturing, $326.3 million; (4) construction, $313.5 million; and (5) professional and business services, $243.4 million. The payroll for all levels of government was $427.5 million.
Growing solar company finds new home
PV Powered Inc. of Bend ended its search for larger quarters with the announcement that the solar power inverter manufacturer will occupy the former Oregon Woodworking mill site in northeast Bend. The nine-acre site provides room for expansion. The company employs about 60 people and may add up to 60 jobs by the end of 2008.
Geothermal project draws investors
Two investors will provide development capital for the Newberry Geothermal Project being undertaken south of Bend by Davenport Power LLC. They are US Renewables Group LLC and Riverstone Holdings LLC. Davenport Power holds a 20-year agreement with Pacific Gas & Electric Co. to provide 120 mW of electricity. The project is scheduled to come on line in phases between 2009 and 2011.
Orders push Cessna growth
Cessna Aircraft Co. plans to add some 130 people to its workforce in Bend by the end of 2008. The company currently employs 420 people, 300 of them in manufacturing. Brisk orders for the high-performance planes made here are driving plans to increase capacity.
Hotel project undergoes changes
The Village luxury hotel complex at the east edge of the Old Mill District is being trimmed back in size. Plans filed with the city have cut some of the restaurant and amenity space but developers are sticking with the concept of five buildings to be built in three phases. The $127 million project was to be a condominium hotel with spa, restaurant and retail space, but it now is shaping up as a conventional hotel.
RETAIL EXPANSION
Kohl’s may be coming to Bend
No one is talking, which is typical in such cases, but reports based on city records indicate a Kohl’s department store will be added to Bend River Promenade. Preliminary plans show a 69,000-sq ft building on a pad at the east side of the shopping mall. Construction could start this summer. Kohl’s would join Sears, Macy’s and TJ Maxx as anchor tenants.
Truck stops yield to new uses
SunWest Builders is going vertical on the old Jake’s Truck Stop corner in south Bend, where the Pioneer Crossing shopping center will be anchored by a 55,000-sq ft Gottschalk’s department store. But Jake’s isn’t the only former truck stop site getting a makeover in Bend. On the site of the former Northgate 76 Truck Stop and Tom Tom Diner, at the north end of town, the new Empire Car Wash will be joined by a South Valley Bank branch and a Sonic Drive-In. One parcel remains vacant.
Trader Joe’s a reality
To considerable fanfare, Trader Joe’s opened its 306th store March 28 in Bend. The specialty foods retailer is located in the Cascade Village Shopping Center.
DESTINATION RESORTS
Aspen Lakes seeks status change
Owners of Aspen Lakes are seeking a Deschutes County Code amendment that would allow the residential golf course development near Sisters to become a destination resort with more homes, overnight lodging and expansion of the golf course to 27 from 18 holes. It appears to be an uphill battle as county planners, several residents and the state Department of Land Conservation and Development oppose the move.
Thornburgh process inches along
Thornburgh Resort developers continue to pursue the approval process they hope will greenlight the 2,000-acre project west of Redmond. Deschutes County officials are working through a fixit list attached to the conceptual master plan by the state Court of Appeals and Land Use Board of Appeals. More hearings are certain as a final master plan evolves. A cadre of neighbors is attempting to block the resort, claiming adverse impact to wildlife, fish and waterways.
Sunriver town center project downsized
Redevelopment plans for the Sunriver Village Mall have been scaled back. While a majority of Sunriver Owners Assn. members voted to sell an adjacent 6.2 acres to mall owners SilverStar Destinations LLC, the required 60% margin was not achieved. Plans submitted to Deschutes County commissioners in April for the remaining 16.5 acres reduced the number of residential units to 375 from nearly 600. The retail/residential town center would replace a 30-year-old mall. A public hearing will take place April 30.
