Based on its expertise in managing countless REITs,
Daehan Real Estate Trust promises investors
the best possible returns.


  • 10 %

    As of Q4 2024
    AMC investment share

    (Source: Korea REITs Association)

  • No. 1

    Based on approved businesses as of May 2024
    Currently operating 55 REITs

    (tied for 1st place)

Overview

What are REITs?

REITs (Real Estate Investment Trusts) are indirect real estate investment vehicles in the form of a corporation that raise funds from multiple investors, invest in real estate, and return profits to investors.


  • Multiple investors

    At least 30% of the total issued shares must be offered for public subscription within the minimum capital preparation period (within 6 months after business approval)

  • Real estate

    70% or more of total assets must be invested and managed in real estate

  • Dividends to investors

    Obligation to distribute 90% or more of distributable profits as dividends

  • Corporation

    The Commercial Act applies except for matters specified in the Real Estate Investment Company Act

Advantages

  • Profitability
    Offers tax reduction benefits
  • Liquidity (cashability)
    Listed REITs can be converted to cash in the stock market
  • Stability and profitability
    Provides investment profit opportunities through investment in real estate as a physical asset and systematic management

Types

  • Self-managed REITs
    Substantive company that directly invests and manages assets with full-time executives and employees
  • Entrusted management REITs
    Nominal company that entrusts investment and management to an Asset Management Company (AMC)
  • Corporate restructuring REITs
    Nominal company that invests in real estate for corporate restructuring purposes


Sort Self-managed REITs Entrusted management REITs Corporate restructuring REITs
Investment target General real estate / Development projects General real estate / Development projects Corporate restructuring real estate / Development projects
Company type Substantive company
(full-time executives and employees)
Nominal company
(no full-time staff)
Nominal company
(no full-time staff)
Minimum capital KRW 7 billion KRW 5 billion KRW 5 billion
Stock distribution Within 50% of total shares Within 50% of total shares No restrictions
Public offering Within 30% of total shares Within 30% of total shares No public offering obligations
Listing Immediate upon meeting requirements Immediate upon meeting requirements Immediate upon meeting requirements
Asset composition Real estate: 70% of more Real estate: 70% of more Corporate restructuring real estate: 70% of more
Disposal restrictions 1 year 1 year No restrictions

Workflow

  • 01Announce the sale
    and development
    of real estate (investment property)
  • 02Submit a letter of intent
  • 03Sign an MoU
    (can be omitted)
  • 04Establish a REIT corporation
  • 05Recruit investors
  • 06Sign a trust agreement
  • 07Finalize a business plan
  • 08Conduct due diligence
    (Appraise, assess legally, financially, and physically)
  • 09Obtain business approval
  • 10Sign a business agreement
    and procure necessary funding
  • 11Manage assets
  • 12Sell after operating
    for a certain period