Regulatory Alerts2025-03-28
Amendment to Master Circular for Real Estate Investment Trusts (REITs) dated May 15, 2024
The Securities and Exchange Board of India (SEBI) has amended the Master Circular for Real Estate Investment Trusts to align lock-in provisions for preferential unit issues with initial offer requirements, mandating a three-year lock-in for fifteen percent of allotted units and a one-year lock-in for the remainder. The regulator also introduced new provisions permitting the inter-se transfer of locked-in units among sponsors and their groups, subject to the continuation of the original lock-in period and minimum unitholding requirements. Additionally, SEBI established a comprehensive regulatory framework for follow-on offers by publicly offered REITs, detailing application procedures, fee structures, disclosure norms, and timelines for allotment and listing.