In short: A distribution is like a dividend, but in real estate, it’s called a distribution.

So then why aren’t they called the same thing?

Well, in most cases they behave the same way but there can be some differences.

Distributions are payments from the equity of the company, while dividends are payments from the profit of the company. Dividends may or may not involve cash. In contrast, distributions always come in the form of cash payouts.

Read more on our blog: What is a Distribution?

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