This is the second in our multipart series of alerts addressing proposed regulations published in the Federal Register on September 24, 2019, for the Committee on Foreign Investment in the United States (CFIUS) to implement the Foreign Investment Risk Review Modernization Act (FIRRMA).
One of FIRRMA's many noteworthy changes was to expand the types of real estate transactions CFIUS can review beyond those that result in control of a U.S. business, to include leases, concessions, and acquisitions of real estate (developed and undeveloped) in proximity to military and other specified installations. Under the regulations proposed by the U.S. Department of the Treasury in 31 C.F.R. Parts 800 and 802, real estate transactions could be subject to CFIUS review in several ways.
Because of the generality of this update, the information provided herein may not be applicable in all situations and should not be acted upon without specific legal advice based on particular situations.
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