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CNN International: Texas Sends Second Bus of Migrants to Los Angeles; DeSantis Campaign Slams Trump for LGBTQ Support; Commercial Real Estate Facing Major Pressure. Aired 4:30-5a ET

Aired July 03, 2023 - 04:30   ET

THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.


[04:30:00]

MAX FOSTER, CNN ANCHOR: Welcome to CNN NEWSROOM. I'm Max Foster. If you're just joining us, let me bring you up to date with the top stories this hour.

Millions of Americans are under severe weather threats heading into the 4th of July holiday, extreme rainfall and hail, and even tornadoes are a possibility as storms hit the South and East Coast. So far today, more than 370 flights have been canceled or delayed in an out of the U.S.

And investigators are searching for two suspects in Saturday's mass shooting that killed two people and injured 28 others at a block party in Baltimore. Officials are asking residents to help find those responsible.

BIANCA NOBILO, CNN ANCHOR: Today is the first full day on the picket lines for thousands of hotel workers in Los Angeles and Orange County, California. This strike comes in the midst of a busy July 4th holiday weekend, and with the summer tourist season overall really ramping up.

Here's where things stand at the moment. Union employees at 65 major hotels walked off the job on Sunday morning. They're demanding higher pay and better benefits, and they say that they're being priced out of the cities in which they work. Many of the hotels are now using management personnel and non-union staffers just to keep things running in the interim, and they could be doing so for quite some time. A union spokesperson says, quote, workers are ready to strike until they get what they are asking for. So, something to keep an eye on over the next couple days and maybe more -- Max.

FOSTER: Indeed, Bianca, thank you.

We are learning more about the dozens of migrants who are sent to Los Angeles from Texas over the weekend. It's the second busload of migrants to the city in the past few weeks, and part of a growing trend of Republican governors sending asylum seekers to Democratic led states. CNN's Camila Bernal has more.

(BEGIN VIDEOTAPE)

CAMILA BERNAL, CNN CORRESPONDENT: These are 41 migrants that, I'm told, are tired, but have this sense of relief to be here in Los Angeles. Of the 41, 11 in the group were children. And these are people that are coming from a number of different countries, including Cuba, Belize, Columbia, Venezuela, Nicaragua, El Salvador and others. And a lot of these people, I'm told, knew that they were coming to Los Angeles. A lot of them having sponsors or family members here in Los Angeles, and also have immigration court dates here in the Los Angeles area.

[04:35:00]

What I am being told by officials in L.A., is that they were not formally notified that this bus was coming, but they were able to get confirmation from the city of Brownsville. So, what the non-profits and the faith-based groups are saying, is that this time around, the process was a lot smoother. They knew what they were expecting. And what they're saying is they will continue to help these migrants, welcomed them with open arms, and treat them with dignity. Here is Angelica Salas, with CHIRLA.

ANGELICA SALAS, EXECUTIVE DIRECTOR, THE COALITION FOR HUMANE IMMIGRANT RIGHTS: I talked to a couple of young men who have been walking for months themselves. So this is the first time after arriving at Brownsville, getting on a bus, finally that they actually get a chance to sit and rest. And now, they're here in the United States. So, what we're doing is just making sure that the individuals understand, also their legal situation.

BERNAL: Now, we know Republican governors have been transporting migrants to Democratic-led cities. Governor Greg Abbott of Texas has already said he's bussed more than 23,000 migrants. We have reached out to his office and have not heard back. But in the past, he has used this to criticize the federal government for their efforts and their work at the border. Officials here in Los Angeles say that this is a political stunt, and again, say they will welcome these migrants with open arms.

Camila Bernal, CNN, Los Angeles.

(END VIDEOTAPE)

FOSTER: Former U.S. Present Mike Pence says he doesn't recall any pressure from Donald Trump in asking him to call former Arizona Governor Doug Ducey about their loss in the 2020 presidential election.

NOBILO: CNN has reported that the former president pressured Ducey to find fraud in his states election results, and repeatedly pressured Pence as well. Here's what Pence had to say about that.

