ARTICLE
30 April 2026

SEBI Amends Real Estate Investment Trusts Regulations, 2014

SEBI has introduced significant amendments to InvIT, AIF, and REIT regulations, lowering credit risk thresholds for liquid mutual funds and expanding investment flexibility.
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SEBI, by notification dated 16.04.20263 , has notified the SEBI (Real Estate Investment Trusts) (Amendment) Regulations, 2026 (“REIT Amendment Regulations”) amending the SEBI (Real Estate Investment Trusts) Regulations, 2014 (“REIT Regulations”).

The REIT Amendment Regulations have lowered the credit risk value of liquid mutual funds. Mutual funds which qualify as liquid assets under the REIT regulations now include units of liquid mutual fund schemes where credit risk value is at least 10 instead of 12 and which falls under Class A-I or Class B-I in the potential risk class matrix as specified by SEBI. Additionally, investment norms under Regulation 18 have also been updated, lowering the credit risk value for units of liquid mutual funds under Sub-regulation (5) (i) from 12 to 10 and now also include Class B-1 liquid mutual funds.

The provisions of the REIT Amendment Regulations have come into force on 18.04.2026.

The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.

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