Understanding the UK REIT: Summary of the Regime
As at August 2024, there are c.170 UK REITs. This includes publicly traded REITs (generally listed on the London Stock Exchange) as well as non-traded institutionally owned REITs.
REIT status affords a number of commercial and tax benefits, including:
- Access to the global REIT “brand”
- Attractors of international capital
- A liquid and publicly available source of property investment
- Improved after-tax returns for shareholders
- The ability to make commercial decisions in a tax-exempt environment based on the commercial performance of individual assets
Deloitte has been at the forefront of the UK REIT regime since its inception, working alongside Government, industry bodies and clients to shape the REIT regime. The Deloitte REIT practice is the largest in the UK, advising more than 100 REITs as clients across multiple disciplines.
Our market-leading REITs team has been involved in most significant REIT conversions/launches in the UK and has been heavily involved in many key REIT transactions and M&A activity in the REIT sector, including:
- Launches of multiple public REITs
- Multiple conversions of existing onshore and offshore structures into REITs
- Launches of multiple institutional REITs
- Takeovers of one REIT by another REIT, as well as REIT demergers and take-privates
- Joint ventures between REITs and non-REITs of different kinds
We offer a comprehensive range of multi-disciplinary specialist services to REITs and those looking to launch a new REIT or convert an existing structure to REIT status, including:
- REIT tax advisory services, including on REIT launch / conversion, during the hold period, and subsequent acquisitions, disposals and refinancings.
- Specialist REIT tax compliance, as well as broader tax compliance services
- Reporting accountant services
- Audit and assurance services
- M&A and transaction advisory services
- Debt advisory services
- Real estate advisory services, including planning and development services
- Company secretarial services
