Napa Valley

Premiere Napa Valley Raises $3.9 Million

“Bids at Premiere Napa Valley this Saturday raised more than $3.9 million, according to a press release from the Napa Valley Vintners (NVV).

The group holds the annual event in support of their work to “promote, protect and enhance the Napa Valley,” according to NVV.

This year’s auction featured 201 lots, bidding on which lasted almost four hours. The night’s highest bid was placed on a five-case (60 bottle) lot of 2018 Cabernet Sauvignon from Rudd Estate, a whopping $2,000 per bottle. The bid, from Swedish buyer Gregor Greber, was said to be a tribute to Leslie Rudd, a storied vintner and entrepreneur for whom Rudd Estate was a central focus of his sprawling portfolio of investments in Napa Valley. Rudd died in the spring of 2018.

A 20-case (240 bottle) lot of red wine from Darioush received the second-highest bid of the night at $115,000. Also notable was a five-case lot of Cabernet Sauvignon from Shafer Vineyards, which, at $85,000, was seen as a tribute to John Shafer, a philanthropist, vintner and a central figure of Napa’s wine industry who died last March at the age of 94.

Premiere Napa Valley in past years has raised as much as $6 million through the course of a single auction, as it did in 2015, when it set its fundraising record. The invitation-only event regularly draws prestigious winemakers, wine critics and wine buyers, some of whom come from overseas to attend.”

Sarah Klearman, Napa Valley Register

“For more information about the release of Premiere Napa Valley 2020 wines and to view and download images visit premierenapavalley.com. Highlights from the week can be found on social media with the hashtag #PNV20.

About the Napa Valley Vintners

The Napa Valley Vintners nonprofit trade association has been cultivating excellence since 1944 by inspiring its 550 members to consistently produce wines of the highest quality, to provide environmental leadership and to care for the extraordinary place they call home. Learn more at napavintners.com

Contact: Tia Butts, Media Contractor - 707.260.5620, tbutts@napavintners.com

$100 Million in U.S. Tax Credits to go Toward Housing in Wildfire Areas, Including Napa

“Under pressure from fire survivors and elected officials, California Treasurer Fiona Ma said Friday that $100 million in new federal tax credits will be used as intended to pay for housing projects in 13 counties — including Napa County — that suffered devastation during wildfires in 2017 and 2018.

Sonoma County business and elected leaders had expressed concerns last month that the tax credits might be diverted for homeless housing developments, after a state committee overseen by Ma released planned guidelines for the use of the funding. They insisted the tax credits should be used for housing in fire-affected areas including the North Bay in 2017.

“We want to make it crystal clear that these tax credits are going to help counties that have been devastated by disasters,” Ma said in a prepared statement. “I salute the resilience, dedication, and creativity of these communities and I’m glad we can help them rebuild.”

Ma is chairwoman of the California Tax Credit Allocation Committee, which awards and distributes the federal tax credits. She said in Friday’s statement she is revising the committee’s regulations to give communities in 13 counties torched by infernos until the end of 2021 to seek credits for housing projects. The counties are: Butte, Lake, Los Angeles, Mendocino, Napa, Nevada, Orange, San Diego, Santa Barbara, Shasta, Sonoma, Ventura and Yuba.

Last year, Rep. Mike Thompson, D- Napa, wrote federal legislation directing additional tax credits for the 13 fire- ravaged counties statewide.

After the state treasurer’s office had released proposed guidelines for allocating the additional federal low-income housing tax credits, Thompson expressed his concerns in a Jan. 22 letter to Ma.

Late last month, Sonoma County Supervisor Lynda Hopkins said that, while she understands the urgent need for homeless housing, these federal tax credits should be used only for wildfire disaster recovery. The county lost 5,300 homes in the Tubbs inferno in October 2017 and continues to rebuild.

Federal low-income housing tax credits are the single most important tool used to finance and build affordable housing, said Larry Florin, executive director of nonprofit Burbank Housing based in Santa Rosa.

Developers like Burbank who receive such tax credits can sell the credits to investors such as banks. In this case, the purchased credit can be used as a tax break over 10 years.

“So the $100 million in tax credits becomes $1 billion over that period,” Florin said last month.

Florin and other Sonoma County leaders said previously if the state officials allocate the tax credits according to the damage caused by recent wildfires, North Bay and Northern California counties would end up getting about 30% of the tax credits.

State Sen. Mike McGuire, D-Healdsburg, commended Ma for her clarification Friday on the use of the federal funds.

“This $100 million in tax credits will be a huge shot in the arm for the rebuilding of our communities and desperately needed affordable housing,” McGuire said.”

By: Bill Swindell The Press Democrat

A Lineup of Napa Wine Country Controversies are Coming Back for Hearings

“Several Napa County wine country growth controversies are getting second lives, starting with the recently approved Hard Six Cellars winery along Diamond Mountain Road near Calistoga.

