Speaking of California building permits, only San Diego had as large a decline in 2006 as Sacramento.

San Diego permits were down 23 percent from 15,258 in 2005 to an estimated 11,744 in 2006. Sacramento saw a 28 percent drop to an estimated 13,255 units.

The last time San Diego permits fell below 10,000 was in 1996, when 6,868 permits were issued, according to the Burbank-based Construction Industry Research Boar

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