A real estate investment trust (REIT) is a company that owns and manages property on behalf of shareholders. REITs are exempt from corporate tax but must pay out 90% of their net property income to their shareholders. They are closed-ended and listed on a public exchange. REITs came into existence in the United Kingdom on 1 January 2007. As of January 2015, there are 37 REITs in the United Kingdom, with a market capitalisation of approximately £50 billion.
The financial crisis and recession hit the industry hard. As property prices collapsed, rental yields fell and highly leveraged REITs were forced to dispose of their assets at the bottom of the market.
Real estate investment trusts are companies with closed-ended share capital that hold, manage and maintain property portfolios for investment purposes (i.e. for renting to tenants). Their shares are listed and traded on a stock exchange.
The report covers the scope, size, disposition and growth of the industry including the key sensitivities and success factors. Also included are five year industry forecast, growth rates and an analysis of the industry key players and their market shares.