Florida Trend | Florida's Business Authority

Greener Pastures

Tropical storms, congestion and housing costs keep pushing South Floridians to greener pastures in North Central. But not all of the newcomers from South Florida are staying full time. Says Jayne Moraski, economic development director of the North Central Florida Regional Planning Council, "Many people are building upper-end weekend homes on the Steinhatchee and Suwannee rivers and the coast at Horseshoe Beach and Cedar Key."

The booming housing market -- especially in Marion, Alachua and Sumter counties -- and other development reflect a growing regional population: Proposed cement plants in Alachua and Sumter, construction of a $2-million conference center in rural Bradford, downtown development in Gainesville and completion of a $2.8-million airport runway in Williston. Though large-scale industries and business aren't swarming into the region, North Central's location continues to make it attractive as a distribution point.

New residents are driving up land prices, straining local resources and causing contention over growth issues everywhere. In Cedar Key, newcomers are not only changing "the quaint fishing village they adore" but also making it hard for support facilities for fishing industries to stay in business, says Leslie Sturmer of the University of Florida Shellfish Aquaculture Extension Program in Cedar Key.

Key Newcomer

? West Palm Beach transplant and Realtor Tom Warriner heads Marion County's new Florida Horse Park -- a showcase for world-class riders located on 500 acres of public land adjacent to the Florida Greenway. "This area has a greater concentration of all horse breeds than anywhere else in the world," says Warriner. "We're quickly becoming the sports horse capital of the world." Since the park opened in November, says Warriner, more than 14,000 people have passed through its gates, generating an estimated $30-million impact.

New Companies

? Houston-based Sysco, a major food service marketing and distributing company, plans to open a regional distribution center in the city of Alachua in 2007 with work for 250.

? New building codes on coastal areas prompted Eden Prairie, Minn.- based Cardinal Glass to build a $22-million Ocala plant and hire 135 workers to build laminated hurricane impact-resistant glass products. Operations are scheduled to begin this summer.

? Gainesville city officials have given Fort Lauderdale developer Equity Venture Realty permission to build a $39-million, 12-story condo, retail and restaurant development.

? David Peterson is the driving force behind construction under way in Sumter County of the Florida Grand Motor Coach Resort, which could generate almost 100 jobs in Sumter averaging $27,000 a year. The resort will have sites for 499 motor homes.

? If all goes as planned, Tampa-based Florida Southeast Development will buy Butler Plaza, a mile-long shopping center, and other Gainesville properties for $300 million, making it possibly the biggest real estate purchase ever in Alachua County.

Gainesville/Alachua County

The University of Florida's student body is no longer Gainesville's main source of population growth. Now highly credentialed newcomers zero in on the city's amenities and UF's assets. "They're not running from something but coming to something," such as university-spawned biotech startups, says local building contractor Barry Rutenberg.

Retirees are coming too. "Many are parents of UF faculty and Gators coming home," says Gainesville Mayor Pegeen Hanrahan.

The university has generated controversy with its decision to extend health benefits to its unmarried employees' partners. Meanwhile, debate continues over the homeless, roads and a proposed coal-burning electric power plant. There's a big demand for distribution center workers, and builders complain that building regulations are contradictory.

Key Newcomers

? Gary Ascani, a recent arrival from Birmingham, Ala., is the new CEO of local startup Banyan BioMarkers, which has developed a product that identifies biomarkers in blood samples that indicate the severity of brain injuries. The Department of Defense provided research funds and has high hopes that Banyan can help war-injured soldiers.

? After Hurricane Katrina washed away St. Charles Pharmaceuticals in New Orleans, CEO Leslie Molony evacuated to Gainesville, where she is setting up company operations in the Sid Martin Biotech incubator in Alachua to develop medicine to treat pain and neurological damage. Gainesville, she says, "has a greater number of venture capitalists than Louisiana."

Ocala/Marion County

With more than 290,000 residents, Marion County is North Central's largest and most populated county -- having grown 50% in 15 years. Among the newcomers is an increasing number of Hispanics. Says Lola Gonzalez, a Miami transplant and founder of Accurate Background Check in Ocala: "A year and a half ago, my staff only used English. Now I have five workers who are bilingual." Hispanics now make up almost 12% of the local public school students. ... Residential growth -- also fueled by out-of-state retirees and South Floridians -- is prompting debates over impact fees, proposed transportation taxes and water issues. County commissioners recently implored the Florida DEP and Gov. Jeb Bush to negotiate the purchase of 4,600 acres from Miami-based Avatar to protect Florida's famous Silver Springs from encroaching development.

Key Newcomers

? Phil Schwab runs operations at Cheney Bros.' new plant in Ocala, built because the food distributor outgrew its facilities in Riviera Beach and needed easier access to markets in the central and northern parts of the state. The company employs 369 in Ocala and hopes to reach 500.

? In 2003, Troy Kuphal, freshly arrived from West Bend, Wis., became Marion County's first ever water resource coordinator. He now heads a study -- unique in the state -- to assess Marion's abundant water supply and its future needs.

Sumter County

Bradley Arnold from Tennessee beat out 52 others to become Sumter's new county administrator. Diane Lee, president of the Sumter County Economic Development Council, says, "He understands economic development and has the expertise and determination to get the job done."

Dixie County

New homes are popping up along the coast and the Suwannee River but there's little building elsewhere. One hindrance to development is the lack of infrastructure. Another is lack of expertise in promoting growth. ... "Some tough times may be ahead for local leaders," says Ray Wise, former chamber of commerce executive secretary. "As property values and therefore ad valorem taxes skyrocket, citizens are going to want more from government than regular scraping of their unpaved road."

Levy County

Boat maker Monterey Boats has expanded into a new facility and employs 650 in Williston, a town with 1,500 new homes in various stages of construction. "That equates to 180% growth based on our current population and three people per new rooftop and buildout in three to five years," says Jim Coleman, Williston city manager and airport manager. Developers like Williston's proximity to Ocala and Gainesville. ... In a partnership with the Florida Department of Transportation and the Federal Aviation Administration, Williston has undertaken a $2.8-million runway resurfacing project at Williston Municipal Airport.

Bradford County

New residents from South Florida and land investors from Canada are sparking debates over impact fees and tax increases for new schools and roads. However, says Ron Lilly, CEO of the North Florida Regional Chamber of Commerce, "With a low unemployment rate of 3.2%, there is a need for more people to work for the companies that are opening in the area." The chamber and the local workforce group are developing a certified worker program to meet the demand.

Union County

"The biggest issue for us is how to find money to fund much-needed services" to keep up with modest residential growth, says Regina Parrish, Union County clerk of the court and clerk to the county commission. "We're a very poor county, and we're capped at 10 mils on property tax." Local officials hope the state Legislature will approve a bill (which failed last year) that would give small counties like Union up to $600,000 to provide services. Population Charts: