REIT 1 PROFILE
Reit 1 Ltd. was established in 2006 as Israel’s first Real Estate Investment Trust (REIT). A widely accepted investment vehicle around the world since the 1960s, REITs were first approved by Israeli authorities in 2006 to give anyone and everyone the opportunity to invest in large-scale commercial properties.
Reit 1’s shares trade on the Tel Aviv Stock Exchange under the ticker symbol RIT1 and are included on the Tel Aviv 100 and Tel-Div indexes. The company is rated ilA+ by Standard & Poor’s Ma’alot.
REIT 1’s ATTRIBUTES:
Attractive dividend yields – Dividends by REITs are especially attractive as the REITs are required by law to distribute most of their taxable income annually in the form of dividends. Reit 1’s dividend policy is to distribute all its taxable income as dividends.
Tax advantages — Reit 1, as a Real Estate Investment Trust, is exempt by law from corporate tax, so taxes on taxable income are paid only by shareholders.
Mitigated risk – Unlike other Israeli real estate companies that are not REITs, Reit 1 is limited by law from development activity to up to 5% of its portfolio and is required by law to hold to a maximum leverage level of 60% of the value of its assets.
Liquidity – Investments in Reit 1 are made through the purchase of shares on the Tel Aviv Stock Exchange and can be sold at any time.
Transparency – Reit 1 has a straight forward and easily understandable business model that focuses on income producing properties. Because it is registered and regulated by the Israel Securities Authority, it must adhere to high standards of corporate governance, financial reporting and information disclosure.
Professional management – Reit 1 is managed by experienced professionals with a vision of building a long-term and sustainable portfolio focused on the fast growing income-producing sector in Israel.