Islamic REITs are collective investment vehicles that pool money from investors to buy, manage and sell real estate.
An Islamic REIT is an investment vehicle that invests primarily in:
(a) income-producing Syariah compliant real estate, and/or
(b) single purpose companies which are Syariah compliant whose principal assets comprise Syariah compliant real estate.
The incomes from the real estate or companies are used to provide returns to its unitholders. A portion of the REIT funds can also be invested in other Syariah compliant asset classes e.g. cash or Syariah acceptable deposits.
Islamic REITs provide a new investment opportunity for investors who wish to invest in real estate through Syariah compliant capital market instruments. An Islamic REIT is an effective means of gaining investment exposure to large Syariah-compliant commercial properties.
Investments in Islamic REITs provide opportunities to hold stakes in high-grade Syariah-compliant real estate which may otherwise have been difficult or impossible for a retail investor to hold.
An Islamic REIT is an investment vehicle that invests primarily in:
(a) income-producing Syariah compliant real estate, and/or
(b) single purpose companies which are Syariah compliant whose principal assets comprise Syariah compliant real estate.
The incomes from the real estate or companies are used to provide returns to its unitholders. A portion of the REIT funds can also be invested in other Syariah compliant asset classes e.g. cash or Syariah acceptable deposits.
Islamic REITs provide a new investment opportunity for investors who wish to invest in real estate through Syariah compliant capital market instruments. An Islamic REIT is an effective means of gaining investment exposure to large Syariah-compliant commercial properties.
Investments in Islamic REITs provide opportunities to hold stakes in high-grade Syariah-compliant real estate which may otherwise have been difficult or impossible for a retail investor to hold.
