February 5, 2025 • 1hr 55min

#2268 - Rick Caruso

The Joe Rogan Experience

Rick Caruso is a businessman and civic leader who recently ran for mayor of Los Angeles. As the owner of Caruso, one of the largest privately held real estate companies, and with extensive experience working with three previous LA mayors, he brings an outsider's business perspective to addressing the city's challenges. In this wide-ranging conversation with Joe Rogan, Caruso discusses the recent devastating fires in LA, the homeless crisis, crime, infrastructure needs, and his vision for fixing the city's problems through public-private partnerships and business-minded leadership.

#2268 - Rick Caruso

0:00

-0:00

Key Takeaways

Los Angeles Leadership Crisis: The city faces major challenges with homelessness, crime, infrastructure failures, and ineffective bureaucracy that requires outside leadership to fix
Fire Response Failures: Recent devastating fires exposed serious infrastructure and leadership problems, including empty reservoirs and inadequate emergency preparedness
Homeless Crisis Solutions: Need to partner with successful private organizations already doing effective work rather than wasteful government programs
Business Environment: Over-regulation and high taxes are driving businesses and residents out of California, requiring major reform
Infrastructure Needs: Critical infrastructure improvements needed including underground power lines, water system upgrades, and desalination plants

Introduction

Rick Caruso is a businessman and civic leader who recently ran for mayor of Los Angeles. As the owner of Caruso, one of the largest privately held real estate companies, and with extensive experience working with three previous LA mayors, he brings an outsider's business perspective to addressing the city's challenges. In this wide-ranging conversation with Joe Rogan, Caruso discusses the recent devastating fires in LA, the homeless crisis, crime, infrastructure needs, and his vision for fixing the city's problems through public-private partnerships and business-minded leadership.

Topics Discussed

Recent LA Fires and Leadership Failures (0:15)

The discussion opens with analysis of the recent devastating fires that destroyed an area larger than Manhattan in Los Angeles, exposing serious leadership and infrastructure failures:

Empty Reservoirs: Critical water reservoirs were empty during fire season due to maintenance issues
Inadequate Preparation: Despite warnings of catastrophic winds, there was insufficient emergency preparedness
Leadership Absence: The mayor was out of town during the crisis
"How in God's name in the second largest city in the country can you have a water system that runs out of water in a fire?" - Rick Caruso

Homelessness Crisis and Solutions (8:19)

Caruso outlines his vision for addressing LA's massive homeless population:

Current Situation: 70,000-100,000 homeless people in LA County
Government Waste: City spending $800,000 per unit for homeless housing while non-profits build for $300,000
Private Solutions: Partner with successful organizations like Downtown Women's Center achieving 90% success rates
Available Land: City owns hundreds of vacant parcels that could be developed
"The government alone can't solve major problems...scale up organizations that have a proven track record of success" - Rick Caruso

Law Enforcement and Public Safety (51:35)

Discussion of crime and law enforcement challenges:

Police Staffing: LAPD is severely understaffed
Private Security: Businesses forced to hire private security due to lack of police presence
Prosecution Issues: Previous DA's policies of immediate release created revolving door
Reform Needed: Balance between accountability and public safety

Business Environment and Regulations (1:23:39)

Analysis of California's challenging business climate:

Over-regulation: Excessive regulations making it difficult to operate businesses
High Taxes: Tax rates driving businesses and residents out of state
Reform Needed: Must become more business-friendly to attract investment
"I would never restart the business in LA and in California. It's too expensive. The tax rates are too high for everybody." - Rick Caruso

Infrastructure and Development (1:42:36)

Discussion of critical infrastructure needs:

Power Lines: Need to underground power lines in fire-prone areas
Water Systems: Upgrade water mains and hydrant systems
Desalination: Build desalination plants along coast
Nuclear Power: Consider expanding nuclear power with modern safety systems

Vision for Change (1:38:14)

Caruso's approach to fixing LA's problems:

Public-Private Partnership: Leverage private sector expertise and efficiency
Remove Red Tape: Streamline approvals and reduce regulations
Business Approach: Run government more like a business
Outside Leadership: Need leaders from outside political system
"You either lead, follow, or get out of the way. And I really admire people who lead." - Rick Caruso

Conclusion

The conversation highlights the deep systemic problems facing Los Angeles and California, from homelessness to infrastructure to business climate. Caruso makes a compelling case that addressing these issues requires outside leadership willing to break from traditional political approaches and leverage private sector solutions. While the challenges are daunting, his optimistic vision suggests that with the right leadership and public-private partnerships, meaningful change is possible.