About REIT

What is a REIT – (Real Estate Investment Trust)

A REIT lets you invest in real estate without buying a whole property. Investors pool their money together, an independent trustee acquires and holds the property on behalf of the REIT, and a professional REIT Management Company manages it for the benefit of unit holders. In Pakistan, REITs are eventually listed on the Pakistan Stock Exchange (PSX), so investors can buy and sell units like shares.

Arif Habib Dolmen REIT Management Limited (AHDRML) is Pakistan’s first REIT management company. We are a joint venture between Arif Habib Group and Dolmen Group, set up in 2009 and licensed by the Securities and Exchange Commission of Pakistan (SECP). Our goal is simple: to make real estate investment easy, transparent and open to ordinary investors.

RMC Rating: AM2++ (RMC) by JCR-VIS Credit Rating Company

REITs in Pakistan

In Pakistan, REITs are regulated by the Securities and Exchange Commission of Pakistan (SECP). The SECP introduced Pakistan’s first REIT Regulations in 2008.

Listed and unlisted REITs

Listed REITs trade on the PSX. AHDRML manages four: Dolmen City REIT (DCR), Globe Residency REIT (GRR), Signature Residency REIT (SRR), and Naya Nazimabad Apartments REIT (NNAR).

Registered, not-yet-listed REITs are approved by the SECP but do not trade on the PSX yet. Pakistan has 29 registered REITs, six of which were listed as of August 2026. Unlisted schemes can first raise money from accredited investors such as banks, companies, insurers and high-net-worth individuals.

Rental REIT

Buys property and earns rent. Example: Dolmen City REIT.

Developmental REIT

Builds or refurbishes property, then earns from sales. Examples: Naya Nazimabad Apartments REIT, Sapphire Bay Islamic Development REIT, Silk Islamic Development REIT.

Investment-based REIT

Buys a property and aims to earn profit when real estate investments rise in value.

Hybrid REIT

A combination of different types of REIT Schemes.

Shariah-compliant REITs

A REIT Scheme can obtain a Shariah compliance certificate as per the requirements of Companies Act, 2017, and the Shariah Governance Regulations, 2023. Most of AHDRML’s REITs are Shariah Compliant making them a suitable option for investors who want halal real estate exposure.

Types of Properties REITs Can Own in Pakistan

Residential
Commercial
Industrial
Warehousing and Agriculture
Healthcare
Transport and Communication
Power
Energy
Telecommunication
Water and Sanitation
Social, Cultural and Commercial
Mining
Hospitality

How Do REITs Make Money in Pakistan

REITs in Pakistan generate returns for investors through rental income, property development profits, and capital appreciation. Rental REITs earn income by leasing properties, while Developmental REITs generate profits by developing and selling real estate projects. Investors can benefit through dividend distributions and potential appreciation in the market value of their REIT units listed on the Pakistan Stock Exchange (PSX).

Role of the REIT Management Company

A REIT Management Company (RMC) is a SECP-licensed Non-Banking Financial Companies (NBFC) that manages a REIT scheme on behalf of its unit holders. The RMC structures and launches the scheme, conducts due diligence, and appoints valuers, auditors, consultants and property managers. It makes acquisition, financing and leasing decisions, and oversees construction in developmental REITs. It also ensures compliance with all applicable regulations, timely reporting and disclosures, and owes a fiduciary duty to unit holders.

Role of the Trustee

Central Depository Company of Pakistan Limited (CDC), or a company registered as trustee with the SECP, acts as the custodian of the rights of unitholders. All REIT assets, including Real Estate and Bank Accounts, are held on behalf of unitholders.

REIT Transparency and Oversight Framework

REITs offer greater transparency and investor protection compared to traditional property investments through a robust governance and regulatory framework, including trustee-held property ownership and control over funds, SECP regulatory oversight, external audits, independent valuations, credit ratings, and public disclosures on PSX.

Why Invest in REITs in Pakistan

Start small. Buy REIT units instead of a whole property.
Regular income. At least 90% of profits are paid out.
Easy to sell. Listed units trade on the PSX.
Professionally managed. You don’t deal with legal documentation, tenants, builders or maintenance.
Transparent. REITs publish audited accounts and follow SECP and PSX rules.
Diversification. REIT units exhibit low market sensitivity, offering relative stability and diversification benefits.
Halal investment options. Shariah-compliant REITs are available.

