This is an excerpt from an article in California Globe published on January 30, 2021.

If you want to check me out or want to read the entire article, click here: Tesla's Elon Musk Leaving the Golden State for the No Income Tax State - California Globe

If you want to just read my Excerpt, it is in orange (mostly) below but, before the Excerpt, let us hear from California Assemblywoman Lorena Gonzales who Tweeted... “F*ck Elon Musk”.

Begin Excerpt:

“The California exodus is real.

California Globe reported in September that the Hoover Institution’s Lee Ohanian  warned about this. “California businesses are leaving the state in droves. In just 2018 and 2019—economic boom years—765 commercial facilities left California. This exodus doesn’t count Charles Schwab’s announcement to leave San Francisco next year. Nor does it include the 13,000 estimated businesses to have left between 2009 and 2016, Ohanian said. “The reason? Economics, plain and simple. California is too expensive, and its taxes and regulations are too high.”

If that isn’t enough, the San Francisco Business Journal interviewed one of California Globe’s business subjects, longtime Sacramento, California developer Paul Petrovich, who “says he is among the 30,400 wealthy Californians who will have to pay California’s wealth tax if it’s approved — so he’s moving to Austin.” Petrovich said “he will move both his residence and company, Petrovich Development Co., over the next two years, or as soon as he’s able to sell his holdings in Northern California and re-establish the company’s headquarters in the Texas capital.”

Musk will have plenty of company from California.

“Getting out of California, with the highest income tax in the country, and into Texas, which has no state income tax, could save Musk billions of dollars based on his compensation package awarded in 2018,” CNBC said.

“To help lure Tesla’s new factory, local officials granted the company tens of millions of dollars in property tax breaks. Musk confirmed on the company’s second-quarter earnings call in July that the plant would occupy about 2,000 acres 15 minutes from downtown, and would be used to build the Cybertruck, its Semi, Model 3 and Model Y. Musk said the factory will start delivering cars next year.”

Real estate is a big motivator for Musk. As the Globe reported, “The once-great state of California has become a minefield for commercial real estate investment and development and things will be getting worse, not better,” Joseph J. Ori, Executive Managing Director of the Paramount Capital Corp., a Commercial Real Estate Advisory firm wrote. “The assault on real estate in California has been occurring for years but has been done under the radar with small anti-real estate changes here and there that overall, had little effect on the industry. However, anti-real estate and business legislation hit overdrive about three years ago and has accelerated with a myriad of new laws and regulations.”

Ori warned that during the last two years, numerous legislative actions have been enacted or were on the 2020 ballot in California “that will negatively affect the CRE industry.”

Ori added, “California is becoming very inhospitable to the CRE industry and business in general and with these and other anti-real estate laws, it may be time for investors to demand substantially higher cap rates or decline to invest in California real estate altogether.”” 

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Pop Quiz: True or False...California Assemblywoman Lorena Gonzales is a Savvy Business-Friendly Public Official who is going to generate a lot of Tax Revenue for the State of California every year she is in office.

Would I kid u?

Smartfella