It's not all doom and gloom, good things are happening in Michigan


Tired of the gloom and doom about Michigan? Maybe it's time to cheer up. There have been plenty of positive developments reported in The Oakland Press in the last 10 days.

Yes, they may be dwarfed by the thousands of auto-related layoffs in the past year. But for the most part, it won't be the large employers of yesteryear bringing the state back. It will be smaller companies, and Michigan's recovery will occur one job at a time.

Consider these encouraging signs:

Netlink Software Group plans to triple in size this year to serve new clients.

Dilip Dubey, Netlink founder and chief executive officer, said his information technology firm doubled in size during 2006 and now expects to triple in size again this year as it adds 300 new employees while shifting operations from Southfield to Madison Heights.

Netlink recently signed new contracts for its distributed team technology with two companies based in Denver, Dubey added.

"We're experiencing very, very significant growth," said Dubey, who said the company's technology is geared toward mid-market companies looking for a way to both save time and trim costs with the software applications.

Dubey told The Oakland Press he nearly moved Netlink and 70 employees to Denver.

"We were very, very close to moving to Denver," he said.

However, the Michigan Economic Development Corp. persuaded him to stay in Oakland County by offering incentives and helping with the expansion.

Kostal North America, a subsidiary of automotive supplier Kostal Group of Germany, will create 203 new jobs with its latest expansion, which will require a move from its present quarters in Novi to a new site in Troy.

Walter Maisel, president and chief executive officer of Kostal North America, said the new site will become one of the Kostal Group centers of excellence. The Kostal Group also operates similar centers in Europe and Asia.

The company's new tech center will occupy a building at Stephenson Highway and 14 Mile Road alongside the I-75 freeway in buildings once used by now-bankrupt Collins & Aikman.

Fifth Third Bank announced it would invest $100 million in southeast Michigan over three years, open up to 40 banking centers and create up to 350 jobs.

The announcement follows Comerica Inc.'s recent announcement that it will move its corporate headquarters and 200 jobs from Detroit to Dallas.

"Obviously, an initiative like this has been in the works for some time," said Fifth Third spokesman Jack Riley. "But it is nice to give the region some good news."

No kidding!

And the granddaddy of them all, a $600 million medical project by McLaren Health Care Corp., including a hospital, is possible in Independence Township - bringing with it up to 4,000 new jobs. The Independence Township board of trustees could give final approval in late March. Then construction can begin, possibly in June.

Although many are in need and out of work, there is still a tremendous amount of wealth in Oakland County. The entrepreneurial spirit is alive and well.

Opportunity may be harder to find, but the success stories should encourage us all.

Click here for the editorial in The Oakland Press
http://www.theoaklandpress.com/stories/032207/opi_2007032241.shtml





Note: Meijer’s plans to bring 3000 or so more jobs to Michigan as well. More good news!

Legislation easing the tax burden that comes with the uncapping of
> >property taxes upon sale, otherwise known as the "pop-up," has been on
> >the fast track in the Michigan Legislature this week. House Bills 4440,
> >and 4441, introduced by Representative Meisner, create an 18-month
> >window in which buyers can lock into the seller's current tax bill
> >without realizing the "pop up," a move that can provide significant tax
> >savings for buyers. Earlier today, House Bill 4440 passed out of the
> >House Commerce Committee. House Bill 4441 is expected to be taken up
> >tomorrow in the House Tax Policy committee.
> >
> >
> >
> >This week, Speaker Andy Dillon, along with the House Democratic Majority
> >Caucus, unveiled their intentions of creating legislation to promote
> >home sales in Michigan. Dubbed the "Homeowner Protection and Stimulus
> >Plan," these bills represent their vision for improving Michigan's
> >economy and its housing market. House Bill 4440 gives a boost to the
> >housing industry by providing property tax relief along with stimulating
> >the economy. The bill provides an 18-month moratorium on sales of
> >principal residences, effective retroactively from March 1st, 2007 to
> >September 1st, 2008. This legislation aims to generate sales in the
> >depressed housing market, equating to greater revenue and better
> >economic activity for the state. The proponents believe that further
> >economic stimulus can be found in the incidental costs associated with
> >purchasing a home. Items and services such as landscaping, home
> >furnishings and minor cosmetic fixes boost local businesses and
> >ultimately lend to state revenues.
> >
> >
> >
> > House Bill 4441 is introduced as a gesture to municipalities to ease
> >the projected loss of revenue during the 18 month period. This bill
> >increases the real estate transfer tax by .1%, bringing the state rate
> >from .75% to .85% only for the18 month period. A portion of the .1% is
> >dedicated specifically to public safety (i.e. police, fire, and first
> >responders). The Michigan Association of REALTORS(r) has a
> >long-standing opposition to the transfer tax, and any increases in the
> >transfer tax, however the MAR Public Policy committee feels this is a
> >fair trade off for the 18 month moratorium that still provides
> >significant tax savings for prospective homebuyers in Michigan.
> >
> >
> >
> >The MAR Public Policy committee remains concerned about the cliff at the
> >end of the 18 month suspension. We are working closely with legislative
> >leadership in both the House and the Senate on a long term "pop up"
> >relief plan, in the form of the community ratio multiplier, to ease the
> >prospective drop off in activity at the end of the 18 months.
> >
> >Please note that the 18-month moratorium is retroactive back to March
> >1st of this year. Those of you working with buyers and sellers, please
> >be advised of the retroactivity and that the bills mere introduction
> >should not shift the market, nor sway their decisions at this time. MAR
> >staff is working with leadership in both the House and Senate for the
> >fastest resolution possible to avoid any potential chilling effects this
> >may have.
> >
> >
> >
> >We will continue to update you with any news or progress.

I am always looking for better ways to serve my customers and their Real Estate needs. I would love to hear your comments on what I can do better.