SM REIT

The introduction of SM REIT by the regulatory body is an inflection point in the real estate market of India. For the retail investors it is rapidly changing the way of investing and diversifying the portfolio. The traditional mechanism of entering into this segment was holding up the investors, due to various reasons such as larger ticket size, due-diligence requirements, assessment of asset quality & valuation, maintenance, transactional cost hindrance, and lower liquidity issue.

The growing demand of rental space in all major cities is going to a significant driving force in attracting investors. SM REITS market will steer the Real Estate industry by virtue of its quantum and growth momentum. As per the industry reports, SM REITs market is expected to exceed Rs. 4.98 lakh crores by 2026 (CBRE Report, Sept. 2024). The potential market for the SM REITs in India is over 300 million square feet of commercial office space. Moreover, the asset types to be covered under SM REITs will spread well beyond the commercial office space and new properties will add to the already existing inventory. Since the SM REITs is within the ambit of well-regulated provisions of SEBI, this will boost the confidence of investors from all segments including the HNIs, NRIs and institutional investors.

Professionally Managed SM REITs

The major differentiator in the SM REIT investment is its management through a professional company, which overlooks its entire operations fright from the selection of quality assets, identifying the quality tenants, making proper lease agreements, running its operations, taking control of financial aspects and ensuring the return on investment. The traditional mode of complete ownership of the

  • Right identification of quality asset
  • Thorough Due-diligence and Verifications
  • Transparency through Regulatory Compliance
  • Efficient Management of Property
  • Systematic Valuation Tracking
  • Higher Return on Investment

SM REIT in Investment Portfolio

Diversification in Range of Properties

Investment in Grade-A Commercial Property

Lower Minimum Investment Requirement

Tradable on Stock Exchange

Higher Liquidity in Portfolio

Regular Rental Income through Leasing

Returns from Appreciation in Asset

SM REIT for Range of Investors

As righty being states, SM REIT is democratizing the investment in real estate space. The opportunity of fractional ownership has opened for broader base of investors including retail and institutional.

  • Retail Individual Investors
  • High Net-worth Individuals (HNIs)
  • Non-resident Indians (NRIs)
  • Overseas Citizens of India
  • Institutional Investors