Showing posts with label economic development. Show all posts
Showing posts with label economic development. Show all posts

Friday, January 31, 2025

Virginia created twice as many jobs as Maryland in 2024


The year-end job creation numbers from the United States Bureau of Labor Statistics are a total humiliation again for the state of Maryland, and Montgomery County. Our rival across the Potomac River, Virginia, created twice as many jobs as Maryland in 2024. Virginia added 76,900 jobs last year, while Maryland created a paltry 38,400 jobs by comparison. In the closing month of December 2024, Virginia added 4,900 new jobs, while Maryland added a laughable 200. That's a 2 with only two zeros after it.

“Virginia’s labor market continues to demonstrate resilience and growth, with a strong increase in nonfarm payrolls, a growing labor force, and low unemployment,” Virginia Governor Glenn Youngkin (R) said in a statement. “Our commitment to business-friendly policies, reducing costs, and fostering innovation has created an environment where both Virginia companies and Virginians can thrive.” 


Virginia was named America's top state for business in 2024 by both CNBC and Business Facilities magazine. The latter is a professional journal covering the topic of corporate headquarters relocation. While the Old Dominion has added multiple major and Fortune 500 corporate HQs this century, Maryland was a loser in all of those competitions. Among those choosing Virginia over Maryland were Northrop Grumman, Nestle, Intelsat, Lidl, Gerber, Volkswagen, Amazon, and Hilton Hotels. Here in Montgomery County alone, our elected officials have failed to attract a single major corporate headquarters in over 25 years. 

Who can forget the Montgomery County Council laser-focusing on a bill to ban circus animals on the very day that Discovery Communications was sealing the deal with two other states to move their HQ from MoCo to their cities? Or the Council canceling the biggest transportation project in White Flint on the very day that Amazon representatives were touring that area during their HQ2 search, which we lost to...Virginia? Scrapping your biggest transportation project the same day that a logistics-obsessed firm like Amazon is visiting: Sheer genius! Heckuva job, Brownie!

While Maryland Governor Wes Moore (D) is promising higher taxes and fees, and a 75-cent charge on every Amazon and food delivery order, Youngkin is asking the Virginia legislature to cut taxes on his constituents and businesses. Virginia has made major investments in new transportation infrastructure and site development, all while keeping taxes lower than Maryland. 


Maryland elected officials, by contrast, have blocked every meaningful congestion relief project, and have directed Maryland State Highway Administration officials to increase congestion by placing absurdly-low speed limits on major commuting state highways. They've even ordered MDSHA to remove vehicle lanes from many of those highways, including Old Georgetown Road, Georgia Avenue, and University Boulevard in Montgomery County alone. 

Rather than invest in site development for corporate campuses, and high-wage research and manufacturing facilities, MoCo and Maryland leaders have instead turned such valuable land over to their developer sugar daddies for new stack-and-pack residential housing. Taxes? Nobody in the region pays more than Montgomery County taxpayers.


Given the history of Virginia decimating Maryland in job creation this century, the only surprising thing about the 2024 numbers is that yet another historic drubbing of Montgomery County and Maryland officials is not being covered by the local media. Failure and incompetence are never brought to busy voters' attention. We can still enjoy the irony that Montgomery County's international business trips are - bizarrely - most often to Communist countries like China and Cuba, but that failures in policy and economic growth of the magnitude we find in Maryland often result in removal, or even jail, in those nations.

Tuesday, January 28, 2025

Maryland restaurants aren't going out of business fast enough, lawmakers in Annapolis say


Maryland's restaurants aren't going out of business fast enough, lawmakers in the state's capital of Annapolis say, and a pair of Democrats in the legislature have a plan to speed up the process. On top of previous hikes to the state's minimum wage, which have been a factor in many restaurant closures and staff reductions statewide, their new bill would create a 2026 ballot question asking voters to approve a minimum wage of $20-an-hour. If approved by voters, the question would also force restaurant owners to pay that $20 wage to tipped workers, as well. The bill is expected to be taken up by the Democrat-controlled Maryland House and Senate next month.


Montgomery County was the vanguard of the proletariat in the effort to raise the minimum wage in the previous decade. The Montgomery County Council was warned by business owners, the Maryland Retailers Association, and the Restaurant Association of Maryland that a significant wage increase would put many enterprises out of business. Their predictions came to pass, as Montgomery's already-moribund economy was slammed by the higher wage requirements, higher taxes and new regulations, and the Council's disastrous "Nighttime Economy" initiative that ended up destroying the nighttime economy. Bars, stores, and restaurants that had endured for thirty or fifty years, serving multiple generations of Montgomery County residents, were suddenly closing left and right.


The nightlife scene in Bethesda looks starkly different from what it was prior to the last decade. In fact, you can't really look at it at all, because it no longer exists. Along with record numbers of restaurant failures countywide, at least 24 nightspots closed in Bethesda alone. Downtown Bethesda's streets are now dark and lonesome after 9:00 PM. 

Demolition of Regal Cinemas Bethesda 10
cineplex in 2017

The impact of the Council's "Nighttime Economy" catastrophe in Bethesda was capped off when Barnes and Noble closed, and the Council allowed the town's only major cineplex to be demolished, without requiring the developer to replace the theater - even though the Minor Master Plan Amendment that permitted the demolition provided the Council with the authority to impose just such a requirement. The public plaza outside the former bookstore that previously teemed with crowds during warm weather was suddenly deserted. A "spaces available" sign outside the public parking garage at Bethesda Row that usually read "FULL" during the peak dinnertime hours now showed hundreds of spaces available. The counter was eventually deactivated to cover up the embarrassment.


There are now not only fewer restaurants in Montgomery County, but fewer restaurant workers, as well. Fast food establishments that haven't closed now sport touchscreens that eliminate the number of workers needed to man (or woman) the counter. Chains like McDonald's are on the verge of total automation, only slowed by the open revolt a speedy conversion to this technology would spur among unions, and the mainstream press that already delights in bashing restaurant chains that allow working class people to eat cheaply without government welfare assistance.


Many writing for the "Buzz Insider"-style websites, and even more among the world of TikTok "influencers," were fooled into believing McDonald's' new CosMc's concept is a super-cool place to film yourself waiting in an hour-long line of cars, to get a million video views of yourself making moronic faces while sipping a Sour Cherry Energy Burst. In reality, it is a test run for the "Fight for $25" future, a future of a single supervising employee monitoring an array of robots serving precisely-made Big Macs and Egg McMuffins.


