In the heart of Pakistan’s growing real estate scene, a powerful but often overlooked player is emerging – Real Estate Investment Trusts (REITs). A recent chat at the Proptech & SmarTech Convention, featuring experts like Mr. Raheel Rinch, Director of Aman Builders & Developers, Mr. Muhammad Ejaz, CEO Arif Habib Dolmen REIT, Mr. Ali Asgher, CEO TPL RMC and Mr. Ahsan Jabbar from AJ Ventures, shed light on this hidden gem. While REITs have been around in Pakistan for over ten years, progress has been slow, facing challenges like confusing rules and a lack of trust among investors.
The experts agreed on the crucial role of government and rules in creating a good environment for REITs. They stressed the need for clear rules from the federal, provincial, and local governments, especially in areas like taxes and land duties. The experts also talked about how being open and honest in real estate dealings is vital to build trust. Trust is crucial because it lays the foundation for getting local and foreign investors interested in the sector.
Looking at successful REITs in countries like Australia, the USA, and the GCC, the experts talked about how Pakistan can follow their lead. They emphasized how REITs can transform the real estate landscape in Pakistan by providing housing solutions and encouraging vertical development. But, they said, for this to work, people in Pakistan need to change how they think about making money and investing. Mr. Ejaz suggested that creating a system that makes it easy to invest will benefit everyone and bring new life to the real estate sector.
Despite the challenges, the future for REITs in Pakistan looks bright. The conversation shifted to the big opportunity in changing people’s wrong ideas about real estate and bringing in more investors. With a shortage of houses in Pakistan, the experts believe that REITs can lead a real estate revolution. They shared a positive message, saying that with the right support from the government, trust from investors, and learning from other countries, Pakistan’s real estate industry could see amazing growth.
To sum it up, the Proptech & Smartech Convention experts not only pointed out the problems in Pakistan’s real estate but also showed a way forward. By fixing the rules, building trust, and learning from the best, Pakistan can make REITs a key part of its real estate growth.
To get more In-depth insights from the panel, make sure to Watch the full panel discussion here.