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Elon Musk is pulling Tesla out of California, moving HQ to Texas/Nevada

Sub_Level

Sub_Level

wants to fuck an Asian grill.
highrider said:
Why would any businesses stick around in California these days? LA and San Francisco sound awful. Overpriced, taxed to fuck.. fuck all that, the weather is nice and all but nah.
Click to expand...

Depends on the business. Service industries can make a killing because the population generally has the disposable income for it. There's lots of valuable farmland for growing crops which helps feed the US as a whole (which is why their droughts are serious concerns, its not just about the wildfires). And of course for those with tech startups, California has heavy duty investors with lots of venture capital. Its a cluster, which means you can grab readily available talent that falls off other companies.

For a manufacturer like Tesla, though, it doesn't seem like staying is worth it. I dunno the details of their logistics but I can't imagine they will lose much moving out of CA if they do it over something like this.
 
GeorgioCostanzaX

GeorgioCostanzaX

Member
darkinstinct said:
Because the employees like it there.
Click to expand...

TBH Texas is only doable if you're fine with sacrificing sun, the ocean, and international food scene: like my WASP parents would probably love it. I'm not sure I could get used to having to take a plane to get my Din Tai Fung fix or K-Town BBQ. The LA government should be ashamed for driving (pun intended) Honda and Toyota out too...so much fun to visit those plants in Torrance.
 
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iconmaster

iconmaster

Banned
The first of many such lawsuits. Maintaining shelter-in-place is going to prove legally fraught for many county and state governments. It’ll be a double whammy too: the cost of shutting down your economy (and lost taxes) followed by the cost of defending yourself from the companies you shut down.
 
O

oagboghi2

Member
MetalAlien said:
Yep and in the right part of Houston you can get a huge house for that... here is one in the area I grew up in..

www.zillow.com

15207 Dellwild Ct, Houston, TX 77049 | MLS #54968171 | Zillow

This 3984 square feet Single Family home has 5 bedrooms and 5 bathrooms. It is located at 15207 Dellwild Ct, Houston, TX.
www.zillow.com www.zillow.com
Click to expand...
but if you live in houston, you might not see a D-List actor ordering coffee at starbucks.

darkinstinct said:
Because the employees like it there.
Click to expand...
Do they, because tons of people are leaving the state?
 
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MetalAlien

MetalAlien

Banned
oagboghi2 said:
but if you live in houston, you might not see a D-List actor ordering coffee at starbucks.
Click to expand...
Proably not but there are a lot of celebs that move there because for a few million they get an estate vs just a nice house in Beverly Hills.

Here ya go...

20 mill in Houston... probably 220 mill in Beverly Hills.

www.zillow.com

9030 Sandringham Dr, Houston, TX 77024 | Zillow

9030 Sandringham Dr, Houston TX, is a Single Family home that contains 21738 sq ft and was built in 2008.It contains 8 bedrooms and 14 bathrooms. The Zestimate for this Single Family is $10,215,700, which has decreased by $16,050 in the last 30 days.The Rent Zestimate for this Single Family is...
www.zillow.com www.zillow.com

Found this one with the same square feet in Beverly... 125 mil.
www.zillow.com

1011 N Beverly Dr, Beverly Hills, CA 90210 | Zillow

1011 N Beverly Dr, Beverly Hills CA, is a Single Family home that contains 29000 sq ft and was built in 1926.It contains 9 bedrooms and 15 bathrooms.This home last sold for $63,100,000 in October 2021. The Zestimate for this Single Family is $60,729,800, which has increased by $1,606,467 in...
www.zillow.com www.zillow.com

Here's another for 14...
www.zillow.com

6 W Rivercrest Dr, Houston, TX 77042 | MLS #85208360 | Zillow

This 23526 square feet Single Family home has 7 bedrooms and 14 bathrooms. It is located at 6 W Rivercrest Dr, Houston, TX.
www.zillow.com www.zillow.com

