I too have huge exposure to REITS/INVITS. Even though there has been taxation changes I think post tax it is still much better than the residential yield one gets on physical property. For eg in Mumbai where I live, the yield on residential flats is pre-tax 2-3%. I see so many people trying to park excess liquidity in these apartments just because of the joy of owning a physical/hard asset.
Even though there may be a minor dent in post tax returns of REITS/INVITS, they still trump over physical hard assets is what I think. Also, we need to consider the upside in the actual appreciation of the underlying assets. These real estate trust’s own some of the best assets in the best of locations pan India.
Does anyone know when the BIRET conf call is ? They are the only REIT that are still to have the concall and my guess is that a lot of questions around taxation would come up.Their results come out on Feb 7th but no communication around the con-call yet.
| Subscribe To Our Free Newsletter |
