News Type: Roundtable Weekly

Senate Bill Introduced to Require Federal Guidance on Cybersecurity Insurance

Posted on by Trey Jackson

Cybersecurity graphic - image

Federal guidance on cyber insurance policies is the focus of a new bipartisan Senate bill introduced on Feb. 21 that aims to protect businesses and consumers against cyberattacks. (PoliticoPro, Feb. 21)

Cyber Issues

  • The Insure Cybersecurity Act will direct the National Telecommunications and Information Administration (NTIA) to mitigate digital risk by developing recommendations for issuers, agents, brokers, and customers to improve communication over cybersecurity insurance coverage levels.
  • Co-sponsored by Sens. John Hickenlooper (D-CO) and Shelley Moore Capito (R-WV), the bill also directs a NTIA task force to develop policy recommendations relating to ransomware or ransom payments, and the “terminology used in policies to include or exclude losses” due to cyber terrorism or acts of war.
  • Hickenlooper is the new chair of the Commerce Committee’s Subcommittee on Consumer Protection, Product Safety, and Data Security.
  • A 2021 Government Accountability Office report found that ambiguity in policy language can result in misunderstandings and litigation between issuers and policyholders—and underestimations of coverage needed to protect against cyber risks.

The Roundtable’s Homeland Security Task Force continues working with the Real Estate Information Sharing and Analysis Center (RE-ISAC), federal officials, and real estate companies about threats to the business cyber environment with the aim of mitigating cyber intrusions.

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House Republicans Reintroduce Bill to Make TCJA Deductions and SALT Cap Permanent

Posted on by Trey Jackson

House Ways and Means Committee Vice Chairman Vern Buchanan (R-FL)Tax provisions affecting individuals and small businesses originally enacted as part of the Tax Cuts and Jobs Act (TCJA) of 2017—along with the state and local tax (SALT) deduction cap—would be made permanent under legislation reintroduced this month by House Ways and Means Committee Vice Chairman Vern Buchanan (R-FL), above. (The Bond Buyer, Feb. 13 and Legislative Text)

The TCJA Permanency Act

  • Buchanan’s bill (H.R.976) includes a Roundtable-supported provision to make permanent the 20 percent deduction for qualified pass-through business income (Section 199A). The legislation would also permanently lower tax rates for individuals and families and maintain the higher standard deduction.
  • There are currently 83 co-sponsors of The TCJA Permanency Act. Buchanan has led five of the six Ways and Means Subcommittees and currently sits on the Joint Committee on Taxation, a small group of the most senior tax policy writers in Congress. (Buchanan news release, Feb. 13)
  • Without Congressional action, 23 different provisions of the 2017 Republican tax law are set to expire after 2025, including the SALT deduction cap. Buchanan originally filed legislation to make the TCJA cuts permanent last September during the Democratic-controlled 117th Congress.
  • Buchanan stated that funding for the Federal Aviation Administration could be a legislative vehicle to attach the TCJA bill, since no major standalone tax bills are expected this year. (BGov, Feb. 23)

SALT Caucus Relaunched

SALT Caucus 2023

  • ​More than 20 members of the House relaunched the SALT Caucus this month as part of their push to repeal the $10,000 cap limit on the federal deduction for state and local taxes. (News conference video, Feb. 8 and Tax Notes, Feb. 9)
  • The cap is scheduled to sunset after 2025, but SALT caucus members want relief sooner while pledging to fight attempts to extend the cap. (Rep. Gottheimer news release, Feb. 9)
  • “I like the odds of having a bunch of new Republicans from states that need to restore SALT,” said SALT Caucus Co-Chair Josh Gottheimer (D-NJ). “So if you want to talk, this is the caucus to talk to to get this done, to restore SALT and make life more affordable.” (Roll Call, Feb. 8)

More than 30 states and local jurisdictions have enacted a SALT workaround for pass-through businesses, S-corporations, and some LLCs. (CNBC video Feb. 13)

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New Study Forecasts Remote Work Will Restructure Office Sector

Posted on by Trey Jackson

Cushman & Wakefield demand chart

The profound impact of remote work on the office sector—and the resulting negative consequences for municipal tax revenues—were the focus of reports this week on current marketplace pressures and long-term office forecasts.