This one is 14 in Beverly
www.zillow.com

1120 Maytor Pl, Beverly Hills, CA 90210 | Zillow

1120 Maytor Pl, Beverly Hills CA, is a Single Family home that contains 4562 sq ft and was built in 1961.It contains 5 bedrooms and 6 bathrooms.This home last sold for $13,500,000 in July 2021. The Zestimate for this Single Family is $12,092,700, which has increased by $12,092,700 in the last...
www.zillow.com www.zillow.com
 
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rykomatsu

rykomatsu

Member
MrMephistoX said:
TBH Texas is only doable if you're fine with sacrificing sun, the ocean, and international food scene: like my WASP parents would probably love it. I'm not sure I could get used to having to take a plane to get my Din Tai Fung fix or K-Town BBQ. The LA government should be ashamed for driving (pun intended) Honda and Toyota out too...so much fun to visit those plants in Torrance.
Click to expand...

Depends on where in TX. Cultural diversity is super high in Houston (I think some surveys peg it at #1 in the nation above LA) and the food scene in Houston and Austin are really really good, without the lines and waits you see in metropolitan areas in CA. Can't comment on DFW, but since it's an intl' hub city for American Airlines, I'd expect something similar. With a lot of the Vietnamese refugees ending up in Houston decades ago and migrating into central Texas, there are some really awesome Vietnamese restaurants, and tex-mex / Japanese fusion is a thing as well. Ramen scene is pretty rockin in the Austin area.
 
U

Unknown Soldier

Member
TrainedRage said:
Liberals are so pissed, even though they claim to hate his guts. Do what you want Elon.
Click to expand...
Elon has the rare gift of pissing off extremists on both sides. The far left and the far right hate him equally, that's how he knows he's doing everything right.

The cost of living, taxation, and anti-business climate in California are all well-known problems with that state. The only problem is that Silicon Valley is what it is, and so Tesla wouldn't be able to just abandon California completely without also deciding it doesn't need engineering talent anymore which it does. I can see the corporate HQ moving to Texas but no one actually thinks they'll just abandon Fremont and Palo Alto. Engineering and design studios there aren't going anywhere even if eventually assembly moves to Texas and other lower-tax states in the South.
 
StreetsofBeige

StreetsofBeige

Gold Member
MetalAlien said:
HA, you haven't been to Houston... 400 grand will get you a mini mansion.

LA
www.zillow.com

7007 River Dr, Bell, CA 90201 | Zillow

7007 River Dr, Bell CA, is a Single Family home that contains 771 sq ft and was built in 1957.It contains 3 bedrooms and 1 bathroom.This home last sold for $355,000 in August 2020. The Zestimate for this Single Family is $514,600, which has decreased by $1,221 in the last 30 days.The Rent...
www.zillow.com www.zillow.com

oh oh I found this posh location in LA as well..
www.zillow.com

15216 S Avalon Blvd, Compton, CA 90220 | Zillow

15216 S Avalon Blvd, Compton CA, is a Single Family home that contains 893 sq ft and was built in 1948.It contains 2 bedrooms and 1 bathroom.This home last sold for $435,000 in August 2021. The Zestimate for this Single Family is $536,700, which has increased by $5,043 in the last 30 days.The...
www.zillow.com www.zillow.com

Houston
www.zillow.com

6203 Paisley St, Houston, TX 77096 | Zillow

6203 Paisley St, Houston TX, is a Single Family home that contains 2232 sq ft and was built in 1965.It contains 4 bedrooms and 2.1 bathrooms. The Zestimate for this Single Family is $367,500, which has decreased by $2,664 in the last 30 days.The Rent Zestimate for this Single Family is...
www.zillow.com www.zillow.com
Click to expand...
That's one thing I never understood about Texas. There's tons of people, people make good money with all that oil and tech money you hear about, yet home prices are reasonable.

The Toronto metro area (which is a big stretch of land... Golden Horseshoe shit) is a mess for new homeowners. I'd ballpark a decent small 1 bedroom condo ranges from $250k in the outskirts to uber downtown at $700k.

That decent 3 bedroom family home with a driveway and yard (what most tv sitcoms show in the intro) I'd ballpark as $500k in the outskirts to $2 million in the core.
 
