Category: News

2021 Policy Agenda (entire agenda)

Intro

Tax Policy 

Capital & Credit

Energy & Climate

Infrastructure & Housing

Homeland Security

The Real Estate Roundtable’s 2021 State of the Industry (SOI) meeting this week featured discussions with three incoming Senate Committee chairs who oversee banking, energy, housing, and tax legislation – along with other national leaders on a wide range of policy matters. The Roundtable’s policy advisory committees also met virtually to discuss these matters as well as the Biden Administration’s COVID response initiatives, the prospects for legislating in a 50-50 Senate, and homeland security concerns in the aftermath of the January 6 attack on the Capitol. (Watch all SOI videos on The Roundtable’s YouTube Channel.)

• Roundtable Chair Debra Cafaro (Chairman and CEO, Ventas, Inc.) launched the SOI meeting on Jan. 26, acknowledging the health, economic and equality crises that have engulfed the nation over the past year. (video)
• Cafaro also emphasized how The Roundtable was one of the first industry groups to denounce the attack and suspend political support for any members of Congress not interested in seeking bipartisan solutions to the nation’s significant challenges. (Roundtable Weekly, January 15)

• Cafaro was joined by Roundtable Chair-Elect John F. Fish (Chairman & CEO, SUFFOLK) and Roundtable President and CEO Jeffrey DeBoer (photo above) in announcing that the organization’s 2021 National Policy Agenda will soon address issues in the areas of tax, capital and credit, energy and climate, homeland security, infrastructure and housing.

Policy Issues & Featured Speakers

The SOI meeting attracted nearly 300 participants and included the following speakers: 

• Sen. Sherrod Brown (D-OH) – Incoming Chairman of the Senate Banking, Housing and Urban Affairs Committee – spoke about the national eviction moratorium and ensuring citizens have access to affordable housing (video). [Roundtable President and CEO testified before the Senate Banking Committee in Sept. 2020 about policy recommendations that could encourage a national recovery from the economic effects of the pandemic.]
• Sen. Joe Manchin (D-WV), photo above – Incoming Chairman of the Senate Energy and Natural Resources Committee – is one of the key centrist Senators who is expected to play a significant role in forging bipartisan legislation in the 117^th Congress, as the Biden Administration moves swiftly on its pandemic aid plan and clean energy initiatives to boost job creation. (video)
• Sen. Ron Wyden (D-OR) – Incoming Chairman of the Senate Finance Committee – will have a principal role on Capitol Hill on tax, trade, and spending. He welcomed fact-based reports showing the link between real estate, the pandemic and tax policy. (video)
• Dr. Scott Gottlieb – 23rd Commissioner of the U.S. Food and Drug Administration – spoke with Roundtable Chair Debra Cafaro on the emergence of vaccines, concerns about coronavirus variants, and the prospects for fuller re-opening of the economy.
• Penny Pritzker – 38th Secretary of Commerce (2013-2017), Founder and Chairman of PSP Partners and former Roundtable Board Member – provided her insight on leadership, international trade agreement, the climate crisis and racial inequity. (video)
• Steven Pearlstein – Business and Economics Columnist, The Washington Post – discussed the challenges ahead for bipartisan policymaking in a split Senate with The Roundtable’s Board of Directors, reflecting his recent column, “Five (somewhat) upbeat predictions for 2021.” (video)

Roundtable Policy Advisory Committees

The Roundtable’s policy advisory committee meetings analyzed national issues impacting CRE in detail with the following high-level congressional and agency staff:

• Research and Real Estate Capital Policy Advisory Committees (RECPAC)
  Rep. French Hill (R-AR) provided his insights on the 117th Congress from his perspective as a member of the House Financial Services Committee. Additionally, D. Michael Van Konynenburg (Eastdil Secured), Brian Kingston (Brookfield) and Michael Bilerman (Citi) provided their perspectives on the market cycle. (video)

• Tax Policy Advisory Committee (TPAC)
  Tax legislative priorities affecting CRE were a focus of a discussion moderated by Russ Sullivan (Brownstein Hyatt Farber Schreck) with Tiffany Smith, chief tax counsel for Senate Finance Committee Democrats and Andrew Grossman, chief tax counsel for House Ways and Means Committee Democrats. (video)

• Homeland Security Task Force (HSTF) and Risk Management Working Group (RMWG)
  This joint meeting was briefed on potential post-inauguration threats from a representative of the FBI’s Counterterrorism Division. Additionally, Brian Michael Jenkins, a senior adviser to the president of the RAND Corporation, addressed the attack on the U.S. Capitol and the implications for real estate.

