Real Estate Investment Acquisition Rules For Reits A Survey

Real estate comprises the major wealth of the United States as well as the world and institutional investors (life insurance companies, pension funds and real estate investment trusts (REITs)) have become major investors in real estate due to their large portfolios and annual cash inflows. A recent comprehensive study of real estate investment acquisition rules included life insurance companies and pension funds but omitted real estate investment trusts (REITs). This study surveys REITs on all facets of their real estate investments. The survey covers real estate portfolio size and type, portfolio composition, investment by property type, international investments, before-tax analysis, after-tax analysis, diversification strategies, computer usage, holding period assumptions and criteria for obtaining mortgages, equity positions and construction loans. The results of this study are then compared and contrasted with previous studies.