Laserfiche WebLink
I <br /> Mid—Continent Resources <br /> May 19, 1988 <br /> Page — 2 — <br /> Garfield County has three distinctively different economic influence zones. <br /> The extremely long east/west dimension of the County is about 105 miles. The <br /> County begins on the east near the easterly end of Glenwood Canyon and extends <br /> westerly to the Utah State line. <br /> The western most zone is notable in that it is very sparsely populated. The <br /> community centers in counties north and south of westerly Garfield county are <br /> the centers of economic influence for this area. <br /> The second area of economic import is the central Garfield County area, which <br /> is notable by the presence of the Colorado River. This area extends in the <br /> Colorado River Valley from the Town of New Castle to westerly of Parachute, <br /> Colorado where the Colorado River and 1-70 leave the County. This segment of <br /> the Colorado River Valley is broad and well suited for agricultural use, which <br /> is its dominate use. Community centers within this economic zone include the <br /> Towns of New Castle, Silt, Rifle and Parachute—Battlement Mesa (formerly <br /> Grand Valley). This area was at the center of the recent oilshale boom which <br /> began in 1978. The announced shut down of the Exxon project in May of 1982 <br /> signalled the beginning of the bust phase of the oilshale boom/bust cycle. <br /> The City of Rifle is the largest and most dominate community in the area. In <br /> the time period 1978 to 1982, the number of dwelling units within the City limits <br /> of Rifle more than doubled. While statistical data is not available for the <br /> remainder of the area, the Rifle City data tends to illustrate the excessive <br /> inventory buildup of finished real estate properties within the area. The Exxon <br /> shut down and the subsequent population exodus, with few exceptions, over <br /> supplied the area with most types of developed real estate. <br /> Property values have declined in varying degrees in all three areas in recent <br /> time. <br /> The middle, or Rifle area, has suffered the greatest and most significant real <br /> estate value declines. This is quite obvious because of the substantial real <br /> estate development and buildup of inventories in response to the oilshale <br /> boom. The Rifle area, after the crash of oilshale development and the <br /> substantial decline in oil prices, is left with a substantial oversupply of <br /> developed property. Prior to the development of oilshale, the Rifle areas <br /> primary economic influence was agricultural and agricultural support <br /> services coupled to a very moderate growth rate. The existing oversupply of <br /> developed properties will take many years to consume through normal growth <br /> rates without the renewal of major oilshale development or other major <br /> industrial employment. Another result is that many rural properties that had <br /> shifted more toward future development and investment in highest and best use <br /> are now shifting back to a strictly agriculture highest and best use. <br /> Prior to the oilshale boom, the eastern portions of this area near the <br /> Communities of New Castle and Silt served the Roaring Fork Valley area as <br /> bedroom communities. <br /> Applegate & Co. Reel Estate Appraisers <br />