Realtor Commercial Alliance updates

COMMERCIAL MORTGAGE-BACKED SECURITIES ACCEPTED AS COLLATERAL
The U.S. Treasury’s recent announcement that commercial mortgage-backed securities will now be accepted as eligible collateral for the Term Asset-Backed Loan Facility (TALF) will encourage investment in the commercial real estate market, according to the NAR. “There is no secondary market for commercial mortgages, so it is important to encourage lenders and investors whose activity will be essential in refinancing the performing commercial real estate loans in the marketplace, many of which are due to reset soon,” said RCA Chair Robert Toothaker. Read more, here

RCA, NAR ADVOCATING FOR THE COMMERCIAL REAL ESTATE INDUSTRY
RCA Chair Robert Toothaker, industry leaders, and NAR’s Government Affairs staff are working hard in Washington, D.C., to have commercial member interests represented in the $787 billion stimulus package, officially titled the, "American Recovery and Reinvestment Act." RCA supports the commercial real estate provisions that focus on opening of commercial real estate credit markets, green building and energy efficiency, as well as business tax incentives. Read more, here

COMMERCIAL REAL ESTATE ACTIVITY CONTINUING TO DECLINE
The forward-looking index for the commercial real estate sectors published by the National Association of Realtors® forecasts a sustained lack of credit and continued economic slump in the commercial real estate market this year. The slowing index means commercial real estate activity, as measured by net absorption and the completion of new commercial buildings, is likely to weaken further over the next six to nine months. Read more, here.