Shaping Our Industry

Our members shape the commercial real estate finance industry with our advocacy initiatives. Through a collaborative process with our members, CREFC develops official policy positions that are presented as needed to legislators and regulators. These policies are developed through participation in our forums. CREFC also maintains fact sheets in online and PDF format on all major CRE issues and informs members weekly of the latest regulatory developments. To make a difference in the direction of our industry, sign up for a forum and participate in our advocacy efforts below. Contact David McCarthy with any CREFC policy or advocacy questions.

Latest News

News

Speaker Johnson Prevails Amid Surveillance Law Infighting

April 16, 2024

On Friday, April 12, the House passed a two-year reauthorization of the Foreign Intelligence Surveillance Act (FISA). The bill now heads to the Senate where it is expected to pass.

Why it matters: The reauthorization was another test for Speaker Mike Johnson (R-LA). Conservatives and progressives opposed various pieces of the surveillance program, forcing Johnson to juggle his narrow House majority with national security priorities and Trump’s distaste for the program.

Overview of FISA: Section 702 of FISA generally governs the surveillance of foreign nationals located outside the U.S. The government does not have to obtain a warrant for this surveillance, but the surveillance cannot target U.S. persons or those located in the U.S. FISA was renewed in 2012 and 2017 with bipartisan support.

  • Critics have focused on instances where 702 surveillance of foreigners abroad also sweeps in communications with any Americans.
  • An amendment to add a warrant requirement to some aspects of FISA failed in a tie 212-212 vote.
  • The shortened timeframe from the traditional five-year authorization was part of a negotiation after former President Trump opposed the reauthorization.

Rule Vote Failures: Earlier this week, the House failed to pass a “rule” to govern debate and consideration of the FISA bill after 19 GOP members voted against the rule. Rules allow the majority party to limit debate and amendments (e.g., tough votes) on its priorities.

  • This was Speaker Johnson’s fourth failed rule vote in the last six months. This dysfunction could be a sign of things to come, as Johnson is dealing with a possible vote to oust him as early as next week. More on that later.
  • Previously, speakers John Boehner, Nancy Pelosi and Paul Ryan never lost a rule vote during their tenures. McCarthy lost three before his ouster.

The result: Amid tense and close amendment votes, the bill finally passed on a bipartisan vote of 273-147. Later the same day, Speaker Johnson traveled to Mar-a-Lago for a joint appearance with Trump, less than 48 hours after Trump had publicly opposed FISA reauthorization.

  • While Johnson has faced criticism from all corners of Capitol Hill during his tenure, he has navigated a complicated political predicament on spending and national security issues.

Yes, but: The threat of a motion to vacate continues to loom over Johnson, and the FISA passage may stir up more critics.

  • Rep. Marjorie Taylor Greene (R-GA) sent an open letter to her colleagues this week, detailing her reasons for wanting to oust Johnson, including a promise to vote on Ukraine funding and his passage of government spending deals.
  • Trump voiced his support for Johnson and acknowledged the difficult tasks he's faced with, though he noted his own friendship with Greene.

Contact James Montfort at (jmontfort@crefc.org) or David McCarthy (dmccarthy@crefc.org) with any questions. 

Contact  

David McCarthy
Managing Director, Head of Policy
202.448.0855
dmccarthy@crefc.org

James Montford
Manager, Government Relations
202.448.0857
jmontfort@crefc.org 

…aquellos tiempos
The information provided herein is general in nature and for educational purposes only. CRE Finance Council makes no representations as to the accuracy, completeness, timeliness, validity, usefulness, or suitability of the information provided. The information should not be relied upon or interpreted as legal, financial, tax, accounting, investment, commercial or other advice, and CRE Finance Council disclaims all liability for any such reliance. © 2023 CRE Finance Council. All rights reserved.
Speaker Johnson Prevails Amid Surveillance Law Infighting
April 16, 2024
On Friday, April 12, the House passed a two-year reauthorization of the Foreign Intelligence Surveillance Act (FISA).

News

Overview of Foreign Investment Legislation

April 16, 2024

As we have previously covered, Georgia’s governor is considering legislation that would limit certain foreign investments in commercial real estate and agriculture.

What's next: Governor Brian Kemp (R-GA) has 40 days from March 30 to sign or veto the SB 420. If he does not act, the bill becomes law.

Why it matters: The limitation on foreign investment and ownership in real estate follows the trend of over a dozen other states that have enacted similar provisions, most notably Florida SB 264.

CREFC has prepared a high-level overview of federal and state proposals related to foreign investment in real estate.