Along with Governor Wes Moore's proposal to raise taxes on the "rich," the proposed wage hike will indeed speed up the bankruptcy process for mom-and-pop restaurants across Maryland. Restaurants - and most retail - are very slim profit margin businesses to start with. The margin is even slimmer in hellaciously-anti-business counties like Montgomery. Having elected officials who don't understand this, or much of anything about how business works, is always potentially fatal to the independent entrepreneur in MoCo and Maryland.


This financial illiteracy among our elected officials leads to measures such as the higher taxes, fees, and wages being proposed fast and furiously in Annapolis this month. It leads to a state where many elected officials and government employees end up making more money annually than the private businesses they regulate. But as we've seen already in Montgomery County, which fell from its lofty perch among the Forbes "Top Ten Richest Counties in America" list during MoCo's purge of the free enterprise system last decade, the more you pile on the taxes and wage hikes, the less revenue you get. Taxation is not only theft, but generates diminishing returns as rates increase. The more you squeeze, the less you get. 


Montgomery County has already reached rock bottom in the D.C. region, or close to it, in every significant economic development category compiled by the U.S. Bureau of Labor Statistics. Even Gov. Moore has admitted Maryland's economy is stagnant, and its economic and job numbers lag far behind the national average since 2017. Yet, Annapolis wants to again join Rockville in amplifying the assault on the small businessperson even further. The question for our representatives in Annapolis this year is, "How much lower do you want to go?"

Thursday, January 16, 2025

Maryland governor proposes 75-cent fee on retail, food deliveries


One proposal in Maryland Gov. Wes Moore's FY-2026 budget that he, understandably, did not mention in his press conference yesterday is a new 75-cent fee on retail and food deliveries. Given the popularity of such purchases by people of all income levels, this regressive fee could quickly add up for already-struggling Maryland residents. Moore's presentation gave another official declaration that Maryland's economy is - like Montgomery County's - moribund and stagnant. His budget director gave a Powerpoint presentation with slides confirming Maryland's economic growth has "significantly underperformed national growth" since 2017, as has its job growth. With grocery, insurance, and home prices remaining massively-high, why would the state now pile on by socking it to working-class people ordering a hamburger or a t-shirt for delivery?

Economic growth - moribund!

Also hidden from the governor's speech was a proposal to more than double the emissions test fee for vehicles. The emissions test program is already a massive grift for the state, forcing owners of recent vehicle models to take a test that predictably finds their car meets the standards. Maryland isn't even properly maintaining the equipment for the test now, as the scanner on the self-test machine was broken the last time I went, forcing drivers to manually type their personal information into the computer.

Job growth - moribund!

Sports gamblers would also be victims of highway robbery under the new budget. In a proposal that was actually presented at the press conference, Moore suggested doubling the tax on sports betting from 15% to 30%. So that big $1000 win Joe Six Pack had on the baseball game will be whittled down to $700 right "off the bat." Better cancel that plan to have a burger delivered after the game, Joe - you just can't afford it! Meanwhile, your representatives in Annapolis are laughing all the way to the bank.

Maryland and Montgomery County have
the highest tax burden in the D.C. region...
...but their revenue is stagnant. Given that clear
end result, does it make sense to increase
taxes even further?


Wednesday, December 18, 2024

Virginia named State of the Year by Business Facilities magazine


Our neighbor across the Potomac is ending 2024 on another economic development high note. Business Facilities magazine has just named Virginia "State of the Year." This is the third time the Old Dominion has taken home the prize since the magazine introduced the honor in 2007. Of course, it's little surprise that Virginia was named the winner, as it is one of the primary destinations of corporate headquarters relocations in America. Maryland? Dead last. Montgomery County hasn't attracted a single major corporate headquarters in over a quarter century, and the statewide record looks just as bad.

"Virginia is a prime location for businesses of all varieties, and this honor from Business Facilities underscores the work we’ve been doing since day one to make Virginia the best place for business investment and job creation," Virginia Gov. Glenn Youngkin said in a statement. "The Commonwealth has experienced record job growth from companies that are drawn by our best-in-class talent, infrastructure, and business-friendly environment. I am thrilled that Virginia has earned this recognition from a leading source for site selection experts."

Virginia Gov. Glenn Youngkin wraps up
another year of the Old Dominion cleaning
Maryland's clock at economic development

"From advanced manufacturing to data centers to professional services, Virginia is attracting companies across industries with its business-friendly environment and programs to support the distinct needs of those businesses," Business Facilities Editorial Director Anne Cosgrove said. Earlier this year, CNBC named Virginia America's top state for business. Maryland came in 31st out of 50 on that list. Ouch.

Youngkin has proposed a number of tax cuts for Virginia residents in 2025. Maryland residents are facing yet more tax hikes, as its moribund economy has depressed revenues, while legislators in Annapolis have continued to spend wildly. 

"Let's take a victory lap on
Montgomery County's bike lanes!"

With no good news to share, and the potential loss of the Washington Commanders and future FBI headquarters looming, Maryland Gov. Wes Moore has been reduced to creating distractions by endorsing the legalization of beer and wine sales in grocery stores. Residents have been demanding that for decades, and have been stiff-armed by their representatives in Annapolis every step of the way over those years. While desperation and embarrassment have led to the topic suddenly being revived by their governor and party leader, a number of powerful Democrats in Annapolis went on the record last week to suggest they will block such a move in the upcoming legislative session.

Photos courtesy Office of Gov. Glenn Youngkin

Thursday, November 14, 2024

Virginia beats Maryland again, wins $1.3 billion manufacturing facility & 2015 jobs


Could Maryland and Montgomery County use a $1.3 billion corporate investment, 2015 high-wage jobs, and a major infusion of tax revenue? Yes! Did we win the 500,000-square-foot Microporous manufacturing facility? No! But Virginia Governor Glenn Youngkin will give you three guesses as to who did. Yet again, our rival across the Potomac River has bested us in the economic development sweepstates.


Microporous, a leading manufacturer of battery separators, will construct the $1.3 billion facility in Berry Hill, Virginia. The factory will create 2015 new, high-wage jobs, and will provide more freight traffic for the Port of Virginia. Tennessee-based Microporous was founded as the American Rubber Company, which patented the first rubber battery separator in 1934. Today, their products are in high demand, as adoption of electric vehicles explodes in many countries around the world, even if demand for EVs still lags in the United States. Virginia's port will indeed see a boost in outbound traffic as a result, as Microporous is the only manufacturer of rubber battery separators used in electric automobiles and mobility devices.


