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One of the bright spots for commercial real estate development has been the number of distribution warehouses built, especially in Central California and the Inland Empire.
The warehouses are a reflection of consumer’s insatiable online shopping demand. They provide jobs and sales tax revenue to the communities in which they are located, and in some cases, opponents to such projects are able to eventually offer support after negotiation over environmental impacts.
Despite that, the latest “Job Killer” identified by the California Chamber of Commerce would create what the business organization calls a “de facto ban on warehouses” — and it passed its first Assembly committee vote last week.
AB 1000, introduced by Eloise Reyes (D-San Bernardino), would establish a 1,000-foot setback from “sensitive receptors” for all new or expanded logistics facilities 100,000 square feet or larger. It also creates a new private right of action, giving the business community another way to be sued.
CalChamber said AB 1000 will lead to the elimination of high-paying jobs, threaten housing associated with mixed-use development, increase vehicle miles traveled for heavy duty vehicles coming to and from California ports — and incentivize frivolous litigation.
The economy has suffered enough from strained supply chains. Why make matters worse?
How AB 1000 could block future development should be cause of concern for those worried about the housing crisis. For example, the District at Jurupa Valley project in San Bernardino proposes up to 1,192 residential units and seven acres of open space near commercial, retail and logistics uses. The infrastructure related to commercial development makes the residential piece of the project work, according to the CalChamber.
But it doesn’t work in a California where AB 1000 is law.
AB 1000 last week passed on an 8-3 vote by the Assembly Natural Resources Committee. One of the “no” votes was Devon Mathis (R-Porterville).
The bill will next be considered by the Assembly Local Government Committee.