The county Planning Commission heard these cases and rendered decisions. Opponents to the outcomes have filed appeals with the Board of Supervisors.

Hard Six Cellars is an example of a proposed winery that some rural neighbors say is too ambitious for a remote, mountainous location. The Board of Supervisors is to hear the appeal at 9:30 am. Tuesday at the county administration building, 1195 Third St. in Napa.

The Planning Commission approved the winery in October. Appellants Martin Checov and Timothy Bause in the appeal say the project “must now be sent back to the drawing board.”

Among other things, they claim Diamond Mountain Road – “a dilapidated mountain road that is frequently strewn with forest debris” – is unsuitable for the amount of car, bus and truck trips to be generated by the winery. They note that Diamond Mountain is considered by Cal Fire to be at high risk for wildfires.

A county report responds that the Planning Commission didn’t ignore Diamond Mountain conditions. Commissioners considered the opinions of licensed traffic professional and fire officials.

County staff recommends denial of the appeal, which would result in approval of the winery. The Board of Supervisors will make the call.

Meanwhile, other appeals loom. They include:

Bremer Family Winery – This is only the latest controversy involving the Bremer winery near Deer Park in the mountains northeast of St. Helena.

The county sued the winery in 2017 over numerous alleged code violations. A 2019 settlement among other things directed the Bremers to try to legalize footbridges and other structures along a stream – some built prior to their ownership – before the Planning Commission.

In October, the Planning Commission approved the structures within a stream setback by a 3-2 vote. Angwin resident Mike Hackett and Advocates for the Public Trust filed an appeal.

“They are using public trust space to sell wine,” Hackett told the Planning Commission in October. “Are we going to penalize them or are we going to reward them? I think it’s very important you set a precedent for future violators.”

A Planning Commission majority didn’t want the Bremers to have to remove the structures. However, Commissioner Joelle Gallagher expressed concerned that the Bremers’ request was entangled with the lawsuit settlement that didn’t contemplate Planning Commission denial.

Hackett in the appeal writes that the Board of Supervisors cannot hear the appeal due to a conflict of interest, given the county entered into the settlement agreement. He is asking the Board of Supervisors to recuse itself.

The appeal was to be discussed by the Board of Supervisors last Tuesday. The Board continued the matter until March 17.

Mathew Bruno Tasting Room – This project approved by the Planning Commission in December involves turning an 1890s-era Victorian home in Rutherford into a tasting room.

“We knew this would be a great place for a family to enjoy our wines in a setting in Rutherford,” Anthony Bruno told the commission.

The home is at the entrance to Grape Lane, a narrow, private road serving several homes. The Grape Lane Association has traffic concerns, among them plans for tasting room parking stalls next to their access road.

Planning commissioners decided the applicants were doing enough to meet the neighborhood concerns. The Grape Lane Association disagreed.

Attorney Tom Carey wrote the appeal on behalf of the association. Among other things, he pointed to changes made by the Planning Commission at the meeting to try to address concerns.

“Because these revisions were made at the same hearing at which the project was approved, the neighbors not present at the hearing had no prior notice of these changes,” Carey wrote.

Mountain Peak Winery – This is another case raising questions of how big a winery should be allowed in the mountains along a narrow road.

The Board of Supervisors heard an appeal in May 2017 and approved this winery to be built at the end of Soda Canyon Road. But supervisors may have more work to do.

Opponents brought the case to Napa County Superior Court. The court last summer ruled the Board of Supervisors should reconsider the issue based on new information on safety in light of the October 2017 Atlas fire that burned much of Soda Canyon.

Project proponents have challenged this ruling in the state 1st District Court of Appeal.

Walt Ranch – This controversial project involves planting vineyards in the mountains between the city of Napa and Lake Berryessa.

The Board of Supervisors in 2016 approved the project, leading to a court challenge by opponents. An issue has arisen over greenhouse gas mitigation.

Walt Ranch intends to mitigate for the loss of 14,000 carbon-sequestering trees by preserving woodlands. The 1st District Court of Appeal in October questioned whether the woodlands to be preserved are in danger of being cut down.

How and when this issue will be resolved remains to be seen.”

By: BARRY EBERLING beberling@napanews.com

Hotel Plans for the Earthquake Damaged Historic Post Office in Downtown Napa

JENNIFER HUFFMAN jhuffman@napanews.com

Developers this week presented the city with refined designs for the approved boutique hotel on the site of the former Franklin Street post office in downtown Napa.

The changes were made after receiving initial comments from Napa County Landmarks and the city’s Planning Commission during a preliminary design review in June.

At that time, some reviewers thought the first version of the wrap around design overwhelmed the post office building and covered too much of it.

