News Type: Roundtable Weekly

Senators Introduce Bipartisan Seven-Year TRIA Extension

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A bipartisan group of Senators introduced the Terrorism Risk Insurance Program Reauthorization Act of 2026 this week, a clean, seven-year extension of the federal terrorism insurance backstop that helps keep coverage available for commercial real estate, lenders, insurers, and other businesses. (Sen. McCormick Press Release, April 27)

The Senate bill (S.4395) follows bipartisan action in the House (H.R. 7128) earlier this year and adds momentum to efforts to reauthorize TRIA well ahead of its scheduled expiration on Dec. 31, 2027. (Legis1, April 29)

Terrorism Risk Insurance Program Reauthorization Act of 2026 (TRIA)

  • Sens. Dave McCormick (R-PA), Tina Smith (D-MN), Thom Tillis (R-NC), and Ruben Gallego (D-AZ) introduced the bill on April 27 in the Senate Banking, Housing, and Urban Affairs Committee. (Sen. McCormick Press Release, April 27)
  • “Since 9/11, The Roundtable has worked to ensure businesses can secure the terrorism risk coverage needed to finance projects, protect jobs, and support economic growth. We commend bipartisan leaders in the House and Senate for advancing TRIA reauthorization well ahead of its expiration. This program remains vital to commercial real estate and the broader economy, and we look forward to working with Congress to pass a long-term extension,” said Jeffrey D. DeBoer, President and CEO of The Real Estate Roundtable (RER).
  • More than 20 bipartisan cosponsors joined the bill, including Senate Banking Committee Chairman Tim Scott (R-SC) and Senate Democratic Leader Chuck Schumer (D-NY), who led prior TRIA reauthorization efforts while serving on the Banking Committee. (Full bill text)
  • “Reauthorizing the Terrorism Risk Insurance Program is essential to ensuring businesses have the certainty they need to operate and invest with confidence,” said Sen.Tillis (R-NC). “This longstanding public-private partnership has helped safeguard our economy for more than two decades, and extending it will prevent disruption while ensuring we remain prepared for evolving threats.” (Press Release, April 27)

Roundtable Advocacy

  • Since 9/11, RER has been at the forefront of efforts to secure terrorism risk coverage for American businesses. (Roundtable Weekly, Sept. 19)
  • In September 2025 and January 2026, CIAT submitted letters to the House Financial Services Committee (HFSC) urging lawmakers to act well before TRIA’s scheduled expiration. The coalition warned that allowing the program to lapse would trigger “a period of profound economic slowdown, posing a very real threat to our economic and homeland security.” (Letter, Jan. 21, 2026 | Letter, Sept. 15, 2025)
  • A RER survey cited in the letter found that more than $15 billion in property transactions stalled or were canceled in the 14 months between 9/11 and TRIA’s passage, underscoring the economic damage caused by the absence of terrorism insurance.

Why It Matters

  • TRIA was originally enacted in 2002, following the 9/11 attacks. The program has been reauthorized four times—in 2005, 2007, 2015, and 2019—and is currently set to expire on Dec. 31, 2027.
  • While TRIA has never been triggered, it has provided a crucial backstop against losses from terrorist attacks for nearly two decades.
  • At almost no cost to the taxpayer, the TRIA Program has been the key factor in ensuring that the private insurance market has remained intact and continues to meet the needs of commercial policyholders amid the ongoing threat of future terrorist attacks—all while minimizing federal taxpayer exposure.

What’s Next

  • Earlier this year, the HFSC approved the House’s TRIA reauthorization bill (H.R. 7128), sponsored by Reps. Mike Flood (R-NE) and Andrew Garbarino (R-NY). (Roundtable Weekly, Jan. 23)
  • The House bill would extend TRIA through 2034 and raise the program trigger from $5 million to $10 million beginning in 2029.
  • The House bill is expected to come up for a vote on the suspension calendar in the weeks ahead, as lawmakers work to reconcile minimal differences between the House and Senate versions and move the legislation toward final passage.

RER and its CIAT coalition will continue working with policymakers to secure a long-term TRIA reauthorization ahead of 2027.