Metolius resorts litigated
Controversy over two proposed destination resorts in western Jefferson County has not abated. Opponents have asked the Oregon Court of Appeals to overturn a state Land Use Board of Appeals decision allowing the Metolius basin projects to proceed conditionally. Dutch Pacific Resources LLC proposes to rehabilitate 627 acres of logged-over timberland near Suttle Lake into The Metolian, an “eco-friendly” resort that would stress environmental values. Ponderosa Land and Cattle Co. has plans to develop part of its 10,000-acre holding near Camp Sherman into a residential, lodging and golf resort.
State eyes firmer control
The heavy hand of the state may alter the shape of future destination resort development in Central Oregon. Alarmed by the high concentration of current and proposed resorts in the region, the Department of Land Conservation and Development indicates it and other state agencies will recommend legislative changes to reduce the impact of destination resorts on natural resources, public services and farmland, and give the agency stronger authority to change state planning rules. Governor Ted Kulongoski asked agencies to review destination resort laws following the Metolius basin resort controversy spearheaded by high-profile state senators Ben Westlund (D-Tumalo) and Betsy Johnson (D-Scapoose).
Resort freeze on Crook ballot
Crook County voters will be asked to influence the future course of destination resort development in the county. An advisory measure placed on the May 6 primary ballot through the efforts of residents in the Powell Butte area asks the county court to freeze the number of resorts to the three already approved and under development—Brasada Ranch, Remington Ranch and Hidden Canyon. A fourth, Crossing Trails (initially named Seven Peaks), has not yet been approved. The final decision will be up to the county court.
MEDIA ATTENTION
Good business environment puts Bend on list
Bend is one of the 100 best places “that will feed your soul and nurture your business,” according to Fortune Small Business. Bend scored No. 87 on a list that included three other Oregon cities—Portland, 6th; Corvallis, 48th and Eugene, 96th. Cities on the list “combine a great business environment with alluring leisure opportunities,” declared staff writer Joanne Chen. Economic conditions, tax rates and startup activity also were factors.
Locals score in workplace satisfaction
Central Oregon employers were well represented on Oregon Business magazine’s 15th annual ranking of the 100 Best Companies to Work For in Oregon. Confidential employee surveys were used to compile standings on a range of topics. Here they are:
Among the top 50 large companies (250 or more employees):
Edge Wireless LLC, Bend, 2
David Evans & Associates, Portland (office in Bend), 13
T-Mobile, Redmond,14
R&H Construction, Portland (office in Bend), 20
AmeriTitle, Bend, 21
Les Schwab Tire Centers, Prineville, 23
Bend Metro Park and Recreation District, 35
Bank of the Cascades, Bend, 50
Among the top 50 small companies (less than 250 employees):
tbd Advertising, Bend, 12
‘Hot’ to retire? Come to Bend
Bend is on an unranked list of “hot retirement communities” showcased by Bankrate.com, an business and financial web site. Known for its easy access to adventurous outdoor activities, the Bend area “has a formidable set of local breweries and restaurants, as well as a very strong local arts culture of museums, galleries and theater companies.”
Cowboy up, Bend style
For celebrating the Western lifestyle, Bend was selected as one of the 20 Best Places to Live in the West by American Cowboy magazine. “Laid-back Bend is an ideal place to hang your hat,” the magazine noted, citing recreational opportunities such as fishing, skiing, hiking and rafting.
Kudos from Nashville
Bend turned up on Country Music Television’s web site with a glowing review as a vacation site “off the beaten path.” Blogger Deb Barnes writes under “CMT Lifestyles” about “a town that’s close to heaven” with favorable climate, scenery, recreation and the revitalized downtown. “You’ll see runners, bikers, hikers and horseback riders along every road, taking in the views.”
