Connect with us

California

Woman berates wealthy California tech workers for moving to her city and inflating its housing market: ‘Real estate is cooked’

Published

on

Woman berates wealthy California tech workers for moving to her city and inflating its housing market: ‘Real estate is cooked’


A TikTok user lambasted California tech workers for invading her city, leading to inflated prices and a low supply of homes.

In a clip that has racked up over half a million views, Austin native Dani berated those who fled to Texas during the pandemic and bought up cheap homes, which they later demolished, turned into pricey Airbnbs or flipped for a profit.

She placed most of the blame on people who fled the Golden State, lured in by the low cost of living and absence of a state income tax.

‘They’re trying to sell houses for crazy, crazy inflated prices, and that’s not going to work,’ Dani said.

Advertisement

The housing market, she lamented, was ‘cooked’. 

She placed the blame on those who fled to Texas during the pandemic and bought up cheap homes to rent as Airbnbs or flip for a profit

Austin native Dani berated California tech workers for ‘cooking’ the housing market in her home city. She placed the blame on those who fled to Texas during the pandemic and bought up cheap homes to rent as Airbnbs or flip for a profit

Last June, Austin's rentals ranked among the most expensive in the country (pictured: an Airbnb listed in May 2024 for $3,942 per night)

Last June, Austin’s rentals ranked among the most expensive in the country (pictured: an Airbnb listed in May 2024 for $3,942 per night)

Dani said many new arrivals were leaving amid sweeping tech layoffs, without much of a return on their housing investments (Pictured: an Airbnb listed in May 2024 for $3,920 per night)

Dani said many new arrivals were leaving amid sweeping tech layoffs, without much of a return on their housing investments (Pictured: an Airbnb listed in May 2024 for $3,920 per night)

Austin had the highest net inflow of tech workers of any major city in the United States from May 2020 to April 2021, according to LinkedIn user data.

And while it is debated whether there was a significant ‘exodus’ of Californians into Texas – studies from the University of California determined otherwise – San Francisco saw a sharp increase in people leaving.

A March 2021 policy brief from the California Policy Lab concluded that departures from the city in the second through fourth quarters of 2020 were 31 percent higher than during the same period in 2019.

And data from the U.S. Census Bureau shows that California lost 75,423 residents in 2023, following a steady pattern that began during the pandemic.

Advertisement

Dani’s claim about skyrocketing Airbnb prices holds some weight as well. Last June, Austin’s rentals ranked among the most expensive in the country.

A study by ChamberofCommerce.org found that rentals in the city boasted an average daily rate of $373 across all property sizes. An average one-bedroom rental in Austin cost $127 per night, while two-bedroom properties averaged $203.

In her viral TikTok, Dani also pointed out that residents, including those who arrived during the pandemic, are now leaving the city amid a turbulent tech job market.

‘We’re having a ton of tech layoffs – this city’s economy is based in tech, so a lot of people are moving away,’ she said.

Tech companies have historically maintained a foothold in the Texas capital (Pictured: the original Apple campus at 5501 West Parmer Lane in Austin)

Tech companies have historically maintained a foothold in the Texas capital (Pictured: the original Apple campus at 5501 West Parmer Lane in Austin) 

Tesla opened its 'Giga Texas' factory east of the city in April 2022, but now plans to lay off 2,688 workers beginning in June

Tesla opened its ‘Giga Texas’ factory east of the city in April 2022, but now plans to lay off 2,688 workers beginning in June

Austin has long been hailed as a pioneer of innovation, beginning with the genesis of IBM and Texas Instruments in the 1960s. It is the birthplace of Dell, which went on to become one of the largest computer manufacturers.

Advertisement

Despite concentrating in Silicon Valley and the Bay Area, tech giants have also maintained a foothold in the Texas state capital.

Google leased Block 185, a sail-shaped skyscraper on the bank of the Colorado River, in 2019. The company was supposed to move in sometime this year, but the timeline hangs in the balance amid sweeping layoffs.

