Real Estate Investment Trusts (REITs) in India are regulated by the RBI and are restricted to investing only in under-construction, high-risk residential housing projects.
- True
- False
Answer: False
REITs are regulated by the Securities and Exchange Board of India (SEBI), not the RBI. Furthermore, SEBI guidelines mandate that REITs must invest at least 80% of their assets in completed, revenue-generating commercial real estate (like office parks and malls), strictly limiting their exposure to risky, under-construction projects to protect retail investors.