• Sustainability Policy Advisory Committee (SPAC), photo above
  U.S. Energy Information Administration speakers updated SPAC on the Commercial Building Energy Consumption Survey (CBECS), the only federal data that takes stock of U.S. commercial real estate. Environmental, Social, and Corporate Governance (ESG) trends were also discussed, as well as the need for voluntary federal standards to help unify a patchwork of state and local laws addressing buildings and their carbon footprint. (video)

Next on The Roundtable’s FY2021 meeting calendar is the Spring Meeting on April 20. This virtual meeting is restricted to Roundtable-level members only.

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Real Estate Roundtable members on Jan. 19 joined other building owners and operators around the nation to illuminate private and public buildings in a “national moment of unity and remembrance” to honor those Americans who have fallen to COVID-19. (Photo: Denver’s City and County Building, credit: Patricia Duncan )

• Dozens of Roundtable member organizations responded to a request for participation from the Presidential Inaugural Committee.  Their building illumination efforts coincided with a lighting ceremony around the Lincoln Memorial Reflecting pool in Washington, D.C., and the ringing of bells in churches and towns nationwide to commemorate the moment of remembrance.
• The Roundtable on Jan. 19 issued the following statement about the memorial event, which was held as part of the inauguration of President Joseph R. Biden and Vice President Kamala D. Harris:
  • “The Real Estate Roundtable encourages all Americans to support the peaceful transfer of power to the new Biden-Harris Administration, and urges that the 117th Congress unify across party lines to address the critical health, economic and social challenges now facing the American people. 
  • “This evening, in association with the inauguration of the Biden-Harris administration, our nation will recognize the nearly 400,000 fellow citizens who have died over the past year due to COVID-19.” 
  • “Building owners are proud to join national policy makers, religious leaders, business figures and others commemorating tonight’s event by lighting many of our buildings nationwide as part of the #COVIDMemorial.”
  • “The Roundtable is committed to work positively with our elected officials to help our nation stabilize and rebuild from the severe hardships caused by the pandemic — and to do so in a manner that affirms and more fully realizes the ideals of equality and opportunity upon which our great nation is founded.”

Photo compilations of illuminated buildings in towns and cities nationwide who participated in the tribute were posted on media outlets such as Axios, the San Jose, CA publication The Mercury News and ABC News.

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The Presidential Inaugural Committee has announced it is hosting a memorial to illuminate buildings in cities and towns across the country next Tuesday evening, as part of a series of online and virtual events for the Biden-Harris inauguration.  The building illumination is intended as a “national moment of unity and remembrance” in honor of the American people who have fallen to COVID-19.  (Inaugural Committee fact sheet and Building Owner Participation Form)

• The nationwide memorial to illuminate buildings will start at 5:30 p.m. EST on Tuesday, January 19, 2021. The lighting ceremony will then roll westward from time zone to time zone, taking place at 5:30 pm local time in each zone.
• The Inaugural Committee has requested support from Roundtable members to participate in the memorial to honor those who died from the coronavirus. Participation in the event is voluntary. 
• Building owners and managers willing to illuminate their assets are asked to complete this short Google docs form to be submitted to the Inaugural Committee.
• The Committee also requests that owners and managers who participate in the event record or photograph their building illuminations to share on social media platforms.
• Further questions can be emailed directly to the Presidential Inaugural Committee at publicengagement@bideninaugural.org.
• The ceremony will be timed with a lighting around the Lincoln Memorial Reflecting pool in Washington, D.C., and the ringing of bells in churches and towns nationwide to commemorate the moment of remembrance.

