As CEO of LRE & Co., I spend a lot of time thinking about infrastructure—not just the buildings we develop, but the systems that support how people live, work, and move through their communities. And right now, no infrastructure question is more urgent in California than the future of transportation.
California leads the country in electric vehicle adoption, with over 1.5 million EVs on our roads and bold plans to stop selling new gas-powered vehicles by 2035. As developers building mixed-use spaces, retail centers, and hospitality properties across Northern California, we’re experiencing this transition firsthand. The question isn’t whether EVs are arriving; they’re already here. The real question is: what does this shift mean for our communities, and what role do traditional gas-powered vehicles still play?
Living the Hybrid Reality
My household perfectly reflects this transition period. I drive an electric vehicle because I cover thousands of miles visiting development sites, meeting with city officials, and traveling between properties across California and neighboring states. The operating cost savings are significant when you’re logging that many miles, and charging at our office and various project sites has become effortless.
My wife drives a gas-powered vehicle. For her needs—running errands, handling unexpected trips, and maintaining maximum flexibility—a traditional car works better for now. We’re not unusual. Many California families find that the best solution isn’t choosing one or the other, but having both options available.
This personal experience influences my views on development and infrastructure. The future isn’t a one-size-fits-all solution.
The EV Advantage: Clean, Quiet, and Cost-Effective
The advantages of electric vehicles are significant, especially in California, where renewable energy sources are increasingly powering the grid. EVs produce zero tailpipe emissions, which is very important in a state still dealing with air quality issues in many areas. For city and suburban communities, this means cleaner air for residents, especially children and people with respiratory problems.
From an operating cost standpoint, EVs are clearly better for high-mileage drivers. Electricity costs less per mile than gasoline, and EVs need much less upkeep—no oil changes, fewer brake replacements thanks to regenerative braking, and simpler drivetrains with fewer parts that can break down. For my driving habits, the savings have been significant.
The driving experience is also noticeably different. EVs provide instant torque, smooth acceleration, and quiet operation. In our mixed-use developments, this lower noise reduces pollution and creates a more enjoyable environment for residents and shoppers alike.
California’s charging network continues to grow, with charging stations showing up in parking lots, shopping centers, and along highways. State and federal incentives, such as tax credits and rebates, make EVs more accessible to middle-income families than ever before.
The Gas Vehicle Reality: Range, Flexibility, and Proven Infrastructure
Yet gas-powered vehicles remain dominant for valid reasons that go beyond mere habit or resistance to change.
Range anxiety is real. While modern EVs typically offer 250-300 miles per charge, that range decreases significantly in extreme temperatures, with heavy loads, or during towing. For Californians who frequently travel to Tahoe, Yosemite, or across our large state, the convenience of filling a gas tank in five minutes compared to waiting 30-60 minutes for a charge remains appealing.
The gap in charging infrastructure is greater than many realize. While urban areas have extensive charging networks, rural California—and there’s a lot of it—still lacks sufficient coverage. Long-distance travel continues to require careful planning with EVs, while gas stations remain widespread.
Upfront costs pose another challenge. Even with incentives, EVs usually cost more than comparable gas-powered vehicles. For working families, small business owners, or anyone who can’t afford a new car, the used gas vehicle market provides affordable, reliable transportation that used EVs haven’t yet been able to match at scale.
Apartment and condo residents encounter unique challenges. Without dedicated parking or charging access, owning an EV gets complicated. This is a key issue we face as developers—how can we retrofit existing properties or design new ones to support EV charging for all residents, not just single-family homeowners?
The Infrastructure Challenge
From a developer’s point of view, the transition offers both opportunities and responsibilities. Each new project now requires us to evaluate EV charging capacity, electrical panel upgrades, and future-proofing for increased demand. This increases costs and complexity, but it is a necessary infrastructure investment.
However, we need to be realistic about timelines. California’s 2035 goal relies on technology improvements, cost reductions, and infrastructure expansion that may not happen as quickly as expected. The electrical grid must grow significantly to support millions of EVs charging at once, especially during peak evening hours when people come home from work.
Finding Balance
The future isn’t binary, it’s not gas or electric, but both for the foreseeable future. My household proves this. California will continue leading the EV transition, but we need pragmatic policies that recognize different communities have different needs and capabilities.
Rural areas, long-haul applications, and lower-income households will probably depend on gas vehicles longer than wealthy coastal suburbs. That’s not resistance to progress; it’s just practical reality.
As developers, our role is to design spaces that serve everyone—EV charging stations alongside traditional parking, mixed-use environments that minimize driving, and infrastructure flexible enough to adapt as technology advances.
The shift to electric vehicles means cleaner air and sustainable communities. But reaching this goal requires honest talks about challenges, realistic timelines, and infrastructure investments that benefit all Californians, not just early adopters.
The road ahead is electric—but it will require time, flexibility, and ongoing innovation for us to reach it together.