Assessing the feasibility of establishing a publicly traded global real estate fund domiciled in the Cayman Islands

This thesis examines the feasibility of creating a publicly traded, synthetic REIT-type investment fund for the purpose of investing in a portfolio of international real estate assets. The investment strategy is driven by both an increasing supply of international real estate opportunities and an increasing demand for international real estate investments. The fund will be domiciled in the Cayman Islands, where it will benefit from a tax exempt status, limited regulations, and a well established investment fund industry. The global investment strategy of a synthetic REIT-type Cayman Islands fund is a novel investment strategy. Because no standard investment structure for an international real estate fund exists, the analysis will focus on creating a fund level and tier level structure in order to achieve certain defined investment, tax, and regulatory objectives. These objectives include providing accessibility to a broad range of investors, minimizing taxation, minimizing regulatory requirements, providing market liquidity and transparency for shareholders, and targeting real estate investments in 40 countries. A primary focus will be on creating a tax-efficient tier structure for repatriating income from real estate investments to the fund.