The most flexible and tax-efficient Real Estate Investment Trust (REIT) regimes, detailed in a new global REIT survey by EPRA, will be best-placed to attract capital flows, as property stocks begin their recovery from the sharp economic downturn, the industry body says.
The European Public Real Estate Association's (EPRA) 2008 Global REIT Survey published today covers 34 countries including new entries for Luxembourg, India and the Philippines and charts the continued global expansion of the property investment vehicle. "We are now entering a particularly interesting time in the global REIT story and this year's survey highlights the global trends emerging from the various legislative developments in REIT and 'REIT-like' regimes across Europe, Asia, Africa, and the Americas," says EPRA Director of Finance Gareth Lewis.
"The quality of the various REIT models, as well as the relative strengths of their management teams will be fully tested as we come through these difficult economic conditions, and as we emerge with a fight to attract global capital flows," he added. The Global REIT Survey is an annual compendium of REIT legislation by country, established in 2003 to provide a central point-of-reference for regulators, analysts, investors and advisors. The 280-page document is available for download here at: www.epra.com. "The survey charts the next chapter of the global REIT story, and this year includes additional commentary on the market, individual sector summaries and the latest political developments for the major REIT regimes," Lewis said.
"The Spanish Government's accelerated approval of legislation for a REIT-like vehicle confirms their popularity as a vehicle for attracting capital into the real estate sector," he concluded.
Ernst & Young Tax Partner Matthias Roche, who was responsible for collecting and editing of the survey said: "Even if these times are highly challenging in terms of how business, and in particular real estate, will develop in the near and medium-term future, it can be expected that REITs will continue their successful path around the globe. They will maintain their position as an attractive investment instrument for real estate retail and institutional investors."
The production of the survey is a highly collaborative operation, involving input from a wide range of jurisdictions and representative organisations. EPRA would like to thank all contributing partners for this version of the Global REIT Survey, but special words of thanks go to Matthias Roche, Tim Hackemann and Helge Schubert of Ernst & Young.