Regulatory Alerts2021-01-01
Securities (Real Estate Investment Trusts) Rules 2021
The Financial Services Commission of Mauritius issued the Securities (Real Estate Investment Trusts) Rules 2021 to establish a comprehensive regulatory framework for collective investment schemes and closed-end funds operating as Real Estate Investment Trusts. The Rules mandate that authorised REITs secure a minimum 90 percent funding threshold, list on an Official Exchange within six months, and invest at least 75 percent of their gross asset value in income-producing real estate while capping aggregate borrowings at 45 percent. Furthermore, REITs must appoint independent functionaries including a licensed CIS manager and valuer, distribute at least 75 percent of their distributable income annually to participants, and submit audited financial statements within six months of each balance sheet date.