It has been exactly one year today (28 January 2019,) since the Portuguese Government published Decree-Law No. 19/2019, introducing the legal framework for Real Estate Investment Trusts (REITs). The law took effect on February 1, 2019.
With the idea of complementing the existing investment opportunities in the Portuguese real estate market, the legal regime adopted allows exemptions (or reduced taxation) to the REITs and their shareholders, which makes the Portuguese tax regime aligned with other international tax regimes.
An opinion article of only 20 December 2019 writes, about first REIT to operate in Portugal, a partnership between the Portuguese Sonae Sierra and the Spanish Bankinter. Which leads us to understand that there are not many interested parties yet.
REITs in Portugal are not attracting investors as expected, mainly because the law is unclear, and there are many doubts that the Government has not answered yet.
Investors are standing by…
January 28, 2020