SECP Talk Series: REITs can help bring property into formal economy

ISLAMABAD: Regulated Real Estate Investment Trusts (REITs) can help bring property into the formal economy and connect it with capital markets, but their growth depends on transparent valuations, sound governance and simpler tax rules, speakers said at SECP Talk Series session.

Commissioner Imtiaz Haider, who welcomed participants, said REITs could mobilise private investment for infrastructure such as motorways, bridges, energy parks and logistics hubs. He also suggested exploring REITs to unlock value from existing public assets and finance development projects.

Presentations cited 29 REIT schemes registered in Pakistan by March 2026, with an aggregate fund size of Rs173.1 billion in December 2025. Globally, 1,021 listed REITs had a combined market capitalisation of USD 2.04 trillion at the end of 2024.

Zahid Latif Khan, Chairman of ISE REIT Management Company Limited, highlighted the USD 2.04 trillion global REIT market and presented the Rs 5.67 billion ISE Towers Rental REIT as a local example. He also outlined potential rental, developmental, hybrid and parking REIT opportunities in Islamabad and Rawalpindi.

Muhammad Ejaz, Chief Executive, Arif Habib Dolmen REIT Management Limited, presented Dolmen City REIT and Globe Residency REIT as local examples. He cited Dolmen City REIT’s market capitalisation at Rs86.88 billion as of September 30, 2026, with occupancy above 97 percent at both properties. He called for rationalising property transfer duties and taxes and reviewing investment limits to support sector growth.

Speakers stressed that REIT returns and liquidity are not guaranteed; they depend on the underlying assets, scheme structure and market conditions. Independent valuation, trustee oversight, clear disclosures and investor awareness were identified as essential to building confidence.

The session was attended by SECP Chairman Dr Kabir Ahmed Sidhu, Commissioners Imtiaz Haider, Muzaffar Ahmad Mirza and Ali Farid Khawaja, as well as business leaders, students and lawyers.

The event concluded with a question-and-answer session, followed by the presentation of commemorative shields to the speakers.

Copyright Business Recorder, 2026