The U.K. budget this year is prompting interest in longer term property securitizations (see ASR 12/0902) and sources at the Royal Institution of Chartered Surveyors (RICS) said the government is rekindling its once-abandoned inquiry into developing regulations conducive to U.K.-based real estate investment trust vehicles (REITS).

"Within the bigger picture, it means that the smaller investors will now have an opportunity to directly invest in real estate assets," said one source at RICS. REITS function as securitized vehicles that group together a number of properties typically in the industrial, residential, retail and office areas and allow investors that might not have the equity to outright invest in any singular property an opportunity to cash in on several segments of the real estate market.

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