Contact David McCarthy (dmccarthy@crefc.org) with any questions. 

Contact 

David McCarthy
Managing Director, Head of Policy
202.448.0855
dmccarthy@crefc.org
The information provided herein is general in nature and for educational purposes only. CRE Finance Council makes no representations as to the accuracy, completeness, timeliness, validity, usefulness, or suitability of the information provided. The information should not be relied upon or interpreted as legal, financial, tax, accounting, investment, commercial or other advice, and CRE Finance Council disclaims all liability for any such reliance. © 2023 CRE Finance Council. All rights reserved.
Overview of Foreign Investment Legislation
April 16, 2024
As we have previously covered, Georgia’s governor is considering legislation that would limit certain foreign investments in commercial real estate and agriculture.

News

CREFC Joins Letter Defending Like-Kind Exchanges

April 16, 2024

Last week, CREFC joined 35 organizations in a letter to congressional leaders urging them to preserve Section 1031 like-kind exchange tax treatment for real estate. Click here for the letter.

Why it matters: The Biden administration’s 2025 budget once again seeks to limit the deferral-of-gain recognition.

  • While the provision has virtually no chance of passing in the current Congress, CREFC and other stakeholders continue to educate policymakers on the importance of the provisions.

The big picture: In a like-kind exchange, an investor can elect to defer the taxation of capital gains on the disposition of investment or business-use real property if the taxpayer reinvests the proceeds in another property of a like kind, in a short window of time.

Go deeper: The letter highlights numerous arguments for preserving the tax treatment. Like-kind exchanges:

  • Reduce the cost of capital and make the economy more efficient by getting real estate into the hands of new owners with the time, resources, and desire to restore and improve them;
  • Increase the supply of affordable rental housing as multifamily represents 40% of real estate like-kind exchanges;
  • Drive job creation, according to an Ernst and Young study that found in 2021 economic activity generated by like-kind exchanges supported 976,000 jobs generating $48.6 billion of labor income and contributing $97.4 billion to the U.S. GDP; and
  • Generate state and local tax revenue, as well as property reassessments that increase the tax base, through the more frequent turnover of real estate attributable to section 1031.

The bottom line: Like-kind exchanges for real estate continue to have bipartisan support in Congress. But with numerous tax provisions expiring after 2025, the next Congress and administration will be highly focused on tax policy.

CREFC and its partners will continue to stress the importance of like-kind exchanges to policymakers throughout the legislative process.

Contact David McCarthy (dmccarthy@crefc.org) with any questions. 

Contact 

David McCarthy
Managing Director, Head of Policy
202.448.0855
dmccarthy@crefc.org
The information provided herein is general in nature and for educational purposes only. CRE Finance Council makes no representations as to the accuracy, completeness, timeliness, validity, usefulness, or suitability of the information provided. The information should not be relied upon or interpreted as legal, financial, tax, accounting, investment, commercial or other advice, and CRE Finance Council disclaims all liability for any such reliance. © 2023 CRE Finance Council. All rights reserved.
CREFC Joins Letter Defending Like-Kind Exchanges
April 16, 2024
Last week, CREFC joined 35 organizations in a letter to congressional leaders urging them to preserve Section 1031 like-kind exchange tax treatment for real estate.

More Advocacy Resources

CREFC Policy and Capital Markets Briefing

Read the latest issue of CREFC's weekly Policy and Capital Markets Briefing

CREFC Policy Tracker

CREFC’s Policy Tracker includes a variety of visual aids and updates to help members understand, track, and analyze key policy issues affecting the CRE and multifamily finance industry.

ESG Initiatives

 CREFC’s Sustainability Initiative seeks to align the objectives of our members and the CRE finance industry with the opportunities and challenges of environmental, social and corporate sustainability.
 

Policy Fact Sheets

CREFC’s Fact Sheets are intended to provide a high-level overview of legislative and regulatory policy issues affecting commercial real estate lenders and investors.  Read the facts.

Read the Latest Government Relations Alerts

For our weekly government relations and industry policy briefings, please visit our Document Resource Center. The Document Resource Center contains CREFC position papers, analyses, testimony, and other policy tools.

Multifamily Housing Affordability

Read CREFC's thought leadership paper: Multifamily Housing Affordability in the Age of COVID and Beyond

Archive

Don't miss a beat! Remain informed on all things CRE and beyond by checking out CREFC's Archive Page. The archive houses legislative and political resources, developed and curated by CREFC's Government Relations team, needed to thrive in today's market.   

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