“This historic $1.35 billion investment by Microporous in Pittsylvania County marks a new chapter in Virginia's incredible advanced manufacturing story,” Youngkin said in a statement yesterday. “This project not only brings over 2,000 new jobs to Southside Virginia, but also positions the Commonwealth at the forefront of our nation’s resurgence in manufacturing. Microporous' decision to establish their new facility here underscores Virginia's competitive advantages and our commitment to leading the way in innovative industries.” Youngkin's office identified North Carolina as the other finalist for the facility; it's unclear if Maryland even attempted to pursue the opportunity, or was once again asleep at the switch.


“It is with great pleasure and excitement that we welcome Microporous to the Southern Virginia Megasite and Pittsylvania County," Pittsylvania County Board of Supervisors Chairman Darrell Dalton said Wednesday. “Microporous brings a new level of technological advancement to our business community as well as high paying jobs that offer another opportunity for our young people to remain and raise families in and near their hometowns. Microporous will also provide the County with added revenue to better serve our citizens. We look forward to many years of Microporous’ growth and success and Pittsylvania County is honored to be part of that journey.” 

Photos courtesy Office of Gov. Glenn Youngkin

Wednesday, November 06, 2024

Fairfax County beats Montgomery County again, winning CMC Electronics facility


Montgomery County has suffered another loss to Northern Virginia in the competition to win a new research and development facility from CMC Electronics. The avionics manufacturer chose Reston, Virginia for its new office and R&D facility, which will bring 89 high-wage jobs to Fairfax County at the start, with more to be added in the future. Virginia Delegate Karen Keys-Gamarra confirmed that the finalists in the race were Virginia, Maryland, Alabama, and Florida. On a positive note, at least Maryland was engaged in this contest - and in the running until the end - rather than being asleep at the switch.


It's hard not to notice the proximity of CMC's future facility site in Reston to Dulles International Airport. Dulles is the only airport in our region with the flight frequency and international destinations that meet the demands of international businesspeople. Montgomery County and Maryland continue to cut off their ideological nose to spite their economic development face, by blocking construction of a new Potomac River crossing from the I-270 corridor to Dulles.

Pierre Rossignol, President, CMC Electronics

"We are thrilled to be joining the vibrant Reston community and are excited about the opportunities this expansion brings—for our team, our partners, and our customers," CMC Electronics President Pierre Rossignol said in a statement. "We look forward to continuing our mission of pushing the boundaries of avionics excellence." The Montreal-based firm has an existing American facility in Sugar Grove, Illinois. CMC stands for Canadian Marconi Company; the company's founder was someone you might have heard of:  Guglielmo Marconi. The brilliant Italian inventor founded the firm in 1903.

Virginia Governor Glenn Youngkin

“CMC Electronics' decision to invest $5 million and establish its new facilities in Fairfax County underscores Virginia's position as a leader in aerospace innovation,” Virginia Governor Glenn Youngkin said in a statement from his office. “This creation of new high-tech jobs demonstrates the strength of our Commonwealth's talent pipeline and our commitment to fostering cutting-edge industries. Virginia's pro-business climate and strategic location continue to attract global companies like CMC Electronics, further solidifying our role in shaping the future of aviation technology.”

Fairfax County Board of Supervisors
Chairman Jeffrey C. McKay

“I am thrilled that CMC Electronics has chosen Reston as the location for their U.S. expansion and continued global growth,” Fairfax County Board of Supervisors Chairman Jeffrey C. McKay said. “CMC Electronics choosing Fairfax County is yet another testament to how business-friendly policies, a robust talent pipeline that supports innovation, and our unmatched quality of life is a winning combination for maintaining our status as the premiere destination for starting, locating, and growing your business.” 

Wednesday, October 02, 2024

"Sirius" failure for Montgomery County, Maryland as Virginia wins UK defense firm's US HQ


Officials in Montgomery County and the State of Maryland just can't seem to get "Sirius" about economic development, coming up empty again as a U.K. defense firm has followed so many others to Virginia to establish its first U.S. headquarters. Sirius Analysis, a defense management software consulting company headquartered in Portsmouth, England, will open its American headquarters at 4525 Main Street in Virginia Beach, Virginia Gov. Glenn Youngkin announced in a statement. The headquarters will bring 105 new high-wage tech jobs to the Old Dominion. 

Youngkin said Virginia and Massachusetts were the two finalists competing for the headquarters. There's no indication that Montgomery County or Maryland officials even bothered to compete. This despite Sirius having sought a location near military bases, of which Maryland has twenty, compared to Massachusetts' paltry six. Did we blow it, or what?

Virginia Gov. Glenn Youngkin

“Sirius Analysis choosing Virginia Beach as their U.S. headquarters showcases the Commonwealth's magnetic appeal in global defense innovation,” Youngkin said in a statement. “This expansion bridges UK-US defense collaboration, bringing cutting-edge analysis capabilities to our shores and creating valuable job opportunities for Virginians.”

“The arrival of Sirius Analysis signals a bright future for our region's tech ecosystem,” Virginia State Senator Aaron Rouse said. “By choosing our Virginia Beach for their U.S. operations, Sirius Analysis is not just creating over 100 high-skilled jobs, they're planting seeds for a new wave of innovation by strengthening our position as a hub for defense technology." 

It's long past time Montgomery County and Maryland's elected officials conducted a "Sirius Analysis" of their failures to attract corporate headquarters to locate here. Virginia is laughing at us.

Photo credits: Sirius Analysis (top), Office of Gov. Glenn Youngkin (bottom)

Friday, September 27, 2024

Foot Locker chooses Florida over Montgomery County, Maryland for new corporate HQ


Montgomery County and the State of Maryland turned out to be flyover country for Foot Locker. CEO Mary Dillon announced that the sporting goods giant, currently located in New York City, has chosen St. Petersburg, Florida as the new location for its global corporate headquarters. This officially gives St. Petersburg more Fortune 500 headquarters than Montgomery County, while its population is barely a third of MoCo's. Foot Locker plans to make the move late next year, bringing 175 high-wage jobs to St. Petersburg.

Foot Locker is only the latest company to sail over Montgomery County and Maryland like Michael Jordan on its way to the basket. Montgomery County hasn't attracted a major corporate headquarters in over a quarter-century. It's just one reason why the County, like Maryland, has a moribund economy and structural budget deficit. Once again, we've been dunked on by a more business-friendly jurisdiction, and the losses are adding up on residents' annually-rising tax bills.

"Foot Locker's move represents a significant corporate relocation, and importantly, it's another example of impactful and inclusive economic development in our city and the Tampa Bay region," St. Petersburg Mayor Kenneth T. Welch said in a statement. "On the heels of the generational Historic Gas Plant District project approval, St. Pete has now attracted a Fortune 500 company that will create 150+ more jobs and further diversify our workforce."