Housing Coalition Urges Congress to Fix BTR Provision in Senate Bill

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The Real Estate Roundtable (RER) and a broad housing coalition continue to urge members of Congress to fix the Senate-passed 21st Century ROAD to Housing Act by removing language that would undermine build-to-rent (BTR) housing construction and weaken the bill’s goal of expanding housing supply. (Letter, April 30)

Coalition Letter

  • The coalition warned that despite repeated concerns from academics, economists, and rental housing leaders, Section 901 of the Senate bill includes language that would decimate BTR construction and communities at a time when the country needs more housing options—not fewer.
  • The groups called on Congress to remove Section 901, pass a pro-supply housing package, and allow BTR developers and workers to get back to building the new rental homes the country urgently needs. (Letter, April 30)

State of Play

  • President Trump wants to see progress on stalled housing legislation, according to Rep. Zach Nunn (R-IA), a member of the House Financial Services Committee, who spoke with the president at a White House event this week. “He wants the legislation moving forward,” Nunn said. (PoliticoPro, April 30)
  • After weeks of limited public engagement on the stalled housing bill, the White House is calling for more congressional action. Spokesperson Davis Ingle said President Trump “calls on Congress to pass further legislation” building on recent executive orders aimed at housing affordability. (PoliticoPro, April 30)
  • The House passed its housing package in February, followed by Senate passage of the 21st Century ROAD to Housing Act in March. Senate Banking leaders have urged the House to take up the Senate bill, while House Financial Services Committee leaders French Hill (R-AR) and Maxine Waters (D-CA) continue working on revisions.
  • A bipartisan House proposal could come to the floor as early as May, as lawmakers continue negotiating concerns over the Senate bill’s institutional investor restrictions and seven-year forced-sale requirement.

Market Impact

  • Recent reporting cited by the coalition letter shows the Senate language is already chilling BTR development, financing, and construction activity in markets across the country—despite the bill not yet being law. (CATO, April 29)
  • The Wall Street Journal reported that at least $3.4 billion in BTR investment, representing approximately 10,000 housing units, has already been frozen. (WSJ, April 27)
  • The Business Journals reported that capital is “on the sidelines” as investors wait for Congress to resolve the issue, with Adrianne Todman, former acting HUD secretary and current CEO of the National Rental Home Council, warning that the bill has already created a “chilling effect.” (The Business Journals, April 27)

Roundtable & Industry Advocacy

  • RER and broad housing coalitions have consistently emphasized that housing affordability is driven by supply shortages, construction costs, and mortgage rates—not institutional ownership levels—and that restricting institutional capital would only make it harder to meet the nation’s growing housing needs. (Roundtable Weekly, Jan. 9 | Jan. 16 |  Jan. 23 | Feb. 27| March 6 | March 13 | March 20 | March 27 | April 3 | April 10 | April 17 | April 24)
  • Last month, RER shared with members of Congress a white paper by Paul Clement of Clement & Murphy, PLLC, arguing that Section 901’s forced-sale requirement raises serious constitutional concerns under the Takings Clause, and also raises equal protection and federalism concerns. (Roundtable Weekly, April 17)

Workforce Training Legislation

  • USen. Todd Young (R-IN) and U.S. Rep. Nathaniel Moran (R-TX) introduced the Workforce Apprenticeship Growth and Education Support (WAGES) Act this week, legislation aimed at strengthening career pathways into the trades and helping address persistent construction labor shortages. (Press Release, April 30)
  • The bill would create a refundable payroll tax credit for employers that maintain or participate in a Registered Apprenticeship Program (RAP), helping offset wages paid to apprentices and mentors, as well as other program costs. (Bill Summary | Text)
  • “The Real Estate Roundtable (RER) commends Senator Young and Representative Moran for introducing the Workforce Apprenticeship Growth and Education Support Act,” said Jeffrey D. DeBoer, President and CEO, RER. “By promoting apprenticeships nationwide, this bill would help address today’s shortage of well-paid, highly skilled construction and job site workers. A greater career workforce educated on the innovations rapidly occurring in construction technology and practices would significantly increase productivity, help build modern housing, meet evolving business needs, and grow the economy.” (Statements of support, April 30)
  • At RER’s Spring Roundtable Meeting last week, policymakers and industry leaders emphasized the need to strengthen the workforce pipeline—an essential part of building more housing, increasing productivity, and preparing the next generation for good-paying jobs. (Roundtable Weekly, April 24)

RER will continue working with policymakers and housing coalitions to ensure the final housing package expands supply, supports construction, strengthens the workforce, and avoids provisions that would reduce rental housing production at a time of severe national housing need.

