Finland moved a step closer to having its own REIT regime after its national Commerce Committee published a report demanding that the government reform taxation of listed property companies.

The report, which was supported by Rakli, the Finnish equivalent of the British Property Federation, the Finnish Association of Real Estate Brokers and the Federation of Finnish Financial Services, urged the government to alter its lukewarm stance on the launch of a Finn-REIT, which would bring the Finnish quoted property sector in line with other international REIT regimes.

The Parliament of Finland has agreed to debate possible changes of its Act on Real Estate Investment Funds after March, when the next general election takes place.

It is thought that the Commerce Committee report will be enough to persuade the government to pass legislation necessary to introduce the Finn-REIT, which could come into being as early as Spring 2008.