When comparing Real Estate Investment Trusts (REITs) to Real Estate Limited Partnerships (RELPs), all of the following statement

Question

3 years ago

10

When comparing Real Estate Investment Trusts (REITs) to Real Estate Limited Partnerships (RELPs), all of the following statement

s are true EXCEPT:
A REITs allow for flow through of gain
B RELPs allows for flow through of gain
C REITs allow for flow through of loss
D RELPs allow for flow through of loss

Business

1 answer:

Natalija [7] · Answer 1 · 2022-02-05T06:15:40+03:00

Answer: option C is correct

Explanation:

Real Estate Investment trusts company, REITs do not allow for flow through of loss. Real estate Investment Trusts,REITs owns and manage real estate.

Real Estate Investment Trust company, REITs cannot pass losses to their shareholders, therefore, they invest solely in limited partnerships.

Real Estate Investment trust, REITs also do invest in securities and shares.

But, Real Estate Limited Partnerships company, RELPs allow both for flow through through of loss and for flow through of gain