REDNews July/August 2012 : Page 9

Outlook Texas Land Markets Recap excerpts from the 22nd Annual Outlook for Texas Land Market held April 19-20, 2012. Full article at www.REDNews.com/News Th e “Aggie” Land conference held at the San Antonio Omni Colonnade proved once again to off er outstanding and varied opinions of speakers and panelists with topics ranging from national and state economic issues, legal and water rights issues, energy issues, the current condition of the Texas Land market and National agricultural policies being infl uenced by Texas. • Th e Eagle Ford Shale play in 2012 is expected to pump more than the $14 billion it did in 2011 into South Texas in comparison with the Toyota plant which is projected to bring in about $2.5 billion. Th e Barnett Shale play in the Midland/Odessa area brought about $20 billion into Texas in 2011. Texas Rural Land Value Trends • Overall, Texas land markets inched up 3% in 2011 to $2,150 per acre from $2091 per acre in 2010 but volume continued a 3 year downward trend with 926,101 acres sold in 2011 and 1,045,408 acres sold in 2010, severely lacking the 45 year average of 1,691,987 acres per year. In comparison, the 2005 market boasted sales of more than 3,000,000 acres. • Th roughout the state, investors and farmers continue to seek irrigated crop land but demand for recreational land is lacking, causing mixed results at the local level • In 2012, demand for crop land will continue as landowners of new-found wealth with oil and gas interests are expected to (possibly) begin to look at recreational land opportunities • Texas has not recovered from the severe drought of last year and that, combined with the National and European debt crisis, and unrest in the Middle East will continue to challenge the Texas Land Markets throughout 2012, although sales volume is expected to increase slightly. Th e mood of the conference speakers and attendees seemed to be somewhat uncertain because of US and European debt problems, unrest in the Middle East and the deadlocked political environment our county is displaying. But generally, most people were optimistic that 2012 will be a year of transition as we learn to live with this new reality of uncertainty. South Texas CRE, Inc. specializes in Real Estate Wealth Maximization through Innovative Tax Planning for Commercial Real Estate. Suzanne Scott, CCIM, the owner, has been serving commercial investors, users and tenants since 1984. She can be reached at 830-358-3935, Suzanne@SuzanneScott.com or you can visit her website at www.SouthTexasCRE.com Suzanne Scott Contributing Writer South Texas CRE, Inc. San Antonio Economic Trends: Th e Good • Unemployment is down and credit is coming back to cars and credit cards • Manufacturing is rebounding and corporate profi ts are rocketing • Farm land and apartment prices are up • Th e Banking system in Texas is healthy and an extra $3 billion has gone into the state’s coff ers because of oil and gas activity • Job growth will be positive but slow and interest rates will remain low • Texas March 2012 sales tax was up over 16.9% over March 2011 • Texas has recovered 100% of the jobs lost in the fi nancial crisis while the nation has only recovered 39% 180 Acres Ranch Land | FOR SALE Pattison, Texas | Road frontage on FM 359, Clapp Road and Royal Road • Sandy loam soil • Excellent drainage • Oak and Bois D’arc trees • Great site for subdivision, polo fi elds or ranch • Brokers Protected Jim Buller | 281.375.6541 | thesosranch@aol.com 9

Jim Buller

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