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Show 1 v. CC1-338-2- . ES HARRIOT LIBRARY SERIALS CR3LR DIV U THE WTIONAL OF J SLC v- - eiiiz UT ' C t N'i. Business news and commentary Volume 6 Number 40 Wednesday, April 6, 1977 50 cents Utah Edition Housing industry will continue robust recovery This year will be a good year for the housing industry, according to a favorable forecast made by economists from the Bureau of Business and Economic Research (UBER), last week at the Home Intermountain Builders Conference. Utah can expect a three to five percent increase in Calls to halt growth anticipated sentiments Changing towards the current rate of development in southeast Salt Lake County may put a damper on developers plans for that part of the valley. According to Ken Jones, assistant county planning director, a public hearing on April 19 will discuss the Little Cottonwood Development Plan and its impact on future growth and land use planning. The district plan is intended to project population trends and recommend procedures to accommodate the expected growth, Jones explained. Based on their opposition to current development, Jones said he foresees residents asking for limits on growth. The district plan has been used by county planners as a basis for its recommendations to the planning and zoning commission. The area plan is bounded by 6400 South on the north, 12300 South State on the (See page 6) NO-GROWT- H, the inventory of residential housing in 1977, said econo- mist, James A. Wood. The increase reflects 18,000 to 20,000 additional units on the market, Wood said. He noted multi-famil- y units would represent about 33 percent of the total or about 6,000 apartment or multiple family dwellings. Wood outlined two inin differences teresting Utahs home industry trends compared to national averages. Utahs upturn of the housing cycle tends to be longer with higher highs than .national averages. Downturns appear to be less severe and for a shorter he explained. duration, And according to Wood, the trends mean good news for the industry as a whole. More Stable Economy The housing cycle in Utah is smoother than the national average, which means a more stable market and economy, he said. The median price per house in Utah is a bargain, he added. Along the Wasatch Front, a new home will average 1400 square feet and w ill cost about $40,800. The national average weighs in at $47,200 with 1600 square feet. Wood pointed out a strong demand in Utah for single family dwellings and based on current population and migration predictions, the trend will continue. The absorption rate is high. If ten homes were built in the price would ten of the range, eight be sold during the construc-(Se- e ECONOMISTS, page 14) $25-45,0- 00 by Mary McMillan Gaber Sheraton Forced Change architect, who looked like an unlikely developer two months ago, has unveiled a group of investors that reads like a Who's Who of Salt Lake City. Dee Wilson, the architect who submitted a proposal two months ago to develop property being sold by Salt Lake City, has revealed that Wally Wright and I.J. Wagner, original developers of Trolley Square and prominent property owmers in downtown Salt Lake City, together with Roy Simmons, president of Zions First National Bank; Harold Steele, president of First Security Bank and Louis Callister, Salt Lake attorney and owner of downtwon property, have formed a new corporation (D & M Associates) to fund Wilsons proposed development. Wilson is president of the new corporation. D & M, along with Drs. Keith Lignell and Burton Todd, met with city commissioners last week to explain the proposals each submitted Feb. 11. At the meeting, D & M offered $3.18 million for the 223,000 square feet of land, located along the wrest side of the block bordered by West Temple, 2nd South, Main Street and 3rd South. The men offered to pay $250,000 down and $11,000 a month, under the condition the commissioners would agree to issue an industrial revenue bond to finance an 887 car parking structure. Substantially unchaged from his original proposal, Wilsons plan called for a multi-lev939,000 square-foo- t hotel, retail, theatre, office, parking complex, with bridges and walkways connecting to Main Street. A soft-spok- At the same meeting, two dentists, en Keith Lignell and Burton Todd unveiled drawings of a proposed development substantially different from that they submitted Ron Molen, architect, tw'o months ago. explained the recent announcement of the planned Sheraton Hotel downtown forced the group to modify its original plan to build a large hotel, saying a hotel has become a high-ris- k investment, and investors would have to pay a premium for hotel financing. Molcns most recent proposal called for a three-stor- y complex of shops, offices and He entertainment and parking space. emphasized the structure would not be a a day. mall, and would be open We wanted to develop a place with character, create pedestrian streets. (See PROMINENT, page 6) 24-hou- rs el KCC chief urges political offensive Business would do well to come out of its comatose state, organize and teach the world a little economic truth, instead of delegating this responsibility to the prejudiced. That was the message delivered by Robert N. Pratt, general manager of Kenne-co- tt Copper Corp., Utah Division, to a noon Rotary Gub meeting last week. As a group we fail to provide the initiatives or alternatives to political ideas. We are always reacting to what someone else is proposing, Pratt stressed. Its the other fellow whos doing the initiating the unions, the environmentalists, the politicians and egalitarians, he said. Active involvement was the answer Pratt suggested to Business can no longer blubber for mercy. We must be heard. his fellow businesspeople. have a product that has earned the right to be sup- - ported. ism, 33 It is called capital-W- e the manager stated, Pratt told his audience legislators and regulators are legislating and regulating and the businesspeople economy into economic disaster. He added business had created its own problems by furnishing the ammunition utilized by others to foster legislation to regulate them. Almost every business must be concerned with the (See KCC CHIEF, page 5) I |