Our Mission

Aiming at Poland’s economic development, further dynamic growth of importance and value of the public securities market, and significant increase of share of Polish capital in the ownership of commercial properties, that are a significant part of the Polish economy, we hereby declare our engagement in commencing joint action for introduction and implementation to Polish legislation and business, solutions related to Real Estate Investment Trust .

The mission and main objective of our Association is to initiate and support, with the use in the good faith of our knowledge and experience, all activities aimed to form a legal framework for REIT’s , as well as to promote this type of solutions among Polish citizens and institutions

According to the idea , REIT (Real Estate Investment Trust) is an entity of the nature of a dividend, acting as a company or fund and investing in existing commercial real estate. Continual dividend payment stipulated by law and the statutes , and its coms from constant rental or usufruct income .

REIT was particularly designed for an individual investors, natural persons whose private savings usually do not allow to invest in the most attractive commercial real estate such as office buildings and shopping centers, and the purchase of which, due to the value of the real estate, is possible only within the framework of joint investment. This type of savings management of individuals provides sustainable economic development of country, builds a civic shareholders, complements or supports the basic pension system, and (by increasing share of investments financed by savings and at the expense of consumption) ensures a healthy economic growth (measured by GDP).

According to the origin, income from REIT is taxed once as an income from direct investment in other types of real estate. Therefore, one of the most important features of REIT is an elimination of corporate income tax (CIT). Intentionally, tax exemption is therefore a key form of encouraging citizens (individual investors) for long-term placement of savings in the existing commercial real estate that bring consistent income and additionally serves equalization of opportunities of domestic investors against foreign companies, which is essential to the success and profit for this type of solutions.

REIT’s are usually public. Listing on the stock exchange provides strict control by relevant government institution and liquidity of investments, which is extremely important for individual investors and protects their interests. At the same time, make public a substantial part of the commercial real estate market affects a significant increase in the total capitalization of the stock market and favors the development of the entire financial market.

The first REIT were created in the 60s of the 20th century in the United States “to give all investors the opportunity to possess and profit from the large portfolios of (commercial) real estate consistent income,”. In Europe, they appeared in 1969 in the Netherlands, but their most dynamic growth was in early twenty-first century. Currently, such institutions exist in approx. 40 countries, including many countries in Central and Eastern Europe (Hungary , Bulgaria, Lithuania ) .

Revenues from the Polish real estate market reach 11 – 15 billion PLN annually. The vast majority goes to foreign investors , who – due to lack of REITs in Poland, as well as the omission of real estate in the investment policy of open pension funds – completely dominated the Polish commercial real estate market. Foreign REIT owns among other famous Warsaw shopping centers, such as the “Złote Tarasy”, “Arkadia” or “Galeria Mokotów”. Their success confirms that Poland should immediately introduce similar regulations to the Polish legal system and create Polish capital opportunity to compete and accumulate. REIT is in fact one of the few solutions that optimally combines the best- understood interests of the citizen with the economic interests of the country.

Commercial real estate market in Poland is one of the largest and most attractive in Europe. For 25 years it developed rapidly with minimal participation of Polish investors. Without the creation of the system and practiced solutions this situation won’t be a subject to sustainable and substantial change, with great loss for Polish investors and the Polish economy. To successfully create opportunities and invest in real estate for Polish entities, actions related with an introduction in Poland regulations related to REIT must be taken. In line with its mission , the Association will initiate and actively participate in such activities.