🏡 EVs Look to Takeover
What CA's new law could spell for the rest of the nation... and the world...
Good morning!
News is slowly coming out, but signs are pointing towards the Inflation Reduction Act as having considerable impacts on the future sustainability of the built environment. As more incentives get layered on by locales across the country to achieve net-zero targets, we can expect to see more development adhering to sustainability guidelines.
Today’s newsletter will take ~ 2.5 minutes
Trends
🏗 Multifamily Adaptive Reuse Picks Up Steam
As purchasing commercial property continues to grow more expensive, some developers are cashing in and taking advantage of adaptive reuse, or the process of repurposing an existing building for a new use. Multifamily investors are beginning to see the increasing allure of cashing in on the tax benefits of adaptive reuse, where state tax credits can range from 5% to 25% of eligible costs.
🪵 Mass Timber to Increase in Popularity
With the ride of high-profile mass timber high-rise projects like Milwaukee’s recently opened Ascent MKE, Toronto’s announced ICON Tower and Chicago’s Sterling Bay CLT building.
Deals & Developments
🏜 Net Zero Developer Closes on 39 Acres Outside of Phoenix
Modus Development plans to build upwards of 450 net-zero units in Casa Grande, AZ. The town, about 45 minutes south of downtown Phoenix, is already off to the races in making a name for itself when it comes to sustainability with its upcoming Lucid and Nikola factories.
Technology
🔋 Move Over ‘EV,’ Here Comes the EH - the Electric Home
Ex Tesla executive launched Lunar Energy which aims to stabilize energy loads by fully electrifying homes to reduce grid dependance. Currently, only 26% of all US homes are fully electrified, and with Lunar’s all-in-one energy storage system will help bolster the rate of transition.
Legislation
🚗 No More Parties Combustion Cars in LA
California’s Air Resources Board has apparently has enough of the smog and on Wednesday decided to end the sale of fossil fuel cars in the state by 2035. the legislation calls for a benchmarked approach, aiming for 35% of all car sales to be non-fossil fuels by 2026 and 68% by 2030.
Why it’s big: California is usually the first mover when it comes to impactful climate legislation… on average, 13 states will follow suit after air-quality-based rulings in California. First to hop in on the fun this time: Washington state.
Quick Takes
🚴🏼 “Bike Pooling” Takes Off in LA
🛟 BIG’s Floating Innovation Hub
Fact for Thought
Not only is urban sprawl bad for the environment, it’s harmful to public health because it has created a new issue: loneliness.
Drop a comment!
Great read! I'm excited to see how California's move will influence Real Estate within the state. I'm thinking the 68% is a bit optimistic but that would be pretty insane if they can get to that level. With that share of EV, there's going to have to be a lot of changes within infrastructure. It will be interesting to see how much California not only supports and incentivizes the development of charging infrastructure but I wonder if they will also support the purchase of fossil fuel free cars even more than they have in the past.