“I think we’ve done an over-the-top job” in both preserving and presenting the historic building, said developer Jim Keller. “It’s really exciting.”

Wings of the new hotel still wrap around the old post office building, but in this latest version there are more transparent panels, which allow greater visibility of the post office, located at 1351 Second St.

Not only is his group preserving the front of the building, it’s also preserving the sides as well – something that wasn’t explicitly required, said Keller.

“We came up with a plan that’s really going to have an awesome look,” Keller said. “I think we’ve overachieved as far as the preservation of the building.”

The changes were made after receiving initial comments from Napa County Landmarks and the city’s Planning Commission during a preliminary design review in June.

At that time, some reviewers thought the first version of the wrap around design overwhelmed the post office building and covered too much of it.

The last version was more of a rough draft, compared to the new refined design, Keller said. “We took it up another level or two.”

These new images create what he described as “a jewel box effect,” with the crown jewel – the Art Deco-style post office building — in the middle, said Keller. The historic building is the “obvious the centerpiece and focal point.”

The historic post office lobby would be fully renovated and used as the hotel lobby and bar, accommodating guests as well as the general public, according to design documents. The interior features of the post office will be visible to all, rather than turning the post office into a private office or other commercial use, said the documents.

The Third Street-facing side of the project, currently home to Zeller’s Ace Hardware, has also been refined. “We made that a little more user friendly and broke up some of the massing. The design has been elevated,” yet still fits within the parameters of the already approved project, he said.

Plans call for a 175,000-square-foot, five-story, 156-key hotel using the site of the former post office and adjacent land where Zeller’s Ace Hardware now operates.

A separate, five-story parking garage would be built at the southeast corner of Second and Randolph streets, a corner now used for surface parking.

The project will cost more than $100 million, Keller said.

Keller, a Napa developer, bought the post office building in 2017 for $2 million. He’s since partnered with Cypress Equities, based in Dallas.

The hotel’s footprint will take over much of the block along Second between Franklin and Randolph streets, and along Randolph between Second and Third streets. The Napa City Council granted a rezoning and a building agreement in November 2018.

Having financial partners lined up in advance has helped move the project along, Keller said. Being located within a state-designated Opportunity Zone, which offers tax breaks to investors, is another. Napa has two such zones, including one in downtown Napa.

As the process continues, Keller said he remains mindful of the fragile state of the post office. “If we get hit with another earthquake,” the building might not survive.

“We’re trying to move as fast as we can,” said Keller.

His next steps include final design approval from the Planning Commission and Cultural Heritage Commission. Meeting dates have not been set.

If all goes as planned, “I’m hoping in the next 12 months we can be” under construction, he said. The hotel could take two to three years to build.

The hotel project was never a sure thing. After the 2014 earthquake, the USPS originally moved to demolish the damaged post office building.

The agency said that it would cost $8 million to repair quake damage, while it would cost only $500,000 for demolition.

The Napa Franklin Station was built in 1933 with funding from the federal Public Works Administration. In 1985, it was placed on the National Register of Historic Places.

After considerable public outcry, the USPS decided to try selling the building to a buyer who could repair the structure and preserve its architectural integrity.

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Price Reduction on this Beautiful Private Rental

Beautiful private home on the east side of the Silverado Trail in St. Helena. Enjoy a covered, private deck with vineyard and valley views. This ensuite 2 bedroom, 2 full bath, unfurnished custom built home on a quiet, private estate is walkable to CIA and a 5 minute drive to downtown St. Helena. One story with hardwood floors, open kitchen concept with built-in gas range and oven, refrigerator, dishwasher, garbage disposal and large great room w/gas wood burning fireplace. Drive right into the attached garage and walk into the mud room with washer and dryer. New interior paint and carpeting in the 2nd bedroom. Renter to pay gas, electric and cable/internet. Water, trash and landscaping included in rent.

Pets are considered.


Now $4,000 per month with a one year lease.


Napa County Summer Road Construction and Roundabouts

Get ready for a summer road construction season that will include such high-visibility projects as building three city of Napa roundabouts, repairing a bridge on Soscol Avenue and replacing an Upvalley Silverado Trail bridge.

The Napa Valley Transportation Authority (NVTA) Board of Directors last week heard presentations from Caltrans and Napa County on upcoming projects. Directors are local elected officials.

“Just a request for the patience of the motorists and users here in Napa,” said Kelly Hirschberg of Caltrans. “Because it does take a little time and sometimes it’s noisy and a little bit dusty.”

But the projects are needed, she said.

City of Napa roundabouts – A major summer construction job is creating three roundabouts at consecutive intersections—on First Street at the northbound Highway 29 exit, on First Street at California Boulevard and on California Boulevard at Second Street.

The $9.3 million project is being built by O.C. Jones & Sons. And it’s complex.

