| "We are still studying the draft regulations (on REITs) of Securities and Exchange Board of India. We have plans to come out with a REIT," Jain said. |
| A REIT is similar to mutual funds and uses collective funds for owning and managing investments in real estate projects. It can be listed and traded like shares on stock exchanges. |
| The company is likely to come out with the REIT in the first or second quarter of 2008, Jain said. |
| "We will spell out the details in the next two-three weeks. We have plans to list the REIT on both the National Stock Exchange and Bombay Stock Exchange," he said. |
| On December 28, Sebi released the draft norms on REITs in India. |
| According to the norms, schemes to be floated by REITs will invest only in physical properties and generally in income generating realty. |
| The schemes would not be allowed to invest in securities and in other REIT schemes, Sebi said. |
| "The Sebi guidelines are a positive step. REITs will offer additional source of cash flows for companies as and when they become operational in India," Vikas Aggarwal, senior vice-president, ICRA Ltd, said. |
| Globally, REITs have become an investment vehicle for institutional and retail investors looking to enter the real estate sector. |
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