BOMA CALIFORNIA Weekly Update 👋

LOCAL ASSOCIATIONS

Greater Los Angeles

Inland Empire

BOMA California

Weekly Update

July 8, 2022

CALIFORNIA COMMERCIAL REAL ESTATE SUMMIT – REGISTRATION/HOTEL
WAREHOUSE/LOGISTIC CENTER BAN STALLED IN COMMITTEE - ICYMI
POTENTIAL NEW TAXING AUTHORITY IN SAN DIEGO
ITEMIZING PARKING COSTS IN COMMERCIAL LEASES FIXED - ICYMI
BOMA CALIFORNIA CALENDAR 2022

California Commercial Real Estate Summit -

Registration/Hotel

The California Commercial Real Estate Summit is coming up on August 9-10, 2022!

CCRES is the one time of year that industry leaders from all sectors of the commercial, industrial, and retail real estate industry join come together from across the nation and hear from top policymakers and California State Legislators.

There are some slight changes to the event this year if you have been in the past, so please CLICK HERE TO VISIT THE EVENT PAGE to view the CCRES Agenda and more details.

Prior to the event and meeting with Legislators, we will be offering two identical Zoom Legislative Briefings on August 5 and August 8 at 12pm. We hope these prior meetings will allow you more time to familiarize yourself with legislation and spend more time in Sacramento discussing with members!

We will be kicking off the event with a reception on August 9. The reception will be held at Prelude Kitchen and Bar, right across the street from the Capitol, starting at 5:30pm. This will be a great opportunity to network with other commercial real estate professionals and Legislators that swing by!

CLICK HERE TO REGISTER FOR CCRES

CLICK HERE FOR HOTEL RESERVATIONS IN OUR ROOM BLOCK

We look forward to seeing you there!

Warehouse/Logistic Center Ban Stalled in Committee -

ICYMI

Matthew Hargrove, President and CEO of California Business Properties Association (CBPA), issued the following statement in response to the AB 2840 (Reyes; D-Colton) stalling in the Assembly Governance and Finance Committee last Wednesday:

“We thank Chairperson Caballero and members of the Governance and Finance Committee for hearing issues related to AB 2840 and Assemblymember Reyes for deciding to hold the bill for the year,” stated Matthew Hargrove.

Hargrove continued, “The bill as written would have broken a key link in the state’s supply chain, killed jobs, and hurt housing.”

CBPA stood with a diverse coalition of stakeholders to oppose the measure including several Labor Unions, the CalChamber, and CBIA who designated the bill as a Housing Killer.

“Modern warehouses and logistics centers are major job creators and are among the most energy and water efficient buildings in the nation. The trucks that take products from warehouses to the desired locations are cleaner than ever and are well on their way to becoming emissions free” stated Hargrove.

AB 2840 by Ms. Reyes attempted to ban warehouse and logistics projects over 100,000 s.f. from being built within 1,000 feet of other non-warehouse buildings when introduced.

To read the full release, CLICK HERE.

THANK YOU to all of you who have helped on this bill. This is a victory worth celebrating, but the attacks on our Industry will not subside here.

Potential New Taxing Authority in San Diego

CBPA is part of a coalition opposing SB 1105 (Hueso), which would establish the San Diego Regional Equitable and Environmentally Friendly Housing Agency.

This bill would grant the Agency the authority to issue general obligation bonds and place financing measures on the ballot to fund the acquisition of market rate properties and expand rental protection programs.

SB 1105 would grant unchecked bonding and taxing authority to the unelected Agency Board, which would impose higher property taxes on businesses and homeowners. The revenues generated by the Agency would be used to convert naturally occurring affordable market rate housing into deed restricted housing, thereby reducing the total supply of housing as the agency would not construct new units.

The bill is headed to Assembly Appropriations, stay tuned for more updates on our battle against this proposed legislation.

Itemizing Parking Costs in Commercial Leases Fixed -

ICYMI

AB 2206 (Lee; D-San Jose), a bill that would have required the lessor of a nonresidential building located within a nonattainment area to itemize parking costs in all lease agreements if the tenants of the building are provided free parking was amended in Senate Judiciary last week.

With the amendments removing the mandate of requiring lessors to break out parking costs as a separate line item in leases, we will be able to shift to a neutral position once seeing the language in print. This legislation is trying to address the current cash-out parking program issues, but we believed this would place an unnecessary burden on commercial real estate companies while doing little to resolve any of the issues the cash-out program is faced with.

In 2009, a bill similar to the one introduced was vetoed. At that time, the Governor signed SB 728 (Lowenthal) which clarified that either the California Air Resources Board or a local air district may enforce the existing parking cash-out law.

We would like to thank Chairperson Umberg and the committee staff for listening to our concerns with this bill and offering amendments that Assemblymember Lee accepted.

BOMA California Calendar 2022

August 9, 2022

BOMA California Board Meeting, Sacramento

August 9-10, 2022

California Commercial Real Estate Summit, Sacramento

November 15, 2022

CBPA Board Meeting & Post-Election Wrap Up, TBD

November 15, 2022

BOMA California Board Meeting, TBD