Building Developers IPOs - why not REITs?

Dardania

Has anyone else noticed the trend lately that builders seem to be turning to the equity market for capital, as the banks aren't lending?:

see Glenveagh today: http://www.independent.ie/business/irish/glenveagh-properties-confirms-ipo-completion-with-550m-raised-36212866.html
and a few weeks ago on the ISE: http://www.independent.ie/business/irish/cairn-homes-debuts-on-irish-stock-exchange-in-effort-to-widen-investor-base-35969963.html

As businesses, I am wary of investing in these, as they seem to be a very cyclical type investment (imagine investing in Treasury Holdings for example 10 years ago...) - and I would imagine executive pay is exorbitant.
So I'm just wondering, why don't they setup REITs for their large scale projects? Would provide a means of getting capital, and there could be an ongoing revenue stream for investors if the developments are build for let...
Crazy idea?

scheister

I would think that the limits on REITS may be the reason. The fact you have to 85% of rental profit as dividends would restrict how much you can grow as you cant save money over few years and save the finance that way.

Also do REIT need i think 75% of income to be from Rental properties.

Think Cairn and Glenveagh are more in development and selling then renting the properties