Office Vacancy

  • A weak return-to-office rate for employees working under hybrid arrangements, combined with rising interest rates and asset value pressures, have led to increased office vacancy rates and loan defaults in many cities, according to a Feb. 21 Wall Street Journal report.
  • Roundtable Board Member Scott Rechler (Chairman & CEO, RXR) is quoted by the Journal on how the office sector may eventually emerge from the current cycle. “There’s a transition period that takes time. You have to cross the chasm into the new regime,” Rechler said. (WSJ, “Office Landlord Defaults Are Escalating as Lenders Brace for More Distress”)
  • A Feb. 22 Cushman & Wakefield report forecasts that the overall level of office vacancy by 2030 will be 55% higher than prior to the pandemic (Q4 2019)—a trend that could be countered by repositioning and repurposing current space usage in coordination with public-private efforts at the local, state, and federal levels. (C&W’s “Obsolesence Equals Opportunity” and Fortune, Feb. 22)
  • The report also states that as much as 25% of all U.S. office space is “growing increasingly undesirable and will need to be reimagined and made relevant for the future,”—and that approximately 60% of all current office stock is “facing competitive obsolescence.” (BisNow, Feb. 23)
  • The Cushman & Wakefield report concludes, “Eventually, the remote working dynamic will flow completely through the marketplace as pre-pandemic leases expire and as firms shed the space to meet new-era, hybrid work requirements.”

The Roundtable View

Real Estate Roundtable President and CEO Jeffrey DeBoer

  • The Real Estate Roundtable’s Q1 Economic Sentiment Index released last week shows that Class B office properties are struggling, asset values have fallen year-over-year, and availability of debt and equity capital have declined.
  • Roundtable President and CEO Jeffrey DeBoer, above, said, “Fundamentally, our Q1 index illustrates that the trends accelerated by the pandemic have led to mixed performances across asset classes. In the office sector, remote work policies, concerns over crime and transportation are driving record-high vacancy rates throughout the country, hurting city budgets and small businesses.” (Roundtable news release, Feb. 17)
  • DeBoer added, “Policymakers should emphasize the need to return to the workplace while considering other innovative solutions such as legislation to convert underutilized offices to housing.” (Roundtable Weekly, Feb. 17)
  • DeBoer and Roundtable Chairman John Fish (Chairman & CEO, SUFFOLK) submitted comments last Dec. to President Biden encouraging support for legislation that could help facilitate “the increased conversion of underutilized office and other commercial real estate to much-needed housing.” (Roundtable Weekly, Dec. 16, 2022)
  • The Roundtable’s letter to Biden emphasized that work-from-home policies are damaging the economy, cities, and communities. “We are concerned that certain Administration policy guidance is encouraging federal agencies to adopt permanent work-from-home policies for federal employees and thereby actually magnifying negative economic and social consequences for cities,” the letter stated. 

Tax Incentives & Remote Work

Chicago cityscape sky view

  • Private companies may be motivated to enforce stronger employee return-to-office policies if they wish to qualify for city and state tax incentive agreements.
  • Provisions built into some existing municipality agreements were designed to ensure that private sector jobs would boost local revenue from income, sales and property taxes, and bolster downtown economies. (Bloomberg, Feb. 21) 

The Bloomberg report offers several examples of how state and city officials are reevaluating current incentive agreements and designing new ones that detail the scope of employee location requirements for companies to qualify for tax breaks.

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Roundtable and Coalition Partners Launch Industry-Wide Initiative to Advance “Supplier Diversity” in Real Estate

Posted on by Trey Jackson
CREDS Founding Organizations include The Real Estate Roundtable

The Real Estate Roundtable and six national real estate trade associations this week announced a first-of-its-kind alliance that aims to foster supplier diversity throughout the industry. (News release, Feb. 14)

The Commercial Real Estate Diverse Supplier (CREDS) Consortium

  • The Roundtable is joined by CREW Network, ICSC, Mortgage Bankers Association, NAIOP, Nareit, and the National Multifamily Housing Council in the CREDS Consortium.

  • The CREDS Consortium aims to improve and accelerate opportunities for “MWBEs”—shorthand for firms owned by minorities, women, veterans, LGBTQ+ persons, and persons with disabilities – in the chain of vendors, service providers, and other suppliers that support the real estate industry. (CREDS Frequently Asked Questions)

  • The CREDS Consortium has initiated a pilot program with SupplierGATEWAY—a leading supplier management software platform and minority-owned firm that automates and simplifies supplier and vendor management. (Roundtable Weekly, Feb. 10)

  • SupplierGATEWAY provides software tools and a robust vendor database that allows real estate companies to track, report, and procure services and materials from MWBEs. Members of the CREDS associations can subscribe to SupplierGATEWAY’s platform at discounted rates through the end of 2024.

