News-Press from Fort Myers, Florida • Page 10

BUSINESS EDITOR: HARRIET SIMPSON 335-0393 NEWS-PRESS SECTION Monday-Friday 10 a.m.-7 p.m. FRIDAY, FEBRUARY 3, 1995 PAGE 10 BUSINESS jy 1 I a Florida tourism down in November; Lee bucks trend The Associated Press 1993 slayings of two German visitors In Miami and a British motorist in northern Florida. A study released last month Indicated crime wasn't as often cited as a reason for not visiting Florida as other factors, such as a desire to travel to different places. "The issue of crime is not necessarily the big determinative issue," Dusseau said. "We face competitive pressure from locations closer to home.

They're taking shorter vacations closer to home." News-Press staff writer Lara Gold contributed to this report. more and why," Dusseau acknowledged. One possible explanation of the Igher spending is success of tourism advertising focused on South American markets such as Brazil and Argentina, he said. Latin American visitors tend to stay longer and spend more, not only on tourist activities but on other purchases, said Dusseau. Florida tourism hasn't been promoted as long or heavily in Latin American countries as in Europe.

That means more first-time visitors are likely from Latin America, itors In tourist and recreational categories were $2,6 billion In November, a scant 0.5 percent Increase, but that totaled $29.9 billion for the first 1 1 months of 1 994, up 2.8 percent. The categories Include hotels, motels and tourist attractions but also other businesses such as theaters that aren't used primarily by tourists. Tourist expenditures In Lee County also were up In November. Expenditures totaled $35,452,071, a 6.5 percent increase from November "It's difficult to say who spent and tourists visiting for the first time tend to spend more, Dusseau said. It was the second sharp monthly decline for Florida's largest Industry, which accounts for about 675,000 Jobs and about $32 billion a year In revenues.

Auto arrivals in October had dwindled 12.8 percent from a year earlier and air travel, after several months of growth, had dropped 6.1 percent. Industry struggles have often been blamed on image problems after Hurricane Andrew In 1992 and crimes against tourists including the Lee County tourism, however, increased in November compared to the same month of the previous year. November visitors totaled 78,414, a 5.8 percent Increase over November 1993 with 74,142. Visitors to the county for the first 1 1 months of 1 994 totaled 1,502,574, up 1.4 percent fromthesamemonthsinl993, There was one bright spot for the state, said Commerce Secretary Charles Dusseau. "While the number of tourists coming to Florida remains below last year's levels, taxable sales are up." Taxable sales that the state mon TALLAHASSEE About 3.

1 million people visited Florida in November, down 8.2 percent from a year earlier, Department of Commerce officials said Thursday. The numbers dropped mostly because auto travel to the state dwindled by 17 percent. Air travel remained virtually the same as November 1 993, sagging 0.7 percent. Visitors for the first 1 1 months of 1994 edged above 36.9 million, still down 2.5 percent from the same period in 1993. ALBERTSON'S EXPANDS ITS MARKET It'shntcix! fty Doug -V CMMl CSS t- i i dhuol rniciiews-rross Shoppers crowd the check-out lines at the new Albertson's supermarket that opened Wednesday at San Carlos Boulevard and Summerlin Road south of Fort Myers.

The store features a bakery, video, electronics and camera department, pharmacy and liquor store. The company's Florida division Is based In Orlando. inthecountyduringtheyear. In 1993, Timmerman said, 2,477 new homes and condominiums were. sold about 30 percent of all resi-, dential properties to be sold.

Thirty-year, fixed-rate mort- gages averaged more than 9 percent in December, up from less than 7 percent when the year began. An; increase from 7 percent to 9 percent would add $209 to the monthly pay-; ment on a $1 50,000 mortgage. The Federal Reserve boosted short-term rates again this week, the; seventh increase in a year to slow the economy and contain inflation. Mort-' gage rates generally have moved in step with the Fed increases. In its report Thursday, the Com-, merce Department said an esti-mated 349,000 new houses were for' sale at the end of 1994, highest at the end of 1989, when the housing industry was heading ward recession.

Seiders of the Home Builders as-' soclation is forecasting a 4 percent -decline in sales but still sees a "pretty healthy level" this year. In addition to rising mortgage rates, increased prices in some areas were driving affordability down. The median price of a new home in De- cember was $135,000 $10,000 more than a year earlier. The me- dian is the midpoint, meaning half of the homes cost more and half cost less. Meanwhile, many retailers re- ported Improved sales last month, although much of their merchandise was marked down in an effort to clear their shelves for spring.