(BEGIN VIDEO CLIP)

MIKE PENCE, FORMER U.S. VICE PRESIDENT: I did check in with, not only governor Ducey, but other governors in states that were going through the legal process of reviewing their election results. But there was no pressure involved, Margaret. I was calling to get an update. I passed along that information to the president. And it was no more, no less, than that. (END VIDEO CLIP)

FOSTER: Ron DeSantis's camp has put out a new attack ad touting his chief rival for the GOP nomination, former President Donald Trump. In the ad, DeSantis slams Trump for not only supporting but also courting LGBTQ voters.

(BEGIN VIDEO CLIP)

DONALD TRUMP, FORMER PRESIDENT OF THE UNITED STATES: I will do everything in my power to protect our LBGTQ citizens.

Text: Trump campaign website offers "LGBTQ for Trump" shirts.

TEXT: DeSantis Signs Most Extreme Slate of Anti-Trans Laws in Modern History.

TEXT: DeSantis shuts down Florida schools Dragon donuts event featuring drag queen's mama actually rose.

TEXT: Ron DeSantis Signs Draconian Anti-Trans Bathroom Bill Into Law.

TEXT: Pride event in St. Cloud canceled after DeSantis signs "Protection of Children Act" into law.

TEXT: DeSantis enacts a wave of laws targeting gender affirming care, pronouns in schools.

TEXT: No one is more dangerous for the White House and Ron DeSantis -- including Donald Trump.

(END VIDEO CLIP)

NOBILO: Was that -- that video is being widely condemned as homophobic. As CNN correspondent Kristen Holmes reports, it's the latest attack in a growing feud between the GOP's top two 2024 contenders.

(BEGIN VIDEOTAPE)

KRISTEN HOLMES, CNN CORRESPONDENT: They have said to me, both, you know, on background and even on the record, that they believe this is some kind of scrambling attempt for Ron DeSantis to get relevancy, to kind of bring up his poll numbers. But also, the video itself is just bizarre. And they like the fact that it is now being talked about. They're talking about why they're pictures of shirtless men in between headlines of Ron DeSantis condemning, you know, actions against trans people, or as well as like not teaching gender ideology? So, there's been a lot of conversation around that.

The other thing I want to note is that those statements that were made at the very top of the clip, it's unclear whether or not the DeSantis team knew what they were doing. But they were taken a month after the Pulse shooting, and they were when Donald Trump was accepting the Republican nomination. And if you actually listen to the entire speech, which I did afterwards, they next lines are protecting people from domestic terrorism.

So it was strange, you know, too many people watching the video, as well as to the Trump campaign, that those are the remarks they would use, a former, you know, presidential candidate, that leader of the Republican Party, essentially offering his support after a tragic event. If you look at the polling, Donald Trump is still leading by quite a big margin right now.

You know, we've seen time and time again and during the cycle in particular, Republican establishment, Republicans coming out and saying they're not going to support him this round. Donors saying they're not going to support him this round. We just saw the Koch brothers saying that they were going to put $70 million against anyone, essentially, to run against Donald Trump.

But the question is, who is that going to be? Because many people believed it was going to be Ron DeSantis. That he was going to come out and really take on Trump head-to-head. And right now, even with two indictments, Trump is still leading in the polls. So, it's unclear if there's going to be a moment where DeSantis has a break out. But of course, as we know, it is still very early, and those debates will make a big difference.

(END VIDEOTAPE)

NOBILO: The work from home trend is taking a toll, with all those empty office buildings, the real estate industry is facing some major financial stress. We've got more on that coming up ahead.

(COMMERCIAL BREAK)

NOBILO: Torrential rain has triggered flash flooding and landslides in mountainous areas of east and southwest China. People have been evacuated from the onslaught of bad weather hitting those regions. You can see here, the mud flows and rescuers working to clear debris away from the roads. In Chongqing, rescue crews are using ropes to try and move stranded people to higher ground.

FOSTER: In Japan, authorities are reporting that heavy rains have left one man dead and at least one other person missing. Evacuation warnings were issued for nearly 2 million people on Saturday. Many homes were underwater after strong downpours hit the region.

NOBILO: After decades of booming growth, the commercial real estate industry has hit a wall. Property values are plummeting, offices in many cases stand empty, and rising interest rates could pressure the industry even further. CNN's Vanessa Yurkevich explains how big the problem is, and if it could get even worse.

