WASHINGTON, DC-The International Council of Shopping Centers is putting its weight behind two legislative initiatives--one with very negative ramifications for the real estate industry, the other providing a positive boost. There are other initiatives pending on the Hill of interest and important to the council, Betsy Laird, senior vice president of government relations for ICSC, tells GlobeSt.com. But these have their immediate attention.

The first is a proposal to change the tax characterization of carried interest. Passed in the House, this proposal was beaten back in the Senate earlier this summer, but there is still a chance it could be revived, Laird says. "Carried interest was kept at bay, but we are concerned that the Senate will try it again when they come back [from August recess]. So we cannot be complacent."

The other legislation is a bill that Laird says originated with an ICSC member. Introduced last week by US Rep. Shelley Berkley (D-NV), it is called the Community Recovery and Enhancement Act of 2010. It would provide short-term tax incentives that attract new equity into commercial real estate. Its central provision is that at least 80% of the newly invested capital must be used to reduce the outstanding balance of the commercial loan, with the remainder going toward capital improvements, such as energy efficiency enhancements and leasehold improvements.