199 replies to this topic

[petro]

I actually think (MY opinion) that Folsom is doing better, economically, than other communities (like Elk Grove), house prices have kept a greater percentage of value than others in the area, so I feel the mall will continue and new tennants found, it may open later but my guess is that they will not suspend construction. As someone pointed out it costs too much to start and stop, but little to s-l-o-w down construction.

[mjayhawk28]

Yeah... but I should trust you... who heard from a friend.

I'll trust the city first.

Wouldn't be the first time people on this website spread false information about the Palladio.

I thought the city said they would not be slowing down. My friend at SD Deacon the contractor for the Palladio was let go last week. They let go of everyone involved with the Palladio but the top two Project Managers. So the info my friend gave me was a little bit incorrect but the word he got before he left was that it is getting cut back by 80%. So the movie theater and a couple restaurants are going to continue but most everything else is getting shut down at least for a while. But things are subject to change every day. But I have lost my inside source as he is no longer with Deacon. Tough times.

[4thgenFolsomite]

Russ Davies (with Elliott) was on the evening news last night saying that they were moving forward with construction, but not to the point of keeping full crews working nights and weekends. I forget the numbers, but he quoted something like "instead of having a crew of 230 working, we'll reduce it to 80, but we're not stopping construction." He said that, because of the lack of commited tenants, there was no rush to finish the place, so why spend extra money. My guess is they'll finish the buildings to the point of protecting them from the elements, then sit on them until they have tenants.

[PJF]

As much as it pains me to do so, I gotta side with Darth. It's pretty ignorant to blame Bush for the economy. The situation we're in now is the fault of:

1. Greedy and reckless lenders
2. Greedy and reckless home buyers

Darth is also correct in pointing out the mall has been on the docket for a long time and if it had been built in the halcyon days when shoe salesmen could buy mansions for no money down, then yes, it would be open already. Bush may be a lot of bad things, but responsible for the economic collapse is not one of them. That is the fault of too many people biting off far more than they could chew.

Finally reading some common sense!

[Ski Bum]

As much as it pains me to do so, I gotta side with Darth. It's pretty ignorant to blame Bush for the economy. The situation we're in now is the fault of:

1. Greedy and reckless lenders
2. Greedy and reckless home buyers

Darth is also correct in pointing out the mall has been on the docket for a long time and if it had been built in the halcyon days when shoe salesmen could buy mansions for no money down, then yes, it would be open already. Bush may be a lot of bad things, but responsible for the economic collapse is not one of them. That is the fault of too many people biting off far more than they could chew.

Agreed, but you need to add #3 Push from the Government (Congress, not Bush) to relax loan requirements and allow people to give "stated income" to qualify for loans they can't afford. More qualified buyers means higher housing prices to the tune of 10% appreciation a year! Everyone involved in the greedy real esate industry is to blame, but Fannie and Freddie mismanaged things and gave the banks a false sense of security.

[markm62]

Russ Davies (with Elliott) was on the evening news last night saying that they were moving forward with construction, but not to the point of keeping full crews working nights and weekends. I forget the numbers, but he quoted something like "instead of having a crew of 230 working, we'll reduce it to 80, but we're not stopping construction." He said that, because of the lack of commited tenants, there was no rush to finish the place, so why spend extra money. My guess is they'll finish the buildings to the point of protecting them from the elements, then sit on them until they have tenants.

I've been following these posts with some interest. Guys at the job site probably aren't the best source of information as they may be receiving b.s. from their 'higher-ups.' Here is what I'm reading:

http://www.sacbee.co...ry/1575537.html

http://www.bizjourna.../02/daily7.html

It seems that:

A. The project doesn't seem likely to be 'shut down' in the near term. Two crews instead of six are working right now (while everybody hopes for a miraculous economic turnaround).

B. General Growth is not going belly-up this month. After March 15.... who knows?

I think the theater and the restaurants (Ruth's Chris, P.F. Chang, CPK and maybe Devon's) will be finished over the next couple of years. I think the rest of the first phase buildings will be finished as to their exteriors, but perhaps without full tenancy for a while.

msm

[a little bean]

The scoop that I just got, was that it's not the developer that wants to slow construction, it's that many of the retailers want to have a November opening instead in order to have the Christmas boost. My source also said that they hadn't heard of almost any of the retailers pulling out, it was just that they wanted to delay opening.

[4thgenFolsomite]

The scoop that I just got, was that it's not the developer that wants to slow construction, it's that many of the retailers want to have a November opening instead in order to have the Christmas boost. My source also said that they hadn't heard of almost any of the retailers pulling out, it was just that they wanted to delay opening.

well, that should be encouraging. If that many retailers believe 2009 will end well, then there may be hope after all!

[ngilbert]

I guess this could be it's own thread, but I'm putting this here since, as I understand it, the proposed Kaiser complex is *next to* the Palladio Mall, so maybe fits in with the whole "delays at Palladio" discussion. It looks like it's being delayed 8-10 years.

http://www.sacbee.co...ry/1650455.html

"Coming off a dismal 2008, Oakland-based Kaiser Permanente is initiating a series of cost-cutting measures, including a years-long delay in building a much-anticipated hospital in Folsom.

Kaiser said completion of the 450,000-square-foot, 224- bed Folsom Medical Center at Palladio Parkway at Iron Point Road has been set back from its original projected completion date of 2015."

[Darthvader]

I guess this could be it's own thread, but I'm putting this here since, as I understand it, the proposed Kaiser complex is *next to* the Palladio Mall, so maybe fits in with the whole "delays at Palladio" discussion. It looks like it's being delayed 8-10 years.

http://www.sacbee.co...ry/1650455.html

"Coming off a dismal 2008, Oakland-based Kaiser Permanente is initiating a series of cost-cutting measures, including a years-long delay in building a much-anticipated hospital in Folsom.

Kaiser said completion of the 450,000-square-foot, 224- bed Folsom Medical Center at Palladio Parkway at Iron Point Road has been set back from its original projected completion date of 2015."

They never should have started the project to begin with. I think it was fairly obvious that the economy was in a huge downturn at the time they started raising the walls at that place. Now it will be an eye sore for more than 6 years?!?1

[mylo]

They never should have started the project to begin with. I think it was fairly obvious that the economy was in a huge downturn at the time they started raising the walls at that place. Now it will be an eye sore for more than 6 years?!?1

Healthcare is booming!

http://www.bizjourna...14/focus10.html

[4thgenFolsomite]

Healthcare is booming!

http://www.bizjourna...14/focus10.html

not according to that Bee article: "Earlier this month, Kaiser Foundation Health Plan Inc., Kaiser Foundation Hospitals and their subsidiaries reported a net loss of $794 million for 2008, compared with net income of $2.2 billion in 2007. Last year, the massive health care system had a loss of $996 million in the fourth quarter alone."

[mylo]

Yeah, but that's because Kaiser sucks.

[4thgenFolsomite]

Yeah, but that's because Kaiser sucks.

what health care organization doesn't though?

[mylo]

what health care organization doesn't though?

Tell me about it...