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In a letter to the European Commissioner responsible for the Capital Markets Union since the resignation of Lord Hill, Valdis Dombrovskis, the real estate industry urged continuing prioritisation of the Capital Markets Union initiative to a successful conclusion.

This paper sets out the contribution of Commercial Real Estate (CRE) debt in Europe to the real economy. It
considers the changing structure of the market, the characteristics.

This paper was produced by APL, CREFC Europe, INREV and ZIA.

Infographic to clarify myths into facts about commercial real estate.

The European Market Infrastructure Regulation (EMIR) imposes requirements related to derivatives entered into by financial businesses, including ordinary interest rate and currency swaps commonly used by real estate funds. Such requirements can include derivatives being entered into through a central counterparty and being subject to cash collateral posting, and in all cases derivatives must be reported to regulators. Although INREV supports the goal of improving transparency and stability on the OTC markets, it opposes overly costly and burdensome regulations being applied to real estate funds, which typically use interest rate and currency swaps simply to manage risk.

In a response to the EBA’s consultation paper on Shadow Banking filed on 18 June, INREV argued against the proposal to include all AIFs in the definition of shadow banking.

Building on work carried out by the Financial Stability Board, the European Banking Authority (EBA) is creating a set of policy recommendations and proposes to define shadow banks as entities which present sufficient unknown risks that it is justifiable to restrict the exposure of mainstream banks to that part of the financial system. These include activities carried out by many in the asset management industry, including real estate investment funds. The EBA’s consultation paper suggests that all AIFs should be treated as shadow banking entities.

In a letter to the President of the European Commission Jean-Claude Juncker and his team, the real estate industry urges initiation of a high level EU dialogue with Europe’s real estate sector and development of a coherent policy approach. INREV and 40 other associations argued that cooperation at the EU level is essential to create a healthy and well-functioning real estate sector, important for jobs, growth and the broader European economy.
 

The INREV Public Affairs Committee's response to the consultation to encourage informed consideration of non-listed property funds as a long-term investment.This report explores the impact of regulatory change on long-term investing strategies and on the real economy.

Long-term investment enhances the productive capacity of the economy and often has wider public benefits, since it generates greater returns for society as a whole by supporting essential services and improving living standards. Public debate is currently focused on how to encourage long-term investment in Europe.