(BEGIN VIDEOTAPE)

VANESSA YURKEVICH, CNN BUSINESS AND POLITICS CORRESPONDENT (voiceover): They are statuesque, vast, and staggering, and they're empty. Skyscrapers and office buildings once stacked high with businesses are experiencing high vacancy rates in the U.S., nearly 19 percent, five and a half percent higher than before the pandemic. STEVEN DURELS, EVP AND DIRECTOR OF LEASING, SL GREEN REALTY CORPORATION: I think it's a very unique moment. Nothing like any disruptive marketplace that I've experienced over the past 40 years.

YURKEVICH (voiceover): The pandemic emptied offices around the country. Today, the number of people returning to in-person work is less than 50 percent in 10 major metro areas, forcing companies to rethink physical office space. Half of the biggest global companies say they'll need less real estate in the next three years. Leaving landlords with loans to pay in a bind.

YURKEVICH: If there's no tenant, you're not making money --

DURELS: Right.

YURKEVICH: -- what do you?

[04:45:00]

DURELS: There's no recouping, you know, lost income for down time.

YURKEVICH (voiceover): Steven Durels runs the leasing at SL Green, New York City's largest commercial landlord. With more than 30 million square feet of space to rent, the collapsing demand for office space means their tenant vacancy rate shot up from three percent pre- pandemic to 10 percent today, that calls for some creativity.

AMANDA WEISENTHAL, HEAD OF SALES AND PRODUCTION, BACKLOT: You can build a set in here. You can have a fight scene in here.

YURKEVICH (voiceover): SL Green is now working with Backlot, a company that connects landlords at 332 buildings across New York and New Jersey with film and TV companies. This episode of "Law & Order" was filmed in this vacant office in Midtown Manhattan. "The Watcher" on Netflix, in these east side offices.

WEISENTHAL: I think people are starting to look holistically at how they can support a revenue stream.

YURKEVICH (voiceover): This year, SL Green says it will earn $3 million from film and TV shoots.

DURELS: It's really helped mitigate the loss of income during the downtime periods.

YURKEVICH (voiceover): Empty office buildings could be turned into residential, a big need. This project in Washington, D.C., once an office building, is being turned into apartments. But that's not an easy quick fix process. Less than one percent of apartments nationwide are converted from commercial properties.

And across the river in Arlington, Virginia, the city is trying to get ahead of its empty office space problem at 22 percent.

RYAN TOUHILL, DIRECTOR, ARLINGTON ECONOMIC DEVELOPMENT: I'm sitting right today in northeaster's D.C. campus. Last year, a university was not allowed to take up space in a -- in an office building.

YURKEVICH (voiceover): Thanks to new city zoning laws, that's now possible, along with seven new types of commercial businesses, like animal boarding, hydroponic farms, and pickleball. It's already happening in South Jersey. This 22,000 square foot pickleball facility was a vacant Burlington Coat Factory in a strip mall. Regional mall vacancy is at a record high.

YURKEVICH: Were there a lot of options like this on the market?

ANDREW PESSANO, CO-OWNER, PROSHOT PICKLEBALL: Yes, I think we had more opportunity than we thought there would be in the market.

YURKEVICH: Pickleball is the fastest-growing sport in America. So, does that mean that the sport needs to find places to play quickly?

PESSANO: The greatest threat to the growth of pickleball is the lack of facility.

YURKEVICH (voice-over): Vanessa Yurkevich, CNN, Egg Harbor Township, New Jersey.

(END VIDEOTAPE)

NOBILO: In the day ahead, the sexual assault trial of actor Kevin Spacey will resume in London, with the first alleged victim scheduled to testify against the Oscar-winner.

FOSTER: Spacey is accused of committing offenses against four men between 2001 and 2013 when they worked in the British capital. He denies the allegations.

An ad agency in the Philippines is under fire over a new tourism campaign video. The reason why and the reaction, next.

