German listed property company IVG Immobilien is planning to launch a real estate investment trust (REIT) with about EUR 2 bn in commercial real estate next year. Bernd Kottmann, chief financial officer at IVG, said the company would wait until 2008 to launch its own G-REIT. In this way IVG will be able to take advantage of a reduction in the tax for REIT conversion that will come into force as part of a larger corporate tax reform, IPE Real Estate quoted Kottmann as saying. Kottmann added that IVG could raise between EUR 225 mln and EUR 500 mln by listing its tax-efficient vehicle, which will have a free float of above 25%.
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