The real estate market represents a very profitable industry for companies or businessmen who invest their financial assets in this industry. One of the ways in which an investor can access the real estate industry in Cyprus is through a real estate investment trust (REIT), which is a designated investment vehicle which addresses to both small and large investors interested in acquiring ownership in various properties. In order to set up a REIT on the Cypriot market, businessmen will need to follow specific procedures, which can be detailed by our lawyers in Cyprus.
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Real estate market in Cyprus
Investors who are interested in investing on the Cypriot real estate market should become familiar with the main sub-domains which are highly profitable here. Generally speaking, some of the most important fields in the real estate sector refer to the construction of office spaces, as there is a high demand in this sense in Limassol and Nicosia. Commercial centres, used as shopping malls and similar destinations, have also been one of the main targets of the developers operating in Cyprus.
An important aspect referring to the Cypriot real estate market is that the housing industry began to show signs of recovery due to an increase in the transactions completed in this field.
When registering a company in the real estate industry, the entrepreneurs will need numerous business permits for the construction site and our attorneys in Cyprus can present a detailed list necessary for those who are developing a residential or commercial building.
Types of REITs in Cyprus
A real estate investment trust functions by taking financial assets from its investors, which are further on invested on the real estate market.
There are two main types of REIT in Cyprus:
- its investors receive ownership for the properties in which they have invested their money;
- the investments are carried out in property mortgages.
Typically, the REITs provide a high yield for its investors, received as dividends. A Cypriot REIT will require minimum 100 shareholders.
Businessmen interested in receiving more details on the real estate investment trusts available in Cyprus are invited to contact our Cypriot law firm.