ISM comprises multiple components, including molecular, neutral, and ionized gas, and dust, which are related to each other mainly through star formation – some are fuel for star formation (molecular gas) while some are the products of it (ionized gas, dust). To fully understand the physics of star formation and its evolution throughout cosmic time, it is crucial to measure and observe different ISM components of galaxies out to high redshifts. I will review the current status of near-IR studies of galaxies during the peak of star formation activity (z ∼ 1 – 3). Using rest-frame optical emission lines, we measure dust, star formation, and gaseous properties of galaxies. JWST will advance such studies by probing lower luminosities and higher redshifts, owing to its significantly higher sensitivity. Incorporating ALMA observations of cold dust and molecular gas at z > 1 will give us a nearly complete picture of the ISM in high-redshift galaxies over a large dynamic range in mass.