In May, the California Association of Realtors donated $ 1.5 million to a political action committee called Stop Republican Recall of Governor Newsom. In July, an additional $ 1.1 million was spent on Newsom’s support from the California Building Industry Association, a homebuilding trading group that includes Toll Brothers and Lennar.
A total of $ 3.3 million was raised from 130 real estate developers, investors, brokers and organizations to help Governor Gavin Newsom win the September 14 recall election. The real deal analysis of documents submitted by the California Secretary of State prior to mid-July.
The total dwarfs the $ 1.1 million the industry has contributed to seven Republican opponents seeking to oust Newsom, including four of his main rivals. They are: multimillionaires in real estate John Cox and Doug Ose, former San Diego Mayor Kevin Falconer and Caitlin Jenner, Olympic gold medalist decathlete and recent reality TV star.
A total of 254 individuals and companies have contributed to candidates seeking to oust the first elected Democrat. Topping the list is developer Jeff Palmer, who has donated $ 400,000 for recall campaigns. Palmer, president of Beverly Hills-based GH Palmer Associates, also contributed $ 32,400 directly to Faulconer. Palmer was one of the most loyal and generous supporters of former President Donald Trump; his firm gave $ 6.4 million candidates and committees affiliated with Trump or the GOP nominees and superusers ahead of the November 2020 elections.
Newsom is being challenged in the September vote to recall Newsom by Republicans, still outraged by the Covid restrictions it imposed last year as the virus swept across the state. At the end of April, the 1.5 million signatures required for revocation were collected for the elections. there is 41 candidates that meet the criteria for launch.
The governor’s fundraising efforts raised a total of $ 29.9 million from an estimated 7,600 donations.
Building Industries Association CEO Dan Danmoyer is one of Newsom’s few real estate supporters willing to discuss the reasons. Newsom “has made housing a top priority,” Dumoire said, adding, “he’s the first governor to call this: we need to build more homes.”
In May, Newsom signed into law the make it easier for large housing and development projects – passing an environmental impact assessment. And last year he signed numerous bills aimed at speeding up housing construction and protecting tenants, including a law to expand middle-income, medium-density housing.
But the state’s housing crisis has only worsened during his tenure, with only Los Angeles County short 500,000 affordable rental homes, according to a recent tally.
High level support
And Peter Lowy former co-CEO of California shopping center giant Westfield – now Unibail-Rodamco-Westfield – donated $ 64,800 to Newsom’s 2022 campaign.
That’s the same amount that developer Eli Broad and his wife Edith donated at the end of April, FEC reports show. Eli Broad died a week later… The Eli and Edith Broad Foundation did not immediately respond to a request for comment.
The governor also secured industry support in San Francisco, where he served as mayor for two terms. Last month, two prominent San Francisco homeowners, Thomas Coates and Todd Speaker, donated $ 100,000 each to the Stop Republican Recall Committee, which supports the governor. And the San Francisco Housing Association also contributed $ 25,000 to the same committee. A request for comment was redirected to the California Apartment Association – an umbrella organization – which did not respond.
Much of the Republican effort to topple Newsom was driven by the governor’s actions to close hotels, offices and other premises. shopping centers for long breaks during a pandemic, as well as for stopping dining in restaurants when Coronavirus cases skyrocket…
That didn’t stop Flynn Properties, which owns nine office buildings in San Francisco and a luxury hotel in Napa Valley, from donating $ 100,000 to the Stop Revocation Republicans committee.
And Grant King, Los Angeles Managing Partner hotel developer The Relevant Group also contributed $ 25,000 to the same PAC.
Billionaire John A. Pritzker – a member of the Hyatt Hotels family – and his ex-wife Lisa donated a total of $ 100,000 to help Newsom win in September. Pritzker sold his Two Roads Hospitality firm to Hyatt for nearly $ 500 million in 2018. He is a cousin of the Illinois Democratic Party. Governor J. B. Pritzker… John Pritzker could not be reached for comment.
On the Republican side, some 250 real estate individuals and entities have made donations to candidates running to replace Newsom.
Former San Diego Mayor Kevin Falconer is one of the top contenders and the one who received direct financial support for Palmer’s recall. The campaign received $ 270,300 in donations from people associated with the real estate industry, mostly in Southern California. This is the highest figure among Republican candidates so far.
Falconer served as mayor from 2014 to last year, and the San Diego Association of Realtors approved his first run for mayor. He was criticized for multiple property purchases a city built during his reign, including an office tower that required renovation as it expanded, removal of asbestos, and legal problems. Another was an indoor skydiving center that was planned to be converted into a homeless service center until the city bought it. For his recall, Falconer proposed a plan to tackle homelessness, a growing problem in the state, but the governor investing billions in addressing…
Cox, president of Equity Property Management and its sole shareholder, raised $ 76,800 from developers and Berkshire Hathaway agent in San Diego Stephen Keycross.
Ose, the founder of Sacramento-based Ose Properties, appears to have received only one real estate donation: $ 7,100 from Sacramento-based developer Jerry Kamilos.
Jenner received $ 5,500 from developer John Scardino of Westlake Village.
Both sides received donations from roughly 50 real estate brokers, but the agents contributed three times as much collectively to the efforts to recall the governor.
Brokers from Cushman & Wakefield, Berkshire Hathaway, RE / MAX, JLL and small brokerage firms across California have donated over $ 24,000 to committees supporting the recall. Santiago Arana, a leading Compass broker in Los Angeles, donated $ 500 to the effort.
According to the documentation, anti-recall brokers donated a total of $ 7,070.
A look at 2022
Because Newsom favored victory in Septemberreal estate market players are also looking forward to the 2022 election campaign.
The governor raised $ 420,000 for his election campaign. The building association has already donated $ 35,100 for this. Builders Lennar, Taylor Morrison, Shea Homes, Meritage Homes and Pulte Homes donated $ 32,400 for his 2022 campaign. None of the companies responded to requests for comment.
The industry also donated $ 560,000 to candidates running against Newsom the following year. Falconer, who also announced his intention to run in this election, received $ 32,000 from Daniel Ryan, chief investment officer of Alexandria Real Estate. Earlier this year, Los Angeles-based real estate investment fund Kilroy Realty donated $ 25,000 to the Faulconer Research Committee for 2022.