How to Invest in REITs in Pakistan

Buy listed units on PSX. Open an account with a PSX-registered broker and buy DCR, GRR, SRR, or NNAR.
Join a public offering. Watch out for our upcoming Initial Public Offerings (IPOs). AHDRML has a diversified pipeline of REIT schemes planned for listing on the Pakistan Stock Exchange (PSX).
Invest as an accredited investor. Institutions and high-net-worth individuals can join private placements before listing.
Try PropertyShare: Own a share of an apartment in 100 sq. ft. units, pay in installments, and earn rental income once it is rented.
PropertyShare is a standalone AHDRML product. It is not a listed REIT unit and is not traded on the stock exchange.
Not sure where to start? Email reit@arifhabibdolmenreit.com or call +92-21-38280986.

How Have REITs Performed in Pakistan

Pakistan’s REIT sector continues to demonstrate encouraging financial performance. Dolmen City REIT (DCR), South Asia’s first listed rental REIT, achieved FY2026 rental income of PKR 6.45 billion, reflecting 11.5% annual growth, maintained approximately 99% occupancy, and distributed PKR 2.58 per unit in dividends. It subsequently declared an interim dividend of PKR 0.66 per unit for FY2027. Meanwhile, Globe Residency REIT (GRR), Pakistan’s first listed developmental REIT, recorded FY2026 total income of PKR 4.86 billion, representing approximately 80% year-on-year growth, and distributed a final cash dividend of PKR 4.00 per unit. These achievements highlight the growing potential of Pakistan’s REIT sector to generate income and deliver value to investors.

REITs vs Other Real Estate Investments in Pakistan

	Buying property directly	Buying plots or files	Buying REIT units
Money needed	Very high	Medium to high	Price of one unit (DCR is under PKR 40)
Easy to sell?	No, can take months	No	Yes, on PSX any trading day
Paperwork	Often informal	Varies	Regulated by SECP, audited
Who manages it?	You	Nobody	Professional manager
Income	Rent, if any	Mostly resale profit	At least 90% of profits paid out

REIT FAQs

What is REIT?
A REIT is a fund that owns property and distributes its income to investors. The investors buy units and earn a share of the profits.
What are the benefits of investing in REITs?
REITs offer investors access to professionally managed real estate, opportunities for income generation and capital appreciation, portfolio diversification, and liquidity through stock exchange trading.
Is REIT the same as buying property?
Yes, but the only difference is you own units in a regulated fund which then invests in property. That means a smaller investment, no property management, and easier selling.
Are REITs in Pakistan Shariah-compliant?
Many are. Dolmen City REIT was Pakistan’s first listed Shariah-compliant rental REIT. Check each REIT’s Shariah status before investing.
Where can I buy REIT units in Pakistan?
On the Pakistan Stock Exchange, through any registered broker.
What is the minimum investment?
You can get started with just one unit, and the price of a unit depends on which REIT you choose.
Who regulates REITs in Pakistan?
The Securities and Exchange Commission of Pakistan (SECP).
Are REIT returns guaranteed?
No. Unit prices and dividends can go up or down. Read each scheme’s offering documents and speak to a financial adviser before investing.

Benefits to Investors

Investment Diversification

Diversification aims to reduce portfolio volatility for investors. Adding REITs to an investment portfolio reduces risk since REITs have little correlation with other assets, including stocks and bonds.

Favorable Policy

REITs have to distribute at least 90% of its profits as dividends to the unit holders to avail tax exempt status. High payout reduces the risk of management for investors.

Debt Free Investment

REITs are wholly equity financed and only unsecured borrowing is permitted under the regulations. Hence, REIT has a debt free structure and free from related cash flow distress and default risks.

Transparency

REITs follow the same rules and regulations of disclosure as other public listed companies.

Liquidity

The REIT are required to be listed at the stock exchange which provides investors the option to exit anytime. Moreover, REIT units are priced by the stock market each day and readily respond to the changes in market sentiments.

WATCH 2 MIN VIDEO

How REITS Operate?

Muhammad Ejaz, Chief Executive Officer at Arif Habib Dolmen REIT Management Limited discusses & explains the progress of our company since 2009 & our main offering.