Just two weeks before the recall in California, radio host Larry Elder, who became the leader among 46 applicants, managed to raise a significant amount of money from well-known developers.
Developers, investors, brokers, and others associated with the industry have invested approximately $ 513,000 in Elder’s recall campaign to displace Governor Gavin Newsom and a committee supporting the Elder, according to a Real Deal analysis filed by the California Secretary of State at the end of August.
In total, Elder has received just over 700 donations from approximately 600 people who said they work in the real estate business.
Contributions to the Elder fund are less than the $ 4.8 million that real estate players have contributed to a committee supporting Governor Newsom.
Newsom has received monetary support from the California Association of Realtors and the California Building Industry Association, as well as from a number of well-known developers, including Barry Lang, William Witte of sister California and Caleb Roop of Pacific companies.
Still, for a candidate with little to do with the real estate industry, Elder has garnered the backing of donors who want the governor to step down on September 14.
Elder has spoken out repeatedly about California’s housing crisis and the need to lift rules to help developers build low-income housing across the state.
“I’ve talked to a lot of developers, and many of them are completely demoralized, disappointed, and many of them are building outside of California because of [the California Environmental Quality Act], – said the elder in interview earlier this month.
If he wins the recall election, Elder has proposed suspending CEQA to allow developers to build on state land. plan from former Housing and Urban Development Secretary Ben Carson and Los Angeles Mayor Eric Garcetti.
“We need to build low-cost housing so they have where to go,” an elder told event in Mission Valley earlier this month. “We can’t stand what happens when people pitch their tents and sleep on the sidewalks.”
Other candidates for the recall, including multimillionaire John Cox and former San Diego Mayor Kevin Falconer, also received donations from the real estate industry.
Donors for the first time
Many real estate players who donated to the Elder recall campaign did not participate in other review applicants or committees supporting the review.
Gary and Katherine Dychendt of Theory Properties donated a total of $ 64,800 to Elder’s campaign. The Scottsdale investment firm owns the 90,000 square foot Pierside Pavilion in Huntington Beach and real estate on the Santa Margarita Ranch. None of them have previously donated to a recall campaign.
Elder also received $ 10,000 from Jeffrey Karsh, a partner at Los Angeles-based investment firm Tryperion Partners, which invests in office, industrial, multi-family, hotel and retail real estate in the United States.
Colton Sudberry, president of San Diego-based Sudberry Properties, donated $ 5,000 for Elder’s campaign, as did Scott Kepner, a partner at San Francisco-based Village Investment Partners.
Palmer gives again
One of the main sponsors of real estate Elder also turned out to be one of the largest sponsors of the recall.
Jeff Palmer, president of GH Palmer Associates in Beverly Hills and a generous supporter of former President Donald Trump, donated $ 1 million to Larry Elder’s committee and $ 32,400 to his own 2021 campaign.
In total, Palmer has allocated more than $ 400,000 for recall campaigns, as well as $ 32,400 for the recall of challenger Kevin Falconer.
The industry still wants Newsom
While Elder has proven to be a potential loser, the real estate industry remains largely supportive of Governor Newsom.
Since July, the governor has received hundreds of thousands more in donations from real estate players across the state.
Barry Lange, founding partner of the Covington Group, which develops industrial and commercial real estate in the United States, donated $ 250,000 to the Newsom-backing committee.
The committee also received $ 150,000 from Clinton Reilly Homes, San Francisco-based Clint Reilly, who owns a number of commercial properties in the city, and $ 50,000 from William Witte of sister California. Related California is building a 9 million square foot mixed-use development in Santa Clara, expected to open in 2023.
Newsom supports more than just commercial real estate. Joyce Rae, a prominent Coldwell Banker broker in Beverly Hills, donated $ 5,000 to the same committee.