A listed property company that must distribute most of its income and is taxed favourably in return.
US REITs must pay out at least 90% of their taxable income and generally pay no corporate income tax. They own apartments, offices, malls, warehouses, data centres or cell towers. REITs make real estate tradable every day, but they swing like stocks and are sensitive to interest rates. Their dividends are mostly taxed as ordinary income in the US.