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Real Estate vocabulary · Investment & the Market

REIT

Meaning in real estate, with examples

/riːt/abbreviationAdvanced term

In real estate, REIT means: Short for real estate investment trust: a company that owns or finances income-producing property and whose shares investors can buy, often on a stock exchange.

In Turkish: gayrimenkul yatırım ortaklığı, GYO

How it is used

Pronounced 'reet'. REITs let people invest in offices, malls, warehouses or apartments without buying a building themselves. In many countries they must pay out most of their income as dividends to keep their special tax status.

Example sentences

  1. The REIT owns twelve shopping centres across the country.

  2. Some investors buy REIT shares to get exposure to commercial property.

Common collocations

  • listed REIT
  • REIT shares
  • residential REIT
  • invest in a REIT
  • portfolioAll the properties owned or managed by one investor, company or fund, considered together.
  • commercial real estateProperty used for business rather than as a home, such as offices, shops, warehouses, hotels and factories.
  • return on investmentThe profit from an investment compared with the money put into it, usually shown as a percentage.
  • rental yieldThe yearly rent from a property shown as a percentage of its price or value. A home worth 200,000 that earns 10,000 a year has a 5% gross yield.

More terms: Investment & the Market

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