Advocacy

CREFC Government Relations: Shaping Our Industry

CREFC’s Government Relations team serves as the primary interface between the CRE Finance industry and policymakers. Through a collaborative process with our members, CREFC engages with legislators, regulators, and other policy stakeholders to advocate for policies that promote the interests of our membership and the broader industry.

By joining a CREFC Forum, members are able to participate in the creation of official policy positions and will gain access to regular updates from our Government Relations team on the latest regulatory developments.

View our recent policy wins and sign up for a CREFC Forum below to join our advocacy efforts and make a difference in the direction of our industry. Please contact David McCarthy with any questions.

The First 100 Days

CREFC's Government Relations Team is closely monitoring key legislative and regulatory developments shaping the commercial real estate finance industry. Explore our First 100 Days: Legislative Update and First 100 Days: Regulatory Update for insights into the evolving policy landscape.

  • First 100 Days: Legislative Update (1/28/25)
  • First 100 Days: Regulatory Update (1/28/25)


  • Election 2024 Outcome Analysis: Implications for CRE and Multifamily Finance

    The 2024 election results are in, and CREFC has prepared an in-depth Election 2024 Outcome Analysis to explore how the outcomes will shape policy in 2025 and beyond. This comprehensive analysis examines key issues in the commercial and multifamily real estate finance industry, providing insights into the potential legislative and regulatory landscape.

    While members of CREFC's Government Relations team do not forecast election results, our goal remains to dig deeper into the factors that influence critical areas of legislation and regulation.

    Outcome Analysis:
  • CREFC Election 2024 Outcome Analysis (11/18/24)

  • Scenario Analyses:
  • CREFC Election 2024 Scenario Analysis (10/28/24)
  • CREFC Election 2024 Scenario Analysis (10/22/24)
  • CREFC Election 2024 Scenario Analysis (10/8/24)


  • Recent Policy Developments (as of Q3 2024)

    Basel Endgame Advocacy
    The federal banking regulators plan to repropose the Basel Endgame Capital rules with significant changes. CREFC had submitted comments and coordinated a real estate industry letter on proposed rules and is waiting for the re-proposal to see the extent to which our comments were taken into consideration. CREFC plans to continue advocacy as needed following the release of the re-proposal.

    Tax Policy Working Group
    Convened a group of member experts on tax to analyze and triage key tax priorities ahead of 2025. With the expiration of key provisions in the 2017 Tax Cuts and Jobs Act, Congress is expected to take up a tax bill next year. CREFC will engage with lawmakers and staff on key tax issues through the end in preparation the tax push early next year. 

    15c2-11 No Action Letter Expiration
    CREFC is engaging with CMBS broker dealers on the upcoming application of 15c2-11 public data requirements for conduit CMBS. While CREFC and other trades successfully exempted 144A bonds from the public disclosure requirements, the public CMBS requirements are scheduled to come online in January 2025. CREFC will follow up with the SEC and/or on Capitol Hill as necessary. 

    Conflicts of Interest Rule
    Successfully advocated for narrowing the overly broad scope of the SEC’s Conflicts of Interest in Securitizations rule to target conflicted transactions and relevant parties more appropriately. CREFC partnered with other organization on an implementation toolkit.

     

     

    Latest News

    News

    Fed Chairman Powell to Testify to House Financial Services and Senate Banking Committees

    February 11, 2025

    The Senate Committee on Banking and the House Financial Services Committee will hear testimony this week from Federal Reserve Chair Jerome Powell.

    Why it matters: Powell testifies on a semiannual basis in front of both chambers of Congress. His testimony will be closely watched as he will be asked about various aspects of the U.S. economy and it’s outlook moving forward.

    • Members of both chambers are likely to question Powell on a variety of economic issues including interest rates, inflation, and the labor market. 
    • Commercial real estate issues could also come up, as they did in March 2024 when Powell testified in front of HFSC. For a detailed readout of how CRE was discussed during that hearing last year, please click here.

    The dates and times of Chairman Powell’s testimony to both committees is included below.

    Senate Committee on Banking

    House Financial Services Committee

    What they’re saying: Chair Powell last testified on the Hill in July 2024. His opening statement from those hearings is linked here.

    Contact James Montfort (jmontfort@crefc.org) with any questions.

     

    Contact 

    James Montfort
    Manager, Government Relations
    202.448.0857
    jmontfort@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. © 2025 CRE Finance Council. All rights reserved.
    Fed Chairman Powell to Testify to House Financial Services and Senate Banking Committees
    February 11, 2025
    The Senate Committee on Banking and the House Financial Services Committee will hear testimony this week from Federal Reserve Chair Jerome Powell.

