California Business Properties Association

ICSC - BOMA California - NAIOP California - IREM California - RILA - Nareit - CALED - ACRE - AIR CRE

Matthew Hargrove

President & CEO

Melissa Stevens

Chief Operating Officer

Rex W. Hime

VP Strategic Communications

Crystal Whitfield

Executive Assistant

Rex S. Hime

Senior Advisor

CBPA

Weekly Update

July 1, 2022

• HAPPY FOURTH OF JULY
• CALIFORNIA COMMERCIAL REAL ESTATE SUMMIT – REGISTER NOW
• WAREHOUSE/LOGISTIC CENTER BAN STALLED IN COMMITTEE - CBPA RESPONDS
• ITEMIZING PARKING COSTS IN COMMERCIAL LEASES - FIXED
• LEGISLATURE GOES ON SUMMER RECESS
• REMEMBERING MALCOM RILEY - INDUSTRY TITAN
• CBPA 2022 CALENDAR

Happy Fourth of July

What started out as a celebration to mark our young nation’s independence from England more than 200 years ago has evolved into a national holiday that celebrates the American spirit, our nation’s independent and powerful leadership in the World.

We were founded by recognizing a person’s inherent rights and responsibilities. We were founded on the principles of equality, religious tolerance, and opportunity. These beliefs have been challenged many times over the years but have always been defended by men and women willing to protect these principles, sometimes by risking the ultimate sacrifice.

As you celebrate Independence Day this year, take a moment to reflect on the unique and great nature of this country and to thank those who have given their lives to defend our way of life, as well as the current men and women in uniform in harm’s way.

Because we have the freedom to do so, we sometimes get lost in the details of whatever societal argument we are currently in and a day like the 4th of July provides a good opportunity to spend time with family and friends, enjoy our freedoms, and reflect on what a truly great nation we live in.

California Commercial Real Estate Summit -

Register Now

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!

We are finalizing a CBPA Room Block with the Hyatt in Downtown Sacramento, so stay tuned for information on lodging.



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 -

CBPA Responds

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 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.

Itemizing Parking Costs in Commercial Leases - 

Fixed

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 this 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.

Legislature Goes on Summer Recess

With the deadline for bills to get out of their second house committees coming to an end today, the California Legislature will take a Summer Recess after finishing up work.

Just because no committees or votes will be happening, that does not mean that the political machine in Sacramento will come to a complete halt. We will still be preparing for floor battles when they return, and there is always work to be done defending our industry from overregulation.

Stay tuned for when the Legislature returns for business on August 1, but our Weekly will still be coming in the meantime.

Remembering Malcom Riley - 

Industry Titan

We write to you with a heavy heart as we share that one of our Industry’s early leaders and past CBPA Chair, Malcolm Riley, passed away last week.

Mal was instrumental in providing direction and leadership in the early days of CBPA, as it grew into the statewide association we know it as today. As a developer of retail projects throughout the state of California, Mal not only provided leadership at the State level, but also served as president of ICSC.

We wish his surviving family well, and sadly recognize that another Titan of our Industry has moved on. 

CBPA Calendar 2022

Tuesday/Wednesday, August 9-10

California Commercial Real Estate Summit

Sacramento

Tuesday, November 15

CBPA Board Meeting 

Sacramento

For more information on any of our events, please contact Melissa Stevens at

916-443-4676 or mstevens@cbpa.com.