PLANES, TRAINS AND AUTOMOBILES
Air passenger numbers continue to rise
It’s a familiar refrain, but one that’s music to the ears of people cheering Central Oregon’s economic growth. Continuing to exceed comparable 2007 figures, passenger boardings at Roberts Field in Redmond were tabulated at 21,328 in January, 20,509 in February and 21,777 in March. All are monthly records, surpassing the same months in 2007 by 17.4%, 24.1% and 14.8%, respectively. The first quarter total was 18.5% above 2007.
Terminal expansion contract awarded
Plans to increase the size of the passenger terminal at Roberts Field moved forward in March when Kirby Nagelhout Construction Co. of Bend was awarded a $39.79 million contract for the job. The terminal will grow to 136,000 square feet, nearly six times its present size. The project will extend through September 2009.
New radar tracks to ground level
Flights in and out of Central Oregon airports will be expedited by a new low-altitude radar beacon at Roberts Field. The $3.5 million system will give regional controllers at Seattle Center a picture of air traffic to ground level at Redmond and Bend, and nearly so at other airfields. Previously, radar signals from west of the Cascades were shadowed below 4,000 ft. This required planes to enter or leave the blind spot one at a time in bad weather. The new system also will allow controllers to see small aircraft.
Bend airport tower up for discussion
Increasing air traffic at Bend Municipal Airport is generating efforts to place a control tower at the busy general aviation facility. Cessna Aircraft Co., which plans to enlarge the former Columbia Aircraft Manufacturing Corp. plant purchased last December, has asked the city council to provide a tower by the end of 2009. That timeline is problematical, officials say, as the Federal Aviation Administration must approve a tower and the city will need to come up with an estimated $4 million to pay for it.
City seeking partners for 97/Cooley fix
The city of Bend will ask commercial property owners seeking to build in an area extending roughly from Cascade Village Shopping Center to Juniper Ridge to help fund improvements to the congested intersection of US Highway 97 and Cooley Rd. The Oregon Department of Transportation has nixed any further development in the area until the intersection is fixed, and the city has a $37 million plan to do so. Many details remain to be ironed out, and ODOT must bless whatever emerges from talks between the city and owners.
Bus levy may go before voters
It is likely that Bend area residents will find a measure on their November general election ballots asking for a $2.8 million levy to provide operating funds for a regional transit district to replace Bend Area Transit, now financed out of the city’s general fund. Proponents figure the large turnout expected for the presidential race will favor passage of the tax measure. Bus routes would be extended beyond the city limits, requiring Deschutes County commissioners to join the city council in approving the ballot proposal.
Highway 97 south to be widened
US Highway 97 will be four lanes wide between Redmond and Sunriver when a $31 million project, due to begin next summer, is completed in 2011. The roadway between Lava Butte and Sunriver will be widened to four lanes. Two wildlife underpasses described as “large culverts” are included in current plans.
TOURISM AND RECREATION
Tourism revenues continue to grow
Visitors to Central Oregon in 2007 spent an estimated $570.8 million, a bump of 5.2% over the $542.5 million calculated for 2006 by Dean Runyan Associates of Portland in a report to the Oregon Tourism Commission. The 2006 figure exceeded 2005 by 8.3%.
Mt. Bachelor invests in upgrades
Parent company Powdr Corp. will invest $3.4 million for improvements at Mt. Bachelor Ski Resort including a two-year preventative lift maintenance program aimed at avoiding routine breakdowns caused by equipment wear and tear. The expenditure also will pay for new equipment, improvements to the new park-and-ride lot in Bend, and a heated walkway at Sunrise Lodge. The resort will end its 2007-2008 season May 18.
Bend park projects under way
The Bend Metro Park and Recreation District is moving forward on three major projects:
• Three full-size soccer fields and two softball fields were restored to plans for the first phase of the 157-acre Pine Nursery Community Park in northeast Bend, with completion due in fall 2009.
• Plans for Riverbend Park, now an undeveloped 13-acre parcel on the Deschutes River adjoining the Old Mill District, are taking shape. It will provide large grassy areas suitable for public events such as those now held in Drake Park.
