Real Estate Investment Trusts
What are REITs?
- REIT or Real Estate Investment Trust can be described as a company that owns and operates real estate properties to generate income.
- They pool money from the investors and invest it in commercial real estate projects like workspaces, malls, etc.
- For instance, they lease properties and collect rent thereon. The rent thus collected is later distributed among shareholders as income and dividends.
REITs operate similarly to shares, being listed on stock exchanges, enabling investors to buy or sell them at any time on the exchange.
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