Fed Holds Rates Steady as Officials Split on Path Ahead

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The Federal Reserve held its benchmark interest rate steady this week at a range of 3.50% to 3.75% for the third consecutive meeting, citing solid economic activity, low job gains, elevated inflation, and heightened uncertainty tied to developments in the Middle East. (FOMC Press Release, April 29)

The Fed’s Decision

  • The Federal Open Market Committee’s 8-4 vote exposed growing divisions within the central bank, with four dissents—the most at a Fed policy meeting since 1992. (Axios, April 29)
  • Governor Stephen Miran favored a 25-basis-point rate cut, while Cleveland Fed President Beth Hammack, Minneapolis Fed President Neel Kashkari, and Dallas Fed President Lorie Logan supported holding rates steady but objected to language they viewed as suggesting an easing bias.
  • Fed Chair Jerome Powell said there is “no rush” to signal the Fed’s next move as officials assess how the Iran war and higher energy prices affect inflation and growth. Developments over the next “30, 60 days,” he told reporters, could change the outlook before the Fed’s next meeting. (FOMC Press Release, April 29)
  • The split reflects a central tension facing the Fed: whether inflation risks warrant a more cautious posture—or whether slowing economic momentum strengthens the case for lower rates later this year. (Axios, April 30)

Why It Matters

  • For commercial real estate, the Fed’s cautious stance and internal divide add uncertainty around the timing of future rate cuts, keeping borrowing costs elevated and weighing on refinancing, transaction activity, asset valuations, and capital deployment.

What to Watch

  • The Senate Banking Committee advanced Kevin Warsh’s nomination to chair the Federal Reserve Board on Wednesday, putting him on track for possible Senate confirmation before the Fed’s next policy meeting in June. (PoliticoPro, April 29)
  • Chair Powell said that after his term as chair ends on May 15, he plans to continue serving as a Fed governor “for a period of time to be determined.” His Board term runs through 2028. (Barrons, April 30)

RER will continue to track monetary policy developments and engage policymakers on the need for stable capital markets, access to credit, and policy solutions that support long-term economic growth and real estate investment.

CRE Leaders Gather in Washington to Discuss Housing, Tax Policy, National Security, Energy, and More

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The Real Estate Roundtable’s (RER) Spring Roundtable Meeting brought commercial real estate leaders to Washington this week for bipartisan discussions on national security, housing, tax policy, energy, and economic growth. The meeting (Roundtable-level members only) came as Congress continued to debate housing legislation, implementation of the One Big Beautiful Bill Act, and broader questions of U.S. competitiveness and leadership. (RER’s Spring 2026 Policy Priorities and Executive Summary)

Across the agenda, speakers echoed similar concerns and priorities, including strengthening the workforce pipeline, expanding career and technical education, permitting reform, reducing regulatory burdens, and ensuring reliable energy infrastructure to support AI, data centers, and long-term economic growth.

Roundtable Leadership

  • RER Board Chair Kathleen McCarthy Baldwin (Former Global Co-Head of Blackstone Real Estate) opened the meeting by highlighting the value of convening industry leaders in Washington and recognizing the strong leadership across the organization, including the nominating committee’s work and the incoming board members’ efforts to position RER for the year ahead.
  • RER President and CEO Jeffrey DeBoer said that RER’s impact in Washington is built on active member involvement, strong committee engagement, and continued support for REALPAC. “Our voice is strongest when members are engaged, our committees are active, and we continue to invest in the advocacy efforts that help advance the industry’s priorities.”

