Non-traded REITs are common shares offered by a real estate company for investors.
The REIT structure provides a similar structure for investment in real estate as mutual funds provide for investment in stocks. Like other corporations, REITs can be publicly or privately held. Investors are typically drawn to non-traded REITs for their potential for steady income and general lack of volatility compared to publicly traded equities.
According to research from Blue Vault Partners LLC, non-traded REITs are on track to raise $7 billion in 2010, a 17% increase over 2009.