Prior to the credit crisis beginning in 2007, equity REITs had difficulty competing with private buyers in purchasing investment grade properties because

a) Of the easy availability of debt capital for private buyers

b) Of the market constraint put on public REITs to maintain low leverage levels

c) The prices at which these properties traded would likely be initially dilutive to the REIT and could impact the REITs ability to maintain dividend levels

d) All of the above

A particular type of mortgage REIT has attracted the attention of investors (and the SEC) because of their extraordinary dividend yields (some well into the teens) and their business model. The fundamental business model of these mREITs has been to

a) Borrow short term and invest in long-term assets

b) Use debt leverage well above the leverage ratio utilized by equity REITs

c) Both (a) and (b)

d) None of the above.