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Real Estate Investment Trust : REIT

Real Estate Investment Trust : REIT. REIT (Advantages). ● REIT will raise fund from investors to invest in real estate, lease out such real estate to seek rental revenue and distribute benefit to investors .

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Real Estate Investment Trust : REIT

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  1. Real Estate Investment Trust : REIT

  2. REIT(Advantages) ● REIT will raise fund from investors to invest in real estate, lease out such real estate to seek rental revenueand distribute benefit to investors. ● Foreign investors can invest in leasehold REIT without any limitation. However for freehold REIT, foreign investors can only invest up to 49% of total REIT units. ● REIT can be used as a channel to raise fund from Thai investors to invest in real estate located overseas.

  3. REIT (Structure) REIT holders payout≥ 90%of net profit Investing in REIT REIT REIT Manager (RM) trustee Managing REIT Monitoring RM Invest (purchase /lease) Rental fee Real estate Holding title to real estate 3

  4. REIT (Key Features) • Investment in real estate ready to generate income must be at least 75%of REIT value. • Investment is permissible for any type of real estate butREIT must lease it out to seek rental revenue. • (3) Investment in real estate under construction is allowed up to 10% of REIT value • Investment may be made directly in real estate or indirectly through REIT’s wholly own subsidiary, providing that REIT’s subsidiary must alsocomply with REIT investment regulations. 4

  5. REIT(Key Features) (5) Investment in realestate located overseas is permissible. (6) REIT may apply for a loan facility up to 35%of its total assetsand the limit will be shifted up to 60% of its total assets if rated asinvestment grade. (7) REIT is required to distribute at least90%of adjusted net profit (based on cash position) to REIT holders. 5

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