  • Upon this week’s CREDS Consortium launch, Real Estate Roundtable board member and chair of its Equity, Diversity, and Inclusion Committee, Jeff T. Blau (CEO, Related Companies), said, “Diversifying the supply chain in real estate must be a collective effort – and I am proud to be a part of this deeply impactful program. This vital work will help us lift up MWBEs and provide the industry with real tools to connect with these businesses and track spending. With partners like my fellow Roundtable board member, Ken McIntyre (CEO, Real Estate Executive Council) and the RER staff, together, we are on the road to expanding opportunity across the industry.”

  • Real Estate Roundtable President and CEO Jeffrey DeBoer said, “Owners, developers, and financiers of commercial and multifamily real estate are committed to help minority, women, and other historically under-represented entrepreneurs prosper in our great industry.”

  • “The CREDS Consortium can help our members realize their intentions to advance economic opportunities across the vast and varied supply chain that serves real estate, makes our buildings productive, and strengthens the fabric of our communities,” DeBoer added.

DEI and ESG Goals

  • SupplierGATEWAY tools that measure and track MWBE procurement spending can support companies’ efforts to advance environmental social and governance (ESG) and diversity, equity, and inclusion (DEI) goals. Hiring companies can also post their purchase orders and other contracting opportunities through the CREDS portal to be matched with potentially qualified MWBE firms.

  • CREDS associations’ members can subscribe—at a discounted price—to SupplierGATEWAY’s vendor management software and a comprehensive database of more than 1 million MWBE suppliers through the Consortium’s portal page.

  • SupplierGATEWAY Founder and CEO Ade Solaru said, “Our partnership with the CREDS Consortium is an important component of our mission to generate meaningful economic impact at scale for our customers. Each member of the CREDS associations can now create meaningful social impact at the local level without sacrificing efficiency, cost or risk.”

Next Steps

  • The CREDS Consortium also hopes to gain insights from the pilot program about supplier diversity trends across the commercial real estate industry to strengthen the program in the future.

  • Learn more about the CREDS Consortium pilot program. Interested companies can contact Julian So ( julian@suppliergateway.com) to schedule a demo of the system.

More information on the initiative can also be provided by Roundtable Senior Vice President and Counsel, Duane Desiderio, and other points of contact listed at the end of the CREDS Consortium’s “ Frequently Asked Questions” document.

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While Uncertainty Remains, Commercial Real Estate Executives Are Optimistic About Future Market Conditions

Posted on by Trey Jackson

The Real Estate Roundtable’s Q1 Economic Sentiment Index reports that industry executives, while optimistic about the future, remain uncertain about current market conditions, citing inflation, rising interest rates, and supply chain disruptions as concerns. However, executives also express that perceptions and outlooks differ across asset classes, as some remain strong and others show concerns.

  • Roundtable President and CEO Jeffrey DeBoer said, “Fundamentally, our Q1 index illustrates that the trends accelerated by the pandemic have led to mixed performances across asset classes. Multifamily and industrial assets have maintained steady growth due to increased housing demand and supply chain needs, while hospitality and student housing are regaining momentum. But in the office sector, remote work policies, concerns over crime and transportation are driving record-high vacancy rates throughout the country, hurting city budgets and small businesses.”
  • “Looking forward, industry leaders are anticipating the landscape to improve throughout the year, despite recent declines in asset values and the decreased availability of debt and equity capital compared to a year ago. Policymakers should emphasize the need to return to the workplace while considering other innovative solutions such as legislation to convert underutilized offices to housing to entrench this optimism, create jobs, spur economic activity, and increase housing supply and tax revenue,” DeBoer added.
  • The Roundtable’s Economic Sentiment Index—a measure of senior executives’ confidence and expectations about the commercial real estate market environment—is scored on a scale of 1 to 100 by averaging the scores of Current and Future Economic Sentiment Indices.­­­­ Any score over 50 is viewed as positive. ­­­­

Top Line Findings

  • The Q1 2023 Real Estate Roundtable Sentiment Index registered an overall score of 44, an increase of five points from the previous quarter. The Current Index registered at 31, a two-point increase from Q4 2022, and the Future Index posted a score of 58 points, an increase of ten points from the previous quarter.
  • Several survey respondents acknowledged the dangers of generalizing trends across the commercial real estate industry as the disparities between asset classes grow; multifamily and industrial continue to attract interest, hospitality and student housing are beginning to bounce back, meanwhile Class B office is struggling.
  • Nearly all survey participants (93%) expressed that asset values have fallen year-over-year. That said, conversations with industry leaders suggest that the market is still in a period of price discovery. With low transaction volume and a limited supply of debt capital, there is lingering uncertainty as to where asset prices will ultimately land.
  • Survey participants overwhelmingly indicated that the availability of debt and equity capital is worse today compared to one year ago (93% and 82% respectfully). However, over half of participants expect the capital markets landscape to improve over the next 12 months.

