Insights on Real Estate Investment Trusts

Insights on Real Estate Investment Trusts

The Insights on Real Estate Investment Trusts report provides a global overview of REIT regimes. Key regulatory, tax and legal rules for the establishment of REITs are covered for all major jurisdictions.

Also on KPMG.com

Insights on Real Estate Investment Trust

The popularity of Real Estate Investment Trusts (REITs) and similar vehicles demonstrates the strong and still growing demand for tax efficient, liquid and transparent vehicles for investing in real estate. Countries are reacting to this demand and a number of new REIT regimes have been introduced over recent years, with India being a very significant recent entrant into the market. The Securities and Exchange Board of India (Sebi) firmed up regulations that will govern REITs in September 2014. This is expected to be a game changer for the Indian commercial real estate sector. Very significant is that with India’s REIT regime being introduced only China remains without a REIT regime amongst the BRICS countries of Brazil, Russia, India, China and South Africa.

With the Insights on Real Estate Investment Trusts report, the KPMG Global Real Estate practice aims to provide a guide on REITs or their local equivalent in all of the major jurisdictions. The guide provides an regional overview which allows for comparison between countries.

Europe

  • Belgium enacted their REIT regime in 1995 and detailed by the law of 20 July 2004.
  • France enacted their REIT regime in 2003.
  • Germany enacted their REIT regime starting 1 January 2007.
  • Ireland enacted REIT regime in 2013.
  • Italy enacted their FII regime in 1994 and SIIQ regime in 2007.
  • Netherlands enacted their REIT regime in 1969.
  • Russia enacted their REIT regime in 2001.
  • Spain enacted their REIT regime in 2009, with significant changes as of 1 January 2013.
  • The UK introduced their REIT regime in 2007.

Asia Pacific and Africa

  • Australia has no specific REIT regime. The capital gains regime was established in 1985 and the managed investment trust withholding tax rule were created in 2008.
  • Hong Kong enacted their REIT regime in 2003.
  • India enacted their REIT regime in 2014.
  • Japan enacted their REIT regime in 2000.
  • Philippines REIT Act took effect on 9 February 2010.
  • Singapore enacted their REIT regime in 2002.
  • South Africa REIT legislation became effective on or after 1 April 2013.
  • South Korea enacted legislation for general REITs and corporate restructuring REITs in 2001, and in 2005, enacted legislation for entrusted management REITs.

Americas

  • Brazil enacted their REIT regime in 1993
  • Canada enacted their REIT regime in 2007
  • The US enacted their REIT regime in 1960

This article represents the views of the author only, and does not necessarily represent the views or professional advice of KPMG in the UK.

Connect with us

 

Request for proposal

 

Submit

KPMG’s new-look website

KPMG’s new-look website