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Are You Customer or Product of Tech Giants? Manufactured Housing Connections and Implications

May 23rd, 2019 Comments off

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There is significant evidence of the monopolization of America.  Perhaps the best-known examples are the tech giants, many of which have come under fire from both sides of the left-right political divides here in the U.S.  The New York Times reported on Mar 20, 2019 “European authorities on Wednesday fined Google 1.5 billion euros,” equal at that time to some $1.7 billion U.S. dollars, for antitrust activity.

 

As CNN pointed out, that was the third in a series of billion-dollar penalties” for Google.

As MHProNews reported, a co-founder of Facebook, along with other former executives, have called for the breakup of Facebook. That report can be accessed below from the hot-linked text-image box.

 

 

Facebook CEO Sheryl Sandberg Discusses Antitrust Breaking Up, What Kevin Clayton, Joe Stegmayer, MHI Can Learn, plus Manufactured Home Market Updates

 

MHProNews has thus far been alone in industry trade media to report that Amazon and Berkshire Hathaway now have roughly a billion dollars in common interests.  Given that Amazon has moved into prefab housing, and Kevin Clayton led Clayton homes is likewise into conventional, prefab, and manufactured housing, it ought to be considered as a rumbling of a potential earthquake in manufactured housing.

 

Amazon-Berkshire Announcement – Emerging Factory-Building Elephant in the Room?

 

The list that follows includes some of the top billionaires in the world.  There have been times that #3 Warren Buffett, Chairman of Berkshire Hathaway, parent company to Clayton Homes and other manufactured housing brands, has reportedly been rivaled briefly by #4, Bernard Arnault, a Frenchman.

 

top10BillionairesinWorldVisualCapitalistManufacturedHousingMHProNews

 

When one grasps the concept of interlocking directorates, and then how nonprofits can be weaponized to expand that reach of these giants even further, the threat to independents in all segments of society – including manufactured home independents – grows.

InterlockingDirectoratesGraphicExampleManufacturedHousingIndustryDailyBusinessNewsMHProNews

It is with this backdrop, that Jeff Desjardins Visual Capitalist (VC) infographic comes into focus.

Here is how VC says the tech titans are earning their billions.

 

HowTechGiantsEarnTheirBillionsVisualCapitalistInfographicDailyBusinessNewsMHProNews

 

How the Tech Giants Make Their Billions

At a glance, it may seem like the world’s biggest technology companies have a lot in common.

But a closer look, says VC, suggests that there are two broad categories between these firms.  You are the customer, and you are the product.  Here is how they put it.

You are the Customer

In the broadest sense, three of the tech giants make money in the same way: you pay them money, and they give you a product or service.

Apple (Revenue in 2018: $265.6 billion)

  • Apple generates a staggering 62.8% of its revenue from the iPhone
  • The iPad and Mac are good for 7.1% and 9.6% of revenues, respectively
  • All other products and services – including Apple TV, Apple Watch, Beats products, Apple Pay, AppleCare, etc. – combine to just 20.6% of revenues

Amazon (Revenue in 2018: $232.9 billion)

  • Amazon gets the most from its online stores (52.8%) as well as third-party seller services (18.4%)
  • Amazon’s fastest-growing segment is offline sales in physical stores
  • Offline sales generate $17.2 billion in current revenue, growing 197% year-over-year
  • Amazon Web Services (AWS) is well-known for being Amazon’s most profitable segment, and it counts for 11.0% of revenue
  • Amazon’s “Other” segment is also rising fast – it mainly includes ad sales

Microsoft (Revenue in 2018: $110.4 billion)

  • Microsoft has the most diversified revenue of any of the tech giants
  • This is part of the reason it currently has the largest market capitalization ($901 billion) of the Big Five
  • Microsoft has eight different segments that generate ~5% or more of revenue
  • The biggest three are “Office products and cloud services” (25.7%), “Server products and cloud services” (23.7%), and Windows (17.7%)

The remaining tech giants charge you nothing as a consumer, so how are they worth so much?

