The book has been published “El fideicomiso inmobiliario y la inversión extranjera como instrumentos para mitigar el déficit habitacional” (The real estate trust and foreign investment as instruments to mitigate the housing deficit] by Dra. Maridalia Rodríguez Padilla.
This book covers the lack of housing affecting the Dominican Republic, the legal framework and tax treatment of local and foreign real estate investments, and the real estate trust [fideicomiso] as an instrument of collective investment. On the one hand, this book highlights the need to amend Act 189-11, on the mortgage market and the trust, in order to make the real estate trust an instrument to increase the housing stock in this country. This piece of legislation aims at boosting the financial market and the real estate sector, while encouraging private participation in solving the housing problem and introducing new instruments for raising funds for this purpose. On the other hand, the book analyses the lack of active policies for attracting foreign investment to solve the Dominican lack of housing. Moreover, there is a need to promote real estate investment trusts specialized in renting, rent to own or other types of intermediate tenures, being methods for accessing to housing and for increasing national or foreign private investment (direct and indirect). Finally, this book examines the convenience to promote an ad hoc regulation of trusts dedicated to the Dominican real estate rental market (Dominican REITs) that guarantees a minimum investment in affordable housing.
This book is based on the Dominican experience, but the conclusions reached make it applicable to any similar legal financial instrument used as a housing policy in any regulation.