BOMA SAVES OWNERS MONEY!
Your building's BOMA membership saves commercial real estate owners and managers money, which can optimize the value of the assets. As an industry "watchdog," BOMA proactively advocates and provides early notification of issues that could negatively impact your bottom line. Below are recent and current examples of how BOMA's lobbying and advocacy efforts at local, state and national levels benefit you and your buildings.
- Savings in dollars and time to property owners and managers through ongoing local advocacy efforts in the city of Denver and surrounding jurisdictions. BOMA is the only Colorado commercial real estate organization that regularly works on local issues and we were an integral part of the city of Denver code amendment process for the 2015 model ICC codes. BOMA also works with Denver and other jurisdictions on various issues related to affordable housing, energy efficiency, permitting, ADA and other commercial real estate development and owner issues.
- Millions of dollars in savings to property owners through regular monitoring and intervention in utility related cases before the Colorado Public Utilities Commission (PUC). BOMA is a member of the Colorado Energy Consumers Group (CEC) which has successfully represented building owners and other large users of electricity. CEC intervened on BOMA's behalf In the most recent Xcel electric rate case (Phases 1 & 2), as well as the wind farm case. By being a participant in these cases, the rights and exposure to increased costs are mitigated for BOMA members.
- Savings of over $3.50 per square foot in direct costs and long-term revenues to commercial real estate because BOMA worked to eliminate or modify overly stringent and costly codes and standards requirements in the 2015 group of ICC Model Codes. And recently, the BOMA International codes team was there to protect owners' interest in the International Code Council's (ICC) code committees development of the 2018 I-Codes.
- Significant savings to building owners by regular monitoring and taking positions on bills before the state legislature during the annual Legislative Session that begins every January and runs for 120 days. BOMA was active during the 2016 session, monitoring and taking positions on a variety of bills dealing with issues such as oil and gas, economic development, taxes and homeless issues. BOMA also proactively communicates members' concerns with legislators during the year and during meetings with candidates during election cycles.
- Almost $2 billion in tax savings to the industry when the U.S. Senate approved a package of tax “extenders,” including a one-year, retroactive extension of the 15-year depreciation period for tenant improvements, which had previously expired at the end of 2013. On July 21, 2015, the U.S. Senate Finance Committee approved legislation that would extend 52 expired tax provisions for an additional two years (for tax years 2015 and 2016), including the 15-year depreciation schedule for leasehold improvements. BOMA International continues to monitor this legislation and will push for as early an extension as possible to help provide economic certainty to the industry.
- Terrorism Insurance victory (TRIA) - priceless. BOMA and its partners in the Coalition to Insure Against Terrorism scored a huge win for the commercial real estate industry in early January 2015 with the reauthorization of the federal terrorism risk insurance backstop program, known as TRIA. The legislation extends the federal backstop for six years, gradually increasing the loss threshold that triggers federal assistance under the program from $100 million to $200 million.
- $990 million annually by successfully defeating a proposed 30 percent increase in stringency to the International Energy Conservation Code.
- $620 million in annual tax savings to the industry as a result of the permanent extension of the 15% tax rate on capital gains for individuals making below $400,000.
BOMA membership adds value to your properties and benefits your tenants and the real estate professionals who guide and care for your investment. BOMA dues are usually treated as a building operating expense due to the reduction of other expenses typically passed through to tenants. Visit BOMA International at www.boma.org and Denver Metro BOMA at www.bomadenver.org for more information, or call the BOMA Office at 303-383-4870.