Roundtable members who opt to participate on January 19 are kindly requested to inform our staff by email (Duane Desiderio, Senior Vice President and Counsel, ddesiderio@rer.org) and (Abigail Grenadier, Communications Director, agrenadier@rer.org).  We would like to keep track of the building square footage participating in this voluntary event and our organization’s collective involvement.

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The Real Estate Roundtable announced on Tuesday that it “will suspend all political contributions to Members of Congress whose votes attempted to subvert the validly expressed will of the American people in selecting Joe Biden and Kamala Harris as the nation’s next president and vice president.” (Roundtable statement, Jan. 12)

• The Jan. 12 statement continued, “In the time since this armed insurrection, we have become even more appalled and our anger is amplified by the dismissive reaction of many of our national leaders, beginning with the votes cast by a band of Senators and Representatives who continue to fuel baseless claims of election fraud by refusing to certify the clear results of last November’s election.”
• The Roundtable’s statement suspending political support follows its denunciation last week of the January 6 attack on the Capitol and its commitment to “support[ ] efforts to bring about more measured tone and civility in policy debates at all levels of government, and policy actions that are balanced and sustainable.”
• In the Jan. 8 statement, Real Estate Roundtable President and CEO Jeffrey DeBoer also noted, “We will continue to work with policymakers representing the full spectrum of political views. However, we do not intend to help advance initiatives proposed by policy makers uninterested in seeking bipartisan consensus.” (Roundtable Weekly, Jan. 8) 
• GlobeSt reported on The Roundtable’s suspension of certain political contributions, noting that “the industry—as well as the larger business community—has not only voiced disgust with what happened but backed those sentiments with hard actions.”
• CoStar reported, “While Trump’s business is now a focus of the fallout, the politically focused repercussions are still coming. The Washington., D.C.-based Real Estate Roundtable, commercial real estate’s most prominent national lobbying group, suspended all political contributions to members of Congress” who objected to certifying the vote of the Electoral College.

Industry and Private Sector Response

• According to The Real Deal, (TRD) Nareit stated, “As a result of these recent events… Nareit’s political action committee, REITPAC, will immediately suspend political contributions to all members of Congress who voted to deny certification of electoral votes cast by the Electoral College.”
• TRD also reported that the National Multifamily Housing Council (NMHC) stated it has paused all PAC disbursements, not only those connected with legislators who objected to the electoral votes and that NMHC added, “We will undertake a thorough review of our strategy for the 117th Congress.”
• The Mortgage Bankers Association told the publication, “MBA has decided to pause disbursements from its political action committee, MORPAC, and will undertake a careful review with our member leadership of our giving strategies for the 117th Congress.” (The Real Deal, Jan. 15)
• International Council of Shopping Centers (ICSC) CEO Tom McGee announced on Jan. 11 that the organization will be “suspending all ICSC PAC donations for the next three months.” McGee stated that “during this historically challenging period…the focus of politicians should be on governing and uniting our nation, not campaigning and raising money.”
• The National Association of REALTORS (NAR) on Jan. 6 stated, “We urge for calm and fully support the U.S. Capitol Police and the National Guard to restore safety to the city of Washington, D.C.”  On Jan, 12, The Hill reported that NAR “paused its federal political disbursements and will monitor events in Washington in the days and weeks ahead.”
• Cushman & Wakefield told The Washington Post this week, “Cushman & Wakefield has made the decision to no longer do business with The Trump Organization.”
• Axios (Jan. 14) summarized the corporations that have “cut off political donations after the Capitol siege – including Marriott International, which will “pause donations ‘to those who voted against certification of the election.’”

The repercussions of the political transition and the industry’s 2021 policy agenda will be a focus of discussion during The Roundtable’s Jan. 26-27 State of the Industry Meeting (virtual attendance).

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The violent mob attack on the U.S. Capitol Jan. 6 by pro-Trump supporters as Congress debated the Electoral College’s final votes shook the nation to its core this week, resulting in Democratic leadership calling for a second impeachment proceeding or invocation of the 25^th amendment to immediately remove the president, whose term expires on Jan. 20. 