Data for the Q1 survey was gathered in January by Chicago-based Ferguson Partners on The Roundtable’s behalf.  See the full Q1 report. 

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Congressional Budget Office Issues Warning on Debt Limit

Posted on by Trey Jackson

This week, the nonpartisan Congressional Budget Office (CBO) reported that the government would exhaust its ability to borrow using extraordinary measures between July and September if Congress fails to raise the $31.4 trillion debt limit. (CBO, Federal Debt and the Statutory Limit, Feb. 15). (Washington Post, Jan. 15)

Looming Standoff

  • When the U.S. reached the current debt limit in January, Treasury Secretary Janet Yellen notified congressional leaders of the implementation of so-called “extraordinary measures” to avoid a default, such as suspending the reinvestment of federal employees’ retirement plans. (Roundtable Weekly, Jan.13) (Yellen letter, Jan. 13)
  • While the CBO noted these measures are expected to last until at least July, it also highlighted the difficulty in determining an exact date of default.  The projected exhaustion date is uncertain, CBO notes, because the timing and amount of revenue collections and outlays over the intervening months could differ from current projections. (The Hill, Feb. 15)
  • Thus far, discussions between the Republican-led House, Democratic Senate, and Administration have generated little, if any, progress towards a resolution. The new warning from the nonpartisan CBO reinforces the urgency for congressional leaders to reach an agreement to avoid a default. (Politico, Jan.15)

Roundtable Call-to-Action

U.S. Capitol

  • In January, Real Estate Roundtable Chair John Fish (Chairman and CEO, SUFFOLK) and President and CEO Jeffrey DeBoer called on Roundtable members to proactively reach out to federal lawmakers to urge that they act expeditiously to raise the debt ceiling. “We now believe the risk of a default on the federal debt in 2023 is a real and meaningful concern that must not be taken lightly.” (Roundtable Weekly, Jan. 20)
  • “Some threats to the U.S. economy are unavoidable, others are ones of our own making and entirely unnecessary. The potential for a default on the federal debt is a needless and inexcusable risk with potentially dire consequences for U.S. real estate, workers and retirees, and the entire economy,” said DeBoer. “The full faith and credit of the United States government should not be open to negotiation.”

Roundtable leaders continue to strongly encourage members to contact policymakers in Congress and the White House and appeal to them to raise the debt ceiling soon.

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Former Roundtable Chairman Nelson Rising, Industry Leader and Political Activist

Posted on by Trey Jackson

Nelson Rising

Nelson C. Rising, a trailblazing real estate industry leader who served as chairman of The Real Estate Roundtable (2000 to 2003), and cofounder and chairman of Rising Realty Partners, passed away yesterday. (Los Angeles Times and BusinessWire, Feb. 10)

Private and Public Sector Leader

  • “Always a gentleman, Nelson Rising chaired The Real Estate Roundtable for three years,” said Jeffrey DeBoer, Roundtable President and CEO. “Nelson emphasized an issue advocacy system built around solid research, positive approaches to issues and an overall focus on the substantial economic and social benefits that strong real estate markets provide to job creation, healthy communities, and a growing national economy.”
  • DeBoer added, “His strategic policy acumen was especially valuable following 9-11 when Nelson was a key leader in the establishment of a national terrorism insurance program. This hugely important work allowed a stalled real estate capital market to reopen. The Roundtable was honored to have his compassionate friendship and his inspirational leadership. We already miss him deeply and will remember him always.“
  • Mr. Rising was an accomplished developer who built iconic projects in Los Angeles, Chicago, and Mission Bay, the largest mixed-used development in San Francisco history. (CREConnect, Feb. 10)
  • “Some of the biggest buildings in America are standing today because Nelson had a hand in it,” said John Cushman, Chairman, Global Transactions at Cushman & Wakefield, Inc., and a friend of Mr. Rising for over 40 years. “We worked together to bring Downtown LA the Library Tower, Gas Company Tower, Wells Fargo Center, and numerous other projects in California and across the country. He could take confusion and chaos and translate it into common sense and bring people back to the table who were yelling. He was a genius in terms of dealing with people,” added Cushman, who is also a member of The Real Estate Roundtable. (Los Angeles Times and BusinessWire, Feb. 10)
  • Mr. Rising served as Chairman Emeritus of Rising Realty Partners, an environmentally conscious real estate investment and operating company headquartered in Los Angeles. The company owns or manages more than 5 million square feet in buildings in California, Colorado, Nevada, Missouri, and Texas.
  • Previously, he served as President & CEO of MPG Office Trust, Inc., the owner of over half of the institution-quality office space in downtown Los Angeles. From 1994-2005, Mr. Rising served as Chief Executive Officer of Catellus Development Corporation. During his tenure, he oversaw the company’s successful evolution from a railroad land company to a diversified development company and a real estate investment trust. (Rising Realty Partners)
  • Mr. Rising was also widely known for his influential role in advising elected officials at all levels of government. He is credited with managing the successful mayoral campaigns of the late Tom Bradley, who served for twenty years as Mayor of Los Angeles. Mr. Rising also chaired campaigns for California Governor and U.S. Senate. He also served as a former chair of the Federal Reserve Bank of San Francisco.

