In order to be eligible for the property authorised investment fund regime the following conditions must be satisfied1―
- Ìý
(a)ÌýÌýÌýÌý the property investment business condition;
- Ìý
(b)ÌýÌýÌýÌý the genuine diversity of ownership condition;
- Ìý
(c)ÌýÌýÌýÌý the corporate ownership condition;
- Ìý
(d)ÌýÌýÌýÌý the loan creditor condition;
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(e)ÌýÌýÌýÌý the balance of business condition; and
- Ìý
(f)ÌýÌýÌýÌý the notification condition.
Property investment business condition
This requires that the following conditions be satisfied throughout the accounting period2―
- Ìý
(a)ÌýÌýÌýÌý the company's instrument of incorporation and prospectus include a statement that the company's investment objectives are to carry on 'property investment business' and manage cash raised from investors for that purpose; and
- Ìý
(b)ÌýÌýÌýÌý the company carries on property investment business.
For accounting periods beginning on or after 1 April 2014 a 'property investment business' is defined3 as a business consisting of any one or more of the following: property rental business, owning shares in UK-REITs4 or owning shares in an entity which is the foreign equivalent
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Web page updated on 17 Mar 2025 17:19