Now you can become a partner in properties with a small amount of Rs 500 in gleaming malls, luxurious office buildings and huge commercial complexes in big cities of India. The name of this amazing way is Real Estate Investment Trust, which is called REIT. Through this, you can now directly benefit from the income generated from large real estate properties without any hassle of purchasing property, taking loan or maintenance.
What is this REIT?
In simple language, you can understand REIT as a mutual fund of the real estate world. Just as in a mutual fund your money is invested in shares of different companies, in the same way in REIT the money of thousands of investors is pooled and invested in large and profitable commercial properties. These properties are not small shops, but big office parks, shopping malls and logistics hubs, which are given on rent to renowned companies of the country and the world.
This entire investment is managed by a team of professionals, whose job is to identify the right property, buy it and ensure consistent good income from it. Investors only have to invest the money, the rest of the headache is taken care of by the management team.
How is earning?
Investors get double benefit in REIT. The first and biggest advantage is regular income. A large part of the rent that comes every month from these big properties is given to investors. Market regulator SEBI has a strict rule that every REIT must distribute at least 90% of its total taxable income to investors as dividends every six months. This rule makes it a stable and reliable source of income.
The second benefit is capital gain, i.e. the benefit of increase in the price of property. As the value of the property increases over time, so does the value of your investment. When you sell your units, you get this increased value.
less money, big profit
Experts say that in many ways REIT has emerged as a better and safer option than direct investment in real estate. The biggest advantage is that with a very small amount, say a few hundred or thousand rupees, you can become a part of those big projects which require crores of rupees to buy.
Moreover, buying and selling it is as easy as any share. These are listed on the stock exchange, which means you can buy their units from your mobile whenever you want and sell them whenever you want. You do not need to find a customer or visit the registry office. It also diversifies your investment portfolio, because it is not directly and strongly affected by the ups and downs of the stock market.
Which REITs are earning in India?
The REIT model has been successful across the world for decades, but it got off to a late start in India. The country’s first REIT, Embassy Office Parks REIT, was launched in March 2019. After this, options like Mindspace Business Parks REIT and Brookfield India Real Estate Trust also came into the market. Recently, with the arrival of Nexus Select Trust in 2023, investors now have a total of four options.
Existing REITs and their prices (as of October 1, 2025)
- Embassy Office Parks REIT: ₹423.80
- Mindspace Business Parks REIT: ₹459.20
- Brookfield India Real Estate Trust: ₹349.40
- Nexus Select Trust: ₹165.90