Speakers & Policy Issues

  • Roundtable members engaged in policy discussions with the following guests:
  • (R-L): Rep. Joe Neguse (D-CO) (House Assistant Democratic Leader; Committees: Natural Resources, Rules, and Judiciary), Rep. Ritchie Torres (D-NY) (Committees: Financial Services; Select Committee on the Strategic Competition Between the United States and the Chinese Communist Party), and Rep. George Whitesides (D-CA) (Committees: Science, Space and Technology; Armed Services) joined Monday evening’s dinner conversation on the political landscape, affordability, housing, immigration, and the policy choices shaping the run-up to the midterms. The panel also explored housing supply strategies, bipartisan problem-solving, and what voters are looking for from both parties on economic opportunity and cost-of-living concerns.
  • Sen. Bill Hagerty (R-TN) (Committees: Appropriations; Banking, Housing and Urban Affairs; and Foreign Relations) discussed national security, trade, China, workforce development, and the policy environment needed to strengthen American competitiveness. He also addressed housing supply and his recently introduced Freedom to Build Act, which is intended to incentivize deregulation, expand housing supply, and make homes more affordable by aligning existing federal incentives with communities that reduce barriers to building. (Roundtable Weekly, April 17)
  • Rep. Mike Flood (R-NE) (House Financial Services Committee) weighed in on the housing bills and the path toward bridging House and Senate priorities, with particular focus on concerns that Section 901 of the Senate-passed 21st Century ROAD to Housing Act could reduce housing supply and create new market uncertainty. He also addressed TRIA reauthorization, mortgage market stability, access to credit, and the need for practical housing solutions that expand supply.
  • David Malpass (former President of the World Bank and former Under Secretary for International Affairs at the U.S. Department of the Treasury) offered his perspective on global economic ambiguity, energy policy, domestic production, labor shortages, and U.S. leadership. He also spoke about permitting reform, workforce development, interest rates, and the policy changes needed to support stronger long-term growth.
  • (L-R): Josh Parker (Chairman & CEO, Ancora Group Capital; Chair, RER’s Tax Policy Advisory Committee), Tony Chereso (President & CEO, The Inland Real Estate Group, LLC), and Ryan McCormick (Senior Vice President & Counsel, RER) led a tax policy panel on Treasury implementation of the One Big Beautiful Bill Act, Section 892 regulations, Opportunity Zones implementation, FIRPTA, foreign capital, and other issues affecting real estate investment and capital formation.

Next on RER’s meeting calendar is the all-member Annual Meeting on June 9-10, 2026, in Washington, D.C., which will include policy advisory committee sessions.

Bipartisan House Coalition Presses Leadership to Remove Section 901

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A bipartisan group of 76 House lawmakers urged congressional leaders to remove or revise Section 901 of the Senate-passed 21st Century ROAD to Housing Act, arguing that the provision would undermine the bill’s affordability goals by discouraging build-to-rent (BTR) housing and reducing rental options for American families. (Punchbowl News, | PoliticoPro, April 22)

Why It Matters

  • The push adds to growing House resistance as negotiators weigh how to reconcile the two chambers’ housing packages.
  • The letter, led by members of the Congressional Real Estate Caucus and Build America Caucus, warns that Section 901 “would have far-reaching and unintended consequences that run counter to the bill’s stated goal of expanding housing opportunity,” and that the provision goes “far beyond its intended purpose” by threatening to reduce rental options. (Letter | PoliticoPro April 22)
  • Lawmakers argue the provision’s broad definition would also capture the construction of new single-family rental communities—threatening a growing source of housing supply at a time when the nation remains millions of units short. (Letter | Punchbowl News, April 22)
  • Section 901 would require certain large institutional investors to sell newly built single-family rental homes after seven years—a change that could disrupt the long-term ownership model behind BTR communities, constrain capital, and reduce housing options for families seeking the flexibility of a single-family rental home.
  • The housing bill was a major focus at The Real Estate Roundtable’s (RER) Spring Roundtable Meeting this week, where members and policymaker guests discussed the growing pushback to Section 901 and the need for any final package to preserve the bill’s pro-supply provisions. (See story above)

State of Play

  • Since the Senate passed its version of the bill, progressive and conservative groups alike have cited numerous benefits that single-family rental owners and builders deliver for U.S. housing markets, including expanding supply, maintaining housing stock, and providing families the opportunity to live in communities where homeownership remains out of reach. (Progressive Policy Institute, February 2026 | Competitive Enterprise Institute, February 2026)
  • Housing and Urban Development (HUD) Secretary Scott Turner recently toured a build-to-rent (BTR) community with the project’s developer, operator, and industry representatives, underscoring the growing visibility of BTR. (The Real Deal, April 18 | NMHC, April 13)

RER & Industry Advocacy

  • RER and other housing advocates continue to urge lawmakers to preserve the bill’s pro-supply provisions while removing language that could reduce rental housing production and discourage new investment.
  • RER and broad housing coalitions have consistently emphasized that housing affordability is driven by supply shortages, construction costs, and mortgage rates—not institutional ownership levels—and that restricting institutional capital would only make it harder to meet the nation’s growing housing needs. (Roundtable Weekly, Jan. 9 | Jan. 16 |  Jan. 23 | Feb. 27| March 6 | March 13 | March 20 | March 27 | April 3 | April 10 | April 17)
  • Last week, RER shared with members of Congress a recent white paper by Paul Clement of Clement & Murphy, PLLC, arguing that Section 901’s forced-sale requirement raises serious constitutional concerns under the Takings Clause, and also raises equal protection and federalism concerns. (Roundtable Weekly, April 17)

As lawmakers work to address the housing shortage, the focus should remain on expanding supply and lowering barriers to development—not on punitive restrictions that threaten new investment, undermine build-to-rent housing, and worsen affordability challenges.

