25 Reasons Why Detroit Is On The Verge Of An Epic Comeback!

Detroit just became the largest American city ever to file for bankruptcy.
The city is staring down a $20 billion unfunded liability vortex.
Meanwhile, crime, unemployment and broken infrastructure remain endemic.
But we're banking on the city getting its act together — and it's not just because things can't get any worse.
We've put together 25 signs Detroit is on the mend.
Here's the summary:
In several major economic indicators, Detroit's rate of improvement has matched or exceeded the national average.
Former Mayor Kwame Kilpatrick aside, the city enjoys strong leadership.
The auto industry is booming.
Its sports teams remain hugely successful.
It's also becoming an increasingly popular center, for a new wave of entrepreneurs.
Hear us out.

Let's start with the obvious: cars.

The auto industry is leading the entire nation in the recovery: manufacturers sold more than 14 million vehicles in the United States last year, up 13% from 2011, according to UPI's Al Swanson. Credit Suisse said vehicle purchases accounted for around 30% of domestic economic growth during the first six months of last year, Swanson reported.

Here are GM's recent and projected revenues — up every year since 2010...

And Ford's, on pace to break $140 billion next year.

The rebound is so robust that Chinese automakers and parts suppliers are setting up shop in the city.

The country's largest automaker, Shanghai Automotive Industries, opened up offices there last year.

Besides the big automakers, Detroit remains home to a dozen additional Fortune 500 companies.

Lear, BorgWarner and Con-way are all based in the area.

Lots of local data has been at or exceeded national averages: home prices — up 19% YOY in March...

And housing starts — which have seen gains 11 of the past 13 quarters.

Payrolls have not seen a negative month since April 2010...

Especially in manufacturing — growth in which has outpaced the national average every month since March 2010.

And local household finances have improved in 11 of the past 13 quarters.

As measured by the CredAbility Consumer Financial distress level.

Meanwhile, the city saw a 68% increase in hotel night stays from 2011-2012.

It went to 183K in 2012 from 109K in 2011,, and is on pace to exceed 200,000 in 2013.

The metro area boasts five of Brand Innovators' 25 startups to watch in 2013.

Including 5-hour energy, which is based in suburban Farmington Hills.

The city has smart, powerful leaders on its side.

Gov. Rick Snyder, whose Twitter handle is @onetoughnerd, is a CPA who served as an executive at Gateway for most of his career. He's made turning Detroit around the state's top priority.

The guy Snyder appointed as the city's emergency financial manager helped rescue Chrysler.

Kevyn Orr was instrumental in pulling the automaker back from the brink.

And its native sons and daughters refuse to let it die.

Quicken Loans CEO Dan Gilbert has reportedly spent at least $1 billion buying up distressed properties.

Jack White just paid $142,000 to save an iconic Masonic temple from foreclosure.

He tried to remain anonymous but they've ended up renaming it after him.

Among the companies moving employees back to inner-city Detroit are Gilbert's Quicken Loans...

Blue Cross-Blue Shield...

And the architecture firm that's behind many sports complexes around the country.

Rossetti designed New York's Red Bull Arena.

Speaking of sports: Detroit is home of the 2012 AL Pennant winners, the Tigers.

They were led by the first Triple Crown winner in 45 years, Miguel Cabrera.

Detroit was recently named the greatest sports city of all time by Sporting News readers.

Four world series, 11 AL pennants, 11 Stanley Cups, 3 NBA Championships, and the town that produced Joe Louis? Makes sense.

Meanwhile, crime in Detroit is actually waning.

In 2003, there were more than 18,000 incidents of violent crime reported. A decade later, there are just 15,000.

And a Whole Foods just opened a location there.

No one is saying things are perfect. But just a few years ago, you'd have been hard-pressed to find cranes going up there.

Bonus: THEY'RE REBOOTING ROBOCOP.

It's gonna star Samuel L. Jackson, Gary Oldman and Michael Keaton.

Source: http://www.businessinsider.com/
Picture: http://www.businessinsider.com/

S&P/CASE-SHILLER HOME PRICE INDICE!

Forward from S&P

Home Prices Rise in March

According to the S&P/Case-Shiller Home Price Indices

 

New York, May 27, 2014 – Data through March 2014, released today by S&P Dow Jones Indices for its S&P/Case-Shiller1 Home Price Indices, the leading measure of U.S. home prices, show the 10-City and 20-City Composite Indices gained 0.8% and 0.9% month-over-month. In the first quarter of 2014, the National Index gained 0.2%. Nineteen of the 20 cities showed positive returns in March – New York was the only city to decline. Dallas and Denver reached new index peaks.