 

You are the Product

Both Alphabet and Facebook also generate billions of dollars of revenue, but they make this money from advertising. Their platforms allow advertisers to target you at scale with incredible precision, which is why they dominate the online ad industry.

Here’s how their revenues break down:

Alphabet (Revenue in 2018: $136.8 billion)

  • Despite having a wider umbrella name, ad revenue (via Google, YouTube, Google Maps, Google Ads, etc.) still drives 85% of revenue for the company
  • Other Google products and services, like Google Play or the Google Pixel phone, help to generate 14.5% of total revenue
  • Other Bets count to 0.4% of revenue – these are Alphabet’s moonshot attempts to find the “next Google” for its shareholders

Facebook (Revenue in 2018: $55.8 billion)

  • Facebook generates almost all revenue (98.5%) from ads
  • Meanwhile, 1.5% comes from payments and other fees
  • Despite Facebook being a free service for users, the company generated more revenue per user than Netflix, which charges for its service
  • In 2018 Q4, for example, Facebook made $35 per user. Netflix made $30.

So while the tech giants may have many similarities, how they generate their billions can vary considerably.  Which is why MHProNews for some years has been spotlighting those professionals who are raising the warning about monopoly in general, often who specific several tech giants.

 

Some are marketing products to you, while others are marketing you as the product.  Odds are excellent that you are engaged using products or services from multiple – if not all – of these giant firms.

The solution? Understand the pattern, and fight back legally and ethically with whit and wisdom.

That’s tonight’s look at “News through the lens of manufactured homes, and factory-built housing” © where “We Provide, You Decide.” © ## (News, analysis, and commentary.)

 

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Senator Cory Booker – ‘We Need a President…to Enforce Antitrust Laws,’ Digging Warren, POTUS Trump

May 13th, 2019 Comments off

 

SenCoryBookerWeNeedAPresidentToEnforceAntiTrustLawsDiggingElizabethWarrenPOTUSTrumpManufacturedHousingMHProNews

Still frame from video, posted below. The text graphics are by MHProNews.

I don’t care if it’s Facebook, the pharma industry, even the agricultural industry. We’ve had a problem in America with corporate consolidation that is having really ill effects,” New Jersey Senator and 2020 Democratic Nomination contender Cory Booker said in an interview for ABC News “This Week.”

 

It’s driving out the independent family farmers. It’s driving up prescription drug costs. And in the realm of technology, we’re seeing…one or two companies controlling a significant amount of the online advertising.” he continued.  Booker’s comments come on the heels of Facebook’s co-founder and former chief executive Chris Hughes’ publicly calling for the breakup of Facebook, see that and other former FB insiders comments, linked here.

IfMHProNewsIswritingAboutItIWantToKnowAboutItQuote

Executive level readers comment.

Tens of thousands of manufactured home industry professionals use Facebook daily.  But the issue of controlling wide swaths of media, or other antitrust concerns that impact manufactured housing, are far broader.

It should be noted that Big Tech, including Facebook’s Mark Zuckerberg are more routinely saying to federal officials, ‘regulate us.’ But as deeply-focused, regular, and longtime MHProNews readers know, that call for ‘regulation’ can be akin to big banks getting ‘regulated’ by Dodd-Frank.  The consequences of Dodd-Frank and the regulations that flowed from it were that smaller lenders got driven out.

Rephrased, a giant firm can better handle regulations, which pushes out smaller ones.  Thus FB’s and Zuckerberg’s – or any other similar call for regulation vs. antitrust law breakup – can properly be seen as a ruse that simply won’t work in practice as it is being promoted.  It’s a false flag solution to a real and pressing issue of the growing monopolization of America.  It is possible to posture opposing a big company, but de facto take an action that helps it, rather than controls or breaks it up.

 

Booker on Antitrust, President Trump and Elizabeth Warren

If I’m president of the United States, I will have a Justice Department that uses antitrust legislation to do the proper investigations and to hold industries accountable for corporate consolidation,” Senator Booker said to ABC’s Jonathan Karl.