"We are delighted to welcome Foot Locker, Inc. to Pinellas County," Pinellas County Economic Development Director Dr. Cynthia Johnson said. "The Fortune 500 company’s decision to relocate here is a testament to Pinellas County’s attractiveness as a business destination. Pinellas County is committed to supporting the company’s growth and ensuring it thrives in the community.”

Photo courtesy Foot Locker

Monday, September 23, 2024

Montgomery County fumbles biotech HQ, Philadelphia recovers for touchdown


Butterfingers!
Biotech, along with residential housing construction, is really the only bright spot in Montgomery County's otherwise-moribund economy. Decisions - and hefty tax breaks, which coincidentally only apply to these two industries (wow, you mean tax breaks generate economic growth?) - made by County and Maryland leaders decades ago led to the development of a strong biotech sector. But even this couldn't prevent MoCo officials' latest fumble of a corporate headquarters, as the relocation search of Adare Pharma Solutions' global headquarters ended with the selection of...Philadelphia.

The New Jersey-based biotech firm made its decision last month, but the Pennsylvania Department of Community and Economic Development celebrated the victory at a ceremony on Friday. “Having a company like Adare relocate its global headquarters to Philadelphia is a fantastic win for our Commonwealth and proves Pennsylvania gets it done,” DCED Secretary Rick Siger said. “The company’s growth is helping to boost our already robust life sciences sector ― a key element of our economic development strategy — while creating more opportunities for Pennsylvanians.”

Steering the Keystone state's successful bid was the Governor's Action Team. “I’m competitive as hell and I believe Pennsylvania is the best state in the nation for companies who want to innovate, grow, and succeed so I’m thrilled that Adare has chosen Pennsylvania over other states for its headquarters and continued growth,” Governor Josh Shapiro said in a statement. “Pennsylvania is a leader in biotech and life sciences – with a talented workforce, access to key markets, and significant laboratory infrastructure – and Adare’s growth here will build on that legacy while creating more opportunity for Pennsylvanians. Pennsylvania is open for business, and I look forward to welcoming more companies to our Commonwealth in the near future.”

Adare's new global HQ will bring "at least 115 new, well-paying jobs" to Pennsylvania, the governor's statement indicated. Meanwhile, on the day that Philadelphia was celebrating the Adare HQ prize, the Montgomery County Council was tweeting about placing even more costly environmental regulations and paperwork responsibilities on building owners in the County. "Doh!" Now there's a great recruiting message to send to firms around the world. Montgomery County continues to be closed for business.

Friday, September 20, 2024

Montgomery County, Maryland miss target again as Virginia wins Kongsberg missile facility


Montgomery County and Maryland hit the snooze button again, and Virginia picked up another economic development victory while their rivals across the Potomac slept. Kongsberg Defence & Aerospace announced this week that it has chosen Virginia as the location for a new cruise missile production facility. The 150,000-square-foot complex will be constructed in James City County, and will manufacture Kongsberg's Naval Strike Missiles and Joint Strike Missiles. Both are anticipated to remain in high demand, and the Norwegian firm believes it is likely to win another contract from the U.S. Department of Defense soon.

A press release from the office of Virginia Gov. Glenn Youngkin said Virginia beat out two unidentified states in the competition for the Kongsberg facility. Youngkin made his winning case to Kongsberg during his trade mission to Europe this past April. While Youngkin was sealing the deal in Europe, the Montgomery County Council was passing legislation regulating hours for hookah lounges.

The factory will create more than 180 high-wage jobs. And this is actually the second Kongsberg production facility Maryland has lost out on; Pennsylvania won the first one in 2008, and the firm announced it will be expanding its Johnstown operation to handle the increased demand. It seems Kongsberg factories are dropping out of the sky everywhere around us, but landing everywhere but here. Such high-wage job creation is desperately needed not only in Montgomery County, but across Maryland from Cumberland and Hagerstown to Baltimore and Salisbury.

"Kongsberg's decision to establish its first U.S. defense assembly facility in Virginia reaffirms our status as America's top state for business," Youngkin said in a statement Tuesday. In contrast, a January report from the Maryland Comptroller's Office "found that Maryland is behind neighboring states and the nation in gross domestic product, personal income, real wages and population growth," the Associated Press reported. 

Photo courtesy Kongsberg

Monday, August 12, 2024

Virginia destroys Montgomery County, Maryland on 2024 Fortune 500, Global 500 lists


Montgomery County and Maryland continue to find mis-fortune in the world of business, as Virginia - and Northern Virginia in particular - have completely wiped the floor with both in Fortune magazine's 2024 Fortune 500 and Fortune Global 500 lists. The magazine published the latter list this past Friday. For 2024, seven Virginia-based companies rank in the Global 500; Maryland has only one: Lockheed Martin. 

This past May's Fortune 500 list, which is limited to American companies, was equally bad for MoCo and the Old Line State. Virginia has 24 Fortune 500 firms, more than half headquartered in Northern Virginia. Maryland has just four. Montgomery County remains down to only two, after Discovery fled to Knoxville and New York City in 2019. 

Perhaps the most humiliating aspect of Discovery's exit was that the Montgomery County Council was not engaged with the company's leaders at all, and was laser-focused on outlawing the use of animals in circuses during the very days that New York and Tennessee were sealing their deal with Discovery.

Montgomery County not only has failed to retain, much less grow, its stable of Fortune 500 companies in recent years, but hasn't attracted a single major corporate headquarters in over a quarter-century. "We don't need the Lockheed headquarters," former County Councilmember Nancy Floreen infamously declared in 2010. The Council's wish could come true: Lockheed recently announced it is shrinking - not growing - its footprint in Montgomery County, selling off its Rockville campus. 

Lockheed seems intimately aware that MoCo's elected officials are putting all their effort into helping their developer sugar daddies continue to transform the County into a bedroom community, rather than attracting and keeping high-wage jobs and corporate headquarters like theirs. The aerospace firm is marketing its Rockville campus as a site for townhomes, not corporate offices or research facilities. If that pitch isn't "peak 2024 Montgomery County," I don't know what is. Of course, even former County Executive Ike Leggett sounded the alarm that we were becoming a bedroom community before he left office, an incredible moment of political bravery and candor that surely did not sit well with the Montgomery County cartel.

Virginia Gov. Glenn Youngkin hasn't released a statement yet regarding the Fortune Global 500. But he did issue a press release to announce $126 million in State grants to fund preparation of business-ready sites across the Commonwealth. It's important to remember that the paradigm of Virginia crushing Montgomery County and Maryland in economic development predates Youngkin and Maryland Gov. Wes Moore. The issue isn't necessarily partisan, either. While Montgomery County's Republican residents have been denied any representation on the County Council through clever gerrymandering of Council districts since 2002, Virginia's booming business growth and 21st-century corporate HQ haul have come under one GOP and two Democratic governors. And several of America's top states for business have Democratic governors.

