"Can new construction pay for itself?" Does new construction pay for itself? What is the economic impact of residential development in the Brazos Valley? These questions have come up over and over again in recent months.
Yesterday, the Bryan College Station Chamber of Commerce hosted a luncheon featuring guest speaker 
Dr. Elliot F. Eisenberg, Ph.D, Senior Economist of the National Association of Home Builders. He was presenting his findings of a study on the impact of residential construction in the Bryan College Station area.
Due to space limitations, attendance had to be capped at 400 people. (To put it in perspective, about 120 attendees is reportedly the average attendance for the Chamber luncheons.) People were interested in hearing what this economist had to say.
Dr. Eisenberg, wearing a pinstriped sheer sucker suit with a green bow tie, this geeky looking economist quickly surprised the crowd in two ways.
As a speaker, he was FUNNY and engaging.....I left feeling like that my $10 ticket was best $10 that I've spent in years. As he was teaching us the underlying concepts of how his study was done, he left us all laughing and laughing. The people that organized the event had no clue that he was such a talented entertainer. He is an economist after all.
To quickly summarize the findings of his study. Yes, new residential construction in the Bryan College Station area pays for itself. In TWO years!!! That is better than the national average. That statement factors in the fact that new homes require new infrastructure- fire, police, roads, utilities, education etc.
The study showed that within the first 10 years, the 952 new homes that have already been built in the area will increase local income by $442 million and local tax revenue by $123 million. Those homes will have created 3,622 temporary jobs and 839 permanent ones.
It was also emphasized that more money that we spend locally, the better it is for our economy.
To see the report comparing the costs to revenues for local governments: http://www.bcsbuilders.org/associations/1024/files/BCS%20Net%20Benefits%20Study%20final.pdf
To see the power point slides from his presentation - which are dry.....you had to be there in person to get to witness the humor,
http://www.bcsbuilders.org/associations/1024/files/Bryan-CollegeStationTX08Slides.ppt
Here is a BIG THANK YOU to the B/CS Chamber of Commerce and all of the sponsors for hosting this educational and entertaining luncheon.
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Hi Sondra, no orphan posts LOL!! You'll never forget that one from me! : ) I think most would think an economist talking would be a dry subject but 400 attendees. They must have announced some pretty good refreshments. I do think new construction has that ripple effect. You pointed out the many areas. I liked the gentleman's bow tie. You don't see that anymore. Maybe I should try one on in my next profile photo. I sure would stand out. Or maybe wait till I get to age 60 and won't care what anyone thinks anymore.... Thanks for the writeup, keep them coming.