“Because of the complexity with all the local streets, this will require eight-stage construction,” Hirschberg said. “There will be eight different times they will be shifting traffic in a different direction.”

A Caltrans information sheet said the project is to last two years. But Chris Moulton of Caltrans told the NVTA Board of Directors that the roundabouts could be built by May 2020, with the contractor trying to combine some of the stages.

“You’ve just become a hero in Napa,” Calistoga Mayor and NVTA Board of Directors chairperson Chris Canning said.

Caltrans will send mailers to businesses and local residents on the project and will have a website with updates on traffic shifts, Moulton said.

The project is to start June 10th, city of Napa Deputy Public Works Director Eric Whan said on Monday. Caltrans is managing a cooperative project between the city and Caltrans.

Bottom line – people driving through this area this summer and beyond will see changing conditions as the project progresses.

“Construction is always difficult,” Whan said. “You just try to make it work the best you can.”

The city has posted a computer simulation on its website showing how traffic should flow once the roundabouts are completed. Go to https://bit.ly/2EkMlOV and scroll toward the bottom of the page to view it.

Tulocay Bridge on Soscol Avenue – This 1918 stone arch bridge on one of the city of Napa’s busiest streets needs corroded steel reinforcement and concrete chipping repaired. Tulocay Creek is located about a half-mile north of Imola Avenue on Napa’s Auto Row.

The $900,000, 80-day fix-it job by American Civil Constructors West Coast is to begin in mid-June. Traffic should keep flowing during the day, with one-way traffic and a flag-person possible at night.

Chris Moulton of Caltrans said Soscol Avenue at the bridge will be too narrow for pedestrians during construction. They can cross Tulocay Creek on the nearby Gasser property.

Conn Creek Bridge/Silverado Trail – The bridge over Conn Creek on busy Silverado Trail east of Rutherford is to be replaced, but Caltrans officials said the traffic will keep moving.

The existing bridge from the early 1970s has been damaged by creek scouring. Caltrans plans to reconstruct the bridge in two sections so one side is always available to carry traffic. Work is to extend through construction seasons.

St. Helena Mayor Geoff Ellsworth said he appreciates the work Caltrans is doing. He asked if traffic will be able to move through the area at its usual speed.

“That’s one of our main arteries,” Ellsworth said.

Two lanes will be open, but traffic might travel more slowly because some motorists look to see what is going on, Hirschberg said. Also, motorists might drive more slowly because of the constrained shoulders.

Ghilotti Construction will do the $7.5 million construction project, Hirschberg said.

Silverado Trail/Pratt Avenue – Napa County has its own Silverado Trail projects, and one is repairing a slide near St. Helena triggered by the winter 2017 storms.

A temporary fix in place involves a makeshift concrete barrier to block rocks that might otherwise tumble onto the road. This configuration required closing Pratt Avenue where the street meets Silverado Trail. Now comes what is meant to be the permanent solution.

The Napa County Board of Supervisors could on Tuesday award a $1.9 million contract to McCullough Construction Inc. of Arcata to start the project in June and finish in October. Workers are to build a 280-foot-long retaining wall with the height varying from five feet to 23 feet. They’ll backfill the slope to buttress the unstable hillside.

“Unfortunately, it’s a very complicated project that wouldn’t lend itself to working at night,” county Public Works Director Steven Lederer told the NVTA Board of Directors.

The county will prohibit work from 3 to 7 p.m. to avoid the afternoon rush hour. Other than that, workers will do as much work as possible behind the makeshift retaining wall. That won’t be possible all the time, because there’s not enough room for a big crane.

There may be times when only one lane is open on Silverado Trail with flagging, Lederer said.

Silverado Trail paving – Napa County plans to repave Silverado Trail from Yountville Cross Road to Skellenger Lane, a distance of three miles. Work is to start June 14 and end by Aug. 1, before crush.

The county will coordinate this Silverado Trail project with the Caltrans work on Conn Creek bridge, though the two projects aren’t really related, Lederer said. No work will be done from 3 to 7 p.m.

Capell Creek Bridge – This 1956 bridge on Highway 128 in the mountains between Lake Hennessey and Lake Berryessa will be replaced at a cost of $12 million.

A landslide has damaged the bridge. Gordon N. Ball, Inc. is the contractor that will replace the bridge and install 13 horizontal drains. A rented, steel module bridge will carry traffic during the two seasons of construction work.

“It will be one-way traffic control onto the temporary bridge that will be out there,” Hirschberg said.

Highway 121 – Storms of recent years have damaged the embankment on this rural highway west of Lake Berryessa near Moskowite Corner.

Granite Rock Co. will spend about 30 days repairing the embankment and improving drainage at a cost of $700,000. Hirschberg said rocks will be used to bolster the slope.

