A REIT is a tax-efficient vehicle that
- enables owners of real estate to pool income generating assets together in a portfolio; and
Overview
Embassy REIT is India’s first publicly listed Real Estate Investment Trust. Embassy REIT owns and operates a 42.8 million square feet (“msf”) portfolio of eight infrastructure-like office parks and four city‑centre office buildings in India’s best-performing office markets of Bengaluru, Mumbai, Pune, and the National Capital Region (“NCR”). Embassy REIT’s portfolio comprises 33.8 msf completed operating area and is home to over 214 of the world’s leading companies. The portfolio also comprises strategic amenities, including two operational business hotels, four under‑construction hotels, and a 100MW solar park supplying renewable energy to tenants.
REIT Fundamentals
A REIT is a trust that owns, operates or finances income-producing real estateA REIT is a trust that owns, operates or finances income-producing real estate
REITs give all investors access to the benefits of real estate investment with the advantage of investing in publicly traded units
REITs are typically listed on stock exchanges through an Initial Public Offering (IPO)
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REIT stands for Real Estate Investment Trust
A REIT is a trust that owns, operates, or finances income-producing real estate
- REITs give all investors access to the benefits of real estate investment with the advantage of investing in publicly traded units
A Real Estate Investment Trust is a tax-efficient vehicle
- That enables owners of real estate to pool income generating assets in a portfolio
- That allows investors to buy ownership in real estate assets in the form of equity
Globally, REITs are a $2 trillion asset class; the first REIT started in the US in the 1960s
REITs are universally accepted by global institutions and individual investors as products that provide:
REITs must pay out a majority of earnings as distribution to unitholders
- Indian regulations require REITs to pay out 90% of distributable cashflows
At least 80% of the assets of Indian REITs need to be completed and income-producing
- A low level of development (20% or less) means less risk to the cashflows
REITs are typically listed on stock exchanges through an Initial Public Offering (IPO)
- Once listed, they serve as permanent capital vehicles that raise debt and equity in the capital markets to acquire new assets to grow
Corporate video
Embassy REIT