The National Retail Federation estimates that approximately $27.9 billion dollars will be spent on Father’s Day purchases this year, a $3.9 billion dollar increase over 2025. The average customer is expected to spend $226 with top purchases being experiences, cards and clothing, with electronics and personal services following closely behind.
For decades Royal Clothiers has served as a retail landmark in Downtown Morgan Hill. From outfitting high schoolers for prom, to tailoring custom suits, to displaying the newest Tommy Bahama products, Royal Clothiers has excelled at pairing high-quality menswear with top-notch customer service. Owner Carlos Perez recently announced his impending retirement and hopes to sell the store to someone who will keep the legacy alive. In recognition of his contributions and community support, he was awarded the 2026 Senate District 15 Small Business of the Year award.
The retail industry is experiencing yet another Gen Z consumer-led shift, this time away from online shopping and towards In Real Life (IRL) experiences. What was old is now new as retro vibes take front stage and brand loyalty is a thing of the past as style becomes more personal through brand blending. As the largest population in the United States, understanding how and why Gen Z shops is pivotal for retailer success.
The Silicon Valley Business Journal recently daylighted Morgan Hill’s residential construction boom:
“Morgan Hill’s residential pipeline has surpassed 3,000 units, one of the largest growth cycles in the city’s history, as the city pushes to become a more economically self-sustaining market, according to city data. Much of the development is concentrated in north Morgan Hill, where projects are closing the gap with San Jose and reshaping land use and density, city officials said. Officials and developers said the mix of projects reflects sustained demand for more attainable housing in Santa Clara County, while raising new questions about infrastructure and long-term planning.”
Set to debut in Silicon Valley, The MOHI by Appellation will be a 76-room hotel offering thoughtful dining, a lush pool oasis and spa, and standout wedding and event venues to the emerging food and wine destination of Morgan Hill. True to Appellation’s food-first ethos and the rich culinary abundance of Morgan Hill, The MOHI by Appellation will introduce a dynamic collection of four food and beverage concepts, each offering a distinct experience while collectively shaping the hotel’s social and cultural energy. Rooted in local sourcing and seasonal expression, the hotel’s lineup of unique bars and restaurants, is designed to draw both guests and locals alike, positioning the hotel as the hub for Morgan Hill’s next chapter.
The first quarter of 2025 marks the first time in two years that the state of California received a positive year-over-year sales tax result. During that same timeframe Santa Clara County sales tax was down 2.2%, Bay Area sales tax was up 0.5% and City of Morgan Hill sales tax was up 0.1%. Much of the City’s positivity can be attributed to a statewide audit on online sales, leading to reallocations in the County pool which resulted in Morgan Hill’s share increasing 2.1% when compared to this same quarter last year.
The City’s Auto and Transportation category declined in alignment with nationwide industry results, the Fuel and Service Station category decreased due to a reduction in the price of crude oil, and the General Consumer Goods category declined signaling a shift from instore to online shopping. The first quarter of the year historically yields the lowest sales tax generation. Starting the year with a positive sales tax report is hopefully an indicator of additional positive results to come.
Read the full first quarter 2025 sales tax reportHERE.