Some REITs are nontraded and are subject to liquidation requirements after they have been in operation for a certain number of years.
In addition, all REITs face liquidation if they are unable to distribute the bulk of their earnings to investors in the form of dividends. During the first stage, the REIT company raises money from investors and uses the money raised to buy property.
The following Q&A and Cost Basis Calculator are designed to help you understand the tax implications of the initial liquidating distribution of .20 per share paid to shareholders in December 2016 and the remaining liquidating distributions.
Please note that this information is provided for illustrative purposes only and to help give you a general understanding of the consequences of the recent liquidating distributions. Shareholders must contact their tax advisors for specifics regarding the taxation of their individual investments.
Our principal business activities include investing and making loans secured by real estate, joint venture investments with local real estate partners and acquiring equity and debt securities where the underlying assets consist of real estate.
Currently, we own a diverse group of properties, loans, securities and other real estate related assets.
For more information, please see the Our Assets section.
A real estate investment trust is a fund that works much like a mutual fund which invests in real estate.
Like a mutual fund, a REIT pools money from a group of investors, who each own shares in a large group of real property.