Mr. Rising received a B.A. with honors in Economics from UCLA on a football scholarship and earned a Juris Doctor from UCLA School of Law, where he served as Managing Editor of the UCLA Law Review. He practiced law at O’Melveny & Myers prior to entering the real estate industry.

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SEC Plans Increased Scrutiny of Private Funds With CRE Investments

Posted on by Trey Jackson

SEC logo - image

The Securities and Exchange Commission’s (SEC) this week announced its 2023 Examination Priorities, which includes a focus on registered investment advisers (RIAs) who manage “private funds that hold certain hard-to-value investments…with an emphasis on commercial real estate.” (PoliticoPro, Feb. 7)  

Private Fund Adviser Disclosures

  • The SEC reports that more than 5,500 RIAs manage approximately 50,000 private funds with gross assets exceeding $21 trillion. In the past five years, the gross assets of private funds have increased, with retirement funds playing a significant role. The funds are invested through a variety of strategies used by hedge funds, private equity funds, and real estate-related funds, among others. (SEC 2023 Examination Priorities, Feb. 7)
  • The agency recently proposed an expanded set of disclosures by SEC-registered, private fund advisers, which could affect those that manage real estate investments. (SEC Feb. 9, 2022 News Release | Proposed Rule | Fact Sheet)
  • The Real Estate Roundtable submitted comments last April on how the proposed SEC rules would increase compliance costs, decrease returns for all private fund investors and drive smaller fund sponsors away from the market. (Roundtable comments to the SEC, April 25, 2022)
  • The Roundtable letter raises concerns that the SEC proposal, if finalized, could hinder real estate capital formation; harm development and improvement of real properties; and curtail essential economic activity that encourages job creation. (Roundtable Weekly, April 29, 2022)

Credit Rating Risk

SEC screens

  • Last week, the SEC issued a separate report that identified commercial real estate credit ratings as a potential risk for consideration in assessments by nationally recognized statistical rating organizations (NRSROs). (SEC Staff Report, Feb. 2023)
  • According to the agency’s NSRO report, “After being adversely affected by COVID-19, the single borrower CMBS sector experienced an uneven recovery during the first half of 2021 as compared to the first half of 2020, with properties such as lodging and retail lagging. The (SEC) Staff identified potential risks relating to commercial real estate ratings with significant exposure to sectors negatively impacted by COVID-19, and potential non-adherence to methodologies and rating processes.”

The Roundtable’s Real Estate Capital Policy Advisory Committee (RECPAC) will continue to respond to the SEC’s various proposed regulatory initiatives and proposals affecting CRE with its industry and coalition partners. 

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Commercial Real Estate a Focus of Fed Loan Officer Survey and Bank Stress Test Plans

Posted on by Trey Jackson

Federal Reserve sunsetThis week, commercial real estate was a prominent focus of the Federal Reserve’s quarterly senior loan officer opinion survey and announcement about the hypothetical scenarios that 23 banks will be stress-tested against in 2023. (Fed Survey, Feb. 6 and Stress Test, Feb. 9)

