Real Estate Investment Trust - a vehicle that owns income property and distributes most profits.
Related terms
- Reversionary yield
The yield an asset would produce once rents revert to current market levels.
- Risk-adjusted return
A return measure that accounts for the amount of risk taken to achieve it.
- Rule of 72
A shortcut for estimating how long an investment takes to double: divide 72 by the annual return rate — an 8% return roughly doubles capital in nine years.
- Scenario analysis
Modelling distinct combinations of assumptions (base, upside, downside) rather than a single line.
- Sensitivity analysis
Testing how an outcome changes as key assumptions vary, essential where data is uncertain.
- Sponsor
The party that originates, structures, and manages a real estate deal or fund, contributes some capital, and earns fees and a promote for delivering returns to…
- Stabilised
An asset that has reached its expected long-run occupancy and income level.
- Total return
The full return on an investment combining income (rent) and capital growth (value change) over the holding period.