Booker said he believes in “process,” and in this ABC News video delivered a not too subtle elbow at both fellow Democratic contender, Senator Elizabeth Warren (MA-D) as well as GOP President Donald J. Trump.

In early March, fellow 2020 Democratic candidate Sen. Elizabeth Warren called for the breakup of Facebook, Amazon and Google. MHProNews and MHLivingNews have spotlighted Warren’s more aggressive posture on antitrust than some of her fellow Democrats.

As these companies have grown larger and more powerful, they have used their resources and control over the way we use the internet to squash small businesses and innovation, and substitute their own financial interests for the broader interests of the American people,” the Massachusetts Senator Elizabeth Warren wrote. “To restore the balance of power in our democracy, to promote competition and to ensure that the next generation of technology innovation is as vibrant as the last, it’s time to break up our biggest tech companies.”

The arguments being made by these and some other Democratic and GOP voices could be applied to Berkshire Hathaway, Clayton Homes, and their top manufactured home lenders.  It could be applied to Microsoft.  Thus an apt battle cry could be #DeFaangBM. Break up the FAANG companies, plus Berkshire and Microsoft.  These are important places to start the restoration of a more truly free marketplace in the U.S.

 

DeFaangBmAntiTrustOpenMarketsAffordableHousingManufacturedHomesHousingChoiceMHProNews

 

Booker said he doesn’t “think that a president should be running around, pointing at companies and…breaking them up without any kind of process here.”

It’s not me and my own personal opinion about going after folks. That sounds more like a Donald Trump thing to say, like, ‘I’m going to break up you guys, I’m gonna break’ — no.” He deflected the point that it was Senator Warren saying that, not President Trump. “Well, that’s what she’s saying. She’s the one that’s saying that,” ABC’s Karl said.

Booker deflected, saying it was up to Senator Warren to discuss her positions.

I’m telling you right now, we do not need a president that is going to use their own personal beliefs and tell you which companies we should break up,” he said. We need a president that’s going to enforce antitrust laws in this country, and I will be that person.”

 

 

Given the crowded nature of the 2020 field, with about 21 Democrats currently in contention, and Howard Schultz possibly moving towards an independent run, hopeful’s like Booker are looking for media oxygen as well as financial support to sustain their White House ambitions.

 

The Issue of Antitrust, America, and MHVille

Both sides of the major party political aisle have allowed antitrust laws to languish, certainly since the 1990s.  As it is becoming obvious to both the left and the right, there are increasing calls to act in a way that will benefit the economy, jobs, and ultimately the vast majority of the people. ICYMI, or need a refresher, a useful overview was provided in the article linked below.

New York Times-David Leonhardt-“The Monopolization of America,” Manufactured Housing Slant

 

President Trump’s White House let it be know that an executive order on antitrust was drafted last year. His campaign manager has also talked about the threat posed by big tech. See more on that, in the related reports, below the bylines, notices, and offers.

While POTUS Trump has not yet acted, in fairness, it was only recently that the Mueller report came out, which lifted the cloud of baseless ‘Russian collusion’ that acted as a drag on his presidency, especially during his first year in office. It now remains to be seen what he will do with the remaining two years of what he hopes will be his first of two terms at the helm in D.C.

Given the significant extent to which consolidation has been impacting manufactured housing independents and manufactured home community residents in recent years, the interest in this issue is and should be high among industry professionals.

See the related reports, which includes the ‘November Rain’ address by the Trump DOJ’s top antitrust watch dog, further below.

It is difficult to imagine how an investor or professional in manufactured housing can begin to properly grasp the market without having a firm handle on the trends toward monopolization.  That means one must also understand what are the root causes of that trend.  The related reports reveal that it is an issue that spans the left-right divide.  There is oddly no one else in manufactured housing trade media that focuses on this issue, perhaps because they are de facto mouthpieces for the Omaha-Knoxville-Arlington axis?

It’s “Monday, Monday.” Will it be good to thee?  That’s this pre-dawn edition of the #1 most-read “Industry News, Tips, and Views Pros Can Use,” © where “We Provide, You Decide.” © ## (News, analysis, and commentary.)