In contrast, Montgomery County and Maryland continue to self-sabotage their own "fortunes" in economic development. We have to be honest that this sabotage has been fully intentional. A new Potomac River crossing could have long ago given us direct access to Dulles International Airport, the only airport in the region with the flight frequency and global destinations demanded by CEOs and top executives. We've never completed our master plan highway system, when so many large companies are rightly focused on logistics, and seek states that invest in infrastructure like Virginia has. "Business-ready sites? What's that?" Most of our County elected officials have been tasked by their developer sugar daddies to convert as many existing or planned office and retail properties to luxury housing as possible. And they are delivering, as a quick drive around the Montgomery Mall, Wheaton, Germantown, Tower Oaks, or King Farm areas in recent years will reveal.


As a result, our County economy has been moribund since shortly after the MoCo cartel seized a majority of seats on the Council in 2002. The destruction of our business sector that began in December of that year has only accelerated over time. They're laughing at us in Arlington, Fairfax, Herndon, Manassas, and Richmond. But as more and more of the region's highest regressive tax burden shifts onto the shoulders of Montgomery County residents, the only smiles here are on the faces of the MoCo cartel, and the elected officials they totally control.

Monday, July 29, 2024

Virginia continues to crush Maryland in job creation


The economic development outlook remains bleak on this side of the Potomac River, as Virginia absolutely crushed Maryland in job creation last month. Just eight days after CNBC declared Virginia "America's Top State for Business," the U.S. Bureau of Labor Statistics announced that the state added 15,000 new jobs in June. That gave Virginia the third-highest job creation number out of all fifty states last month. By comparison, Maryland barely surpassed a third of that total, generating only 5,600 new jobs in June.

Maryland's unemployment rate rose to 2.8% in June, while Virginia's dropped to 2.7%. The biggest area of job growth in Maryland was in the government sector. In contrast, Virginia's largest job growth was in the private sector, in Professional and Business Services. While Maryland has only added 27,800 jobs total since January 1, Virginia was able to add more than half of that in the last month alone.

Montgomery County used to be a major engine of economic growth not only in Maryland, but in the Washington, D.C. metropolitan region. It has now ceded that role to Northern Virginia, as MoCo increasingly becomes the bedroom community for workers who are employed elsewhere in the region. In fact, a new Bethesda-to-Tysons express bus has just been proposed to serve those workers commuting to Virginia in the morning. Tysons - and Northern Virginia as a whole - continue to add major corporate headquarters, while Montgomery County hasn't added a single one in over a quarter century.

It's that high-wage job growth that allowed Virginia’s general fund revenues to end fiscal year 2024 $1.2 billion over the official revenue forecast. Virginia Gov. Glenn Youngkin cited "robust job growth" as the driver of that better-than-expected revenue.

In contrast, Montgomery County remains focused on the revenue-sapping activity of adding bedrooms, instead of boardrooms. Aside from presiding over a strong biotech sector that was created by wiser leaders years before they ever took office, MoCo's elected officials continue to put all of their economic development eggs into the residential housing construction basket.

Instead of building a new Potomac River crossing to Dulles International Airport, completing our master plan highway system, creating shovel-ready job sites, and focusing on attracting Fortune 500 companies and aerospace and defense firms to vacant office parks from Clarksburg to Bethesda to White Oak, our County Council is focused on building more luxury apartments and townhomes.

Montgomery County Council President Andrew Friedson told an audience of real estate developers hosted by Bisnow on July 18 that “[i]n Montgomery County, we’re really trying to change the narrative. We have to view housing as the economic infrastructure that we have to build communities.” That's definitely not the narrative guiding Northern Virginia, Texas, or California. We're in real trouble, folks.

Thursday, July 11, 2024

Virginia is named #1 state for business; Maryland is...31st


CNBC
released its annual America's Top States for Business list this morning, and as usual, our neighbor across the Potomac has cleaned our clock once again. The cable network declared Virginia the top state for business in America. Maryland ranked 31st on the list for 2024. Virginia Gov. Glenn Youngkin is already taking a victory lap this morning. "I am thrilled that our great Commonwealth has been named America’s Top State for Business," Youngkin said in a statement. Rest assured you won't be seeing a press release from Maryland today on the subject.

You won't be surprised to know that other states in the top 10 include Texas and Tennessee. But southern, right-to-work states didn't completely dominate the top tier, as union redoubts Minnesota, Michigan, and Washington came in at #6, #9, and #10, respectively. Pro-labor policies don't make for an anti-business state all by themselves.

Delaware surprisingly finished below Maryland. The First State is usually associated with corporations, but is apparently a better place to incorporate your business than to actually operate a business - in CNBC's evaluation. Of course, Elon would strongly disagree.

Why is Maryland failing? It isn't only our failure to attract Fortune 500 companies to the state.

Virginia has the third-best infrastructure in America, according to CNBC. Maryland's infrastructure is ranked way down at 37th-best in America. Ouch. This isn't surprising when you consider that Virginia has built countless miles of new highways; installed Express Lanes on I-395, I-495, and all the way down to Fredericksburg on I-95; expanded Metro subway service through Fairfax and Loudoun Counties to Dulles Airport; now has three passenger airports in Northern Virginia alone, including the vast array of international business destinations only accessible via Dulles Airport; and has greatly expanded - at its own expense - Amtrak and Virginia Railway Express rail service. CNBC also took note of Virginia's "shovel-ready" site availablity. 

Over the same period, Maryland has built - well, not much at all. Maryland finally managed to replace the Nice Bridge over the Potomac River after many delays, only to see the Key Bridge in Baltimore collapse because state leaders for decades failed to make the necessary safety improvements they were warned to in 1980. The Purple Line delays speak for themselves. Gov. Wes Moore recently revived the plans for the Baltimore Red Line, but the state lacks any money to build it in the foreseeable future. 

Likewise, there's no cash for commuter rail in Southern Maryland or a new Bay Bridge, and any financial drain from the operation of the Purple Line is already directed to take money from other transportation projects to cover the shortfall. Maryland continues to kick the solutions for congestion on I-270 and I-495 can down the road. 

