Equity REITs (eREITs)

⛏ Coming soon


Why eREITs Matter for Solium

Solium can offer tokenized access to REIT-style equity products, giving users exposure to income-generating property portfolios with the flexibility of blockchain.

You can tokenize:

  • Units of a private REIT or property fund

  • Equity shares in a pool of professionally managed buildings

  • Smart contracts that auto-distribute rental yield in stablecoins


What is an Equity REIT?

An Equity REIT is a type of real estate investment trust that owns and operates income-producing real estate. Investors purchase shares in the REIT, and in return, they receive a portion of the rental income generated by the properties the REIT manages.

Unlike mortgage REITs (which invest in real estate debt), Equity REITs invest in real estate equity — they own the physical assets.


How Equity REITs Work

  1. The REIT raises capital by issuing shares to investors.

  2. It uses that capital to buy or develop properties (e.g. apartments, shopping centers, offices).

  3. It collects rent from tenants and pays at least 90% of taxable income as dividends to shareholders (to maintain REIT tax status).

  4. Shares are often publicly traded — making REITs relatively liquid compared to direct real estate.


Key Features

Feature
Equity REITs

Assets Held

Direct ownership of properties

Returns

Rent income + long-term appreciation

Liquidity

High (public REITs); lower for private/non-traded

Dividends

Yes — typically paid quarterly

Leverage

Often moderate (to enhance returns)

Management

Internal (self-managed) or external

Tax Treatment

Must distribute 90%+ of taxable income to avoid corporate tax

Investor Access

Publicly traded REITs are retail-accessible; private REITs require accreditation or tokenization


Common Types of Equity REITs

  • Residential – apartments, student housing, manufactured homes

  • Retail – malls, shopping centers, outlet stores

  • Office – urban towers, suburban campuses

  • Industrial – warehouses, logistics, cold storage

  • Healthcare – hospitals, senior housing, medical offices

  • Hospitality – hotels, resorts (higher risk/reward)

  • Specialty – data centers, cell towers, self-storage


Why Equity REITs Appeal to Investors

✅ Steady Income – Rents = recurring dividends ✅ Diversification – Uncorrelated to stocks/bonds ✅ Inflation Hedge – Real estate income tends to rise with inflation ✅ Professional Management – No need to manage properties ✅ Low Barrier to Entry – Especially when tokenized or fractionalized


Equity REITs vs. Tokenized Real Estate

Feature
Traditional Equity REIT
Tokenized Real Estate via Solium

Liquidity

High (if public)

Medium–High (via smart contracts)

Minimum Investment

Low (public REITs), High (private)

Very low (fractional tokens)

Transparency

Moderate

High (on-chain reporting)

Global Access

Limited

Borderless via crypto wallets

Customization

None

Yes (by geography, yield, duration)


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