Qualified property

Property that is held by a real estate investment trust (REIT). It must be one of the following types of property:

• immovable property that is capital property, eligible resale property, indebtedness of a Canadian corporation represented by a bankers' acceptance, money and debt obligations or a deposit with a savings and credit union;
• a security of a subject entity, if:
  • the entity derives 90% of its determined gross revenue from maintaining, improving, leasing or managing immovable properties of the trust, or
  • the entity holds no property other than titles of ownership in immovable properties that the trust holds solely or in co-ownership;
• property that is ancillary to the activity of the trust and that consists in the trust earning:
  • rent from immovable properties;
  • capital gains from dispositions of immovable properties, other than a share of a taxable Canadian corporation, a capital or income interest in a specified investment flow-through (SIFT) trust, an interest in a SIFT partnership or a capital or income interest in a REIT.

Section 1129.70