• Real Estate Roundtable President and CEO Jeffrey DeBoer issued the following statement:
• “The Real Estate Roundtable strongly denounces the armed violent protestors, and their baseless election claims, who stormed the U.S. Capitol this week. The mob chaos was contrived to inflict great damage on our democracy. A member of the Capitol Hill police died bravely defending others against the attack. Thankfully, democracy again defeated anarchy.
• “Those involved in plotting, acquiescing or participating in this despicable act are not patriots. They are violent lawbreakers and must be treated as such. This chaotic, seditious mob also could have inflicted serious damage to America’s fight against the deadly pandemic – a crisis that has already taken over 400,000 lives and caused enormous economic hardships.
• “As we all continue to work to overcome the challenges of the pandemic we must also unify to make sure that this week’s violence is not repeated. The Real Estate Roundtable pledges to do its part. We commit to supporting efforts to bring about more measured tone and civility in policy debates at all levels of government, and policy actions that are balanced and sustainable. We intend to continue to analyze policy based on its benefit to jobs, community and opportunity. We will continue to work with policymakers representing the full spectrum of political views. However, we do not intend to help advance initiatives proposed by policy makers uninterested in seeking bipartisan consensus,” DeBoer said. 
• Congress certified the Electoral College vote results hours after the storming of the Capitol, and planning for the Jan. 20 inauguration of President-elect Joe Biden and Vice President-elect Kamala Harris is underway.  

• The Capitol has not been attacked since 1814 when British troops burned federal buildings in Washington, D.C. during the War of 1812.

The Roundtable’s State of the Industry Business Meeting and Policy Advisory Committee Meetings will address the ramifications of the political transition on Jan. 26-27 (all meetings will be held virtually). 

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The Roundtable and 12 national real estate organizations this week congratulated President-elect Joe Biden and Vice President-elect Kamala Harris on their historic election and submitted detailed policy recommendations to the incoming administration in the areas of COVID-19 relief, sustainability, housing, immigration, tax policy, and infrastructure, as well as others.

• The industry’s Dec. 16 letter acknowledges the many economic and social challenges confronting the country as President-elect Biden and Vice President-elect Harris prepare to take office, including the national response to COVID-19. The letter and supporting policy memo were also sent to every congressional office on Capitol Hill.
• The economic impact of commercial real estate is far-reaching, wrote the organizations.  America’s commercial real estate is worth between $14.4 and $17 trillion, and directly supports 13.6 million jobs. The ownership and transfer of real estate generates over 70% of local tax revenue. Pension funds, schools, and charities have invested nearly $800 billion in real estate. 
• The submission describes how struggles caused by COVID-19 are affecting real estate-related workers and putting pressure on small businesses, financial institutions, property values, retirement savings, and local governments. At the same, time, the organizations noted how the real estate industry is contributing to the reopening process and is prepared to help lead the economic recovery. “We pledge the support, collaboration, and collective ‘on the ground’ experience of our members so that, together, we can get past the immediate crisis and continue building healthy communities for generations of Americans,” wrote the 13 organizations.  
• The organizations’ letter offers several recommendations for COVID-19 relief (direct relief, state and local fiscal assistance, rental assistance, liability safeguards, debt restructurings, and others) as well as recommendations aimed at long-term challenges (pandemic risk insurance, infrastructure investment, retrofitting aging buildings to optimize energy efficiency, housing affordability, immigration reform, etc.). The recommendations are then described in greater detail in the supporting policy memo accompanying the letter. 
• “We also recognize that the pandemic has magnified systemic inequalities, and are committed to ‘build back better’ in a manner that addresses the disproportionate hardships endured by minority and low-income households and communities from the fallout of COVID-19,” the organizations stated. 
• The letter emphasized that the industry is committed to a “nonpartisan approach to public policy” that is “focused on contributing data and fact-based analysis that improves policymakers’ understanding of how their decisions will affect real estate, jobs and communities, and the overall economy.” 

The industry’s policy agenda, and its anticipated initiatives with the new Administration and Congress, will be a focus on Jan. 26-27 at The Roundtable’s State of the Industry Meeting and Policy Advisory Committee Meetings (all virtual). 

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