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NAIOP New Jersey: Standing Up for CRE and the Logistics Industry
NAIOP New Jersey is at the heart of Circulate NJ’s efforts to change the public discourse.
The logistics industry is vital to the economic strength of the United States. Whether it is the ports that bring goods in, the trucks that move those goods or the warehouses that store them, everyone depends on logistics. Despite its necessity, the industry frequently faces criticism and blame. That is why NAIOP New Jersey decided to take a new approach to defending its members and recognizing their contributions that help keep America moving.
When I started as CEO of NAIOP New Jersey in August 2023, it quickly became apparent how often the commercial real estate (CRE) industry was being scapegoated for myriad problems in the state. Surprisingly, there appeared to be no industry-wide effort to actively change hearts and minds.
Courtesy of Circulate NJ
NAIOP New Jersey had largely been successful in blocking legislative and policy interventions that would have been devastating to the CRE industry. My sense, however, was that if we didn’t move fast to update our playbook, we were doomed to experience policy setbacks seen in other states.
Getting Started
I began having conversations with members of our Developers Political Action Committee, specifically with David Greek of Greek Real Estate Partners, a company whose membership in NAIOP spans 50 years. We agreed the time had come for the CRE industry to address its image problem. We reached out to NAIOP New Jersey members, as well as some nonmembers, and they promptly agreed to support such an initiative financially. Other industry leaders in the logistics sector also recognized the need for immediate action. Together, we set out to create a coalition campaign that highlights the positive aspects of the entire logistics industry and proactively educates stakeholders and the public.
We spent spring 2024 organizing some of the state’s key logistics industry leaders to help fund the effort and to ensure strength in numbers once we launched. We next issued a request for proposal for a communications firm to help us hone our message and oversee the coalition’s operations.
After an extensive review process, the coalition hired Avoq, a national full-service public relations and communications firm whose New Jersey office has run some of the state’s leading public affairs campaigns over the last decade. This included a coalition of business and labor organizations that successfully pushed through — in a politically divided state government — a constitutionally dedicated source of funding for improvements and repairs to state roads, bridges and rails.
Changing the Narrative
Avoq’s initial research showed how lopsided the public discourse had become. Between Jan. 1 and June 30, 2024, eight of the 10 most engaged with media articles about the logistics industry in New Jersey were negative, highlighting siting and development concerns. NIMBYism was a consistent driver of negative information. The legislators who were most vocal about the industry were sharing negative or neutral comments. References to the positive contributions the logistics industry makes to the New Jersey economy while meeting consumers’ growing demands for timely deliveries were rare.
That led the coalition to name itself Circulate NJ, a literal and figurative representation of the logistics industry’s value to the state — literal in that the industry moves goods around and through New Jersey, figurative in that it serves as the circulatory system of the state’s economy.
Courtesy of Circulate NJ
Avoq then focused on the coalition’s messaging, advising that we tended to speak in words and phrases that were familiar to us but not to others. Most elected officials, industry stakeholders and the average person do not know what “last mile” or “cross-docking” or “3PL” mean. Therefore, it was critical that we got out of our silos and spoke in simple, direct language.
Our focus came down to the “three E’s”: economy, environment and ease of living. For an economic example, according to New Jersey Department of Labor data, the logistics industry is responsible for more than 400,000 jobs in the state and contributes 10% of the state’s overall gross domestic product. The environmental focus showcased more than a dozen polluted New Jersey brownfield sites that the logistics industry cleaned up and made safe for public use again. To demonstrate ease of living, we noted how the industry helps to safeguard people’s valuable time through services like next-day delivery.
Circulate NJ packaged this information in easy-to-understand language, infographics and social media posts. We avoided industry jargon and getting bogged down in minutia that doesn’t appeal to our target audience. We also steered clear of activities that could be seen as direct lobbying on specific pieces of legislation or government policy, leaving that aspect to our existing advocacy channels.
Avoq created coalition social media channels and a Circulate NJ website that prominently features our key messages and showcases our 40-plus organizations. The coalition officially launched in November 2024.
Planting a Flag
In the six months since Circulate NJ has been active, the coalition has been included in nearly a dozen media stories and its chair, David Greek, has been featured on multiple publications’ “power” (influence) lists linked to his work with the organization.
One of the coalition’s first actions was to challenge the notion that the logistics industry disproportionately contributes to pollution in New Jersey. Recently, Circulate NJ aimed to clarify the situation when a gubernatorial candidate advocated for a warehouse moratorium. When Gov. Phil Murphy proposed a fee on truck deliveries to warehouses in his recent budget, several media outlets contacted Circulate NJ for comment.
While the initial months of Circulate NJ have been busy and successful, the coalition still has room for growth, both in size and reach. Legislation targeting warehouses is still being proposed, and anti-industry sentiment persists. However, our flag has been planted, and those within the industry and in our target audience know the days of attacking our interests without response are over.
The Garden State does not hold a patent on anti-logistics sentiment. What our coalition is doing in New Jersey can be emulated nationwide using local data. Grassroots efforts conducted state by state can play an important role in educating the public on just how critical logistics and CRE are to the nation’s economic success. Start having conversations, building partnerships and supporting infrastructure that will prevent CRE and the wider logistics industry from being a convenient punching bag in your city or state.
Dan Kennedy is the CEO of NAIOP New Jersey.
