NAIOP’s Blind Spot: The Real Cost of Warehouses on California's Health

By: Shane Ysais

NAIOP's recent statement on the legislative involvement in warehouse development across California is a glaring example of the industry's disregard for the environmental and public health crises affecting our communities. Their narrative, steeped in self-interest, conveniently omits the dire consequences of unchecked warehouse expansion, especially in regions like San Bernardino and Riverside counties.

These counties suffer from the highest concentration of ozone pollution in the nation, consistently receiving F grades from the American Lung Association. In these areas, predominantly inhabited by underrepresented communities of color, rates of COPD, asthma, and respiratory issues far exceed the national average. Yet, NAIOP dismisses environmental regulations like AB 1000, ignoring the direct link between warehouse development and public health crises. Children's school attendance suffers, and their health deteriorates, but NAIOP refuses to hold developers accountable for their role in this worsening scenario.

The impact of warehouse developments extends beyond health. Local infrastructure crumbles under increased traffic congestion and dangerous road conditions, while regional innovation is stifled. Instead of fostering diverse economic growth, these developments pigeonhole regions into becoming logistic hubs filled with unsustainable, low-paying jobs with unreasonable work expectations. This reality, masked by NAIOP's praise for such projects, restricts the potential for more innovative and sustainable regional development.

Research from the California Air Resources Board (CARB), South Coast Air Quality Management District (SCAQMD), and the American Lung Association consistently highlights the catastrophic air quality in areas burdened by warehouses. Despite clear evidence from the California Environmental Quality Act (CEQA) of these impacts, many projects proceed without thorough environmental assessments. This neglect forces community members into a relentless battle against their elected officials to safeguard public health, underscoring the urgent need for stricter regulations and greater developer accountability.

Warehouses, sprawling across vast tracts of natural land essential for environmental stability, introduce a continuous stream of trucks and pollutants during construction and operation. Developers often do the bare minimum to mitigate these impacts, extracting resources from the community without adequate compensation or consideration. This parasitic relationship must be reformed through stronger legislative measures to ensure developers contribute positively to the communities they exploit.

Current state regulations fail to protect sensitive receptors like homes, schools, and parks from the adverse effects of nearby warehouses. Developers exploit this regulatory gap, placing polluting facilities dangerously close to residential areas. Without substantial state regulation, reckless development practices continue unchecked, further endangering community health and well-being. The well-documented correlation between warehouse proximity and higher rates of asthma and respiratory illnesses highlights NAIOP’s disregard for community health, particularly that of children.

The economic benefits touted by warehouse developers are short-sighted and unsustainable. These projects often offer low-income jobs with limited advancement opportunities, failing to provide long-term economic stability for the region. Investing in sustainable industries and green jobs can offer both economic and environmental benefits, leading to healthier communities and a more resilient economy. Cities should prioritize addressing the housing crisis and developing sustainable industries instead of perpetuating the unsustainable logistics-centric model championed by NAIOP.

The approval process for warehouse developments is often opaque, excluding community input and advancing developers’ agendas without public scrutiny. This lack of transparency undermines trust in local governments and underscores the need for greater community involvement and oversight in development decisions.

NAIOP’s stance against environmental regulations and community protections clearly prioritizes profits over people. True leadership in commercial real estate should embrace sustainable practices, support robust environmental regulations, and prioritize the health and well-being of communities. It is time to hold developers accountable and advocate for legislation that protects both our environment and public health, ensuring a sustainable and equitable future for all.