REIT Organization

Summary

This practice note discusses the formation and organization of real estate investment trusts (REITs). Generally, an REIT is a company that owns and leases real property or holds debt secured by real property and elects to be taxed as an REIT for federal income tax purposes. When forming an REIT, two of the main considerations are where to incorporate the entity and what corporate structures will be used in connection with real estate transactions.