 

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SoheylaKovachDailyBusinessNewsMHProNewsMHLivingNewsSubmitted by Soheyla Kovach to the Daily Business News for MHProNews.com. Soheyla is a managing member of LifeStyle Factory Homes, LLC, the parent company to MHProNews, and MHLivingNews.com.

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Warren Buffett, Charlie Munger Video Interview at Berkshire Hathaway Annual Meeting on GSEs Lending for Affordable Manufactured Housing and Clayton Homes

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“Lead, Follow … Or Get Out of The Way”

 

 

 

 

 

 

 

White Paper on Digital Media, Details, Trends, Marketing Insights for Manufactured Housing

January 28th, 2019 Comments off

 

WhitPaperOnDigitalMediaDetailsTrendsMarketingInsightsForManufacturedHousingDailyBusinessNewsMHProNews

Let’s being with the top lines of this new research from Polar.

 

Executive Summary

Digital advertising is growing 15% Year-Over-Year (YoY), from $266b in 2018 to $465b by 2022 .

Digital will be 50% of all ad spend by 2022.”

So stated Polar in their new White Paper on Digital Media. What follows are likewise from their Q1 2019 brief and digital trends snapshot.

 

ExecutiveSummaryPolarWhitePaperMarketingDailyBuisnessNewsMHProNews

Digital marketing is obviously a large and growing trend in manufactured, modular and other forms of factory-built housing. Housing shoppers routinely use online searches as part of their housing hunt. Thus the relevance to manufactured housing is beyond doubt.

Some bullets from Polar’s Q1 2019 White Paper:

  • 63% of digital goes to the Duopoly, 12% is going to the Next 5.
  • Google is growing 20%, with $115 billion and 43% of the market.
  • Facebook is growing 33%, with $54 billion and 20% of the market.
  • Next 5 (Amazon, Microsoft, Oath, Twitter, Snap) have $29 billion, 12% of the market, 42% growth.
  • Rest of the digital market will decline 11% in 2019. Social leads the pack, growing from $185b today, 40% of the ad market by 2022 .
  • Video is $28b, growing 15% (in line with market) to $48b by 2022.
  • Search, Banner, and Classifieds all growing less than 10%.

 

ChangingTidesMediaBudgetsManufacturedHousingIndustryDailyBusinessNewsMHProNews

 

Insights, Analysis

The Daily Business News on MHProNews has noted since the launch of our publication the obvious need to have a good digital – online – presence.

 

DesktopIsNewPrintDigitalMediaByDeviceManufacturedHousingIndustryDailyBusinessNewsMHProNews

 

In more recent years, MHProNews spotlighted the challenges of the concentration of money and power in monopolistic moat builders.  We’ve specifically cited Facebook, Apple, Amazon, Netflix, Google (FAANG) -all digital platforms.  So the problem isn’t just Berkshire Hathaway – or BRK Chairman Warren Buffett’s close buddies at Microsoft – in terms of “strategic economic moats.”  That should not be construed to mean that only those firms should be considered as possible targets for antitrust – monopoly-busting – and other legal, legislative and/or regulatory actions.

 

PolarIncreseDecreasebyChannelDigitalMediaManufacturedHousingIndustryMHProNews

 

The power of Facebook and Google goes beyond marketing, into influencing millions of actual and prospective voters. See the related reports, further below.

Google and Amazon have entered into factory building, directly and/or indirectly.  There are so many subsidiaries to Facebook that they – along with some of these other giants conglomerates, may have more than a marketing or tech interest in factory-based home building.

PolarDigitalGiantsManufacturedHousingIndustryDailyBuisnessNewsMHProNews

As MHProNews led-the-way last year in reporting, the Trump Administration has already drafted an Executive Order for antitrust action.

Further, Democrats have made anti-monopolistic behavior part of their so-called ‘new deal’ platform.

So, while the data from Polar might accurately reflect the current digital status quo, it doesn’t take into account several issues relate to hot button issues that impact manufactured home connected business and organizations of all kinds.