Because of environmental laws, work in a nearby creek for the project cannot begin until June 15, Hirschberg said.

BARRY EBERLING beberling@napanews.com

September is California Wine Month: Come Visit!

September is California Wine Month—the perfect time to experience the annual harvest season first hand. Enjoy special tastings, festivals, concerts, wine and food offerings and more throughout the state. Celebrate all that California’s vintners and growers bring to our lifestyle, economy and culinary pleasures.

Explore the events happening all month long and see the special poster offer, or download a PDF version of the full event list here.

Hope to see you soon!

Harvest Begins for Schramsberg Vineyards

Crews harvested 10 tons of Pinot Noir from the Richburg Vineyard and 12 tons of Chardonnay grapes from the Sisters Vineyard early Tuesday as harvest 2019 began for Calistoga’s Schramsberg Vineyards.

Mid-morning on Tuesday, Emrys Davies, 15, and his brother Hughie, 10, were on the crushpad with their young cousins and their father, Schramsberg vintner Hugh Davies, for the winery’s annual celebration marking the beginning of the harvest. It’s a tradition that Schramsberg founders Jack and Jamie Davies, Hugh’s parents, first began in 1965, just weeks before Hugh was born.

When asked, young Hughie couldn’t remember anything about prior harvest parties, although his cousin, Matthew Nelson, said he remembers a lot of people celebrating. And Emrys added he remembers stomping on the grapes when he was little. He also remembers his grandmother, Jamie Davies, who died in February 2008.

Later, after Hugh Davies spoke in English and Spanish to the crowd of about 50 people, Hughie was on top of the Pinot Noir grapes and jumped up and down, with his blue shoes on, crushing the grapes, while Brandy, a Golden Retriever, watched.

“This harvest will be a little smaller than last year, because the yields are expected to be smaller,” Hugh Davies said, adding that 2018 was “a monster year.” The 2019 harvest, judging by the picks done early Tuesday, will be “definitely lighter than last year, but closer to normal,” he said. “We’re planning to make a little less wine than we did last year.”

In 2019, Schramsberg is planning to harvest some 1,800 tons and is targeting 90,000 cases or maybe 95,000 cases, Davies said. “We selling about that much, so we should be making a little more to build a library, if nothing else,” he added.

Sean Thompson, director of winemaking, said he is expecting fruit from 10 new vineyards this year, thanks to the efforts of viticulturist Sam Rubanowitz, and for the first time will be crushing Chardonnay grapes from Anderson Valley. He introduced five of the six interns for this year, including Jack Davies, Hugh’s nephew and son of Bill Davies, Georgia Dale, Brian Hurley, Gita Mallya and Nathan Sneller. Michael Barrett was not present.

Hugh Davies addressed the interns and other vineyard workers present: “Thanks again for the hard work you’re about to do,” adding he expects the harvesting of grapes to go on for 10 weeks.

He also thanked the workers present, many of whom have worked for Schramsberg Vineyards for more than 40 years.

Davies admitted the start of harvest was about the same as last year, adding that both years were late. “Aug. 20 is a little late. Typically, I would say it is Aug. 14, so maybe we’re a week behind what would be normal.” In 2011, the first grapes were picked the first week of September, which he called “an extremely late harvest,” and in 2015, the first grapes were picked at the end of July. “It was a very low crop and the fourth year of drought conditions. It was early,” he said.

The grapes are brought in half-ton plastic bins, which Davies said are gentle with the grapes. “For the most part, the berries are unbroken and the juice won’t come out of the skins until it is inside the press,” he said, adding, though, that it’s impossible to have no juice at the bottom of the bin. Looking at the press, Davies added that even though it’s bigger than ones used in the past, it is part of a gentle process.

“We extract the juice fairly slowly,” with the press that was put in use in 1999, and “the amount of solids we get in our free-run juice today is minimal. It’s pretty nice and there’s a very crisp, polished feel to that free-run juice that is an improvement over where we would have been all those years ago,” Davies added.

The Pinot Noir and Chardonnay were picked at 20 Brix, which is higher than normal for winegrapes used for making sparkling wine, but Davies said last week’s heat spike raised the sugar in the grapes. “We’ll be picking more tomorrow from the Richburg Vineyard,” he said.

Part of the harvest celebration tradition includes a group of winery employees using sabers to open bottles of Schramsberg Querencia Brut Rose. On Tuesday, seven people took sabers to the bottles of 2015 wines: Hugh Davies, Sean Thompson, Sam Rubanowitz, Jessica Koga, associate winemaker, intern Jack Davies and two enologists, Shawn McIlvenna and Mara Ambrose.

After the bottles were opened, they were poured onto the picked Pinot Noir grapes, seeking good luck for the harvest.

And, so harvest 2019 begins. As the back of one of the workers’ T-shirts said, “Eat. Sleep. Crush. Repeat.”