RER and Coalition Partners Call on Congress to Ensure Continued ENERGY STAR Funding

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As focus on Capitol Hill shifted to appropriations talks this week, The Real Estate Roundtable (RER) and a broad coalition of organizations representing the real estate, consumer products, manufacturing, and retail sectors sent a letter urging congressional leaders to ensure that the ENERGY STAR program remains amply funded in the 2027 fiscal year (FY’27), starting Oct. 1.

Coalition Advocacy

  • On Tuesday, the multi-industry coalition requested that House and Senate appropriators include explicit funding for ENERGY STAR in the FY’27 spending bill, in line with FY’26 funding levels. (Letter, April 14)
  • The letter also encouraged lawmakers to include strong congressional oversight measures in the legislation, as lead agency responsibilities for the program shift from the Environmental Protection Agency (EPA) to the Department of Energy (DOE). (Letter, April 14)
  • In the letter, the coalition recommended that legislators consolidate past funding for ENERGY STAR expressly given to the EPA, plus amounts used by DOE historically to run its portion of the program. (Letter, April 14)
  • Congress provided approximately $33 million for ENERGY STAR to EPA in the FY’26 appropriations bill (H.R. 6938), signed into law on Jan. 23, preserving the program through Sept. 30 following earlier reports that it could be privatized or defunded. (Roundtable Weekly, April 3)
  • Though President Trump’s FY’27 budget request, released this month, does not specifically mention ENERGY STAR—as was the case last year—the White House has proposed cutting DOE and EPA’s overall budgets by 11 percent and 52 percent, respectively. (Budget of the U.S. Government, April 3)

DOE Budget Hearings

  • This week, DOE Secretary Chris Wright appeared before the House Committee on Energy and Commerce (E&C) and a subcommittee of the House Committee on Appropriations to discuss the agency’s FY’27 budget request. 
  • Though most of Sec. Wright’s testimony did not focus on ENERGY STAR, Rep. Paul Tonko (D-NY) raised the topic during Thursday’s E&C hearing. (Watch Hearing)
  • Rep. Tonko noted the importance of ENERGY STAR and pointed out that ENERGY STAR has historically required approximately $35 million in annual funding. (Watch Hearing)
  • When asked if DOE would be seeking that funding as part of its budget request, and if he could provide assurance that DOE is already working to put the people and resources in place to transition and manage the program, Sec. Wright said he would follow up on the details. (Watch Hearing)
  • Still, Sec. Wright added that he is “all for” voluntary energy efficiency ratings on appliances as well as data and transparency. (Watch Hearing)
  • The bulk of the two hearings this week focused on a range of other topics, including rising energy prices, permitting reform, and nuclear power. (Politico E&E News, April 16)

Roundtable View

  • In March, RER and coalition partners sent a letter expressing support for DOE assuming its new role as lead federal agency for ENERGY STAR. (Roundtable Weekly, April 3)
  • Additionally, the March letter underscored that DOE is well-positioned to lead a modernized program that continues to provide consumers and businesses with access to efficient products and buildings that uphold the performance they have come to expect from the ENERGY STAR brand. (Roundtable Weekly, April 3)
  • RER and coalition partners have long made the business case for ENERGY STAR and emphasized its status as a federal program required by law—meaning that it cannot be privatized or operated outside the U.S. government by agency decree. (Roundtable Weekly, April 3 | Roundtable Weekly, March 6) 
  • As Tuesday’s coalition letter highlighted, “Since 1992, ENERGY STAR and its partners have helped American families and businesses save more than $500 billion in energy costs.” (Letter, April 14)
  • By driving cost savings through energy efficiency, the program contributes to reducing energy waste and freeing up capacity on the electricity grid, in alignment with President Trump’s goal to “unleash America’s energy dominance.” (RER Policy Priorities Document)

Next week, Sec. Wright is scheduled to appear before Senate appropriators to discuss DOE’s budget request. RER will continue to track developments related to ENERGY STAR funding and support the continuation of the program and its smooth transition to DOE.