BloombergPewResearch72PercentAmericans85PercentRepublicansThinkSocialMediaIntentionallyCensorPoliticalViewpointsObjectionableDailyBusinessNewsMHProNews

 

Among the concerns are how the search/social media/tech giants have been accused of manipulating search results for or against certain viewpoints.

 

 

One other takeaway from this report is that the digital giants are slowly squeezing mainstream media outlets for revenue.

It should be noted that MHProNews’ parent operation has more than one revenue source, thus ad revenues alone are technically not necessary to sustain our operation. That also give us the ability to investigate stories that toadies for the powers that be would never dare publish, regardless of the evidence.

Here is the download of the entire 31 page Polar white paper.  That’s “News through the lens of manufactured homes, and factory-built housing,” © where “We Provide, You Decide.” © ##  (News, analysis, and commentary.)

 

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SoheylaKovachDailyBusinessNewsMHProNewsMHLivingNewsSubmitted by Soheyla Kovach to the Daily Business News for MHProNews.com. Soheyla is a managing member of LifeStyle Factory Homes, LLC, the parent company to MHProNews, and MHLivingNews.com.

 

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The Top 10 American Corporations, Manufactured Homes, and PreFab Housing

December 4th, 2017 Comments off

TopTenMegaCorpsDailyBusinessNewsManufacturedHousingIndustryMHProNewsEvery professional adult interacts/or is impacted by every Top 10 U.S. based giant periodically.

But odds are excellent that manufactured housing operations, and interests like your business, are impacted daily – either directly, or indirectly – by the top 6 mega-corporations shown in the infographic below.

There are also many possible takeaways for the forward-thinking manufactured housing professional to be found in this Top 10 list.

3 Time Frames: Top 10 Corps. – 100 Years Ago, 50 Years Ago & Nov 2017

To reflect how rapidly change can occur, the market cap at the opening bell for Amazon today was $562.34B, per Nasdaq. That nearly $20 billion more than it was when this chart below was created.

But look back 100 years, to 1917.  Not one of those then-giant companies are in the top ten today.

From 1967 – 50 years ago, and within the lifetime of thousands in the manufactured housing industry today – once giant Kodak is no more.  The dominant retail player 5 decades ago was Sears, which has long since been supplanted, first by Walmart, and more recently, by Amazon.

HowMuchTop10CompaniesWorthToday50-100YearsAgoVisualCapitalistManufacturedHousingIndustryDailyBusinessNewsMHProNews

As MHProNews noted in a pre-dawn report this morning, the top 2 publicly-traded giants in manufactured housing in 2000 – plus Palm Harbor Homes, others – melted away, filed bankruptcy, reorganized, etc.  Today’s dominant players in manufactured housing look to be just as unstoppable as many believed the old-2000 era Fleetwood and Champion Homes were then.

MondayMorningSalesMeetingManufacturedHomeMarketingSalesCoachingDailyBuisnessNewsMHProNews

Today, the Fleetwood and Palm Harbor brands are subsidiaries of Cavco, and the Champion brand was reconstituted as a privately-owned firm.

Given the fact that manufactured housing’s #1 Clayton Homes and #2 Cavco Industries – per their own data – are growing at a slower pace than the industry at large, are there already possible warning signs that some in MHVille are overlooking? Are there vulnerabilities that these 2 largest HUD Code firms have that other competitors could exploit?

To answer that, what does this top 10 corporations chart tell you is the answer for such questions?

Impact of the “Tech Lords”

Apple and Microsoft are known by virtually everyone, and interacts/impacts with virtually daily.

Alphabet is “now the parent company of Google and several former Google subsidiaries,” says Wikipedia.  So, it’s used by – and their search results and ads impact – the manufactured housing industry in a big ways.

Google’s Going Modular Housing

Google and a former Amazon exec (see linked article below) are dabbling in prefab housing.

Inside MH – Not Every Democrat, Not Every Republican – Politically Incorrect, Factually Accurate

Will the tech giants dive into factory-built housing more deeply?  If so, shouldn’t we expect a big, disruptive market impact?