By: David Stonberg, editor@sthelenastar.com

Rising Affordability in Purchasing Real Estate

BY: JANN SWANSON

Black Knight has good news for potential homebuyers, especially those in the market for their first home. The new edition of the company's Mortgage Monitor says the recent decline in mortgage interest rates has made home affordability the best it has been in 18 months.

With the 30-year fixed-rate mortgage hovering around 3.75 percent, it now takes 21.3 percent of the nation's median monthly income to make a mortgage payment on the median priced home. This is down from 23.3 percent in November of last year and more affordable than the long-term ratio of around 25 percent that was in-play during a time when the market was generally considered to be "normal," 1995 to 2003. It is also much lower than the 34.5 percent ratio at the height of the housing boom.

The rising payment-to-income ratio, as it hit its recent peak last November, appeared to trigger a strong reaction in both sales and home prices.  Given its relatively modest historical position, Black Knight suggests there may be heightened sensitivity to affordability concerns in today's market. Both existing and new home sales have been ragged since then and, although home prices continued to rise, that rate at which they did so slowed considerably.

The average home price has gone up by more than $12 thousand since interest rates peaked last November, but the monthly payment has declined by $108 for an average home purchased with a 20 percent down payment.  Black Knight says this is the equivalent of a 15 percent increase in buying power and means a homebuyer could pay $45,000 more for a home without seeing an increase in the monthly payment.

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Of course, with lower rates and higher affordability, demand is growing again.  The company notes that, the 15-month pattern of price deceleration it had been tracking seems to have leveled off. The annual home price appreciation rate held steady in June at 3.78 percent.

Black Knight cautions that it takes time for impacts for interest rate changes to show up in housing market numbers; even after homebuyers react, there is a time lag due to contract, offer, closing, and recording times.  Therefore, the flat appreciation rate from May to June could be just the beginning and the 3.75 interest rate that hit at the end of June may not show up in home sale and price changes until August or September.

There is a large spread of payment to income ratios across the states, but affordability is improving.  Where nine states were less affordable than their long-term norms back in November, only California and Hawaii remained so as of July.

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Housing is least affordable along the western U.S. and parts of the northeast, while the Midwest and parts of the South are home to some of the lowest payment-to-income ratios.  Not only is housing in the Midwest the most affordable, but it is also the furthest below its own long-term average, as income growth there has been more in line with home price growth than in other areas.

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Even in California, however, affordability has improved.  The state went from having one of the top five home price growth rates of any state (8.6 percent) one year ago to second-to-last as of June 2019, with home price growth slowing to just 1.3 percent year-over-year.  The payment ratio in the state is now 34 percent, down 4 percentage point from November. That is, however, 2.5 points above its long-term ratio.  Growth declines in several of the West Coast's largest markets has been significant up; prices in the last 12 months have increased by 1.1 percent or less in Los Angeles, San Francisco, San Diego and Seattle. 

Price growth among condominiums have been experiencing greater slowing over the last 12 months than have prices of single-family homes. Up until then the two sets of prices had been rising in lockstep, but now condos are appreciating at 2.2 percent compared to single-family homes at 3.9 percent.  That is a 40 percent differential.  The company points out that condo prices are historically more volatile, they had a faster appreciation rate in the late 1990s and early 2000s, experienced a sharper downturn during the financial crisis and then recovered faster in 2012 to 2014.  Now the tide may be turning again.  The company said this could be due to a number of factors and it worth keeping an eye on.

Black Knight also provided an update on the prepayment rate which had been seeing some dramatic increases as rates declined. That, however, ended in June as activity fell by 7.5 percent.  It was the first monthly decline since January and the company calls it surprising "given that refinance incentive continues to rise, and home sale driven prepayments typically increase from May to June."


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 The declines were evident across servicing portfolios, investor classes, interest type and vintages but the strongest reductions were among portfolio held loans, high credit score mortgages and loans originated last year.  Those were the cohorts that had seen the largest increase in prepayments previous to June.  Black Knight says the pullback may be due to sluggish refi-driven prepayments in June rather than (or potentially in combination with) lackluster home sale driven prepays

New Tenants Moving Into Ben Franklin Building in St. Helena

Four local tenants are moving into the newly renovated building between Sunshine Foods and Wells Fargo Bank.

A fitness studio, real estate office, physical therapy office and an unannounced food concept will occupy four spaces in the former Ben Franklin building.

What's Happening in Napa Valley in August & Hotel Deals

If you are going to be in Napa Valley or are interested in staying even just for a night or so here are some highlights of Wine Tasting, Festivals, & More:

New Apartments in Napa

Rents at emerging 282-unit complex start at $2,384. These apartments are just north of another housing project, 49-unit Stoddard West apartments for low-income families sponsored by the Gasser Foundation. Read the full article here or below:

The leasing center for The Braydon, Napa’s new, amenity-rich apartment complex, opened just more than a week ago, and the first residents have already signed leases, moved in and are calling the complex west of Soscol Avenue’s Auto Row home.