In March, the National and Composite Indices saw their annual rates of gain slow significantly. Chicago showed its highest year-over-year return of 11.5% since December 1988. Las Vegas and San Francisco, the cities with the highest returns, saw their rates of gain slow to approximately 21%; their post-crisis peak returns were 29.2% and 25.7%. At the lower end was Cleveland with a gain of 3.9% in the 12 months ending March 2014.

The chart above depicts the annual returns of the U.S. National, the 10-City Composite and the 20-City Composite Home Price Indices. The S&P/Case-Shiller U.S. National Home Price Index, which covers all nine U.S. census divisions, recorded a 10.3% gain in the first quarter of 2014 over the first quarter of 2013. The 10- and 20-City Composites posted year-over-year increases of 12.6% and 12.4% in March 2014.

“The year-over-year changes suggest that prices are rising more slowly,” says David M. Blitzer, Chairman of the Index Committee at S&P Dow Jones Indices. “Annual price increases for the two Composites have slowed in the last four months and 13 cities saw annual price changes moderate in March. The National Index also showed decelerating gains in the last quarter. Among those markets seeing substantial slowdowns in price gains were some of the leading boom-bust markets including Las Vegas, Los Angeles, Phoenix, San Francisco and Tampa.

“Despite signs of decelerating prices, all cities were higher than a year ago and all but New York were higher in March than in February. However, only Denver and Dallas have set new post-crisis highs and they experienced relatively lower peak levels than other cities. Four locations are fairly close to their previous highs: Boston (8%), Charlotte (9%), Portland (13%) and San Francisco (15%).

“Housing indicators remain mixed. April housing starts recovered the drop in March but virtually all the gain was in apartment construction, not single family homes. New home sales also rebounded from recent weakness but remain soft. Mortgage rates are near a seven month low but recent comments from the Fed point to bank lending standards as a problem. Other comments include arguments that student loan debt is preventing many potential first time buyers from entering the housing market.”

The chart above shows the index levels for the U.S. National Home Price Index, as well as its annual returns. As of the first quarter of 2014, average home prices across the United States are back to their levels posted in the spring of 2004. At the end of the first quarter of 2014, the National Index was up 0.2% over the fourth quarter of 2013 and 10.3% above the first quarter of 2013.

The chart above shows the index levels for the 10-City and 20-City Composite Indices. As of March 2014, average home prices across the United States are back to their mid-2004 levels. Measured from their June/July 2006 peaks, the peak-to-current decline for both Composites is approximately 19-20%. The recovery from the March 2012 lows is 24% for the 10-City and 20-City Composites.

New York was the only city to decline in the month of March. San Francisco posted the biggest gain of 2.4% with Seattle following at +1.9%. All 20 cities improved in March as compared to their February returns. Cleveland improved the most; it went from a decline of 1.6% in February to a gain of 1.5% in March. Cleveland and San Francisco posted their biggest returns since last June.

All 20 cities continued to record positive year-over-year returns. Thirteen of the 20 MSAs showed lower annual increases in March. Tampa showed the most deceleration – the city posted +13.4% year-over-year in February and +10.7% in March. Las Vegas and San Francisco, the only two cities to post annual gains of over 20%, also saw their rates decelerate; they gained 21.2% and 20.9%, respectively. The only six cities to show higher year-over-year returns in March were Chicago, Cleveland, Detroit, Miami, Minneapolis and New York.

Effective with this month’s release, two series of technical adjustments to the S&P/Case-Shiller Home Price Indices were implemented. Weights used to calculate the 10-City and 20-City Composite Indices were updated to reflect the latest available data from the American Community Survey sample published by the U.S. Census Bureau. Also, the data sources underlying the indices have been aligned with data sources used by CoreLogic, Inc., the index calculator. To prevent any break in the index series, divisors will be used in the index calculation.

More than 27 years of history for these data series are available, and can be accessed in full by going to www.homeprice.spdji.com. Additional content on the housing market may also found on S&P Dow Jones Indices' housing blog: www.housingviews.com.

The table below summarizes the results for March 2014. The S&P/Case-Shiller Home Price Indices are revised for the 24 prior months, based on the receipt of additional source data.