IFM30045 - Real Estate Investment Trust : Joint ventures: Joint Venture Look-Through Notice: change in percentage interest in joint venture company
To give notice for ‘look-throughâ€� treatment, the venturing company or venturing group must have an interest of 40% or more in the joint venture company/group. If the interest increases after the notice becomes effective, a higher proportion of the assets, profits etc of the joint venture company/group are taken into account in the property rental business and other conditions and tests.Â
Where the interest at the time the notice becomes effective was over 40%, subsequently decreases, but remains above 40%, a lower proportion of the assets, profits etc of the joint venture company/group are taken into account in the property rental business and other conditions and tests. »Ê¹ÚÌåÓýappre are no provisions for refund of Entry Charge in these circumstances.Â
Where the interest at the time the notice becomes effective was over 40%, subsequently decreases and falls below 40%, the JV conditions are no longer met and the JV notice ceases to have effect (see IFM30040)