A real estate investment trust, also know as a REIT, is a company that owns, and in most cases, operates income-producing real estate. Some real estate investment trusts finance real estate. An unincorporated business trust is an organization created and managed by trustees for the benefit and profit of persons who hold or may acquire transferable trust certificates. Trust certificates are similar to stock certificates of a corporation; trust certificates provide individual holders evidence of interest in the trust estate.
An unincorporated business trust is created when one or more persons transfer the legal title in property to trustees, with power vested in the latter to manage and control the property and business and to pay the profits of the enterprise to the creators of the trust or their successors. The U.S. Supreme Court has defined such a trust as a form of business organization, common in Massachusetts consisting essentially of an arrangement whereby property is conveyed to trustees in accordance with terms of the Trust. The business is to be held and managed for the benefit of persons who hold transferable certificates issued by the trustees showing the shares into which the beneficial interest in the property is divided.
The Wisconsin Agreement and Declaration of an Unincorporated Real Estate Business Trust is a legal document that establishes and governs the operations of an unincorporated business trust involved in real estate activities in the state of Wisconsin. This comprehensive agreement outlines the rights, responsibilities, and relationships of the trust's beneficiaries, trustees, and other parties involved. Keywords: Wisconsin, Agreement and Declaration, Unincorporated, Real Estate Business Trust Types of Wisconsin Agreement and Declaration of an Unincorporated Real Estate Business Trust: 1. Trust Agreement for Real Estate Investment: This type of agreement outlines the terms and conditions for individuals or entities pooling their resources to invest in real estate properties. It details how profits, losses, and decision-making authority are shared among the trust beneficiaries. 2. Rental Property Management Trust Agreement: This agreement is designed for property owners who want to establish a trust to manage their rental properties efficiently. It includes provisions related to rent collection, maintenance, tenant relations, and distribution of rental income among the beneficiaries. 3. Real Estate Development Trust Agreement: This type of agreement is tailored for parties involved in real estate development projects. It covers aspects like land acquisition, project financing, construction, marketing, and sale of developed properties. Additionally, it outlines the division of profits or losses among the trust beneficiaries. 4. Joint Venture Real Estate Trust Agreement: This agreement is suitable for individuals or entities looking to enter into a joint venture for real estate investment or development projects. It defines the roles, responsibilities, and decision-making authority of the parties involved and ensures a clear understanding of profit-sharing and risk allocation. 5. Real Estate Holding Trust Agreement: This agreement is suitable for individuals or entities intending to hold real estate properties for long-term investment purposes. It covers provisions related to property management, property taxes, insurance, and accounting, as well as the distribution of proceeds from property sales or rental income among the trust beneficiaries. In conclusion, the Wisconsin Agreement and Declaration of an Unincorporated Real Estate Business Trust is a versatile legal tool that caters to various real estate business arrangements in Wisconsin. Whether it concerns investment, property management, development, joint ventures, or long-term holdings, this agreement ensures a clear understanding of rights and obligations within the trust structure.