Montgomery County likes to cancel transportation infrastructure as much as it likes to ban things. Unless you are a bike lane, you are likely to be canceled by the County Council. The Council's transportation fails include announcing the cancellation of the Montrose Parkway East in White Flint on the very day that Amazon reps were touring the White Flint area during the Amazon HQ2 competition. Our talented County Council also canceled all of the major transportation infrastructure that was required to support its approval of massive housing development in Germantown, Clarksburg and Damascus - - the Corridor Cities Transitway light rail system, and the M-83 Highway. The Rockville Freeway? Removed from the master plan decades ago.

Maryland infamously continues to block construction of any new bridges over the Potomac River, denying itself congestion relief that might negate the need to widen the Beltway and I-270, as well as providing direct access to Dulles Airport that would be essential to attracting major corporations to the I-270 corridor. That highway extension of I-370 to VA-28 has an existing right-of-way from Gaithersburg to the Potomac River crossing site, but none of the intelligence, will, or leadership to build it.

The infrastructure picture in Maryland is so bad, we couldn't even keep the ancient White's Ferry operating. Remember when former Maryland Gov. Bob Ehrlich built an entire highway, the InterCounty Connector, all by himself? It is now, rightfully, named for him. Our leaders today are super low-energy, by comparison.

Former MD Gov. Bob Ehrlich

Where else does Maryland fall short for business, according to CNBC? We're nearly the worst in America for the "Cost of Doing Business," landing at 47 out of 50. "Right into the buckle - that's gotta hurt, Gene." Montgomery County has the highest tax burden in the Washington, D.C. region, and our County and State tax structures are simply not competitive with Virginia.

CNBC shares the growing consensus that the economies of Montgomery County and Maryland are moribund. Maryland's economy ranks 30th out of all 50 states on their list. And that's probably being very generous of them. Grading on a curve.

Maryland's score for "Workforce" is nearly as bad, at 28 out of 50. This is shocking given that we have some of the most highly-educated populations in America in several counties. But CNBC finds our workforce to be worse than average.

Virginia is #1 for education. Maryland is #14. This isn't surprising if you've watched the slow motion 100-car-pileup decline of Montgomery County Public Schools since the departure of Dr. Jerry Weast, the last MCPS superintendent who - for whatever faults he had - was actually professionally-qualified for the job.

Maryland ranks way down at #37 for "Business Friendliness." Virginia is #5 in that column.

If you're an elected official in Maryland,
don't turn on CNBC today

The news isn't all bad. Maryland rises to 16 out of 50 in quality of life. Texas is dead last in that category. But Virginia is only 3 points behind us at 19th. The Commonwealth was also 19th in cost-of-living. That means they beat us there, too. 

CNBC also ranks Maryland in the top 10 states for Technology and Innovation, at #8. This is pretty surprising, too, but likely the result of Montgomery County's only economic bright spot, the biotech sector. Virginia has superior tech infrastructure, and has been home to many more notable tech firms, but somehow ends up at 15 in this category.

We already know that Montgomery County hasn't attracted a single major corporate headquarters in over a quarter century. But it's becoming more surprising by the day that Gov. Moore has been unable to attract such HQs or significant manufacturing facilities to the state. One of his biggest calling cards and selling points was that he was a successful Wall Street businessman. He regularly hobnobs and fundraises among the financial elite on Martha's Vineyard and in the Hamptons. Surely, his Rolodex is bursting at the seams with CEO phone numbers. But, perplexingly, he has yet to score a big win in the corporate HQ and factory races.

The CNBC list only reinforces what engaged observers in our County and State already know. We're in real trouble, folks. And the lack of business starts, development and growth are hitting the County and State budgets harder than ever. Just look at the latest County Council tax hikes (and ballot questions to facilitate even-bigger tax hikes starting next year), and the dystopian budget headlines out of Annapolis. 

We can't go on like this.

Wednesday, June 19, 2024

Losing to Virginia on another factory, is Montgomery County in the hunt for IKEA manufacturing site?


Montgomery County and Maryland were beaten in the economic development game again by Virginia yesterday. Will they be players in the next big manufacturing competition, for an IKEA factory on American soil? Virginia Gov. Glenn Youngkin's office announced Tuesday that his state had won the competition for a 400,000-square-foot Condair Group AG manufacturing facility. The press release indicated that Virginia and South Carolina were the two finalists. Meanwhile, the Financial Times reported this past weekend that IKEA is scouting for factory locations in the United States, due to increasing disruptions in international shipping lanes.

Virginia could already have a [LÖVBACKEN table] leg up in the IKEA race, as the Swedish furniture giant previously operated its only U.S. factory in Danville, Virginia from 2008 to 2019. It ultimately closed that plant, shipping its 300 jobs back to Europe. Montgomery County has plenty of room for an IKEA plant in the I-270 corridor, where there is also potential direct rail access to the CSX Metropolitan Subdivision for domestic or port shipping purposes. Of course, Baltimore, Hagerstown and Cumberland are among the struggling Maryland cities that could use an IKEA plant to help revive their once-mighty industrial areas.

There's no indication of Montgomery County or Maryland having been in the hunt for the Condair plant. The $57.2 million investment by Condair in Chesterfield County, Virginia will create 180 good-paying industrial jobs with full benefits. Instead of Condair products being exported out of the Port of Baltimore, they'll be headed out of Richmond Marine Terminal in Virginia, according to the press release.

"When an international brand like Condair makes the decision to locate in Virginia, the positive ripple-effects of economic investment, job creation and cargo growth are felt throughout the Commonwealth," Virginia Port Authority CEO Stephen A. Edwards said in a statement. "The Port of Virginia will be among the beneficiaries of Condair’s location in Chesterfield County, which is not far from Richmond Marine Terminal. We are ready to collaborate with Condair to help it leverage the assets of this port — America’s most modern gateway — to ensure it has access to world markets." 

"Virginia is the perfect location for the international company Condair to establish its state-of-the-art manufacturing facility," Youngkin said in a statement Tuesday. "We applaud the 21st century manufacturing jobs that this project will bring to Chesterfield County."

Sunday, April 07, 2024

Montgomery County's moribund economy just needs...more cowbell, Planning Dept. says


Montgomery County's moribund economy isn't a new problem. I've been writing about it for over a decade. In more recent years, The Washington Post editorial board has finally acknowledged that MoCo, once the economic engine of the Washington, D.C. region, has become stagnant - - though only in the service of their Ahab-like crusade against their chief nemesis, Marc Elrich. Even a handful of politicians have begun admitting it, from Elrich himself, to his twice-vanquished opponent David Blair, and even Maryland Gov. Wes Moore. But despite the arrival of more-powerful voices at the table, Montgomery County and Maryland's policies have yet to change. In fact, the Montgomery County Planning Department is now arguing that the solution is to double down on the failed path we've been on: "More cowbell!"

