G
overnor Gavin Newsom has the authority to make life more difficult for warehouse developers in California's Inland Empire and other parts of the state due to a recently passed bill that mandates a significant distance between large warehouses and residential areas. The bill was approved by both the state Assembly and Senate just before a critical deadline for the end of the legislative session, as reported by the Los Angeles Daily News.
Newsom has until September 30th to decide on the bill's fate - either sign it into law, veto it, or allow it to expire without his signature, a practice known as a pocket veto. The legislation primarily targets the hottest sector of commercial real estate, which has experienced a surge in warehouse and logistics center development since the pandemic boosted online shopping and fulfillment operations.
The bill requires a minimum buffer zone of several hundred feet between new warehouse developments and residential areas. Future warehouse construction would be restricted mainly to major roads, and would need to meet various landscaping requirements. In some cases, the law would mandate zero-emission technology deployment and prohibit truck idling.
The bill's supporters in the Assembly include Eloise Gómez Reyes, a Democrat representing Colton in the Inland Empire, and Juan Carrillo, a Democrat representing Palmdale in the Antelope Valley. Both areas are significant logistics hubs, connected to major freeways and rail lines. Both legislators have argued that this bill is necessary to protect their constituents living in residential areas.
However, business groups have criticized the bill as hostile to business interests and likely to result in job losses.
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