Absorption expressed as a percentage of the total square footage available.

A REIT that specializes in investing in multifamily housing, also known as multi-family residential property.

A REIT that owns or holds equity in rental real estate. Differs from a mortgage REIT.

Funds from Operations (FFO) is the most commonly accepted and reported measure of a REIT's operating performance, it is equal to a REIT's net income, excluding gains or losses from sales of property, and adding back real estate depreciation. Excluding depreciation of real estate assets allows analysts to get around the fact that , although historical accounting standards assume that the value of real estate assets diminishes predictably over time, they actually rise or fall depending on market conditions.

A REIT that owns healthcare properties, including long-term care facilities and hospitals.

A REIT that both holds equity in rental real estate and invests in loans secured by real estate. Combines the investment strategies of equity REIT's and Mortgage REIT's

A REIT that specializes in industrial properties.

The ratio of EBITDA to interest expense. This issued to compare financial leverage among REIT's

A REIT that focuses on movie theaters.

A REIT that focuses on leisure properties such as theme parks and golf courses.

A REIT that specializes in owning hotels and motels.

A REIT that specializes in office property rentals.

The act of a REIT buying property or investment that has a higher initial yield than the REIT is currently paying on its capital.

The percentage of space in a given market that is not occupied.

A private or public corporation that pays no income tax as long as its operations are restricted to certain commercial real estate activities. To quality as a REIT, a company must pay 90% of taxable income to investors each year.

A REIT that originates or acquires mortgages or other loans secured by real estate collateral. This business organization differs from equity REITS since they do not own real estate.

The federal law that authorized REITs. It was meant to allow small investors to pool their investments in real estate , gaining the benefits of professional management while retaining most of the benefits of direct ownership.

A company that specializes in owning and operating real estate properties, but has not chosen to be taxed as a REIT

Federal law that reduced the distribution requirement for REITs to 90% from 95%, effective in 2001. The act also allowed REITs to own 100% of taxable subsidiaries, which can perform services such as trash collection and valet parking facilities owned by REITs.

The capitalization rate ("cap rate") measures a property's initial yield which is the return it generates in the first year. The cap rate is determined by dividing a property's net operating income (NOI) before debt service and depreciation by its sale price. For instance, if a property with annual NOI of $1 million sells for $10 million then its cap rate is 10%.