Real Estate

ESG reporting challenges for the real estate sector

Since the EU Taxonomy regulation entered into force on 1 January 2022, real estate companies have been busy not only preparing their disclosures but also getting a grasp on the impact the EU Taxonomy has had on their operations and accounting processes. While expecting clarifications from the authorities and the final regulation package, it’s a clear sign f […]

Impact of COVID-19 on real estate companies: accounting implications

The COVID-19 pandemic and subsequent lockdowns significantly impacted the global economy, with shockwaves still being felt around the world. Some of the most affected organizations are in real estate, with potentially long-term consequences due to their geographical region or asset class. This article will guide you through the main accounting implications fo […]

Top 10 predictions for the real estate market to consider in recovery plans

The real estate market is often a clear indicator of the economy’s health, and we are starting to see the effects of Covid-19. This pandemic has opened a period of unprecedented uncertainty across the globe, with rising unemployment levels that are skyrocketing in the United States. Authorities in the EU and around the world are working hard to agree on rescue […]

An asset manager’s guide to creating a risk-based Covid-19 board report

As the Covid-19 pandemic continues to evolve, the damage to the economy looks likely to be deep and long lasting. Asset managers are not only dealing with a myriad of temporary guidelines from national and international bodies: they are also putting their own measures in place to mitigate the economic impact of the virus and safeguard investor value—measures t […]

IFRS 15 for real estate companies: principal or agent?

In my last article, I provided an overview of the requirements for determining whether an entity is acting as a principal or an agent. I want now to look at this topic in more detail, and with a focus on the real estate sector—where it can be a considerable challenge. Rental contracts have a leasing component accounted for under IFRS 16 Leases, as well as ( […]

New court decision shows importance of updated transfer pricing documentation

In a recent court case[1] about transfer pricing for interest rates on intra-group loans, the court ruled in favor of the Luxembourg Tax Authorities (LTA). The LTA had challenged the 12% interest rate payouts of the Luxembourg company (LuxCo), which were considered to deviate from the arm’s length principle. The excessive interest was requalified as hidden div […]