Apple, meanwhile, shows no signs of slowing down after quietly leasing an entire office building in the Westlake neighborhood. This followed a $240 million investment in its North Austin campus, which is set to open in March of next year.

Auto manufacturer Tesla opened its ‘Giga Texas’ factory east of Austin in April 2022, but now plans to lay off 2,688 workers beginning in June.

Companies including Apple and Tesla were offered packages worth tens of millions of dollars in property and payroll tax reimbursements as an incentive from the city. However, that may not be enough to get them to stay.

Advertisement

After relocating its corporate headquarters from the Bay Area to Austin, business software and services company Oracle has plans to move out.

As tech companies leave the city, so do their workers – and few are seeing much of a return on their housing investments. 

Home prices in the city increased 60 percent from 2020 to 2022, and despite seeing an 11 percent drop in 2024, the prices remain near record-high levels.

The initial influx of newcomers during the pandemic also sparked the construction of apartments. There has been so much of it that rental rates decreased in Austin by 7.4 percent since last year.

These conditions make it even more difficult to sell property, Dani pointed out, as many would rather rent an apartment than shell out considerably more to buy or lease a home.

Advertisement

‘This is what you get for trying to take advantage of people who are just trying to buy in their city or their state that they’ve lived in their whole life,’ she declared.



Source link

California

A fast-growing wildfire in windy Southern California triggers evacuations

Published

on

A fast-growing wildfire in windy Southern California triggers evacuations


RIVERSIDE, Calif. — A smoky and fast-growing wildfire Friday in windy Southern California has prompted multiple evacuation orders and warnings.

The Springs Fire broke out at around 11 a.m. Friday and by the evening had grown to about 5.47 square miles (14.17 square kilometers), with fire crews starting to contain it. The cause of the fire east of Moreno Valley in Riverside County is under investigation. It was not immediately known how many households are under evacuation warnings or orders.

The fire was burning in a populated — but not densely so — unincorporated part of Riverside County, in a recreational area near the city of Moreno Valley, which has a population of roughly 200,000. The city is 10 miles (16 kilometers) southeast of Riverside and 64 miles (103 kilometers) east of Los Angeles.

Springs Fire In Moreno Valley Explodes To Burn Over 3,500 Acres
A firefighting aircraft sprays red flame retardant at the site of the Springs Fire, on Friday.Qian Weizhong / VCG via Getty Images

“It’s windy out there,” said Maggie Cline De La Rosa, a public information officer for the California Department of Forestry and Fire Protection in Riverside County.

Alex Izaguirre, a spokesperson for the Cal Fire Riverside County, said the wind is “spreading the smoke,” prompting concerned calls from residents in neighboring cities who can see and smell the smoke.

The National Weather Service issued a wind advisory for San Bernardino and Riverside County valleys through Saturday afternoon, with gusts of up to 50 mph (80 kph) expected.

“Tree limbs could be blown down and a few power outages may result,” the advisory read.

Advertisement



Source link

Continue Reading

California

Doctors, nurses arrested in Southern California health care fraud investigation

Published

on

Doctors, nurses arrested in Southern California health care fraud investigation


LOS ANGELES — The U.S. Department of Justice on Thursday announced what they called a major health care fraud takedown throughout Southern California, which included the arrest of doctors and nurses.

First Assistant U.S. Attorney Bill Essayli was joined during a press conference by several law enforcement agencies including the FBI, and Dr. Mehmet Oz, head of the Centers for Medicare and Medicaid Services.

They said they served a series of search and arrest warrants throughout the region, from Covina to Lakewood in Los Angeles County. Eight people were arrested and more than a dozen are being charged for suspected health fraud.

They also mentioned fraudulent hospice care.

Advertisement

“These defendants recruited beneficiaries who were not terminally ill, and paid them to pose as patients receiving hospice care. Medicare then paid millions of dollars – hundreds of millions of dollars – on false and fraudulent claims submitted by fraudsters,” said Essayli.