That often meant smaller profit margins. But some observers said the in- creased sales showed that consum- ers still were interested in buying. despite rising rates that often mean higher credit card costs. News-Press wire services contributed to this report. ByEDO'DONOGHUE News-Press staff writer New homes sold markedly better in Lee County in 1994 than in the rest of the country as local contractors and developers successfully marketed 18 percent more new houses and condominiums during the year than in 1993.

What's fueling the boom? Julie Kline, divisional administrator for Lennar Homes, said it's the increased Importance of second-home buyers in Lee County, especially in its expanding and affluent southern market "what we call the Fort Myers-Naples corridor." Nationally, sales of new homes rose 0.6 percent to 670,000 last year, the Commerce Department said Thursday. It was the highest level since 676,000 single-family homes were sold in 1988. Regionally, sales were up in the Northeast and West, but flat in the Midwest and down in the South. Countrywide, however, sales were dropping in the final two months down 0.6 percent in December, to a seasonally adjusted 637,000 annual rate, and 9.6 percent In November. "This is evidence that the sales market was losing momentum at the end of the year because of interest rates," contended David F.

Seiders, an economist with the National Association of Home Builders. The housing industry is the most interest-sensitive sector in the economy because most sales are financed with loans. Higher interest rates mean less-affordable homes. In Lee County, 2,923 new units were sold In 1994. Michael Timmer-man, a real estate appraiser and consultant at Collier Appraisal Services of Naples, said new homes accounted for 34 percent of all homes and condominiums to change hands Architect selected for broadcast center By MARY WOZNIAK News-Press staff writer FGCU when the rest of the USF at Fort Myers campus is absorbed into the new uni- versity.

FL0RIDA GULF COAST UNIVERSITY Kirk Lehto-maa, general manager of WSFP-TV, said mats, not just their technologies, but the people and their corporate cultures, will be the biggest challenge, Barany said. The broadcast center will be in the first phase of university construction, which includes a student services building, a library, a child care center, central energy plant, and two academic classroomlab buildings. The state legislature has appropriated funding for the broadcast center. The next step will be for the architectural firm to negotiate a contract with FGCU, Barany said. The firm was the architect for WBBH and WEVU, the NBC and ABC television affiliates in Fort Myers and Bonita Springs, respectively, and WGTO, a radio station outside Orlando.

The broadcast facility at FGCU will house both public television sta-tion WSFP-TV, now In Bonita Springs, and public radio station WSFP-FM, now located at the University of South Florida at Fort Myers. The two are divisions of the University of South Florida, and their licenses will be transferred to A Fort Myers firm has been chosen as the architect for the $5 million broadcast facility to be built on the campus of Florida Gulf Coast University. Barany Schmitt Weaver Partners Inc. received word Thursday that it would get the contract, said Joseph A. Barany, president.

"We're really excited. Obviously, we're very thrilled at the opportunity and pleased to be selected we were amongsome tough competitors." he was happy Barany Schmitt Weaver was chosen. "It's good that they're a local company. We'll have access to them, and they'll have access to us during the planning process," he said. Integrating the two media for- Banking takeover rumors boost share prices The Associated Press Business agency makes Subway alter provision solidating over the last several years as competition and slow revenue growth has forced many institutions to join forces to survive and become stronger.

Several small and medium-sized bank mergers and acquisitions have taken place in recent months. Banks have been gobbling up mortgage companies, money management firms and processing businesses In an effort to diversify their mix of services. First Union Corp. recently said it would pay $531 million in cash for a Florida bank, one of the biggest cash deals in months. day, down 50 cents.

NationsBank filed documents with the Securities and Exchange Commission revealing plans to sell $3 billion in debt and stock to raise money, prompting speculation that the company may buy another bank. NationsBank said in the filing that the proceeds would be used for general corporate purposes. The company's shares were up 37 14 cents to $46.50 Thursday. All the banks declined through spokespersons to comment. Discussions about possible bank takeovers are going on all the time.

The banking Industry has been con by Bank of New York Co. Inc. or Bank of Boston Corp. Shawmut's shares were up 75 cents to $22,3712 Thursday on the New York Stock Exchange. Shares of First Fidelity New Jersey's largest bank, shot up last month on takeover rumblings.

