In order to be classified as a REIT, a company must invest at least 75% of its assets in real estate; make at least 75% of gross income from collecting rents from real property it owns, from earning interest on mortgages financing real property, or from selling real estate; must distribute at least 90% of its taxable income in the form of shareholder dividends each year; must be legally organized as a corporation; must have a board of directors or trustees; and must have a minimum of 100 shareholders, with no more than 50 percent of its shares held by five or fewer individuals.