EviLore

EviLore

Expansive Ellipses
Staff Member
En60pAO.jpg
 
rykomatsu

rykomatsu

Member
StreetsofBeige said:
That's one thing I never understood about Texas. There's tons of people, people make good money with all that oil and tech money you hear about, yet home prices are reasonable.
Click to expand...

Property tax rate is generally around 2.3-2.6% with some hitting as high as 3%. That makes say...$400k home in TX cost $12k in property tax annually at the high end. In CA, this would be $3k/year.

So if one were to compare strict buying power of a family with annual income of $150k if you were to consider 3% (texas) vs 0.75% (ca) for property taxes :
TexasCalifornia
Maximum Mortgage (36% DTI)623k840k

Note also that home owners insurance in Texas is also one of the most expensive in the nation, and vast majority of homes have an HOA. This brings down Texan buying power by another 20-30k relative to California.

Add in the fact that PROP 13 limits California property tax rate increase to 2%/year, compared to Texas having a max of 10% (though can hit you cumulatively if your last assessment has been multiple years ago...for example, 3 years since last assessment means tax can go up, suddenly, 30%), and Texan purchasing power (due to speculation and worry) is reduced even further.

Add to the fact that TX is developer friendly, and having a glut of land, home prices tend to stay relatively low. Find an area too expensive? Move 10min further. Still too expensive? Move another 10min.
 
StreetsofBeige

StreetsofBeige

Gold Member
rykomatsu said:
Property tax rate is generally around 2.3-2.6% with some hitting as high as 3%. That makes say...$400k home in TX cost $12k in property tax annually at the high end. In CA, this would be $3k/year.

So if one were to compare strict buying power of a family with annual income of $150k if you were to consider 3% (texas) vs 0.75% (ca) for property taxes :
TexasCalifornia
Maximum Mortgage (36% DTI)623k840k

Note also that home owners insurance in Texas is also one of the most expensive in the nation, and vast majority of homes have an HOA. This brings down Texan buying power by another 20-30k relative to California.

Add in the fact that PROP 13 limits California property tax rate increase to 2%/year, compared to Texas having a max of 10% (though can hit you cumulatively if your last assessment has been multiple years ago...for example, 3 years since last assessment means tax can go up, suddenly, 30%), and Texan purchasing power (due to speculation and worry) is reduced even further.

Add to the fact that TX is developer friendly, and having a glut of land, home prices tend to stay relatively low. Find an area too expensive? Move 10min further. Still too expensive? Move another 10min.
Click to expand...
Sweet. Thanks for the reply.

In Toronto area property tax rate depends on each town as they have their own rate and I think the rate fluctuates pending if it's a house or a condo. I think mine is around 0.70% so similar to CA.

I forget what my home insurance cost is but I know for sure it is less than $100/month. Might be about $75/mth so you're talking less than $1,000/yr for my detached home.

As for assessments, I'm pretty sure I've gotten city letters showing a 3 or 5 year FUTURE schedule of assessed values and estimated property taxes. I'm pretty sure we don't get dinged with blind city property value assessments. At least I've never seen it.
 
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rykomatsu

rykomatsu

Member
StreetsofBeige said:
Sweet. Thanks for the reply.

In Toronto area property tax rate depends on each town as they have their own rate and I think the rate fluctuates pending if it's a house or a condo. I think mine is around 0.70% so similar to CA.

I forget what my home insurance cost is but I know for sure it is less than $100/month. Might be about $75/mth so you're talking less than $1,000/yr for my detached home.
Click to expand...

My home insurance policy is all wrapped up with other policies so can't say for certain what it is.

That said, you have a lot of large hail, hurricanes, tornados, floods (separate insurance from home owners insurance), so the claims rate is quite high.
 
StreetsofBeige

StreetsofBeige

Gold Member
rykomatsu said:
My home insurance policy is all wrapped up with other policies so can't say for certain what it is.

That said, you have a lot of large hail, hurricanes, tornados, floods (separate insurance from home owners insurance), so the claims rate is quite high.
Click to expand...
Good point. We don't get big environmental issues here. Hell, most of the snow issues hit Buffalo more than us. I'm no weatherman, but something about Lake Ontario makes the big snow go south, than north.

