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CHIPS and Inflation Reduction Acts Offer Fringe Benefits for Commercial Real Estate

New Legislation Brings Changes to Certain Sectors of US Economy, but Real Estate Impact Likely Minimal

Intel announced plans earlier this year to invest more than $20 billion to build two new chip factories in Ohio. Construction on the nearly 1,000-acre site is expected to begin later this year, with production starting by the end of 2025. The company is also building a chip plant near Ocotillo, Arizona. (Intel)
Intel announced plans earlier this year to invest more than $20 billion to build two new chip factories in Ohio. Construction on the nearly 1,000-acre site is expected to begin later this year, with production starting by the end of 2025. The company is also building a chip plant near Ocotillo, Arizona. (Intel)

August was a busy legislative month as Congress passed the CHIPS and Science Act of 2022 and the Inflation Reduction Act and President Biden signed both into law. The new legislation is expected to bring important structural changes to certain segments of the U.S. economy, but the impact on commercial real estate — and the growth trajectory of the economy as a whole — is likely to be marginal.

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