04/01/2007 Launch of UK-REITs
04 January 2007
The Exchange celebrated the launch of UK-REITs today by welcoming key property industry representatives to the opening of the London markets.
The market was opened by Liz Peace, Chief Executive of the British Property Federation, together with the Chairman of the London Stock Exchange, Chris Gibson-Smith.
The new UK-REITs regime was introduced on 1 January 2007, creating exciting opportunities for the growth of the property investment sector by combining the traditional strengths of London’s capital markets with the introduction of a more efficient way to invest in property. REITs offer tax benefits to both companies and investors, in addition to providing private investors with an easier route up the property ladder. UK-REITs are listed on the Main Market and therefore enjoy the usual benefits of a listing.
On the official launch date, nine companies became UK-REITs, including some of the largest and most well-known property companies, such as British Land, Hammerson and Land Securities. Several more companies have announced their intention to become UK-REITs over the next few months, providing an encouraging start for the new regime and London’s position in the global REITs market.
On the same day, FTSE Group announced a new UK-REITs Index, as part of the FTSE EPRA/NAREIT series. This innovative new benchmark will allow for the assessment of the performance of UK-REITs and has been designed to support the development of index-linked products aimed at the broad equity investment market.
To find out more about the opportunities offered by UK-REITs, please visit our dedicated REITs website section at www.londonstockexchange.com/reits.