Sunshine Property is a REIT that owns and operates 39 strip malls. Sunshine Property has 420 shareholders and is managed by a seven-member board of directors. Who, if anyone, are the beneficiaries in this arrangement?
A Real Estate Investment Trust (REIT) is similar to a corporation and it trades its securities on a stock market in a similar way that other stocks are traded. They generally invest in real estate or mortgages and mortgage backed securities. So the beneficiaries of a REIT are the people that invested on them by buying their stocks (shareholders).
