Congress Fails to Pass TRIA Reauthorization
The Senate adjourned for the year without passing an extension of the Terrorism Risk Insurance Act, which expires on Dec. 31, 2014. The CRE industry is hopeful that passage of TRIA reauthorization will be a high priority when Congress reconvenes in January.
“The U.S. Senate’s alarming failure to renew the federal terrorism risk insurance program before adjournment will stall commercial real estate development around the country,” said Chris Polychron, president of the National Association of Realtors. He warned that because risk insurance is a requirement of many existing commercial mortgage balances, those whose coverage will lapse on Dec. 31 will be in technical default of their mortgage terms.