Expands FDI screening on certain real estate transactions
08 Jul 2024
On 1 November 2024, the Department of the Treasury of the United States, as Chair of the Committee on Foreign Investment in the United States (CFIUS) and in cooperation with the Department of Defense, issued a final rule that significantly expands its oversight of foreign real estate transactions near military installations.
The rule adds nearly 60 new military bases to CFIUS’s jurisdiction across 30 states, and extends jurisdiction around 10 existing installations, enabling the committee to review and act on transactions that could pose national security risks, particularly through potential foreign surveillance or intelligence gathering. This expansion is rooted in the Foreign Investment Risk Review Modernization Act of 2018 (FIRRMA) and reflects the Department of Defense’s recent comprehensive assessment of evolving national security considerations.
Key changes include:
- Extension of review authority to cover real estate transactions within a one-mile perimeter of 40 newly added military sites
- Implementation of oversight for transactions within a 100-mile radius surrounding 19 additional military facilities
- Broadening of existing jurisdiction to cover areas between 1 and 100 miles around eight previously listed military installations
See also: https://investmentpolicy.unctad.org/investment-policy-monitor/measures/4392/united-states-of-america-fdi-screening-expanded-over-new-real-estate-locations
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Type:
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Entry and establishment (Access to land, Approval and admission)
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Industry:
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Not industry specific
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Services (Real estate activities)
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Sources:
