Real Estate Investment Trusts; companies that own, operate, or finance income-generating real estate. These investment vehicles allow individuals to invest in portfolios of real estate assets.
Acronym formed from Real Estate Investment Trust, first established in the United States in 1960. The concept was created by Congress to provide small investors access to large-scale, income-producing real estate.
REITs must distribute at least 90% of their taxable income to shareholders as dividends, making them popular among income-seeking investors. They democratized real estate investing by allowing people to own shares of shopping malls, office buildings, and apartments without direct property management.
Complete word intelligence in one call. Free tier — 50 lookups/day.