[04:50:00]

(COMMERCIAL BREAK)

Our sports highlight this hour, the Baltimore Orioles defeated the Minnesota Twins 2-1 on Sunday. Watch this spectacular catch by Baltimore's Cedric Mullins. He chases it all the way to the wall to make the play. Stopping the Twins from scoring a run. Even Minnesota's Byron Buxton, who hit the ball in that play had to give Mullins credit for that catch.

NOBILO: And in the high-speed world of NASCAR, new Zealand's Shan Van Gisbergen has won the Inaugural Chicago Street Race. He's the first driver to win his cup series debut since 1963 and the seventh overall in NASCAR history. When asked if he would consider racing in the series full-time, he said he was going to do one more year in Australia and then would, quote, loved to come over here.

FOSTER: Another race, another victory for Formula One driver Max Verstappen. He dominated the Austrian Grand Prix on Sunday for his fifth and sixth win and seven overall this season. He did, however, briefly give up his lead on lap 26 and he had a remarkable streak of 249 successive race laps led. Verstappen says he isn't thinking about winning a third world title just yet, only that he's just enjoying the moment.

NOBILO: Novak Djokovic this set to bring the curtain up at Wimbledon today as he goes for his eighth title at the All England club and the 24th Grand Slam title for him. The 36-year-old Serb will open on center court where he hasn't lost in ten years.

Five-time champion Venus Williams also returns playing the singles event for the 24th time.

And now to the stories in the spotlight this hour. An ad agency is apologizing for using footage of other countries in a promotional video for the Philippines new tourism campaign.

FOSTER: That apology comes as the department of tourism investigates those allegations. The department had contracted ad agency DDB Philippines to help with the launch of their campaign, but says the video was not part of the contract.

NOBILO: The ad agency says that its use of foreign stock footage in a campaign promoting the Philippines was highly inappropriate and says it is cooperating with the investigation.

FOSTER: And it entirely defeats the object, particularly when the Philippines has so much to offer without having to do that.

An update on a story, Vanilla the champ who saw this sky for the first time. We're told she is doing well and getting along with her new friends and soaking up the sun. In case you missed it, here's the moment of joy for Vanilla. She spent her first 28 years in cages, the first part of her life in a medical research laboratory, and in a shelter with no view of the sky. Now like a lot of retirees, Vanilla is spending her golden years in the Sunshine State. She is living on three acres of open land at the Save the Champ Sanctuary in Fort Pierce, Florida. The CEO of Save the Chimps tells us more about Vanilla's life before she came to the sanctuary.

(BEGIN VIDEO CLIP)

ANA PAULA TAVARES, CEO, SAVE THE CHIMPS: Not until now have we've been able to really enjoy the opportunity of freedom, having freedom as they so deserve.

[04:55:00]

And that's what we all witnessed. And as we celebrate Independence Day this video, this heartwarming video, like of Vanilla having picked her first taste of freedom, really shows how chimpanzees, like us, cherish and enjoy independence and freedom. And you can see them behind me, some of them, and that's the island where now the Vanilla enjoys a life as a close to what they would have had in the wild as possible.

(END VIDEO CLIP) NOBILO: She says chimps can live into their 60s. Right now there are

227 chimps on the island in Florida. I'm definitely going to go and see if I can visit or support them next time I go to Florida where my parents are. And they eat about two and half tons of food every day. Save the Chimps as a charitable organization which runs on donations.

FOSTER: Just a little glance have given them so much publicity.

NOBILO: It really has but it melts your heart and it says so much and transcend species.

And finally, the first super moon of the year is about to make its brilliant mark on the sky. In roughly two and a half hours, it's expected to reach peak illumination below the horizon.

FOSTER: This one is called the "Buck Moon" and it's 14,000 miles closer to the earth than the typical full moon. It is also the first of four super moons this year. So if you missed a view don't worry, it won't be the last.

Thanks for joining us here on CNN NEWSROOM, I'm Max Foster.

NOBILO: Are you going to go to all four with your telescope?

FOSTER: Is it one of those that you're allowed to look at? I get confused at what you can look at and what you can't look at.

NOBILO: That's the special --

FOSTER: It's always too cloudy though.

NOBILO: And I'm Bianca Nobilo, "EARLY START" with Rahel Solomon is up next right here on CNN.

[05:00:00]