리츠(REITs)의 운영성과 및 특성

리츠의 운영성과와 특성을 분석했다.

Real estate investment trusts (REITs) system was introduced in April 2001 for the purpose of promoting restructuring for companies in liquidity problem, and providing indirect investment opportunity in real estate to the general public. In early days, REITs market growth was limited due to high entry barriers and regulations in investment and operation. However, thanks to continuous system improvement responding the industry's need, REITs have reached at an important turning point for quantitative growth and qualitative ripening as an investment product.

Therefore, discussion is necessary on whether this system has been operated in consistency with the intended purpose of enactment, and whether REITs have grown in the right path within domestic investment product market. In other words, it is necessary to analyze REITs operation performance, and re-establish the directivity thereof for the positioning of REITs as suitable domestic investment product. This study, attending on these points, apprehended REITs market growth process and actual operational realty so far, to analyze policy performance from policy aspect, and establish the profitability and characteristics as financial instrument.

in the viewpoint that this study would be helpful in understanding REITs, re-inspecting policy direction, finding out and presenting implications for REITs operation. This study divided REITs performance between policy performance from institutional aspects and financial performance analyzing yield characteristics as financial instrument. Also, for measurement of policy performance, this study analyzed REITs effectiveness limited to providing indirect real estate investment opportunity to the public and corporate/financial restructuring.

For measurement of financial performance, this study analyzed the factors of REITs yield by classifying systemic factors as well as non-systemic factors based on profitability. This study analyzed whole 62 REITs incorporated since 2001 which was the inception year until end of 2010. RETIs performance was analyzed on 13 REITs that were publicly offered and listed on exchange. This study tried institutional approach and statistical analysis method. Policy performance was empirically analyzed on evaluative materials on operational performance as well as intended purpose of RETIs system.

Financial performance was analyzed by correlation analysis, multiple regression analysis and t-test statistic methods. The following is the analysis result on operational performance: First of all, REITs industry is summarized. As of December, 2010, total 62 REITs were incorporated and 51 REITs were operating, growing to total capital of approx 3.7 trillion won and total assets of 7.8 trillion won. REITs in operation are classified as 3 kinds comprising self-managed REITs, consignment-managed REITs, CR-REITs. CR-REITs were 39 in numbers, having weight of 68.7%. Main investment asset is office building, with 62% weight of total industry.

Also the weight of privately financed REITs was 82.8%, with weight of publicly financed REITs gradually diminishing. Average debt ratio was shown at 50.6%. Result of analysis on operational performance is as follows; First is evaluation on effectiveness aspect. From the aspect of ‘ providing real estate indirect investment opportunity to the public’ which is one of the policy performance analysis benchmark, participation ratio of public investors other than REITs sponsors or institutional investment was 4.5%. This is significantly lower than small investor weight in whole KOSPI market as well as those in U.S.

or Japanese REITs market, hence the performance was analyzed as significantly falling short of the intended purpose at introduction. The reason may be suggested as limited demand from institutional investors, limitation on system structure, shunning by investors due to restricted liquidity etc. The implication of this insufficiency is the need to activate public offering and increase trading volume so that enhanced liquidity could be achieved.

In consideration of the situation whereby privately financed REITs led by institutional investors amounts to 170% of publicly offered REITs in size, and of the characteristics that large REITs achieves higher yield, the benefits granted to REITs, which were purposed for providing investment opportunity to a large number of small investors, were enjoyed by particular group of investors. Hence REITs operation is found to be inconsistent with the original intention at enactment.

From the aspect of ‘ supporting corporate restructuring’ which is one of the policy performance analysis benchmark, corporate restructuring REITs have grown to take two thirds of the market thanks to government's policy support and system improvement and active participation by corporates. Corporates that acquired liquidity by selling real estate to REITs were normalized accordingly. Unsold housing REITs are evaluated as performing as they not only provided liquidity to construction companies, but also contributed to clearance of unsold housing and stability of real estate market.

However, among the real estate sold by corporates for restructuring purpose, some real estates with strong asset specificity had their yield reduced due to transaction cost effect. In case of corporates that acquired buy back option utilizing the asset specificity may be regarded as using another quasi real estate collateralized corporate loan by guaranteeing a certain yield to a few institutional investors for a certain period, rather than a genuine real estate transaction for restructuring purpose.

Secondly from profitability aspects, domestic REITs' annual average investment yield during 2002 to 2010 end was 16.8%, which was superior investment yield, compared with KOSPI yield during same period at 14.9%, 10 year maturity government bond yield 5.3%, and BBB- 3 year maturity corporate bond yield 9.51%. As systemic factors affecting REITs yield, KOSPI small cap st