Evolution, revolution or just a damp squib?

All the G7 countries have had real estate investment trust-style structures for some time, with the exception of the UK. But all that should be about to change following a consultation process that is likely to lead to their introduction

In the 2004 Budget, the Chancellor announced the start of a consultation process regarding the possible introduction in the UK of real estate investment trusts (Reits), or property investment funds (Pifs) as the Treasury has chosen to call them. The consultation process runs through to 16 July 2004, with the expectation that Reits will go live in the 2005 Budget, although there is a risk this may may not occur until 2006. All the G7 countries have a Reits-style structure, with the exception, up until now, of the UK. Effectively, a Reit is a securitised property vehicle that is typicall...