RER White Paper Raises Constitutional Concerns With Senate Housing Bill’s Section 901

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The Real Estate Roundtable (RER) this week released a white paper authored by Paul Clement of Clement & Murphy, PLLC, adding significant constitutional concerns to the growing case against Section 901 of Title IX of the Senate-passed 21st Century ROAD to Housing Act (H.R. 6644). While the broader legislation contains several constructive provisions to help boost housing supply, the Senate bill’s restrictions on certain institutional investors would undermine new development, disrupt the build-to-rent (BTR) market, and raise serious legal questions. (White Paper, April 14)

Why It Matters

  • The Senate provision would apply to corporate entities that own more than 350 single-family homes. It would largely prohibit those entities from purchasing additional single-family homes and require them to sell newly constructed single-family rentals (SFR) after seven years.
  • The investor “purchase ban” on single-family homes and the “forced sale” of new single-family rentals would amount to an unprecedented federal intervention in housing markets at a time when the country needs policies that encourage development—not deter it.

What the White Paper Says

  • The white paper released by RER argues that the forced-sale requirement for build-to-rent housing raises serious constitutional problems under the Fifth Amendment’s Takings Clause. (White Paper, April 14)
  • The paper concludes government cannot force one private owner to sell its homes to another without trampling on the Constitution’s “public-use” and “just-compensation” requirements. Furthermore, the Senate’s bill provides no mechanism for the government to pay just compensation to investors whose homes would be taken.
  • The paper also raises equal protection concerns by singling out a narrow category of corporate owners for special burdens.
  • While Congress has broad authority to regulate economic activity, the paper notes that it cannot arbitrarily target a specific class of property owners—particularly where the ownership and disposition of private property are at stake.
  • In addition, the paper argues that the proposal departs from the traditional state and local roles in land use and housing policy, raising broader federalism concerns.

Roundtable Advocacy

  • RER has consistently supported policies that expand housing availability, reduce barriers to development, and improve affordability.
  • At the same time, RER has warned that Section 901 would do the opposite by discouraging new investment in housing and weakening a growing source of supply.
  • RER shared the white paper with members of Congress in a letter urging lawmakers to preserve the bill’s pro-supply provisions while removing Title IX.
  • Since the Senate passed its version of the bill, progressive and conservative groups alike have cited numerous benefits that SFR owners and builders deliver for U.S. housing markets, in terms of increasing supply, maintenance, and upkeep of units, and providing opportunities for families to live in communities with strong education systems, where they can’t afford to buy. (Progressive Policy Institute, February 2026; Competitive Enterprise Institute, February 2026)

  •  As lawmakers work to address the housing shortage, the focus should remain on expanding supply and lowering barriers to development—not on punitive restrictions that threaten new investment, weaken build-to-rent housing, and make affordability challenges worse.

The constitutional concerns surrounding Section 901, and the broader policy debate over how best to expand housing supply, will be part of the discussion at RER’s Spring Roundtable Meeting (Roundtable-level members only) next week in Washington.

White House Economic Report Underscores Supply Gap as ROAD to Housing Act Stalls

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Congress returned to Washington this week after a two-week recess with little visible movement on the 21st Century ROAD to Housing Act, even as House Financial Services Committee staff continued work on a bipartisan response to the Senate-passed bill.

State of Play

  • House and Senate lawmakers remain at odds over how to reconcile the competing housing packages, with the Senate bill’s treatment of institutional investment in single-family housing still one of the biggest sticking points. (Politico, April 14)
  • RER and other housing advocates continue to press lawmakers to preserve the bill’s pro-supply provisions while removing language that could reduce rental housing production and discourage new investment.

Why It Matters

  • The report says that if single-family homebuilding had continued at its historical pace after 2008, the U.S. would have “10 million or more additional single-family homes today”—a striking measure of the nation’s housing shortfall and the scale of lost supply. (CRE Daily, April 14)
  • White House economists reached that figure by asking how many homes would exist today if construction had continued at its pre-2008 pace, making the estimate as much about lost capacity as current demand. (Propmodo, April 13)
  • The findings reinforce that improving affordability will require more building, more investment, and fewer barriers to supply—and that policies constraining new housing production could worsen affordability rather than improve it.

