In the last few years, the current low interest rates and the volatile stock markets have turned investors' interest to the Asian real estate market as an alternative source of investment. Real estate investment has become far less country-specific and the geographic diversification from investing across a number of different jurisdictions is increasingly the norm.
In Hong Kong, H-REITs are regulated by the Securities and Futures Commission. In order to be authorized as a H-REIT, the structure and investment restrictions of the scheme must comply with the Code on REITs, unless a waiver is granted by the SFC. The scheme should also be listed on the Stock Exchange of Hong Kong.
In assembling our REITs advisory team, we have recognised the need to combine real estate and investment management skill sets to offer products and service offerings focused on real estate but drawing in investment management skills as necessary. This will include advice on every aspect of the REITs establishment including accounting, tax and regulatory issues, corporate restructuring, audit and advice on initial public offerings, fund-structuring...to name but a few so that our clients are well-positioned to identify and seize new opportunities that will unfold as the market evolves.