Gilroy Business Focus by Weeklys

JULY 27, 2018

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ASHINGTON — President Trump, responding to companies’ struggles with a shortage of skilled workers that has left more than six million jobs unfilled nationwide, signed an executive order July 19, geared at better aligning government training programs with Gilroy Life - www.gilroylife.com the demands of industry.

The order creates a Council for the American Worker, led by the secretaries of commerce and labor, that will focus on consolidating the Fridayfederal evening kick off celebration existing programs and and a Passport Booklet is $60. funding new job training initiatives, Make Yourconcentration Wedding Dreams with a special Come True! on expanding apprenticeship Gilroy is aand great place to say, “I Do” programs retraining older and at the Ever After Dream Wedding workers without college degrees. Expo, you’ll find plenty of inspiration to make your celebration truly special. If you or someone you know is getting married soon, be sure to save the date for the “Ever After” Gilroy Dream Wedding Expo April 22 at Gilroy Gardens. This very special event will feature a wide range of exhibitors plus music, craft demonstrations, tastings, contest giveaways, and a fashion show. Brides will be admitted free, and guests will pay a discounted rate to access the Wedding Expo and Gilroy Gardens. For more information visit www.gilroyweddingexpo.com.

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As part of the effort, companies and trade unions have committed to funding nearly four million slots for apprenticeships, retraining and continuing education programs over the next five years. Job training has emerged as one of the few coordinated policy initiatives generated in the West Wing with broad appeal across income and party lines. In part, that is because many labor and corporate leaders are struggling to expand their work force, and several top White House officials, including Kevin Hassett, the chairman of Mr. Trump’s Council of Economic Advisers, have made the issue a top priority.

Historically, as real estate is absorbed in areas to the north, south county and Gilroy eventually see the effects. Gilroy’s combined vacancy rate for the same types of space is currently at 2.4%, with little availability in the warehouse and industrial categories. Gilroy has a

Looking Ahead new members at their July breakfast. Pictured The Chamber welcomed Stay tuned for more information from left to right are: Kari Lacey with Josephine’s Bakery and Café; Anna about thesewith upcoming Lorenzana 7 Zen events: Hair Studio; Mark Vivian with Vivian Investment • Gilroy Will Gardens Day Lynch, and Eric Howard, Gilroy Chamber Partners; Lara Opening with Merrill (March 18) Business Relationship Manager. • Poppy Jasper International Film Festival (April 5-8) • Downtown Gilroy Art & Wine Stroll (April 7)

MEMBERS RENEWALS Jane Howard is the executive director of The GilroyWelcome ChamberCenter. of Commerce the Gilroy Contact her at appreciates the support of our (408) 842- 6436 or at info@gilroywelcommembers. ecenter.org.Investment dollars are dedicated to vital programs such as economic development, scholarships, business marketing, leadership programs We indicators the GEDCand usesmore. for internal applaud each of you for helping tracking and in our business attraction make Gilroy a better and retention efforts.place to live and work. According to the California Em-

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Glen Loma Group

ployment Development Department, the unemployment rate in Gilroy is currently 3.4 percent (Dec. 2017). This is the lowest rate Gilroy has seen in the past 10 years. At the height of the recession in 2010, our unemployment rate exceeded 16 percent. The vacancy rate for industrial properties has also reached an all-time low at 1.5 percent. In fact, as the economy continues to drive business expansions and relocations we have very little existing space to attract new business. We continue to represent sites for industrial development, however, that supply is also diminishing. And our median household income has continued to climb and now exceeds $84,000. Tammy Brownlow is the president of the GEDC. For more information or assistance for your business, contact 408) 847-7611 or email president@gilroyedc.org.

Temporary or long-term, Express has skilled workers ready to fit your business needs. Positions include: • Administrative • Clerical • Warehouse • Shipping Contact us and see how Express can help.

(408) 778-0729

18640 Sutter Blvd. Ste 400, Morgan Hill

t is not uncommon for companies considering a business location to view site selection as solely a function of real estate. Everyone has heard the adage “location, location, location”. While other factors typically weigh more heavily in the decision process (labor, transportation, incentives, taxes, etc.), the importance of real estate has become a more critical component when choosing a location, particularly in the current economic climate. Within our region, a glut of properties became available as businesses closed or consolidated during the economic recession. In 2011, Silicon Valley had a combined vacancy rate for R&D, industrial and warehouse of 14.7%. In the first quarter of 2018, combined vacancy has dropped to 7.4%.

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total built inventory of nearly six million square feet of warehouse, industrial and R&D space. As expected, lack of availability has led to increases in lease rates. The lack of existing facilities to market to prospective new businesses limits our ability to grow the Gilroy economy. Gilroy has a limited number of key opportunity sites for future development. With that in mind, the Gilroy Economic Development Corporation (GEDC) is working with an outside consultant to complete an analysis of these sites that will include an evaluation of any obstacles for development. The city council has identified economic development as a high priority. The creation of jobs that pay livable wages and revenue generating opportunities for the city are the goals of the GEDC and city council members. For more information on this topic or help in locating a suitable property for new or growing businesses, contact the GEDC at (408) 847-7611 or email president@gilroyedc.org

David Ferry Photography

is Just …

By Glen Thrush, New York Times

in Gilroy This Month

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Real Estate Drives Location Decisions

Amid Worker Shortage, President Trump Signs Job Training Order W

GILROY DISPATCH GILROY CHAMBER BUSINESS FOCUS

20 YEARS & OVER Articulate Solutions Gregg Giusiana Rancho de Solis Winery 10 YEARS & OVER First Street Coffee House Garlic City Café Jimmy Shrull Roofing Kent Construction Bruce Sarhaddi, DDS South County Democratic Club