KUALA LUMPUR: Although it is a standard practice in certain countries for property developers to become Real Estate Investment Trust (REIT) promoters and to inject their own projects into the trust, Malaysians are still skeptical and considers it an “asset dumping” exercise by the companies, said Asia Pacific International Real Estate Federation (FIABCI) Regional Secretariat secretary general Kumar Tharmalingam. Several developers that have plans to enter the REIT market this year include TA Properties Sdn Bhd, Bandar Raya Development Berhad, UEM Land Sdn Bhd and Sunway City Bhd. Budget 2008 proposed an increase in foreign ownership on REITs management companies to 70% from 49%, with the bumiputera-ownership requirement remaining at 30%.
(The Sun 29-1-08)
