A real estate investment trust (REIT) is a special tax entity investing in real estate (such as shopping malls, apartments, and timberland). A timber REIT specializes in timber property investment. Although a business entity choice (such as a corporation or a REIT) is driven by a combination of strategic, financial and investment considerations, one of the key factors for such a choice is taxation, when real estate, including timberland, is significant business asset.
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