Rumors circulated that the bank was holding merger talks with NationsBank, a Charlotte, N.C. company and the nation's third largest bank. First Fidelity's shares are up 8 percent since early December and were trading at $48.1 2 2 cents Thurs NEW YORK Takeover rumors are sweeping through the banking industry, pushing up share prices of several large banks around the country. New laws allowing banks to branch across state lines, overall weakness in bank stock prices and a cash glut at many banks have fanned the rumor flames. Shares of Shawmut National a banking company based in Hartford, rose 7.5 percent on Wednesday on rumors of a takeover.

Talk centered around an acquisition what now is the standard contract offered by the Fort Lauderdale-based franchiser of Subway shops, Doctor's Associates Inc. Doctor's has since agreed to amend the provision for franchisees that seek SBA assistance. The provision gives Doctor's the right to freely rebuy franchises and-makes it easier to oust franchises. The Associated Press A new controversy is emerging over the Subway system's tight controls on franchisees. Despite contract provisions that franchisee advocates have long deplored, Subway's sandwich-shop chain has become one of the world's biggest franchise systems.

In an unusual action, the Small Business Administration Is refusing to guarantee loans to buyers that sign BOTTOM LINE Airlines Agriculture Real estate REGIONAL PRESIDENT: Maggie SALAD PLANT SOLD: U.S. Sugar has sold the South Bay Growers salad processing plant In western Palm Beach County to Taylor Fresh Foods of Salinas, Calif. Company CEO Bruce Taylor has indicated he will retain most of the current 1 20 employees and the South Bay name. U.S. Sugar had continued to operate the profitable salad plant after closing the rest of Its vegetable growlngsubsidiary last summer.

The sale followed the announcement last week of two businesses setting up shop at the former South Bay complex. Morris, a real estate agent in Fort Myers for the past 20 years, has been elected the Florida Association of Realtors' regional president for Southwest Florida. She will represent the Interests of more than 5,000 agents and brokers in Lee, Collier and Hendry Television World markets FREE EXPOSURE: Sony and IBM are getting a Key stock markets performance windfall of commercial exposure without paying for it on FRANKFURT war 4i one of the most heavily watched TV shows. "miwuhi previous. wj.4d Millions of viewers tuning into the O.J.

Simpson a2 Today: 2045.25 murder trial can hardly avoid seeing the logos of one or PARIS Previous: 1827.78 the other electronics brands on the computer gear used a 0 fi0 Todav-181610 by Judge Lance Ito. SonyandlBMsaldtheyloanedthelrequipmentatno HONGKONG Previous: 7342.65 charge for use by the judge during Simpson's trial on rj.0 Today: x-na charges the football hero killed his ex-wife and her friend. TOKYO Previous: 18739.47 0.7 Today: 18604.30 Layoffs London previous: 3017.3 7,000 BOEING JOBS CUT: Stung by a recent rash -6 Today: 3034.7 of cancelled or delayed plane orders, the Boeing Co. In ZURICH Previous: 2560.8 ni0 jobs and a cut in production of 767s and 737s. The cuts looay.

oo. came only weeks after Chairman Frank Shrontz had markets: Frankfurt dax. hw9 Kong: Hang expressed that the company would rally in 1 995. S6nc FT 100 CAC-4 kvo: Nikkal. Zurich: Credit Suisse, na: not available, x-na: holiday.

DELTA TICKET DEAL: The federal government Thursday approved a joint ticketing venture between Delta Air Lines and Britain's Virgin Atlantic Airways that gives Delta long-sought access to London's Heathrow Airport. Delta has struggled In the trans-Atlantic market since It acquired Pan American World Airways' European businessln 1991. Pan Am's routes didn't include any to Heathrow, a major European gateway. Under the agreement, Delta passengers departing Los Angeles, New York, Miami, San Francisco, Boston, Orlando, and Newark will fly to Heathrow on Virgin jets. Delta will still use its planes to fly to London's Gatwick Airport from Atlanta and Cincinnati.

MORRIS counties in state matters. A vice president in the Fort Myers office of Coldwell Banker McFadden Sprowls, Morris was president of the Fort Myers Association of Realtors In 1 992, and Its RealtoroftheYearforl994. Stocks NAME CHANGE: American Barrick Resources on the New York Stock Exchange is now Barrick Gold Corp. Look for It under the name BarrickG Instock listings..