In a recent series on the department's relentlessly pro-developer blog, The Third Place, we find the latest example of the Montgomery County cartel phenomenon we might call, "Now more than ever..." Whatever the latest crisis to befall a sector, demographic or geographic area of the County, their solution is always the same: Build more luxury housing. Whether it's the moribund economy, failing schools, increasing poverty, or the decline of an area like Friendship Heights, our elected officials tell us the answer - "now more than ever" - is to build more luxury apartments.

The Third Place series is just the latest example of this "More cowbell!" argument. 

It is ostensibly a deep dive into the stagnation of the Montgomery County economy. But as the series advances beyond a deceptive twisting of statistics that aren't actually the root cause of the stagnation, it eventually arrives at a familiar conclusion - we need to build more luxury housing.

More cowbell!

Most residents will never read this blog series, but you the taxpayer are not the target audience, anyway. Like most reports generated by the Planning Department, the purpose is to provide Astroturf data and analysis our developer-funded elected officials can point to as justification for upzoning greater and greater areas of the County. But if a resident of one of the most highly-educated jurisdictions in America were to read this blog series, they would quickly sense that something is amiss.

For example, Part I classifies Montgomery County residents who make $138,750 and above as "high-income" residents. In the real world, that's called "barely-keeping-your-head-above-water" in Montgomery County. Many County residents skating by on maxed-out credit, the bank-of-Mom-and-Dad, and assorted other survival tactics would be shocked to learn that they are "rich." 

The reason for this low wealth bar becomes clear as you continue reading. It is a way to make it seem that the "rich" portion of the population has merely remained constant. In reality, the flight of the rich from Montgomery County has been well-documented, down to the amount of tax revenue in millions that those wealthy expats have taken with them to lower-tax jurisdictions in the area. 

Were we to classify "high-income" more accurately, we would see that those numbers have declined significantly. The exodus has been most clearly seen in Montgomery County plummeting entirely off of the Forbes Top Ten Richest Counties list last decade, and in the collapse of "Montgomery County's Rodeo Drive" in Friendship Heights, which in recent years has become a stretch of aging apartment buildings and vacant storefronts.

As the rich have fled, they have been replaced - and then some - by low-income residents. The Third Place acknowledges this. "Specifically, our analysis shows that between 2005 and 2022, Montgomery County’s low-income population grew faster than the other groups. Montgomery County’s middle-income population shrank." Charles, Frederick, Howard, Loudoun, and Prince William counties can surely attest to the latter, as they've welcomed those cash-strapped, taxed-to-death MoCo refugees, along with the Virginia exurbs.

While that tax revenue has flowed outward, our business growth has dropped to the lowest in the region. Our job creation numbers have collapsed, and even fallen behind Prince George's County in recent years. And Montgomery County hasn't attracted a single major corporate headquarters in over a quarter century, a time frame that neatly dovetails with the MoCo cartel's seizure of the County Council in 2002 with the "End Gridlock" slate. As does the shift of population growth to the bottom of the income scale.

What urgent strategic and policy changes does The Third Place recommend to turn the tide, and attract the business and commercial revenue we need?

"The main, actionable takeaway from this research is to encourage the production of market-rate infill housing."

We know, of course, that "market-rate" housing in Montgomery County is expensive. There's no shortage of expensive housing in the County. We also know, from hard experience since 2002, that massive construction of new luxury housing does not reduce rents or home prices. Period. And because new residential housing generates more costs in County services than it does in tax revenue, building more won't solve our structural budget deficit. Much less restore our moribund economy.

Did the rich flee Montgomery County because home prices were too cheap? Not quite. Would middle class residents return en masse from the exurbs if we produced more $1 million townhomes and $2 million duplexes? Nope.

What would actually make Montgomery County a booming jurisdiction, make it possible for more residents to afford living here, and fill the County's revenue coffers? High-wage jobs from major corporate employers. 

The Third Place worries that currently, "there will be nowhere for affordable-housing residents to go once they are ready to upgrade." But it doesn't explain how janitors, cooks and grocery store bakers will suddenly be flush with the cash needed to buy that luxury housing that The Third Place wants to overdevelop even more than today. 

Here's a hint: Jobs. Good jobs. The kind we haven't been attracting to Montgomery County for a couple of decades now.

Gov. Wes Moore seems to understand this, noting that Maryland's economy today simply can't provide the revenue to fund his ambitious agenda. This year's legislative session in Annapolis seems to indicate that his message fell on deaf ears among his General Assembly colleagues. Likewise, Elrich has come around to the idea that the County should be attracting high-wage jobs. But his legislative colleagues on the County Council haven't joined him yet. 

The cumulative impact of elected officials who write the laws remaining stubborn in their ways - and loyal to the real estate developers who elected them - will only hasten the exit of wealth and revenue from Montgomery County. In addition to the massive property and recordation tax hikes passed last year, low and middle-income workers will soon be paying several hundred dollars to register their work trucks and soccer mom minivans. A 75-cent tax on every Uber ride. Even a $1.25 more on each pack of smokes. All of these are extremely regressive taxes.

A quick look at the press release pages of Gov. Moore and Virginia Gov. Glenn Youngkin gives just a small sense of the problem. Both men have Rolodexes stuffed with Wall Street and corporate connections. Surprisingly, Moore has so far failed to convince any of his friends in the Hamptons or Martha's Vineyard to relocate their Fortune 500 companies to Maryland. And that's even amid a downward trend for Virginia under Youngkin. The GOP 2028 aspirant's announcements of new, major corporate headquarters relocating to the Old Dominion have come at a much more sporadic pace than under his two Democratic predecessors.

But even as Virginia begins to flounder a bit, and budget woes creep up on legislators in Arlington and Fairfax counties who have begun to follow the big-spending ways of MoCo, we have not been able to seize any momentary advantage.

Not only has Youngkin failed to tee up many big wins, but when he does, he now has a legislature that is more like the one in Annapolis to block him. That's partly his own fault, for bizarrely making the last state election about abortion, a sure losing crusade even in red states - much less a blue one like Virginia. And he even turned away a Ford electric vehicle battery plant. Tired of winning, perhaps?

Yet, even as Virginia slips into a lower economic gear, 2024 has brought another major corporate HQ to Virginia. CoStar - which once was headquartered in Bethesda(!!), before fleeing to the District in 2010 - purchased the 1201 Wilson Boulevard office tower in Rosslyn for its new global HQ. It will bring its existing 500 jobs, and add 150 additional jobs in its new Virginia home. 

CoStar joins Northrup Grumman, Capital One, Hilton Hotels, Volkswagen, Lidl, Intelsat, Gannett, General Dynamics, Blackboard, Corporate Executive Board, Nestle, Gerber, Lego, and the rest of a truly-headspinning list of household-name companies to select Northern Virginia over Montgomery County in recent times.