New Research

  • Updated research continues to undercut the argument that institutional ownership is the main source of today’s affordability challenges.
  • An AEI report released last week says large institutional investors own less than 1 percent of the nation’s single-family homes and concludes that Section 901 of the Senate’s bill would reduce the supply of newly constructed and rehabilitated homes while burdening low- and middle-income renters. (AEI, April 10)
  • Separate Realtor.com research published in March also found that the institutional investor footprint has been shrinking from its 2022 peak. (Politico, April 14 | Realtor, March 13)
  • Recent market data points in the same direction. If institutional investment were the main cause of the nation’s housing affordability problems, the markets with the heaviest investor activity would be consistently posting the strongest price growth. (Roundtable Weekly, April 10 | GAO Report, April 6 | GAO Report, 2024)
  • The latest Case-Shiller data show the opposite pattern: Chicago and New York led annual home-price gains in December 2025, while several Sun Belt metros where institutional investors have been more prominent—including Tampa, Phoenix, Dallas, and Miami—saw prices decline. That divergence reinforces the broader point that supply constraints, not institutional investment alone, are the bigger force shaping affordability. (S&P Global, December 2025 | Realtor, October 2025)

New Housing Legislation Introduced

  • Separate from the House-Senate standoff, Sen. Bill Hagerty (R-TN) this week introduced the Freedom to Build Act, a proposal backed by The Real Estate Roundtable (RER) that would create a HUD “Freedom to Build” certification for localities adopting pro-supply policies such as faster approvals, regulatory streamlining, and other measures to expand housing construction. (Sen. Hagerty Press Release, April 14)
  • The bill is intended to incentivize deregulation, expand housing supply, and make homes more affordable by aligning existing federal incentives with communities that reduce barriers to building.
  • Jeffrey D. DeBoer, President & CEO of RER said, “This legislation would be a meaningful step toward expanding housing supply and improving affordability for working families. The Freedom to Build Act would align federal incentives with local decision-making to help unlock private capital, enhance housing supply, and support long-term economic growth. The Real Estate Roundtable has long supported policies that promote housing affordability—for renters and homeowners—and strengthen the connection between housing, jobs, and transportation.”

Sen. Hagerty will also be a featured guest at RER’s upcoming Spring Roundtable Meeting next week (Roundtable-level members only), where housing supply, affordability, and related policy developments will be among the topics discussed.

New GAO Data, Rising Cost Pressures Undercut Case for Build-to-Rent Restrictions

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As the Senate-passed 21st Century ROAD to Housing Act awaits House action, new federal data and rising development cost estimates are reinforcing a key point in the housing debate: affordability challenges are driven by supply constraints, and federal policy should not make it harder or more expensive to build. (Washington Post, April 6)

What the Data Shows

  • At the center of the debate is Section 901, which would force large institutional investors to sell certain newly built single-family rental homes after seven years—a provision that could undermine build-to-rent housing and reduce supply. (Roundtable Weekly, April 3)
  • A new GAO report found that institutional investor ownership of single-family rental homes increased in six metro areas from 2018 to 2024, but still accounted for a very small share of all single-family homes in those markets—ranging from less than 1 percent to 3 percent. (GAO Report, March 24 | Highlights, March 24)
  • The findings add new weight to the argument that institutional ownership is not the main driver of the nation’s affordability challenges.
  • The Washington Post noted this week that forcing build-to-rent homes to be sold within seven years would weaken a fast-growing source of new single-family housing. (Washington Post, April 6)
  • A separate February report from the Progressive Policy Institute (PPI) reached a similar conclusion, finding that institutional investors own less than 1 percent of all single-family homes nationwide and account for less than 2 percent of all home purchases, and concluding that the broader affordability problem is rooted in supply-demand imbalances rather than investor concentration. (Progressive Policy Institute, February 2026)
  • The reports undercut the argument that restricting institutional investment is likely to meaningfully improve affordability, particularly when housing shortages, financing costs, regulatory barriers, and construction expenses remain the primary constraints on supply.

Market Impact

  • As Barron’s reported this week, Section 901’s proposed restrictions on institutional investors are already having a chilling effect on investments in single-family housing, with investment managers indicating that pension funds and other large investors may pause or reconsider deals until there is greater clarity around housing policy. (Barron’s, April 7)
  • Research from John Burns Research & Consulting suggests the Senate bill has “already paralyzed” the build-to-rent development industry, with new development slowing and capital “now frozen,” impacting project viability “from day one, not just in seven years.” (Barron’s, April 7)

Tariffs & Construction Costs

  • A new Cushman & Wakefield report found that tariff rates in effect as of April 7 would raise construction materials costs by 6.0 percent relative to a 2024 baseline and increase total project costs by roughly 3.0 percent, adding more pressure to housing and commercial real estate development. (Cushman & Wakefield, April 8)