    News

    Reconciliation and Funding Update

    February 11, 2025

    For now, there has been limited public progress to address the upcoming March 14 government funding deadline. The Senate took the first steps to move on two reconciliation bills and House leaders continued to push for one bill. 

    Why it matters: Republicans will need Senate (and likely House) Democrats to avert a government shutdown. Yet, the national attention has largely been focused on the flurry of executive actions, Department of Government Efficiency (DOGE), agency shutdowns, and the reaction to all of the above. 

    • The reconciliation discussions are separate from the shutdown deadline, but any course will require virtually all GOP members to agree. 
    • It is unlikely any Democrats will join the reconciliation efforts, which tend to be a partisan effort. 

    The big picture: The process arguments remain largely the same. Senate Republicans want to give President Donald Trump early legislative victories with a first reconciliation bill focused on the:

    • Border, 
    • Defense, and 
    • Immigration. 
    • Tax would come later 

    House leaders prefer a bill incorporating both to incentivize holdouts on tax with the trio of electoral priorities. Trump has, thus far, preferred this route. 

    • But the House has not been able to agree in principle on “top-line” numbers. Deficit hawks want to see a sizable $2 to $5 trillion in cuts. This would be a steep price considering the reauthorization of the 2017 tax law and the addition of Trump’s priorities, which could run well beyond $4 trillion in reduced revenue. 
    • Senators huddled with Trump at Mar-a-Lago last Friday in an effort to sway him to back two bills. Speaker Mike Johnson joined Trump at the Super Bowl. 
    • Breaking News: The House Budget Committee scheduled a markup on a reconciliation bill for Thursday, Feb. 13. At time of publication it is unclear what the scope of the markup will include.
    By the numbers: Senate Budget Committee Chairman Lindsey Graham (R-SC) initiated the Senate process with an addition $340 billion in spending for defense and the border that would be “paid for” with commensurate funding cuts. Under the bill, the following committees can spend (add to the deficit) up to the following amounts:

    • Senate / House Armed Services: $150 billion
    • Judiciary: $175 billion
    • House Homeland / Senate Homeland Security and Gov Affairs: $175 billion
    • Transportation & Infrastructure / Commerce: $20 billion
    Funding cuts would come from other committees with a wide range of jurisdiction. 

    What’s next: The Senate Budget Committee will mark up its legislation this week, and the House GOP will aim to introduce a plan. Trump may weigh in based on his weekend conversations, or he may choose to continue to wait it out. 

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

    Contact 

    David McCarthy
    Managing Director, Chief Lobbyist, 
    Head of Legislative Affairs
    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. © 2025 CRE Finance Council. All rights reserved.
    Reconciliation and Funding Update
    February 11, 2025
    For now, there has been limited public progress to address the upcoming March 14 government funding deadline.

    News

    Trump Aims to Close Carried Interest “Loophole” in Tax Bill

    February 11, 2025

    After meeting with House Republicans the White House press secretary outlined President Donald Trump’s tax priorities, which now include eliminating capital gains tax treatment for carried interest income.

    Why it matters: Carried interest is a share of a fund’s profits — typically 20% — earned by investment managers as compensation, which is taxed at the lower capital gains rate rather than as ordinary income if certain conditions are met. Post enactment of the 2017 tax bill, real estate maintains greater flexibility in carried-interest treatment than other investments. 

    • President Trump has long been against carried interest treatment, but it survived the 2017 tax bill—with several key changes—and had not been part of the current conversation. 
    • The president’s current focus puts the treatment in much greater peril amid slim Congressional majorities.
    Go deeper: 


    White House Press Secretary Karoline Levitt
    outlined Trump’s tax priorities as discussed with the House GOP: 

    • Extend the Tax Cuts and Jobs Act, 
    • Eliminate taxes on tips, Social Security benefits, and overtime pay, 
    • Fix the state and local tax (SALT) deduction,
    • (NEW) Eliminate tax breaks for billionaire sports team owners, 
    • (NEW) Close the carried-interest tax loophole, and 
    • Cut taxes on products made in America.
    What’s next: The carried interest issue likely will mobilize key supporters of the provision, including the real estate sector, to oppose any changes to the current arrangement. While Trump has greater sway in Congress than in 2017, carried interest continues to enjoy strong support in both narrowly divided chambers. 

    See our story on reconciliation for an update on the political jockeying around process. 

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

    Contact  

    David McCarthy
    Managing Director, Chief Lobbyist, 
    Head of Legislative Affairs
    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. © 2025 CRE Finance Council. All rights reserved.
    Trump Aims to Close Carried Interest “Loophole” in Tax Bill
    February 11, 2025
    After meeting with House Republicans the White House press secretary outlined President Donald Trump’s tax priorities, which now include eliminating capital gains tax treatment for carried interest income.

    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.
     

    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.

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