• Skanska USA has been awarded a $5.8 million contract to build a new administration building near the Columbia St. boundary of Riverbend Park. Both projects are due for completion in February 2009.
Athletic club adds court building
The Athletic Club of Bend is erecting a 13,450-sq ft steel building on its 18-acre campus to hold an NCAA regulation-sized basketball court and a half-court that can be fitted with a rubberized floor for children’s games. The existing basketball court will be converted into a weight room and other fitness facilities will be moved as space is reconfigured. Completion is due in the fall.
EDUCATION
Redmond measure goes to voters, Crook will wait
Redmond School District voters in May will be asked to approve a $110 million bond issue but a $66 million proposal in Crook County was postponed for reconsideration in 2009. The Redmond measure will finance a new high school, a replacement for Evergreen Elementary School, and $10 million in repairs and maintenance.
AROUND CENTRAL OREGON
REDMOND: Highway 97 re-route set to open
After playing tag with spring snowflakes, final paving began on the US Highway 97 re-route through Redmond in time for a scheduled opening of northbound lanes April 22. Southbound lanes were to open May 12. Work will continue along the route through the summer.
REDMOND: Civic center architects chosen
Redmond’s new civic center is moving toward reality. BBT Architects of Bend and Walker Macy, a Portland landscape architectural firm, were the recommended staff choices to design the new city hall and Centennial Park on both sides of Evergreen Ave. downtown. Eight companies bid for the architectural contract. The project is estimated to cost between $11.5 and $14 million and should be complete in 2010.
REDMOND: Developers gearing for growth
Two future housing developments in southwest Redmond have appeared on the radar. Forked Horn Butte will contain 129 homes in two phases. The Badger planned unit development will be a smaller mixed-use project. Both are on Helmholtz Way near the site of a proposed new high school.
REDMOND: More projects penciled in
On a more distant horizon: (1) Redmond Community Ventures LLC has indicated a desire to develop a large parcel outside the city limits, west of Helmholtz Way between Quartz and Wickiup Avenues. (2) Owners of the 553-acre former diatomaceous earth mine along Lower Bridge Way west of Terrebonne would like to develop the site into 10-acre residential lots, but face an uphill battle that involves land use issues, rezoning, toxic waste removal and dust mitigation.
LA PINE: Affordable housing project okayed
Pacific Crest Affordable Housing LLC has been named by Deschutes County to develop an age-restricted affordable housing project near the present senior center in La Pine. Estimated cost of the first 26 apartment units is $4.5 to $5.9 million, most of which will come from Oregon Housing and Community Services. A second apartment building with 28 to 30 units would follow in the future. Pacific Crest built Mountain Laurel Lodge and is building Discovery Park Lodge in Bend, also for residents 55 and older.
PRINEVILLE: Wind farm, biomass plant on drawing board
The Crook County court is considering a proposal that would turn the county into the state’s sixth rural renewable energy development zone and the first in Central Oregon. Wind, solar, biomass and other alternative energy producers could qualify for up to five years of property tax exemptions. Ochoco Power LLC hopes to build a $40 million biomass power plant in Prineville. California-based Pacific Wind Power is in the early stages of planning a $210 million wind energy project in the county north of Millican.
MADRAS: Affordable housing project targets farm workers
Due for completion in the fall of 2008, the 24-unit Canyon East apartment complex in Madras will provide subsidized housing for agricultural workers employed in the area. Funding comes from the US Department of Agriculture and Oregon Housing and Community Services. Housing Works, based in Redmond, will administer the facility.
MADRAS: Bank branch planned
South Valley Bank & Trust is expanding to Madras with a branch proposed for a portion of the Les Schwab Tire Center property at the north end of town. Site and design plans have been submitted to the city. Based in Klamath Falls, the bank has branches in Bend, Redmond and Prineville.
388 SW Bluff Dr., Bend, OR 97702Tel. 541 383-4360
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