Residents can choose from one-, two- or three-bedroom units from 752 to 1,311 square feet. Lease rates for one bedroom, one bath unit start at $2,384 per month, two bedroom leases start at $2,810, and the three bedroom leases start at $3,253.

According to Zumper, a rental website, the average market-rate rent for a two-bedroom apartment in Napa during May was $2,240.

About 20 of the 282 planned units are done, said Easther Liu, national vice president of marketing for Fairfield Residential.

Fairfield Residential is developing the 7.37-acre housing site, which uses a new mailing address of 791 Vista Tulocay Lane. It is located on the west side of Soscol Avenue, just north of Tulocay Creek, with views of the Napa River.

A website for The Braydon shows photos of the sample apartments and the complex, which will also include a co-working space, gated dog park, pool, courtyard with outdoor dining space and cabanas, fitness center and “social lounge with full kitchen and multiple seating nooks.”

Once completed, a total of nine buildings will contain the almost 300 apartment homes at The Braydon. A leasing center, located next to a roundabout at the middle of the complex, is now open and staffed.

Inside the complex, the size and scope of the project — one of Napa’s largest apartment developments — is apparent. Chain link fencing wraps around the extensive construction project, which stretches both north and south of the leasing center and the first completed apartment building. The square footage of the apartment housing totals 278,256 square feet.

Napa’s Gasser Foundation originally launched the development, which was formerly known as Vista Tulocay Apartments.

The Gasser Foundation agreed to sell the then-Vista Tulocay site to BLT Enterprises for $9 million in 2002, but the sale did not close until 2013 because of flood control and entitlement delays.

Fairfield Residential bought the project from BLT Enterprises in February 2017 for an estimated $34.25 million.

The apartments are just north of another housing project, the 49-unit Stoddard West apartments for low-income families sponsored by the Gasser Foundation.

Stoddard West previously announced rents will be in the $475-to-$1,300 per month range, depending on the tenants and the number of rooms in the apartment.

Stoddard West, a partnership between Gasser and Burbank Housing of Sonoma County, closed its application list after receiving more than 500 applicants.

Liu declined to provide the number of applications Fairfield has received for the Braydon units.

Home Prices Up 5.05% Across the Country

Some Highlights:

  • The Federal Housing Finance Agency (FHFA) recently released their latest Quarterly Home Price Index report.

  • In the report, home prices are compared both regionally and by state.

  • Based on the latest numbers, if you plan on relocating to another state, waiting to move may end up costing you more!

Home Prices Up.jpg


Gary's Wine & Marketplace coming to St. Helena

Wine retailer Gary Fisch signed a lease Monday to open Gary’s Wine & Marketplace at the former Dean & DeLuca space in south St. Helena.

Fisch envisions a store “in the image of what Dean & DeLuca was in its early days,” except with more wine in the mix.

“Same concept, different name,” Fisch said.

The store, opening as soon as early September, will be the fifth under the Gary’s Wine & Marketplace brand. The other four are in New Jersey, two owned by Fisch and two owned by his wife, Liz.

Fisch is frequently one of the top bidders at the Napa Valley Vintners’ annual Premiere Napa Valley, which he’s been attending for more than 20 years.

“Spending more time in Napa Valley has been a dream of mine forever,” Fisch said. “This opportunity is allowing me to do it without retiring.”

Like Dean & DeLuca in its heyday, the new store will offer coffee and breakfast items, salads and sandwiches for lunch, charcuterie, cheese, olive oil, fresh-based bread, and light catering.

Fisch said it will offer “significantly more wine” than Dean & DeLuca ever did, focused on Napa Valley wine but also stocking a “hand-selected group of non-Napa wines” from regions like Burgundy, Alsace and the Loire Valley.

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“When you walk in, you’ll know you’re in the best wine shop in the Napa Valley,” Fisch said.

He also wants to offer a “concierge service” where customers can taste wine and arrange to visit particular wineries.

He called Dean & DeLuca an “iconic brand,” and he was sad to see it decline. When he visited St. Helena in May, the store was a shadow of its former self.

It didn’t close until early July, but by late May Fisch had already reached an agreement in principle with the family of the late Leslie Rudd to take over the space. The Rudd family continues to own the property even after Rudd sold the Dean & DeLuca brand in 2014 to Pace Development, a luxury real estate development company based in Thailand.

Fisch hopes to open in early September, as soon as the liquor license is in effect. On Tuesday, workers were starting cosmetic improvements inside the building.

When Fisch first visited the Napa Valley in 1979 as a sales rep for a New Jersey wholesaler, his first stop was at Louis M. Martini Winery.

