Real estate investment trusts (“REITs”) allow individuals to invest in large-scale, income-producing real estate. A REIT is a company that owns and typically operates income-producing real estate or related assets. These may include office buildings, shopping malls, apartments, hotels, resorts, self-storage facilities, warehouses, and mortgages or loans.

Unlike other real estate companies, a REIT does not develop real estate properties to resell them. Instead, a REIT buys and develops properties primarily to operate them as part of its own investment portfolio.

In Wyoming, Real Estate Investment Trusts (REITs) are governed by both state statutes and federal law. REITs are designed to provide a way for individual investors to earn a share of the income produced through commercial real estate ownership without actually having to buy, manage, or finance any properties themselves. To qualify as a REIT, a company must comply with certain Internal Revenue Code requirements. These include primarily investing in real estate, distributing at least 90% of taxable income to shareholders annually in the form of dividends, and meeting certain organizational and operational tests. Wyoming does not have specific statutes that uniquely regulate REITs; instead, they are generally subject to the same business entity regulations as other corporations or trusts within the state, in addition to the specific federal requirements for REIT status. Investors in Wyoming can benefit from REITs through dividends and potential appreciation of the shares, and REITs are required to be registered with the Securities and Exchange Commission (SEC).