RER & Industry Advocacy

  • RER and broad housing coalitions have consistently emphasized that housing affordability is driven by supply shortages, construction costs, and mortgage rates—not institutional ownership levels—and that restricting institutional capital would only make it harder to meet the nation’s growing housing needs. (Roundtable Weekly, Jan. 9 | Jan. 16 | Jan. 23 | Feb. 27 | March 6 | March 13 | March 20 | March 27 | April 3) (Letter, March 5 | Letter, March 13)
  • Research continues to show that restricting institutional capital is unlikely to improve affordability and could create new supply constraints. The PPI report, for example, notes that build-to-rent development is becoming an increasingly important source of new housing supply. (Progressive Policy Institute, February 2026)

What’s Next

  • Congress returns next week with a robust agenda. The Senate is set to return April 13 and the House on April 14, with unresolved DHS funding, a possible new reconciliation push, and the administration’s budget request all competing for floor time and political attention.
  • That packed schedule could make it harder for housing legislation to advance quickly.

The Senate-passed ROAD to Housing Act and broader housing policy will be a major focus at the upcoming Spring Roundtable Meeting April 20-21 in Washington, D.C. (Roundtable-level members only).

IRS and Treasury Issue Guidance on Opportunity Zone Nominations

Posted on by abigail_grenadier

The IRS and Treasury Department released new guidance Monday outlining the process for states to nominate census tracts for designation as Qualified Opportunity Zones (QOZs) under the expanded, permanent program enacted in the One Big Beautiful Bill (OB3) Act. (Treasury News Release, April 8)

Proposed Guidance

  • Treasury and IRS released new guidance establishing the process for chief executive officers of any state, the District of Columbia, and U.S. territories to nominate eligible low-income census tracts for QOZ designation, as well as a list of 25,332 census tracts that meet the low-income requirements. (Treasury dataset | Politico Pro, April 6)
  • The guidance is a step toward implementing the Opportunity Zone (OZ) changes enacted in the OB3 Act, which made the incentive permanent and expanded it to provide enhanced tax benefits for investments in rural OZs. Rural OZs have lower investment requirements than urban tracts. (IRS News Release, April 6 | Politico Pro, April 6)
  • Under the statute, states generally may designate no more than 25 percent of their eligible low-income communities as QOZs, subject to special rules for states with fewer qualifying tracts. (IRS News Release, April 6)
  • The new designations will take effect on Jan. 1, 2027, and future designation rounds will occur every 10 years, replacing the original one-time map established under the 2017 Tax Cuts and Jobs Act (TCJA). (IRS News Release, April 6)
  • Treasury is developing an online nomination tool to streamline the designation process. (Bloomberg, April 6)

Roundtable Advocacy

  • Following the passage of the OB3 Act, RER actively engaged Treasury and IRS to support a smooth transition from OZs 1.0 to 2.0, including submitting a detailed comment letter and providing draft guidance for consideration. (Letter, Dec. 19)
  • RER’s December 2025 comment letter requested urgent tax guidance to ensure investment and capital continue to flow to low-income communities during the transition from the TCJA OZ regime to the new OB3 Act rules. (Letter, Dec. 19)
  • RER urged policymakers to confirm that contributions to existing TCJA qualified opportunity funds and businesses would continue to qualify for OZ benefits after current zone designations lapse, provided certain conditions are met. (Letter, Dec. 19)
  • Without clear transition rules, investors could delay or redirect capital, creating unnecessary uncertainty and slowing affordable housing development and economic activity in distressed communities. (Letter, Dec. 19)
  • OZ incentives have already mobilized more than $120 billion in capital to support housing, retail, and mixed-use development in underserved areas. (Letter, Dec. 19)

What’s Next

  • The QOZs nomination window opens on July 1, 2026 and runs for 90 days, subject to a single 30-day extension. (IRS News Release, April 6)
  • Treasury and IRS expect to issue additional guidance identifying designated QOZs before the Jan. 1, 2027 effective date. (IRS News Release, April 6)
  • New OZ designations will run through Dec. 31, 2036, with new nomination rounds occurring every 10 years thereafter. (IRS News Release, April 6)

RER will continue to engage with policymakers to support clear, workable implementation of the new OZ framework, ensure continuity for existing projects, and encourage tax policies that incentivize long-term investment in underserved communities.