Microsoft may be diving into prefab homes soon too.

Bill Gates’ Subsidiary Belmont Plans Smart City of Future, What Role Will Factory Built Homes Play?

The same could happen with Facebook, which along side Google, are huge vehicles for marketing today.  Any chance these moves influenced Warren Buffett’s deeper buy into Apple, while selling off IBM?

Dive, Survive, or Thrive?

For mom-and-pop to even mid-sized manufactured housing operations to survive and thrive in this era of mega-corporations requires a strategy that based upon reality.  Wishful thinking and head-in-the-sand behavior simply won’t work.

ManufacturedHousingGoingVerticalReportDailyBusinessNewsMHProNews

If you are an independent, or provide products and services to independents, never forget this graphic below by the left-of-center media outlet, the Atlantic.

AmericasFastestDyingBusinessMobileHomesManufacturedHomesAtlanticIBISWorldDailyBusinessNewsResearchDataReportsMHProNews

IBISWorldAtlanticManufacturedHousingIndustryDailyBusinessNewsResearchReportsMHProNews

 

Political Impact of the Mega-Corps, Which Also Impacts the MH Industry

The political reality behind these top corporations are worth noting.

JP Morgan’s well-known leader is Jaime Dimon, a Democratic supporter who recently pushed the tax reform plan in a big, public way.

Why Democratic Leaning Jaime Dimon, of JP Morgan, Calls Americans to Support Tax Reform

Johnson and Johnson CEO, Alex Gorsky, has served as part of the Trump Administration’s American Manufacturing Council.

That said, the bulk of these giants tilt left.  Their leadership tends to favor Democratic candidates in their politics.

Warren Buffett has sizable stakes in Wells Fargo, and as previously reported, a growing stake in Apple.

All 6 of the top mega-corporations have a pro-Democratic tilt.

HillaryClintonWarrenBuffettCreditBostonGlobePostedManufacturedHousingIndustryResearchDataReportsDailyBusinessNewsMHProNews-com-

Never forget who Warren Buffett (right) supported, and that Hillary Clinton, left, was for higher taxes and strengthening the CFPB. Credit – Boston Globe.  More recently, Buffett on POTUS Trump, and politics is linked here.

So, when Democratic senators or congressional reps are trash-talking about ‘soaking the rich,’ are they really, truly going to go after those who are the core of their donor-base in recent election cycles?  Isn’t that ‘soak the rich’ just political spin, designed to make the masses feel good, while the truth is quite different?

Money, power, and politics have always mixed in America.

But as award-winning Marty Lavin has observed, pay more attention to what people do than what they say, and follow the money.

FollowTheMoneyPayMoreAttentionToWhatPeopleDoThanWhatTheySayMartyLavin6MillionYachtManufacturedHousingIndustryDailyBusinessNews600

Lavin is an MHI award-winner, and a success story in communities, retail, and finance.

When you follow that money, much of it leads back to these top 10 mega corporations, which touch our industry and consumers in a myriad of ways, day-by-day.

We Provide, You Decide.” © ## (News, fact checks, analysis, commentary.)

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Internet and Telephone Scamming on the Rise

November 21st, 2017 Comments off

ScamAlertSignsPixabayMHProNewsManufacturedHousingIndustryMHProNewsWhen even large companies like Yahoo, Equifax, Target, and a host of others have had serious security breaches, what can the small-to-mid-sized company or sole proprietor do?

There are common-sense steps everyone should take, such as making sure your virus protection is up to snuff.

Beyond that, there are suggestions on ways to avoid scam artists who may use the phone or web to scam a business. The holidays can be a particularly vulnerable time, as professionals are often distracted by personal as well as professional obligations.

PC Pit Stop provided MHProNews with this helpful list of tips.

Internet scamming is on the rise

  • Never disclose your checking account number or pay with Western Union/money order.
  • Never will PC Pitstop or Microsoft call you to tell you that your computer has a virus
  • Never pay for “Support” because a website told you that your computer is infected
  • Never give personal information over the phone unless you can verify the source
  • Never believe what an internet stranger tells you about your computer status
  • Never use support hotlines from search engines. They are rarely legitimate.
  • Never let an unsolicited party have access to your computer
  • Never obtain support phone numbers from paid ads on search engines (i.e. Google, Bing, Yahoo…).


