The 112th Congress convened this week with a political dynamic that will undoubtedly make passing legislation increasingly difficult. The Republicans start out 2011 with a comfortable 242–193 majority in the House of Representatives while the Democrats hold a small 53–47 majority in the Senate, which includes two independents caucusing with the majority.
This new political reality in Washington means we will see increased gridlock, which may be good or bad for BOMA International. The good news is that it will be even more difficult for Congress to pass any controversial issues that affect the industry negatively, like the tax increase on carried interest. The bad news is it will be equally as challenging for legislation that is beneficial to the industry, such as making permanent the 15 year depreciation period for leasehold improvements, to make it through Congress. Nevertheless, BOMA International will take this opportunity to educate the new Congress on the commercial real estate industry and the issues that affect it.