Wednesday, November 19, 2008

Can Small-town Charm Be Built From Scratch?

September 6, 2008
ST. PAUL PIONEER PRESS
BY BOB SHAW

Judy Tschumper is chasing a dream.

'It's all right here!' she shouted, over the happy racket of a small-town street party in Lakeville on a hot August night.

Around her was a nostalgic vision of Elvis music, flowerpots, dancing children and food stands -- a throwback to what Lakeville and America used to be. As an old man did the twist beside her, she reveled in the restoration of the everyone-knows-you small-town way of life.

Indeed, that is what most of Minnesota yearns for -- even when it doesn't make sense.

The small towns of yesteryear are gone, yet they grip the imaginations of Minnesotans. From Hudson to St. Paul to Edina, cities fret about losing their small-town charm. Arguments rage and millions of dollars are spent in efforts to preserve or build it.

The rise of the automobile unraveled small towns. When customers could drive to bigger stores, they traded their small-town loyalty for convenience and lower prices.

Meanwhile, air-conditioning and TV kept people indoors. Yards and houses became immense. Neighbors became strangers.

Today, small towns -- like small family farms -- have lost their economic reason for being. Yet Archer said they persist, often with government subsidies.

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Is the time right for Centerville to head in the same direction?

US Home Construction Sinks to New Record Low


Construction of homes falls to lowest on records dating to 1959 as builders cut back.


Construction of new homes plunged last month to the lowest level on records going back nearly 50 years as U.S. builders slashed production while Wall Street nosedived.

Embattled homebuilders, who enjoyed a five-year boom, are now building new homes and apartments at a record-low pace, according to government data released Wednesday. New building permits, a barometer of future activity, also plummeted to the lowest pace on record.

The results were the lowest on government records dating back to January 1959. Previously, the slowest pace had been in January 1991, when the country was in recession and going through a similar housing correction. Analysts surveyed by Thomson Reuters had expected construction to fall even further to a rate of 780,000 units

Wachovia Corp. economist Adam York forecasts that construction will fall to around 650,000 units by next summer. While that's going to be painful for the nation's homebuilders, it will help stabilize the overall U.S. housing market, he said.

"The broader housing market needs fewer homes," York said in an interview. "We built too many homes in the United States and building less is one way to work off the excess inventory."

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Yet our Merry Band of Leaders have vowed to carry on with the Centerville downtown redevelopment...

Photo above is another vacancy in Circle Pines owned by the Beard Group.