Definition and Legal Requirements of a Spanish REIT (SOCIMI)
SOCIMIs (Sociedades Anónimas Cotizadas de Inversión Inmobiliaria) or REIT (Real Estate Investment Trust) are public listed companies whose main activity is the investment in urban assets. The minimum share capital for a SOCIMI in Spain is 5 million euros.
Is investing in SOCIMIs (REIT) profitable?
SOCIMIs (Sociedades Anónimas Cotizadas de Inversión Inmobiliaria or Real Estate Investment Trust) are public limited companies whose main activity is the acquisition, promotion, and rehabilitation of real estate for lease. The evolution of this type of investment over the last year has become key in the real estate sector given its stable profitability and liquidity.
Spain combats Money Laundering
The fight against money laundering focuses on eliminating the laundering of funds or assets obtained through illegal activities. Not only are credit institutions and investment service companies obliged to comply with national and international legislation, but so are notaries, lawyers, and prosecutors.
Special Tax Regime of Real Estate Investment Trust (REIT) in Spain
Real Estate Investment Trust (REIT) in Spain, known as SOCIMI (sociedades anónimas cotizadas de inversión inmobiliaria), can benefit from the special tax regime, which consists of a 0% Corporate Income tax rate and a 95% reduction in the Property Transfer Tax, among other benefits.
Financial Technology, an exciting upcoming industry
FinTech is becoming one of the most influential sectors within the economy. It has simplified mundane and extensive tasks in many industries through technological innovation within the financial sector. Law firms are starting to benefit from FinTech through different tools, which could possibly lead to law firms becoming smaller entities as more work is left to computers.
Creating Franchises in Spain: What the franchisor must consider
The franchisor must consider the fundamental aspects of the business and what he wants to transmit to the franchisee in order for its project to function. In addition, the franchisor must have previously developed and have good knowledge of both the business model and the corporate image.
Nullity of the contract of purchase of Bankia shares
In 2011, the entity Bankia made a public offering of shares (IPO), where the detail brochure, the only informative channel for small investors, distorted the veracity of the entity’s accounts. Five years later, the Supreme Court ratified the nullity of the purchase of shares.
Companies subject to compulsory retirement clauses by a collective agreement
Retirement in Spain is not compulsory except in the cases outlined in Law 3/2012, of 6 July, on urgent methods to reform the labour market.
Legal framework for restructuring and insolvency proceedings in Spain
The legal framework for restructuring and insolvency proceedings governs the reorganization of debt. An insolvency proceeding is an in-court-restructuring procedure that consists of obtaining an insolvency order from a judge. An out-of-court restructuring is where a debtor negotiates directly with its creditors.
Financing Support to Entrepreneurs in Spain
Some of the financing measures the Entrepreneurs Law introduces to support investments in Spain include the refinancing agreement, the procedure for appointment of an independent expert, the public deed mortgages and bonds of internationalization and the minimum share capital of mutual guarantee companies (MGC).
