I 
114TH CONGRESS 
2D SESSION 
H. R. 4620 
To amend the Securities Exchange Act of 1934 to exempt certain commercial 
real estate loans from risk retention requirements, and for other purposes. 
IN THE HOUSE OF REPRESENTATIVES 
FEBRUARY 25, 2016 
Mr. HILL introduced the following bill; which was referred to the Committee 
on Financial Services 
A BILL 
To amend the Securities Exchange Act of 1934 to exempt 
certain commercial real estate loans from risk retention 
requirements, and for other purposes. 
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled, 
SECTION 1. SHORT TITLE. 
This Act may be cited as the ‘‘Preserving Access to 
CRE Capital Act of 2016’’. 
SEC. 2. EXEMPTION FOR CERTAIN COMMERCIAL REAL ES-
TATE LOANS FROM RISK RETENTION RE-
QUIREMENTS. 
Section 15G of the Securities Exchange Act of 1934 
(15 U.S.C. 78o–11) is amended— 
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(1) in subsection (c)(1)(E)(ii), by striking ‘‘re-
tention of the first-loss position by a third-party pur-
chaser that’’ and inserting ‘‘retention of the first- 
loss position by a one or two party third-party pur-
chaser, who may hold the retention obligation in ei-
ther a senior-subordinate structure or pari passu, 
provided that each’’; and 
(2) in subsection (e)— 
(A) by redesignating paragraph (6) as 
paragraph (7); and 
(B) by inserting after paragraph (5) the 
following new paragraph: 
‘‘(6) EXEMPTION
FOR
CERTAIN
COMMERCIAL 
REAL ESTATE LOANS.— 
‘‘(A) EXEMPTION FOR SINGLE LOAN COM-
MERCIAL
REAL
ESTATE
SECURITIZATION.—A 
securitization of a single commercial real estate 
loan or a group of cross-collateralized or cross- 
defaulted commercial real estate loans that rep-
resent the obligation of one or more related bor-
rowers secured by one or more commercial 
properties under direct or indirect common 
ownership or control is exempt from the risk re-
tention requirements of this section. 
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‘‘(B) EXEMPTION
FOR
QUALIFIED
COM-
MERCIAL REAL ESTATE LOANS.— 
‘‘(i) REGULATIONS
REQUIRED.—The 
Federal banking agencies and the Commis-
sion shall jointly maintain regulations to 
exempt qualified commercial real estate 
loans from the risk retention requirements 
of this section. 
‘‘(ii) 
STANDARDS
FOR
REGULA-
TIONS.—The 
regulations 
issued 
under 
clause (i) shall— 
‘‘(I) include the requirements 
under which interest-only loans may 
be exempt from the risk retention re-
quirements of this section; 
‘‘(II) not impose any term re-
quirements on the length of a quali-
fied commercial real estate loan; 
‘‘(III) if an amortization require-
ment is included, not impose an amor-
tization schedule of less than 30 
years; and 
‘‘(IV) not impose separate loan- 
to-value ratio caps on qualified com-
mercial real estate loans that are doc-
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umented with appraisals that utilize 
lower capitalization rates than other 
loans.’’. 
Æ 
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