I wanted to start a series of articles on finance and Stock Market, something very simple for everyone.
Nowadays in no specializing Spanish daily press we read the Word SOCIMI
New concept even for people with some banking training.
Press reléase as SOCIMI increase capital for two hundre millón euros or a new SOCIMI will be registered in the Stock Market for the next month, and so on…
SOCIMI is the name given in Spain for the English Word REIT.- Real Estate Investment Trust.
Deeply rooted worlwide , UK, FRANCE, GERMANY, ITALY and since the 60 s its popularity in New York Stock Exchange-
SOCIMI s ( Public limited Company UK or Incorporated Company USA, the shares are quoted on Stock >Market, obligatory by law) are specializing in real estate: urban properties, houses, offices, buildings, business promises, semi-detached and detached houses, new promotion and so on
this FUNDS have the obligation to rent the majority of its properties.
there are other FUNDS that can invest in real estate but can sell such properties at any time
the SOCIMI ( REIT) may sell BUT only after three years of purchase.
it is important to emphasize that the real estate can be a single building, provided its value is mínimum five millon euros .
Mínimum capital five millon euros and may be set up with a single owner-partner , unlike other funds that they required a number of partners rather hight
On the tax issue they do no pay any taxes but it is required by law to distribute profits every year.
Today I want to enphasize the novelties that have been emerging accoding to the market -business of SOCIMI- REIT in Spain has been settling and muturing
At this momento the most imprtant . the increasinly specialization of SOCIMI REIT .
it´s not like at first : investment rent and profitability.- any kind of real property
Nowadays the majority of SOCIMI REIT have their investment plans very specific, each of them are specializing in hotels, offices, hosing, shopping center, buildings.
A very important innovation in the changes in the MAB GUIDELINES to boost the development of construcction .
MAB has created the concept of
SOCIMI-REIT IN DEVELOPMENT
they are socimi- reit that owns plots of land and they can obtain the advantages of a development Company and at the same time have the privileges or advantages of a SOCIMI-REIT
THE IDEA IN SHORT
BUILD FOR RENT
purchase-investment of piece of land, build the building and once the Project is finished its rent.