Thank you for your interest in Clovis West.
Clovis West was purchased by Clovis West LLC in September of 2010. At the time of acquisition the park was, for lack of a better word a disaster. The park was owned by out of state owners that had not been to Clovis for several years. Management had been done park by several people, non of which seemed to have the know how or resources to do an effective job.
When Clovis West LLC purchased the park there were approximately 28 park owned homes on the property 24 of which were at least thirty years old and completely uninhabitable. The homes were missing doors, windows, appliances, flooring, you name it.
There was a three bedroom house on the property that was in such bad shape that it was also uninhabitable.
After acquisition, I personally spent the next seven months on the property with a crew doing rehabilitation. This consisted of removing all the uninhabitable mobile homes, completely remodeling the three bedroom house and replacing any and all appliances that needed replacing for the apartment tenants.
Clovis West was purchased strictly because of the location of the park being adjacent to Cannon Air Force Base and the strong economic fundamentals of the City of Clovis and Curry County in general.
Being next to Cannon AFB brings with it a large population of potential tenants. Cannon was actually slated for closure in 2005 but do to political pressure it was kept open and given a new mission. In 2006 it became the home of the 16th Special Operations Wing. Among other tasks the 16th wing is charged with flying many Predator Drones in Pakistan and Afghanistan. Cannon currently has 44 aircraft and that number is expected to jump to 90 within the next few years. The number of personal is currently 4,500 and is also expected to rise to 6,000 by 2016. All of this according to Wesley Norris, commander of the 27th Special Operations Maintenance Group at Cannon AFB. See attached.
In the past twenty years, the Dairy industry has seen explosive growth in the Clovis area. It is estimated by the new Mexico State University College of Agriculture that the direct and non direct economic impact of the dairy industry in Curry County is over five hundred million dollars and accounts for over 3000 jobs in the area. The amount of dairy cows has quadrupled since 1990.
Southwest Cheese Company opened in 2006. At the time of opening it was expected to have about a 1.2 billion dollar impact on the economy, including employing over 300 people, and having sales of over 300 million. At capacity Southwest Cheese can process over 3.8 billion pounds of milk each year.
BNSF railway is also a major employer in Clovis. Unfortunately I am unable to find any statistics on the actual number of employees in Clovis. However, being owned by Berkshire Hathaway, BNSF is arguably a very financially stable company. From what I can tell, about forty to fifty trains pass through Clovis on a daily basis.
Beauty Health and Science innovations announced plans to open up a manufacturing facility in Clovis aided by a 3 million dollar interest free loan from the City of Clovis. The company plans to be open by April of 2012.
In the United States there are three major electrical grids, the Midwest, Texas, and Western Grid, non of which are interconnected. Tres Amigas LLC has leased over 18,000 acres from the state of New Mexico in order to build a state of the art facility in Clovis, which will for the first time in our history connect these three large power grids. This connectivity will enable surplus power to be transferred anywhere in the country it is needed.
Tres Amigas is expected to break ground in 2012 and will employ up to 800 workers during the construction phase then have a sustainable workforce of around one hundred after work is completed in approximately 3 years. Tres Amigas will also spawn the viability of generating wind based power along the Texas New Mexico border. Prior to Tres Amigas, it didn't makes sense to generate power in areas with limited population. With Tres Amigas in operation this locally generated power can now be transferred and sold to any willing buyer in the United States. Scandia Wind Southwest, LLC, a Texas based wind farm developer has already made headway into developing a windfarm along the Texas side of the border. Scandia has plans to invest 20 billion dollars installing wind turbines over 700,000 acres.
The September 2011 unemployment numbers for Curry County are 4.4 percent. This is the sixth lowest out of New Mexico's thirty counties. Four out of those six are in the same geographic area as Curry County. Compare this with a state average of 6.4% and a current national average of 9.1%.
So far I have given you many facts and figures to support the increased economic activity and jobs market in Clovis and Curry County. Now I would like to offer some personal observations.
The service businesses in the area are extremely busy. Ie.. plumbers, electricians etc.. Many time when I call I am told that they are too busy and they either refer me to another provider or schedule me a few days out. I even know of one 30 year old electrician that employees six other electricians and an answering service to handle his calls.
Lease space in the desirable part of town is almost non existent. As you have noticed during this current recession there are no shortages of commercial lease space. Clovis seems to have bucked this trend.
Recent influx of immigrant workers. Immigrant workers in this country are semi transient. They tend to rent as opposed to own, this makes it easy for them to move where the jobs are. Clovis has had a tremendous amount of immigrant worker influx in the past couple of years. I know because I can speak Spanish and I talk to them. For the most part they have arrived within the past couple of years, plan on working for awhile then eventually return to their home country.
There has also been an influx of non immigrant US citizens who have arrived because of the desirable job market. A recent search of the New Mexico Workforce Solutions website lists over 500 available jobs in Clovis alone. See attached
As you have already seen in a previous graph that I have provided, the income of Clovis West was $2,600 in September of 2010, by September of 2011 income had swelled to over $9,100, a three hundred and fifty percent increase. The fundamentals of housing demands are strong and are continuing to strengthen.
In summary, if you are looking for a stable income producing property with a great upside potential and on site management already in place, seriously consider Clovis West.
Feel free to contact me at any time.
Best Regards,
Rob Swan
Clovis West LLC
575-770-2958