IRVINE, CA-GlobeSt.com spoke exclusively with Lang Cottrell, NAIOP SoCal's 2013 president and regional director of locally based Goodman Birtcher, about the commercial real estatedevelopment association's value to industry professionals and what merits it holds for young CRE professionals in particular. The SoCal and Inland Empire chapters recently received the 2013 Capital Dome award for their accomplishments in the industry.
GlobeSt.com: How important is NAIOP SoCal to today's industry professional?
Lang Cottrell: NAIOP SoCal has three primary missions: education, legislative advocacy and business development/networking. Now, more than ever, as our members and sponsors work hard to fulfill their own business objectives, NAIOP SoCal is right there beside them to help build business, protect their interests and provide resources and education that they may not have access to on their own.
GlobeSt.com: Why did the NAIOP SoCal and Inland Empire chapters receive the 2013 Capital Dome award?
L.C.: Both chapters were honored due to their advocacy for the industry and accomplishments related to buildings codes that were adopted by the International Code Council. In 2009, the ICC adopted model building codes that reduced the egress distance from 400 ft. to 250 ft. before requiring emergency-exit passageway or tunnel for occupants of a factory or warehouse structure. The reduction was unwarranted and would have placed unnecessary burdens on industrial-property owners.
Working in partnership with the California Business Properties Association, we commissioned a study, built a coalition and worked with the state's fire marshal in demonstrating to the ICC that a 400-ft. exit distance is appropriate without compromising the overall safety of the building's occupants. As a result, the ICC committee of jurisdiction agreed and reinstated the original 400-ft. egress as part of its model code. This would not have occurred without NAIOP's leadership on behalf of the industrial-property community.
GlobeSt.com: How important has NAIOP's Young Professionals Group become to the industry and why?
L.C.: Through an intense, practical and real-life approach to its curriculum, YPG exposes young professionals to multiple aspects of the commercial real estate business. In addition to its educational value, YPG helps the young generation connect and create relationships which will serve them, NAIOP SoCal and the overall industry in the future. Also, the industry as a whole gains from insight into how the business of real estate may be changing as this generation matures.
GlobeSt.com: What is the value to joining YPG?
L.C.: YPG's mission statement is literal. We are educating, developing and connecting the next generation of leaders in the commercial real estate industry. YPG's foundation is built upon its highly selective, year-long development program, within which a student and his/her 34 industry peer classmates embark upon a journey of personal growth with PhD-level education gurus, professional exposure through a series of fireside chats with today's industry titans and technical development through real estate-focused class assignments and group projects. Among the many values that result are the relationships that take root organically and can continue to grow and expand following graduation through YPG's robust alumni program, which offers alumni the opportunity to stay involved through the many social, educational, mentorship and philanthropic events it produces annually.
GlobeSt.com: What are some of the critical legislative issues that NAIOP SoCal will be tracking this year?
L.C.: We're on the alert against potential Sacramento legislation that would de-couple commercial real estate from the protections of Prop 13. In some circles, commercial real estate ownership is seen as a group of corporate, faceless, large landlords that are not paying their share of real estate tax. In reality, the vast majority of commercial real estate in California is owned by small businesses and small investors who deserve the same Prop 13 protections as residential property owners. NAIOP SoCal is keeping elected leaders informed of these points and works with allied business groups to oppose any new state legislation to create a divided or split tax roll for commercial and residential property.
We're also pleased to see momentum picking up for reform of CEQA laws in Sacramento, and this support comes from Democrats, including Governor Brown. A CEQA reform bill, SB 317, has been introduced in this new legislative session, and Senate President Pro Tem Steinberg is taking the lead with it. Californians want to see CEQA legislation that strikes a balance between a sustainable, growing economy and a healthy environment. CEQA does play a strong role in protecting the state's environment, but it is often abused by those who want to delay and kill real estate development projects that meet and exceed California's stringent environmental standards. NAIOP SoCal members have long been leaders in developing cutting-edge sustainable projects. Thus, we support measures to reform CEQA that focus on curbing CEQA abuse.
In addition, unreasonable and unattainable plans and regulations are being proposed and adopted by the South Coast Air Quality Management District, and NAIOP SoCal is concerned that the AQMD seems to believe that its mandate to achieve “clean air” must be obtained regardless of the cost to business, employment and the Southern California economy. The agency's ability to affect the course of new development adds tremendous uncertainty and confusion to business decision-makers that chokes off investment and development and drives job-creating businesses out of our state. We have assigned staff specifically to engage the SCAQMD and to work to modify new rules that otherwise would slow new development and cost our region jobs. People cannot live on clean air alone, so a balanced approach is essential.
GlobeSt.com: What's on the horizon for NAIOIP in terms of its business networking focus?
L.C.: In 2013, you'll see programs as varied as our NAIOP-U programs and ongoing forums and networking events. We're widely recognized for our annual Night at the Fights event. It's returning this year on May 16 at the Hyatt Regency Irvine with two boxing matches and two MMA fights. It's a fun evening where you can mingle with 1,000 of your industry peers over a great meal, cigars and a great after-party. More importantly, a portion of the proceeds raised through Night at the Fights goes to our political action committee, as well as raising funds for the Building Blocks Foundation Fund. We also have our USC vs. UCLA Real Estate Challenge, to be held this year on November 13. This is an outstanding opportunity to hear fresh ideas from young industry professionals.
For more information on NAIOP SoCal's programs, click here.
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