New Legislation to Jumpstart Commercial Real Estate

by KW Calabasas on General March 21st has no comments yet!

U.S. Representatives Devin Nunes (R-CA) and Shelley Berkley (D-NV) have introduced (H.R. 1147) the Community Recovery and Enhancement (CRE) Act of 2011. This act provided short term tax incentives to jumpstart reinvestment in commercial real estate.

The CRE act offers owners of commercial real estate assistance by allowing them to moderate their loan structure

The central provision of the CRE Act is that at least 80 percent of newly invested capital goes towards reducing the outstanding balance of the commercial loan, the remainder going towards capital improvements, such as energy efficiency enhancements and renovations designed to attract new tenants.

Additionally, the new investment would qualify for a 50 percent bonus depreciation and investors would be able to deduct losses without regard to passive loss limitations

This is great news for commercial real estate investors!


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