Among those arrested were a Covina couple. Prosecutors said 66-year-old psychologist Gladwin Gill and his wife, Amelou Gill, a registered nurse, operated a fraudulent hospice business out of Glendale.

“This particular hospice submitted more than $5.2 million in fraudulent claims, and Medicare actually paid out more than $4 million,” Essayli said.

Gill’s attorney told our sister station, ABC7 Eyewitness News in Los Angeles, he denies the allegations and looks forward to his day in court.

Oz announced a broader review of hospice providers in the state.

Advertisement

“We’re going to review every single hospice in California to make sure that they’re all appropriate, and we hope to do that expeditiously. We’ll do it this year,” Oz said.

During the news conference, federal authorities were questioned about a video California Gov. Gavin Newsom said in January his office was reviewing. In that video, Oz, who is Turkish American, was shown standing in front of an Armenian-owned bakery in Van Nuys while alleging widespread fraud in the area.

Essayli confirmed that none of the defendants named Thursday were connected to that video. Oz responded to outcry that his accusations, which the business owner denounced as false, were discriminatory.

“I was stating the facts as they’ve been explained to me, and we have a lot of evidence of where the fraud is, just looking at the numbers,” Oz said.

Oz did not provide any evidence against a specific business in connection to that video. He suggested that half of Los Angeles County hospice care facilities are fraudulent, pointing to survival percentages as evidence.

Advertisement

“World experts at CMS say if you’ve got 100% or near survival, certainly if you’ve got a survival over 50% for population that’s supposed to have passed in six months, you’ve got a problem,” he said.

Newsom responded to accusations that California had not done enough to address hospice fraud, saying in part, “The Trump Administration – home to the biggest fraudsters on Earth – is trying to blame California for issues with THEIR federal programs.”

His press office said the state has taken action for years, including suspending more than 280 licenses and banning new ones.

Copyright © 2026 KABC Television, LLC. All rights reserved.



Source link

Advertisement
Continue Reading

California

California law allowing people to cook, sell food from homes getting statewide push

Published

on

California law allowing people to cook, sell food from homes getting statewide push


A home-based food movement has been heating up in California, with home cooks turning their beloved family recipes into small businesses. 

When most people get laid off, they update their résumés. James Houlahan preheated his oven.

“It’s pretty brutal, and since nobody’s hiring, I just figured I need to make a job for myself,” he said.

So the San Francisco Bay Area resident went back to a family recipe and decided to take a risk, with a whisk. He started making pavlovas, a light, meringue-based Australian dessert, crisp on the outside and soft in the middle.

Advertisement

“It’s something my mom and I always joked about whenever we’d bring a pav to a party, this thing kills,” Houlahan said. “So we figured, someone’s gotta make a business out of this.”

So he did, out of his own kitchen in Alameda. 

And that’s not a loophole. A 2019 law called MEHKO, or Microenterprise Home Kitchen Operation, allows people to cook and sell food right out of their homes. Since then, more than 1,000 of these home kitchens have opened across California, operating under a growing but still patchwork system.

There are rules: food must be made from scratch and sold the same day. Not every county is on board, but there is now a push to expand it statewide.

Roya Bagheri, the executive director of The Cook Alliance, the nonprofit behind MEHKO, said the law is gaining momentum across the country as other states consider their own versions. 

Advertisement

“The cost of getting something like a food truck or a brick and mortar restaurant is so high, this creates an access to enter the food industry,” she said.

A study by the group showed more than a third of home kitchen operators have used MEHKO as a stepping stone into something bigger.

But for some, the law is still a little undercooked. Jot Condie, president and CEO of the California Restaurant Association, warned that some counties may not have the resources to take it on.

“If they don’t have the budget, there may not be a rigorous inspection procedure, and that is a huge concern for us,” Condie said.

As for Houlahan, he’s betting on his own kitchen and his mother’s name: Marianne’s Pavlovas. And his customers, like Flora Tso, are already sold.

Advertisement

“Nowadays it just gives us more choice,” she said.



Source link

Continue Reading
Advertisement

Trending