As many of you already know, the Star Tribune recently ran an in-depth three-part series on the Wright County real estate market called "From Boom to Bust." Wright County has experienced some tumultous changes in the last few years due in no small part to the real estate boom and resulting explosion of new construction activity in the growing, exurban region. With the housing market now in contraction, Wright County is—like many counties in the metro—experiencing dramatic declines in new construction and uncertainties with some high-profile residential projects.
The Strib broke up their coverage into three parts:
Part I: Minnesota's New Ghost Towns
Part II: Housing Bets Gone Bad
And Part III, with an infinitely less-catchy title: Suburbs stuck with empty houses are trying to figure out what to do now
No matter your take on the fairness or objectivity of these reports, they are worth the read, and highlight some important market currents underpinning the challenges that face communities struck hard by the shifting market. The Strib's editor even went as far as publicly praising her staff for their work on the story.
But some aren't so pleased with the coverage, perhaps justifiably so, for its laser-focus on one specific county's troubles. In light of the troubles experienced by the entire metro, this feels like an unnecessary pile-on by some. In the interest of promoting intellectual curiousity and vigorous discussion, below is an unpublished letter to the Strib editor, penned by Wright County Economic Development Partnership leader Noel LaBine (hat-tip to Laurie Karnes for sending it our way):
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Star Tribune Article off-balance
The recent articles by Star Tribune reporters Chris Seeres, Jim Buchta, and Glenn Howatt have been very biased in their presentation of the current housing situation in the area. Why they decided to target Wright County is curious. They certainly have not taken a balanced view of what has happened in the current market. Moreover, their interpretation of the facts is misleading.
They are biased because they have decided to use a fear mongering approach to explain an already distressed situation. Obviously they are not students of the use of media to be an asset towards the development of community. Words like reckless, ghost towns, and meltdowns are more useful to describe war and devastation than to describe a needed correction in the housing price bubble. Quoting people, who believe that were heading for a depression, adds further impetus to their fear-mongering.
More on the positive side includes all the businesses that are doing well in Wright County. Expansions have recently occurred for manufacturers in Annandale, Cokato, and St. Michael, and more are being planned for manufacturers in Howard Lake and Monticello. These are building expansions ranging from 7,000 s.f. to 90,000 s.f. Other expansions are occurring with several manufacturers, that I know of, that does not include building expansion, but which certainly include product and/or workforce expansions. In addition there are several large projects underway with a new jail being built in Buffalo, an addition to the hospital clinic in Monticello, and a new Fleet Farm retail center in Monticello. In addition to these, there are two new restaurants being planned for Otsego and two more new bank buildings going up there as well. Meanwhile, a new community center is being planned for St. Michael. Some other new businesses that are looking to move into or start-up in Wright County include a corrugated plastic pipe manufacturer, an environmental concrete wet-waste handling businesses that will employ up to 40 employees in two years, and a natural pet and human skin and teeth treatment and food supplement business. These are just some of the many projects that are occurring in Wright County, which has a healthy economy overall.
A more balanced view would consider some of the facts. If 1 out of 40 houses are in foreclosure, in Wright County that would be about 2.5% or 97.5% of houses are either paid for or the owners are able to make their monthly payments. Which way of presenting that information is less scary? In a balanced view aren’t both points of view valid? There is another fact mis-represented. While Otsego, Albertville and St. Michael may have had predominantly German ancestors, there are 16 communities in Wright County, and some of them have had a majority of their ancestry from either Ireland, or Finland, or Quebec, or other regions. I raise this point, because in Wright County we have balance, we believe in balance, and we try to maintain a balanced point-of-view.
While the current distressed housing industry and market is worrisome and has caused some decay in consumer confidence, this is certainly not the general profile of our economy. The housing and auto industry only makes up 7% of our gross domestic product. The other 93% of our economy is doing fine. With the declining value in the dollar, not only are U.S. and Minnesota manufacturers experiencing increased demand for their products, but for the first time in 20 years we are experiencing a positive foreign balance of trade. This market correction is not only a necessary part of a free market society, but already there are some very positive signs of the much-needed correction. Bottom line is 95% of us have good jobs and we are making are payments. Hardly the profile for the despairing economy that the Star Tribune promotes.
If the purpose of their articles were to sow dissension and fear, then they have succeeded. I have attended five events in Wright County in the last four days, and everyone has had a negative reaction to the stories. One realtor told me that a deal that she has been working on for a retail strip mall is being further scrutinized by the banker, because he has been spooked by the article. A number of people have asked me to write a response to these articles. If the Star Tribune is trying to regain some of the subscribers that they have lost, I would suggest that printing articles like these is not a good tactic.
Another criticism of their tactics is their decision to make these stories of “get-rich-quick schemes by a few” worthy of front page news. For one thing, it is not a new story. The market has already shaken out most of the bad mortgage writers. For another thing, the courts are already indicting a number of fraudulent deal makers. Putting this kind of story on the front page is just one more step toward the tribune becoming a tabloid newspaper.
We pick up here where we left off, with the second part of our new series: Lessons from the RREAR, where we dig deeper into the data found in our Annual Residential Real Estate Activity Report. 
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