In a letter to President Donald Trump, Vice President Mike Pence and Treasury Secretary Steven Mnuchin, ICSC said that pandemic-related store closures are placing a strain on the retail real estate industry, and the association asked the government to include some measures in upcoming aid packages to help the industry. “Without ensuring the stability of our tenant base, the repayment of up to $1 trillion of secured and unsecured debt underlying the shopping center industry will be at risk,” ICSC President and CEO Tom McGee wrote in the letter. “This will jeopardize the entire industry and cause long-term damage to financial markets.”

The retail real estate industry will “require further federal support associated with outstanding debt obligations as well as tax and regulatory relief,” McGee wrote.

In the letter, ICSC asks the federal government to immediately guarantee or directly pay for coverage of business interruption for retailers, restaurants, other tenants and landlords in order to restore confidence and liquidity to community-oriented real estate and tenants. “While some companies may have third-party insurance, the current crisis is not covered by those policies,” McGee said. “This will allow these businesses to continue to pay their employees and suppliers. Most importantly, the nearly $400 billion of state and local taxes the shopping center industry generates to support local communities will continue.”

ICSC also encouraged banking regulators to immediately support leniency from financial institutions regarding the credit conditions of small and medium-size businesses facing short-term challenges. Recommended actions include abatement and foreclosure relief for commercial properties, extended grace periods, and short-term loans. ICSC also recommended that leaders consider a moratorium on interest payments or on the default provisions of loans.

Moreover, ICSC is encouraging its members to reach out themselves to elected officials in Washington and encourage them to act. As of 8:30 a.m. Eastern on Thursday, March 19, 21, 086 had done so. Click here to join them.

“It is critically important that members of Congress hear from their constituents, as Congress will be acting quickly,” McGee wrote. “ICSC is working diligently to advocate for our industry with the administration and Congress during this difficult and challenging time.”

The majority of the estimated $6.7 trillion of consumer activity generated by the retail, food-and-beverage, entertainment and consumer-service industries occurs within U.S. shopping centers, and nearly 1 of every 4 U.S. jobs is retail-related, McGee wrote. “The long-term strength of the shopping center industry is critical to the economic, civic and social viability of communities across the country.”