A number kind of scam is when someone is trying to buy online.  The Denver 7 video above could prove useful.

Scam Alert! Professionals Warned

A pair of prior scams related concerns are noted above and below.

Possible Professional, Media Scam Alert, So-Called Manufactured Home Industry “Researchers”

We Provide, You Decide.” © ## (News, analysis, and commentary.)

(Image credits are as shown above, and when provided by third parties, are shared under fair use guidelines.)

SoheylaKovachManufacturedHomeLivingNewsManufacturedHousingIndustryDailyBusinessNewsMHProNews-Submitted by Soheyla Kovach to the Daily Business News for MHProNews.com.

$58,000 PreFabs, Videos, Updates of More Hi-Tech Backers

November 14th, 2017 Comments off

BlokableUpdateCurbedManufacturedHousingIndustryDailyBusinessNwesMHProNewsThis report should be viewed as a book-end to yesterday’s Daily Business News report that Microsoft founder, Bill Gates, is planning a ‘state of the art’ city of the future west of Phoenix, AZ.

It’s only been four months since the Daily Business News spotlighted, Blokable.

That firm also has a tech-connection behind the bold start-up.  Among the backers?  Ties to Microsoft, and Amazon.

Our previous report to Blokable, is linked below.

Blokable – Making “Housing As Easy as Ordering A Car”

The Amazon veteran executive has said there’s no way that the housing crisis can be solved by using current construction methods.

There’s no way the current way we’re building is going to solve the problem,” Aaron Holm said, per Curbed.  

Are industry professionals who read Holm’s comment going to dismiss the notion that Bill Gates is going to see conventional construction as the centerpiece for his planned City of the Future, Belmont?

Bill Gates’ Subsidiary Belmont Plans Smart City of Future, What Role Will Factory Built Homes Play?

Blokable, Refresher

The Blokable units are costly when calculated on a per-square foot basis, far higher than HUD Code manufactured homes.

The base-units are designed for workforce housing, the homeless, vets, and other ‘lower cost, higher density’ types of uses.

Holm said they have three project now underway.

The first MicroBloks, per Curbed, are scheduled for installation in January in:

  • Seattle, working with a firm called Compass Housing Alliance,
  • in East Palo Alto, CA with a non-profit named Soup, and
  • in the Vancouver area with the local housing authority.

These units will cost between $58,000 and $85,000, depending on the level of customization and furnishing,” crowed Curbed.

The units are…“18 to 34 feet in length, cost $150 to $350 per square foot,” says Curbed, which then misstates reality of this type of pre-fab – vs. others – by claiming that by “manufacturing [Blokables] in a central facility, both the design and building processes are cut in half.”  Clearly, they’re higher than many modular builders, and far higher than upscale manufactured homes too.

But when you watch this video presentation by Holms himself, below, notice that some of the facts cited by Curbed are stated differently by the former Amazon exec?  Note too the investor interest?  And the ‘shot’ taken at manufactured housing?


These Developing Stories Reflect the True State of Manufactured Housing, in Nov 2017…

Nature abhors a vacuum.

Yes, there’s tremendous opportunities and some are capitalizing on them, as yesterday’s 15 minute video seminar report – linked further below – reflected.

The Curbed story also underscores why even some housing focused media writers can get obvious facts wrong (i.e. $150 to $350 per sq foot isn’t half price of conventional SF housing costs, or other disconnects between what Curb reported and what Holm himself said on the video above).

There clearly are forward thinkers and doers in manufactured housing (see yesterday’s post on MH Best Practices, linked below).

But so long as the industry in general allows the drift of the image of manufactured housing to continue, the rise of ‘single wide’ and manufactured home alternatives are bound to continue.

Manufactured Housing Monday Morning Sales Meeting: Finance & Industry Facts, Figures, Sales Tip$ Improving Best Practice$

 

Clearly, there are serious efforts to improve the industry’s image at the local level.  More could join them, as was noted in the report above.  But until the relatively modest shipment levels the industry is currently in are lifted far higher, the industry is arguably operating in a vulnerable, endangered zone.

See yesterday’s manufactured home related, best practices report, above. We Provide, You Decide.” © ## (News, analysis, and commentary.)

(Image credits are as shown above, and when provided by third parties, are shared under fair use guidelines.)

SoheylaKovachManufacturedHomeLivingNewsManufacturedHousingIndustryDailyBusinessNewsMHProNews-Submitted by Soheyla Kovach to the Daily Business News for MHProNews.com.

 

Manufactured Home Community Bordering Google Transforming into Tech Town

August 19th, 2016 Comments off

Calif_Santiago_Villa_Mt_view__Google_wrapped_theringer_Alyssa_Bereznak__credit postedDailyBusinessNewsMHProNewsSantiago Villa manufactured home community was built in the 1960s as an affordable retirement community for those 55+ in Mountain View, Calif., long before the onset of Google, Microsoft and LinkedIn.

Now, however, since management has allowed families to move in, senior residents see their community colonized by corporate employees. Says Alexander Brown, a software engineer at Google and resident of Santiago for three years, “A lot of the residents blame Google for all the issues,” Brown, who has made an effort to get to know people, said. “They hate Google in the abstract, but they give residents the benefit of the doubt. At least, they have for me.”

In the Bay Area, where the asking price for a 70 year-old two bedroom cottage in Mountain View hit $1.1 million three years ago, with Google moving forward on an ambitious ten building development, the property’s management has made moves that older residents feel are designed to move them out of the 358-home site community.

As theringer tells MHProNews, community management sent letters to several community residents notifying them that if they did not make particular changes to their home exteriors within one week, they could face eviction. Alterations included painting the exterior of a home or resealing a driveway, demands that older residents might have trouble meeting within one week.

Furthermore, community management has raised the site rent prices for new residents, making it tough for homeowners to sell their homes, which lowers the value of their homes.

A local real estate agent said, “The really unique thing is they have one of the highest space rent increases ever. They went from $900 to $2,000 a month. That creates a certain disparity between the owner’s equity and the price.”

The higher rents have put off prospective buyers, resulting in many residents unable to sell their homes at their desired asking price, leading management to buy the homes at a discount and replacing them with new homes that are often rented out to groups of Google employees at a much higher rate. The new manufactured homes, according to Brown, are all identical, and all beige, reminding him of Malvina Reynolds’ song about little boxes made of ticky-tacky that all look just the same.

Santiago Villa general manager Maria Ahmad, who allegedly did not respond to a request for an interview for this article, had said earlier in the year funds from the increase in rents will be used to upgrade the community.

It is not unusual to find three employees of Google living in a two bedroom manufactured home, and one of the residents sleeping in the living room. Said a real estate agent, “It’s a midweek commuter home,. Instead of commuting every day to their job, they find a home they live in through the week. On the weekends they go home to their main home, their bigger home.” ##

(Photo credit: theringer/Alyssa Bereznak–Santiago Villa MHC, Mountain View, Calif.)

matthew-silver-daily-business-news-mhpronews-comArticle submitted by Matthew J Silver to Daily Business News-MHProNews.

 

 

Buffett Meets with President Obama on Keeping America Competitive

December 14th, 2010 Comments off

By Pete Souza (http://www.flickr.com/photos/whitehouse/4793199789) [Public domain], via Wikimedia Commons

Buffett meets with President Obama in July, 2010 By Pete Souza via Wikimedia Commons

If he wanted to, Warren Buffett could have brought manufactured housing issues into the White House today. While the specific topics of discussion weren’t available, Buffett was there with Microsoft co-founder Bill Gates to give President Obama ideas on how to keep America competitive. Buffett’s Berkshire Hathaway, of course, owns Clayton Homes. The meeting comes on the eve of the president’s summit with 20 other business leaders.