New Delhi, Sept. 30 -- Think mutual funds, but for real estate. That's how Pratik Dantara, executive committee member of the Indian REITs Association, explains Real Estate Investment Trusts (Reits)-a growing investment avenue giving retail investors exposure to office parks, malls, and other commercial properties.

Speaking at the Mint Money Festival, Dantara highlighted the tax benefits and the potential of this relatively young but thriving asset class.

Reits pool money from investors to own and operate income-generating properties, Dantara explained. The income generated is distributed among investors. Most Reits do not own properties directly but hold stakes in special purpose vehicles (SPVs), which in turn hold the assets.

Reits op...