Philippines: New framework for Reits
SyCip Salazar Hernandez & Gatmaitan |
July 20, 2010
Back to international briefings menu
SyCip Salazar Hernandez & Gatmaitan
Address
Manila
Telephone
+63 2 817 9811
Fax
+63 2 817 3896
In a move intended to help develop the Philippines' capital markets, broaden participation in real estate ownership and promote the financing and development of infrastructure projects, the Philippine Congress has enacted Republic Act No. 9856 (the Reit Law), establishing a legal framework for real estate investment trusts (Reits). The Reit Law became effective on February 25 2010. The rules and regulations issued by the Securities and Exchange Commission (SEC) to implement the Reit Law became effective on June 10 2010.
The Reits envisioned by the new law are patterned after Reits established and traded in other jurisdictions. Under the law, a Philippine Reit must be organised as a stock corporation for the purpose of owning income-generating real estate assets, ie. they must be held for the purpose of generating a regular stream of income. To help ensure high yields and enhance their marketability, Philippine Reits are required...
The rest of this article is available to subscribers only. Subscribe today for full access to this article.
Alternatively take a free trial, giving you access for 48 hours*.
If you are already a subscriber, please log in below to access the rest of this article.
*some articles may be excluded.