On the related matter of Homeland Security, he says, Democrats, including the new Homeland Security Committee chairman Bennie Thompson (D-MS), have promised to approve legislation to put into place all of the recommendations of the 9/11 Commission. One possible area for Congressional action is private sector preparedness for an emergency or disaster situation. "Democratic leaders have stated that they are 'assessing what legislation is needed' to improve private sector readiness which has received weak marks [C or below] by former 9/11 commissioners. They may seek to implement the commission's endorsement of a specific national preparedness standard [NFPA 1600]," DeBoer says.

The commission intended that standard to be used by insurance and credit rating industries for assessing insurability and creditworthiness of individual companies, DeBoer notes. On the issue of information sharing, Democrats have argued strongly for improved intelligence sharing mechanisms between federal agencies and local police officers; mechanisms that could be valuable if made available to the private sector. "Any improvements in this area will advance the ongoing work of the Real Estate Information Sharing and Analysis Center [ISAC]."

Lobbying for a strong TRIA and the related Homeland Defense issues has been perhaps the most visible of industry and Congressional activities on the Hill over the last few years. In the background, tax issues have remained an issue of fierce advocacy for the commercial real estate industry.

"We hope the Congress will work together to set leasehold depreciation at 15 years, keep the capital gains tax sensible to encourage economic investment, and ensure that property owners can get terrorism insurance," Well says. "These things will help the real estate industry continue to support business growth and job opportunities in this country." DeBoer notes that the new House Ways and Means Committee chairman Charles Rangel (D-NY) has been a long time proponent of permanently reducing the depreciation period for leasehold improvements from 39 years to 15 years.

Several Democrats on the Committee have been supportive of efforts to make sure that the costs associated with cleaning-up brownfields can be expensed immediately, rather than added to the basis of the cleaned-up land.

New House Speaker Nancy Pelosi (D-CA) has stated that Democrats will return to so-called "pay-as-you-go" rules, in which tax cuts must be offset by tax increases or spending cuts, DeBoer notes. "If the pending $70-billion business tax extenders package, which includes an extension of 15-year leasehold depreciation and environmental clean up cost expensing, is not approved in the congressional lame duck session, it may be subject next year to a new 'pay-go' rule which could complicate its enactment." And although this is not anticipated--it also not inconceivable that some real estate related tax provisions or transactions could become revenue raising targets as the "pay-go" rules become instituted, he says.

Democrats in the House are also expected to push for enactment of climate change legislation and may seek an explicit broadening of federal jurisdiction over "isolated" wetlands, DeBoer says. Such legislation may bring about greater incentives for energy efficient "green" buildings.