Enjoy access to a free NMLS renewal class when you attend an in-person event.
The Mortgage Industry Standards Maintenance Organization (MISMO) has released a new proposed data standard for the exchange of rent roll information on commercial property. The proposed standard is open for public comment. The public comment period will remain open from Monday, Dec. 12, 2016 through Friday, Jan. 13, 2017. The proposed rent roll standard is expected to be elevated to Candidate Recommendation status shortly thereafter. The proposed standard is designed to provide a consistent set of data points and definitions to use in financing and managing commercial property assets.
Rent roll data on commercial properties is required when a commercial loan is originated and is typically passed along during the life of the loan. Currently, there is no widely accepted method for defining and exchanging rent roll data between multiple parties, which can lead to data errors and added time and costs. The proposed standard is expected to improve the quality and consistency of rent roll data and enable a more efficient exchange of information in commercial property financing.
“I commend MISMO for their leadership in proposing a plan to bring increased quality and consistency to commercial rent roll data. Fannie Mae will continue to do our part to facilitate the adoption of these data standards," said Brian Hunt, director of Multifamily Data Management at Fannie Mae. “The MBA Property Inspection Form, which is now used broadly throughout the industry, is a great example of how data consistency can improve investment analysis. We look forward to working with our DUS Lender Partners during the comment period to explore this opportunity.”
The new standards include a Rent Roll Logical Data Dictionary (LDD), a Rent Roll Schema and Rent Roll XSD, which are all available at MISMO's Web site at MISMO.org/Standards-and-Resources/Commercial-Specifications. The standards support all types of income-producing property, including multifamily residential, retail, office, industrial, senior living (including assisted living and independent living properties), self-storage, mobile home park and hotel properties.
“The National Investment Center for Seniors Living and Care (NIC) strongly endorses MISMO’s proposed data standard for the exchange of rent roll information on commercial property types, particularly as it relates to the seniors housing and care sector,” said Chuck Harry, chief of Research and Analytics for NIC. “This landmark initiative aligns with NIC’s efforts to create more transparency and thereby create more efficient capital flows for the industry. We encourage enthusiastic industry participation with the adoption of these standards by capital providers and capital seekers alike.”