The only thing I can think of in recent history is a couple huge rain and windstorms which were ripping off people's shingles and tons of people were scrambling for roofers. My dad included and decided to just re-roofed his house for $20k as it was never updated.

Pales in comparison to stuff we hear from southern states getting hit with tornados and shit.
 
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jshackles

jshackles

Gentlemen, we can rebuild it. We have the capability to make the world's first enhanced store. Steam will be that store. Better than it was before.
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diffusionx

diffusionx

Gold Member
MetalAlien said:
HA, you haven't been to Houston... 400 grand will get you a mini mansion.

LA
www.zillow.com

7007 River Dr, Bell, CA 90201 | Zillow

7007 River Dr, Bell CA, is a Single Family home that contains 771 sq ft and was built in 1957.It contains 3 bedrooms and 1 bathroom.This home last sold for $355,000 in August 2020. The Zestimate for this Single Family is $514,600, which has decreased by $1,221 in the last 30 days.The Rent...
www.zillow.com www.zillow.com

oh oh I found this posh location in LA as well..
www.zillow.com

15216 S Avalon Blvd, Compton, CA 90220 | Zillow

15216 S Avalon Blvd, Compton CA, is a Single Family home that contains 893 sq ft and was built in 1948.It contains 2 bedrooms and 1 bathroom.This home last sold for $435,000 in August 2021. The Zestimate for this Single Family is $536,700, which has increased by $5,043 in the last 30 days.The...
www.zillow.com www.zillow.com

Houston
www.zillow.com

6203 Paisley St, Houston, TX 77096 | Zillow

6203 Paisley St, Houston TX, is a Single Family home that contains 2232 sq ft and was built in 1965.It contains 4 bedrooms and 2.1 bathrooms. The Zestimate for this Single Family is $367,500, which has decreased by $2,664 in the last 30 days.The Rent Zestimate for this Single Family is...
www.zillow.com www.zillow.com
Click to expand...

I need to get the fuck out of New York
 
U

Unknown Soldier

Member
ManaByte said:
Next up: Nonads Newsom finds some excuse to lock Elon up in San Quentin for three years. He's released in early 2024, becomes a Mandela figure and is elected President that November.
Click to expand...
Elon, like Arnold Schwarzeneggar, is a naturalized citizen and is unable to become President per the Constitution.
 
EverythingsOverrated

EverythingsOverrated

Member
#Phonepunk# said:
Cali seems like an expensive and lousy place to do business. George Lucas was trying to make a new studio for the ST and Cali politics put an end to that, it was one of the main reasons he sold his company. I imagine working w the local big wigs is a huge pain in the butt.
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Yup. I knew people that worked for Lucasfilm around this time. George basically struck back by telling them he was going to build a bunch of low income housing in that area instead LOL. This is in Marin county where elitist fart smelling is even worse than SF so nothing worse for them than poor people.

As for Alameda county, lame move. They want to appeal to their orange man bad crowd because this has sadly turned into a political issue
 
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Papa

Papa

Banned
Sub_Level said:
Depends on the business. Service industries can make a killing because the population generally has the disposable income for it. There's lots of valuable farmland for growing crops which helps feed the US as a whole (which is why their droughts are serious concerns, its not just about the wildfires). And of course for those with tech startups, California has heavy duty investors with lots of venture capital. Its a cluster, which means you can grab readily available talent that falls off other companies.

For a manufacturer like Tesla, though, it doesn't seem like staying is worth it. I dunno the details of their logistics but I can't imagine they will lose much moving out of CA if they do it over something like this.
Click to expand...

Doesn’t most of the water for that farmland need to be piped in from flyover states? Doesn’t seem ideal.
 
TheSadRanger

TheSadRanger

Banned
lol if Texas was serious about courting Tesla then maybe they would allow Tesla to sell their product here.

There's been a rich people fight going on behind the scenes between the dealership barons who hold a lot of political sway here and Musk.

Musk mentioned Texas as a big F you to them lol. It's pretty clever actually.
 
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