2022 Survey & 2023 Stress Test

  • On Monday, the Fed released its January 2023 Senior Loan Officer Opinion Survey on Bank Lending Practices, which reported tighter standards and weaker demand for all commercial real estate loan categories for the fourth quarter of 2022. The survey also reported that for 2023, banks expect lending standards will tighten, demand will weaken, and loan quality will deteriorate across all loan types. (Reuters, Feb. 6 | American Banker, Feb. 7 | GlobeSt, Feb. 9)
  • On Thursday, the Fed released the hypothetical scenarios for its 2023 annual stress test, which measures and evaluates the ability of large banks to continue lending to businesses and households during a recession or weakened financial conditions.
  • The scenarios will include a severe global recession, heightened stress in both commercial and residential real estate markets, and a new, unspecified “exploratory market shock.” The new component will not count against capital requirements affected by the tests, the Fed said. (BGov, Feb. 10)
  • The Fed detailed additional key features of the “severely adverse scenario” by instructing banks, “Declines in commercial real estate prices should be assumed to be concentrated in properties most at risk of a sustained drop in income and asset values: offices that may be affected by remote work or hospitality sectors that continue to be affected by reduced business travel. Declines in U.S. house prices and U.S. commercial real estate prices should also be assumed to be representative of … those that experienced rapid price gains before the pandemic and were significantly affected by the event.” (pdf of instructions for 2023 Federal Reserve Stress Test Scenarios)

Delinquency Rate & CRE Outlook

Cutting-Through-Uncertainty-2023-webcast-image

  • Trepp’s CMBS Research reported this week that that the overall US CMBS special servicing rate dropped in January 2023 six basis points to 5.11%—down for the second month in a row after four consecutive increases from August to November. By comparison, the rate one year ago was 6.33% and six months registered at 4.79%. (Trepp, Feb. 8)
  • The office sector saw a 16-basis point increase in the special servicing rate in January, and it led all new special servicing transfers.
  • An industry panel discussion on Feb. 6 focused on Cutting Through Uncertainty: 2023 Economic & CRE Outlook. The on-demand webinar is moderated by Roundtable Member Hessam Nadji (President & CEO, Marcus & Millichap), who leads a discussion with Moody’s Analytics Chief Economist Mark Zandy, along with Roundtable Members Wendy Mann (CEO, CREW Network), Tom McGee (President and CEO, ICSC) and Marc Selvitelli (President & CEO, NAIOP).

This month, The Real Estate Roundtable will release its Q1 Economic Sentiment Survey, which will report on how leading CRE executives view current market conditions and their expectations for the year.

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“Supplier Diversity” Platform Available to Roundtable Members

Posted on by Trey Jackson

Real Estate companies interested in providing more economic opportunities to businesses owned by minorities, women, veterans and other under-represented groups can participate in a national “supplier diversity” program initiated by The Roundtable in coalition with allied trade associations. (Supplier Diversity’s FAQ)

SupplierGATEWAY Pilot Program 

  • A leading vendor management company, SupplierGATEWAY, has joined The Roundtable and six other national organizations in a pilot program that runs through the end of 2024.

  • The pilot effort provides the software, database, and tracking tools to real estate companies with an interest in hiring small businesses and other entrepreneurs that have historically lacked fair and equal access to opportunities in the industry’s supply chain.

  • “MWBEs”—shorthand for firms owned by minorities, women, veterans, LGBTQ+ persons, and persons with disabilities—can register with SupplierGATEWAY’s comprehensive online database.

  • The database currently includes approximately one million MWBE “suppliers”— including consultants, contractors, building trades, service providers, joint venture partners, vendors and other enterprises.

  • MWBE developers, lenders, and capital providers can also register to be included in the database. (Supplier Diversity’s FAQ)

  • Hiring companies can track their discretionary procurement spending on MWBEs by subscribing to the database, vendor-matching software, and budget analysis tools at the discounted rate of $10,000 for 12 months. SupplierGATEWAY has offered this reduced rate to members of The Roundtable and our coalition partners through the pilot’s duration.

  • Participation in the program may assist real estate companies seeking to advance Environmental, Social, and Governance (ESG) and Diversity, Equity, and Inclusion (DEI) goals.

Industry Coalition Launch Imminent 

  • The SupplierGATEWAY pilot program is a unique industry-wide initiative of the Commercial Real Estate Diverse Supplier (CREDS) Consortium, which includes The Roundtable and six inaugural association partners.

  • An announcement of the CREDS Consortium’s formal launch is imminent.

Points of Contact

Advancing supplier diversity goals across the CRE industry has been a priority of The Roundtable’s Diversity, Equity, and Inclusion Committee, chaired by Roundtable Board Member Jeff T. Blau, (CEO, Related Companies). Roundtable members and their key staff interested in joining the DEI Committee should contact Michelle Reid, Director of Membership Services (mreid@rer.org).   

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