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Ameek Ashok Ponda, Sarah Wellings and Connie Lee updated their white paper, "Remediation of M&A REIT Targets," for the IRS’s recent publication of PLR 202440007 (released October 4, 2024), which adopts the authors’ long-standing position and analysis that a REIT will not fail to satisfy the gross income or gross asset tests by virtue of having zero gross income and zero gross assets in its first taxable year. 

The white paper is published annually by Practising Law Institute’s “Real Estate M&A and REIT Transactions” as part of its Real Estate Practice Course Handbook Series and serves as the playbook for diligencing and remediating real or perceived REIT qualification failures.