Regulatory Alerts2018-12-05
Added · Updated
Amendments to the Real Estate Investment Trust Regulations 2015
The Securities and Exchange Commission of Pakistan amends the Real Estate Investment Trust Regulations 2015 to update definitions, including 'Act', 'Borrowing', and 'Private Investor', and establish eligibility criteria for trustees such as scheduled banks and licensed non-banking finance companies. The amendments mandate that real estate must be located in approved cities, require detailed due diligence and valuation reports, and impose a minimum holding of 25 percent by the Real Estate Management Company and strategic investors. Additionally, the regulations set a unit par value of ten rupees, require listing within three years of financial close, and specify that subscription money must be returned with profit if real estate transfer fails within 90 days.