Lionel Messi lists real estate properties as REIT

Investing.com -- Argentine football star Lionel Messi has listed his real estate portfolio as a real estate investment trust (REIT) in Spain, valuing the assets at €223 million ($232 million). 

The REIT, named Edificio Rostower Socimi, includes a diversified portfolio of seven hotels, commercial real estate for shops and offices, and residential properties. 

Despite its prestigious owner, the company reported losses in both 2022 and 2023.

Rostower’s shares were priced at €57.40 on December 30 and listed on the Portfolio Stock Exchange, a smaller, digital-only Spanish bourse. 

Bloomberg noted in its article that this is an unusual choice, as most Spanish REITs opt for the more prominent BME Growth index. 

The move to establish Rostower as a REIT came swiftly after a Spanish government proposal to increase taxes on real estate trusts was blocked in parliament. 

REITs benefit from a favorable tax regime in Spain, which often incentivizes investors to list without necessarily raising funds. 

Notably, Rostower lacks free float requirements, suggesting the listing serves to meet legal prerequisites for tax advantages. However, Reuters stated that the chief executive of Portfolio Stock Exchange, Santiago Navarro, told them that the trust has told the exchange it plans to open up to new investors.

Messi's REIT has yet to trade. Navarro reportedly informed Reuters that the exchange, launched in 2023 and overseen by the Bank of Spain, permits trading only when a company aims to sell shares or raise its capital.

 

Source: Investing.com