During the same Q1 period in Maryland, Gov. Moore was only able to announce the relocation of Blink Charging Co. from Florida to Bowie. That's certainly a positive and welcome development, but it's not a major or Fortune 500 company. The number of existing corporate expansions in Maryland so far this year has also been dwarfed by the number in Virginia. 

Over the first three months of 2024, Gov. Youngkin issued press releases announcing 9 other new or expanding businesses adding jobs to the state. During the same period, Maryland only had 2, another resounding defeat in regional competition.

It was encouraging news that when Moore received the phone call about the Key Bridge collapse, he was on an unannounced business trip to Boston. This at least shows he may currently be working on something big behind the scenes.

Montgomery County was once the place where such big economic development news was made in the DC region. What I've argued for over a decade has been further vindicated by the collapse of the office market after the pandemic rise of working-from-home. 

We need to be attracting major corporate headquarters, and research and manufacturing facilities, from the aerospace, defense and tech sectors. These are the sectors that need large, secure campuses in suburban office parks, the kind we - thankfully, for now - still have plenty of. And room to build plenty more. The anonymous apologists for the County Council said I was a fool, and that companies wanted to be in traditional office buildings by Metro stations in urban areas. 

It turns out I was right. "Now more than ever," you might say.

Currently, the ever-increasing and regressive tax burden caused by our elected officials' profligate spending is falling almost entirely on residents. We are leaving all of the commercial, business tax revenue - and income revenue from high-wage jobs, on the table for our rivals in Virginia, for whom we've become a bedroom community. 

By adopting more-competitive business policies, adding missing infrastructure like a new Potomac River crossing to provide direct access to Dulles International Airport, and being aggressive in attracting the evergreen industries that provide high-income employment in good times and bad, we can ease the tax and fee burden on residents. 

Thursday, August 31, 2023

Fairchild Apartments in Germantown recall the golden age of Montgomery County (Photos)


Montgomery County was once the economic engine of the Washington, D.C. suburbs. Today, it's recognized as economically-moribund by everyone from The Washington Post to Maryland Governor Wes Moore, and has ceded the spotlight to Fairfax County and other booming job centers in Northern Virginia. To see how far Montgomery County has fallen, one only has to look back at its golden age, which lasted roughly from 1960 to 2000. Lockheed Martin and Marriott International are among the few remaining vestiges of that boomtime, a time when a big player like IBM had not just one, but three sites in the county. A new apartment building in Germantown pays elaborate tribute to one of the brightest jewels in Montgomery County's golden age crown, Fairchild Aircraft.


Fairchild was a major aerospace design and manufacturing firm. Its presence in Maryland included a corporate and R&D campus at 20301 Century Boulevard in Germantown, and an aircraft manufacturing plant in Hagerstown. A short runway outside the Germantown site was used by corporate executives to travel between the company's two Maryland campuses aboard a Short Takeoff and Landing (STOL) turboprop airplane. Curiously, the STOL runway bore a large Iron Cross insignia - - even more curious given the background of the firm's most famous executive, one who is excluded from the tribute.


It's almost hard to believe today, but during the 1970s, the father of spaceflight had an office overlooking I-270. Wernher von Braun served as Fairchild's Vice-President of Engineering and Development from 1972 until his retirement in 1976. A brilliant and complicated man with an equally-complicated history, von Braun was a German pioneer in rocketry. He was also was a member of the Nazi Party and the SS, and fully aware of the use of slave labor that was utilized at the underground Mittelwerk V-2 rocket assembly plant, labor that was drawn from the adjacent Mittelbau-Dora concentration camp.


The U.S. government looked the other way at the questionable parts of von Braun's resume following World War II, as it did with so many former Nazis it brought to America through the controversial Operation Paperclip, ostensibly to ensure these scientific and engineering wizards didn't end up working for the Soviets. Only through dogged investigation by journalists did the wartime actions of many of these men sooner or later come to public light. Von Braun, through his work for the Department of Defense and NASA, was largely responsible for the United States winning the race to the moon in 1969. He died from cancer shortly after his retirement from Fairchild.

Fairchild Aircraft logo "easter egg"
on the Fairchild Apartments facade

The 1980s brought great changes to Fairchild. Its Hagerstown plant closed in 1984. The end of the Cold War hit the company hard. Orbital Sciences Corporation acquired the Germantown division of the firm, now known as Fairchild Space and Defense Corp., in 1994. Orbital sold FS&D Corp. to the Smiths Group in 2000. Five years later, Smiths announced it would be closing the Germantown campus, which once employed over 1000 people.


Since then, the old Fairchild campus area has slowly begun to redevelop. The latest addition is the Fairchild Apartments development at 20013 Century Boulevard. While many new apartment buildings offer little more than a gimmicky brand name and cookie-cutter design, the Fairchild Apartments development displays great thought and effort in memorializing its namesake company.


A Fairchild Aircraft logo is sculpted right into the facade of the building, for starters. One museum-quality display provides information about the history of the Germantown Fairchild campus, noting that the A-10 Thunderbolt and the landing gear for the space shuttle were both designed there. The Iron Cross runway and campus layout are depicted. It even features a photograph of the Fairchild Porter turboprop lifting off from the Germantown runway!


Another display pays tribute to the founder of Fairchild Industries, Sherman Mills Fairchild. It notes his memorial foundation in Chevy Chase, Maryland "distributes more than $35 million annually to support higher education, fine arts and cultural institutions." There's no display for von Braun.

Fairchild campus layout, including the 
runway with Iron Cross at right

Other displays feature the A-10 Thunderbolt "Warthog," also known as the "Tank Killer," and the Germantown facility's last major project, the Topex/Poseidon satellite. Designed with a NATO-Soviet European ground war in mind, the A-10 instead ended up as the most-feared nemesis of tank crews in the third-world nations America invaded in the post-Soviet era. The Topex/Poseidon mapped the topography and circulation of Earth's oceans as they had never been seen before, from its launch in August 1992 until its mission-ending malfunction in 2008. It's still up there somewhere, circling the Earth.


Down on Earth, part of the Fairchild campus is still here, as well - - albeit reclaimed by nature. Street names at a townhome development further up Century Boulevard recall Fairchild, and some of its famous products, like the C-119 "Flying Boxcar." One street there, Stol Run, is a nod to Fairchild's iconic STOL runway. More developments, especially those built on or near historic sites, should incorporate those past landmarks and associated individuals to the same degree that the Fairchild Apartments have here in Germantown.