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Strategies & Market Trends : 2026 TeoTwawKi ... 2032 Darkest Interregnum
GLD 382.95-0.8%4:00 PM EST
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To: TobagoJack who wrote (58767)12/13/2009 5:18:27 AM
From: energyplay  Read Replies (3) of 217749
 
There is a difference between Detroit and Sunnyvale -

All the Detroit buildings were occupied at one time, and then the industries left.

Sunnyvale hit near 100% occupancy in 1999 (the dot com boom).

Building continued at an accelerating pace, and many of the of them have never been occupied - but the building continues.

A little like the empty town that China built, but this was built in an existing area.

One problem is there is not enough housing space for enough people to fill all the office space. There isn't enough commute capacity either. Almost every community has some degree of growth restrictions too.

****

So we have a permanent and growing excess capacity of office and light industrial space.

Silicon Valley was known to be overbuilt for office space in 2003 and onwards.

Also, the weather in Sunnyvale has better than Detroit.
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