Structural Changes Influencing the REIT Market. 1986 Tax Reform Act Reduced incentives to hold real estate in private/partnership form (leveled playing field) Still, no move to public market financing until late 1992 TRA was necessary, but not sufficient condition for the rise of equity REITs.
= NET INCOME (GAAP)
Net Income minus:
= Adjusted FFO (AFFO)
FFO Growth = Internal Growth + External Growth