A Real Estate Investment Fund is a financial instrument designed to bring together investors who want to invest in real estate and enable professional portfolio managers to manage these investments on their behalf. The fund can buy, sell, lease, and rent various types of real estate, including land, plots, residential properties, offices, shopping malls, hotels, logistics centers, warehouses, parks, hospitals, and other properties, with the aim of generating profit through buying and selling or rental income.
In real estate investment funds, there is an investment committee that makes investment decisions and coordinates the related processes. The committee includes SPK-licensed valuation experts with real estate experience and SPK-licensed portfolio managers.
Investors in the fund can request information about the real estate properties the fund has invested in by contacting the fund's founder. They can easily submit their questions and requests related to this information. Additionally, they can inquire about the unit share price of the fund and request informational documents showing the fund's historical performance graphs.
In real estate investment funds, all operational tasks such as buying, selling, leasing, collecting payments, tracking receivables, eviction of tenants, monitoring zoning and permit processes, accounting transactions, and tracking tax obligations are handled by the portfolio manager. This allows investors to avoid spending time on these tasks individually.
The establishment and management of real estate investment funds are activities that can be carried out with authorization from the Capital Markets Board (SPK). As long as the activities continue, portfolio managers remain under the supervision of the SPK. Additionally, the proper transfer of investments is monitored by a Custodian Bank authorized by the SPK. Investors' shares are tracked as book entries by the Central Registry Agency.
The fund’s investment strategy is to invest in assets permitted by the Communiqué to achieve rental income, value appreciation, and capital gains from buying and selling, and to conduct activities allowed by the Communiqué. While the fund prioritizes value appreciation and capital gains, it may also earn rental income during the period it holds its assets. The fund can also invest in real estate with mortgages, encumbrances that affect the property’s value, or properties with co-ownership structures, within the limits specified by the regulations.
The fund’s investment strategy is to invest in assets permitted by the Communiqué to achieve rental income, value appreciation, and capital gains from buying and selling, and to conduct activities allowed by the Communiqué. While the fund prioritizes earning rental income, it may also renew its portfolio by selling existing assets and making new investments to achieve capital gains. Additionally, the fund can invest in real estate with mortgages, encumbrances affecting the property’s value, or properties with co-ownership structures, within the limits specified by the regulations.