As the commercial real estate market struggled to recover in 2010, NAIOP Massachusetts, the Commercial Real Estate Development Association, pursued legislation and policies that advanced economic development in the Commonwealth.
A big victory for NAIOP and the real estate industry was passage of the Permit Extension Act. Signed into law in August, the Permit Extension Act extends state and local permits in effect at any time between Aug. 15, 2008 and Aug. 15, 2010 by two years. It applies to a wide range of permits, including wetlands, MEPA, building permits, waterways, and approvals under Chapter 21, 40A, 40R, 43D, as well as variances, local bylaws and ordinances. Because of this new law, developers can avoid years of unnecessary delays reapplying for permits that had already been approved and issued.
The Permit Extension Act was part of a larger, comprehensive Economic Development Reorganization Bill. It provides incentives for development in the Commonwealth’s Gateway Cities with the extension of the Brownfields Tax Credit and through the creation of a Housing Development Incentive Program (HDIP). The bill also included improvements to the District Improvement Financing (DIF) law that will allow more communities to access this important infrastructure financing tool.
Looking ahead to 2011, NAIOP will continue to advocate for laws that encourage economic growth, and with it, the recovery of the commercial real estate industry.
Legislative Initiatives
On the regulatory front, NAIOP will be focused on multiple stormwater initiatives being proposed on the state and federal level. Last year, NAIOP was one of the lead organizations fighting costly statewide stormwater regulations proposed by the Massachusetts Department of Environmental Protection. In 2011, NAIOP will continue to advocate for a practical, cost-effective approach to these issues.
NAIOP strongly supported changes made to the Massachusetts Endangered Species Act (MESA) regulations in October 2010. The changes, supported by environmental and business groups, provided more transparency to the priority habitat mapping process and resulted in a more workable program that fairly balances habitat protection with private property rights. In 2011, NAIOP looks forward to developing a conservation plan for species of special concern, such as the Eastern Box Turtle.
NAIOP will also continue to closely monitor implementation of the Global Warming Solutions Act. Passed in 2008, the law creates aggressive goals for responding to and mitigating climate change. NAIOP will continue to urge regulators to consider the economic impact of any policy created in the name of climate change.
On the legislative front, NAIOP will file several bills:
Brownfields redevelopment. A proposed bill would make practical changes to the current regulations governing the clean-up of contaminated sites and would encourage more sites to be cleaned up.
Waterfront development. NAIOP’s bill would reform the Facilities of Public Accommodation requirements under Chapter 91, the law governing waterfront development. Existing law requires 100 percent of the ground floor of a waterfront building to be set aside for public space. This requirement results in countless vacant and underused spaces. NAIOP’s bill would allow more flexibility for ground-floor uses, while continuing to create public access to the waterfront.
Other legislative priorities include a bill that would apply the Permit Extension Act to affordable housing developments (a last minute change to the 2010 bill prohibited this use); as well as a bill that would allow more real estate development appeals to be reviewed by the Permit Session of Land Court. Created in 2006 through NAIOP’s Permit Streamlining bill, the Permit Session provides more predictable and faster timetables for resolving permitting appeals.
Very few were able to predict the global economic meltdown in 2008, and it’s still difficult to know what the future may hold. As the commercial real estate industry looks to the future with tentative optimism, NAIOP will continue to urge legislators and regulators alike to keep one guiding principle in mind: Make Massachusetts a more competitive place to do business.
Tamara C. Small is director of policy and public affairs, NAIOP Massachusetts. Email: small@naiopma.org