“Forty years later we’re opening a store literally across the street,” he said. “For me it’s super-exciting.”

Article from Napa Valley Register

Coming Soon! Beautiful Rental Off Silverado Trail

Beautiful covered, private deck with vineyard views on the east side of the valley. Ensuite 2 bedroom, 2 bath, unfurnished custom built home on a quiet, private estate. Walkable to CIA and a 5 minute drive to downtown St. Helena. Located in the desirable St. Helena School district. One story with hardwood floors, open kitchen concept with built-in gas range and oven, refrigerator, dishwasher, garbage disposal, large great room w/gas wood burning fireplace. Handicap accessible bathroom w/shower in Master suite, new carpet, central air A/C and heat, freshly painted inside and out. Drive right into attached garage w/electric garage door and walk right into your mud room with full washer/dryer. Owner/Manager on-site.

Available August 1, 2019. One Year lease: $4,500.00/month [not including gas, power and cable/internet], Includes: landscaping, water and garbage.

Click here for more information.

Festival Napa Valley Events This Week

Festival Napa Valley is committed to enriching the vitality of the community through innovative performances and inspiring education programs. Some things you should know about Festival Napa Valley

  • 1) They donate 6,000 tickets every year to seniors, veterans and families.

  • 2) 1,600 students attend Free Concert for Kids.

  • More than 200 artists from around the world perform every year at Festival Napa Valley.

  • 1,400 students attend Arts for All summer camps launched and funded by Festival Napa Valley

  • 95 College & Conservatory Musicians study and perform at Festival Napa Valley’s tuition-free summer music academy.

  • $1,000,000 is invested in Napa County public school arts education programs

For the events calendar click here.

What's New?! Listings! Up Valley Condominiums and Around Sylvaner Ave, St. Helena

Curious as to what Condominiums in Yountville, St. Helena or Calistoga are for sale?

Curious as to what Single Family Residencies are for sale in the Sylvaner Ave, St. Helena area?

I have created a public collections page for each! Just click the links below and send me a message if you or anyone you know is interested!

Up Valley Condominiums

Around Sylvaner Ave, St. Helena

Safety Tips and Napa Valley Events for the 4th of July

With the 4th of July fast approaching it is always good to revisit safety tips. In our area we are not allowed to have personal fireworks for fire safety reasons. An average of 18,500 fires are caused by fireworks each year, according to the National Fire Protection Association. Such fires cause an average of three deaths, 40 injuries and $43 million in direct property damage.

Here are some standard tips to keep you and your family (including pets) safe:

  1. If you are going to be outside in the sun be sure to pack lots of water and sunscreen. Wear hats and/or sit under an umbrella if possible.

  2. Do not bring your pets if possible.

    • Lights and noise may frighten pets. Animals may fair better if kept inside during the display. Playing music or turning on the television can help distract animals from fireworks noise.

    • The noise can cause your animal to either run or possibly bite someone or another animal because they are scared. Both Animal Control and the Humane Society see an increase in lost animals around this time of year. Have your pet microchipped if you have not already. This way, if they do run away it will be easier to return them to you.

  3. Do not allow children to handle fireworks - Children younger than 15 accounted for 36% of fireworks-related injuries in 2018.

  4. Sparklers — can reach temperatures of 1,800 degrees, the city says. Don't let children play with them.

  5. Follow all local and state laws regarding the possession and use of fireworks.

    For more information, visit fireworks.com/education-and-safety/safety-tips

    Events on July 4th

    1. NAPA

      1. Napa’s 4th of July Parade & Fireworks | 2019

        Thu, 10 AM – 10 PM

        Downtown Napa Association, 1290 Napa Town Center

      2. Red, White & Rosé

        Thu, 1 – 4 PM

        850 Bordeaux Way

      3. Fourth of July Dinner & Fireworks

        Napa General Store, 540 Main St Ste 100

      AMERICAN CANYON

      1. American Canyon Fourth of July Celebration

        American Canyon Planning Department, 4381 Broadway St # 201

      ST. HELENA

      1. 4th of July Bluegrass-Fed Live Music + BBQ:

        Live music, bites and wine. Doors 5:00 PM | Show 7:00 PM

        Farmstead at Long Meadow Ranch, 738 Main St

      2. St. Helena’s 4th of July Fireworks Show | 2019

        Thu, 5:30 – 10:00 PM

        Crane Park, 360 Crane Ave

      CALISTOGA

      1. 2019 Calistoga 4th of July Parade, Star-Spangled...

        Thu, 11 AM

        N Oak St

      2. Calistoga’s Napa County Fair, Free Rides ...

        12 – 11 PM

        Napa County Fair Main Office, 1435 N Oak St

      Have a Safe and Happy 4th of July!