California Billionaire Farmers Stewart and Lynda Resnick, Plan Major Industrial Expansion

The wealthiest farming family in California, Stewart and Lynda Resnick, are planning to significantly expand an industrial warehouse complex to transform the small town of Shafter into an international trading hub. The Resnicks, who own The Wonderful Company, already possess a large distribution center in Shafter, northwest of Bakersfield.

The Resnicks intend to enlarge this center, aiming to position Kern County at the forefront of the global shift to online shopping. The proposed expansion would convert 1,800 acres of the company’s almond groves in Kern County into additional warehouse space.

However, the proposal has faced criticism over environmental concerns. Critics argue that it will increase truck traffic and worsen air quality. The development is expected to change Shafter from a small town with a population of 20,162 into a bustling trade hub.

As part of the redevelopment, the Resnicks propose constructing a new highway to divert trucks from the center of Shafter. Additionally, they plan to build an inland rail terminal at a cost of at least $120 million. This terminal would funnel products from the port by rail, reducing reliance on State Route 99.

The Wonderful Company already builds and leases warehouses to major online shopping companies for goods storage and order processing. The company claims that the expansion project and the accompanying infrastructure plans differ from the many giant distribution centers that have proliferated in Riverside and San Bernardino counties. While many residents welcome the plans and the new jobs, others express concerns about the environmental impacts.

Gustavo Aguirre, Assistant Director of the Delano-based Center on Race, Poverty & the Environment, mentioned that while the company claims the project will bring jobs, it is also true that it will bring health and environmental impacts to the neighbors living near the industrial park. According to Wonderful Co., the industrial park has generated about 10,000 jobs, including warehouse employees, truck drivers, and services handling shipping logistics, and with the planned expansion, the complex could eventually support 50,000 jobs.

Despite these promises, there are concerns that increased automation might mean the expansion won’t create as many jobs as anticipated. As technology advances and companies increasingly use robotics for manufacturing, processing, and delivery, some industrial jobs have become redundant. Ellen Reese from UC Riverside noted that warehouses can both create and destroy jobs, adding that research suggests more automated warehouses have higher injury rates than less automated ones.

John Guinn, Executive Vice President and Chief Operating Officer for The Wonderful Company’s real estate team, stated that being able to accomplish more with less labor is not necessarily bad. He emphasized the importance of good job opportunities, explaining that the new rail center at the industrial park would mean each train could replace 240 trucks.

Aguirre is negotiating with the company for a broader community benefits agreement to ensure that the residents near Shafter receive more than just jobs from the expansion. He noted that while residents recognize the potential for job creation, they are also concerned about the associated costs and are asking the company what it will do for their community.

The Resnicks are known for their philanthropy, contributing to climate research, scholarships, and wellness centers in the area. Through The Wonderful Company, they own several brands, including POM Wonderful, Fiji Water, Wonderful Pistachios and Almonds, Wonderful Halos, Wonderful Seedless Lemons, JUSTIN Wines, Landmark Wines, JNSQ Wines, and the Teleflora floral wire service company.

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