Lowering the requirement to 90% could add between 7-11 million for expansion( my guesstimate) I have emailed PZN for confirmation of possible gain. The requirement will be that they must distribute to shareholders 90% of TAXABLE INCOME to qualify as a REIT.
EXCERPT.... LIQUIDITY AND CAPITAL RESOURCES.
The Company's growth strategy includes acquiring, developing and expanding correctional and detention facilities as well as other properties. The Company expects that it generally will not be able to fund its growth with cash from its operating activities because the Company will be required to distribute to its stockholders at least>>> 95% of its taxable income each year to qualify as a REIT. Consequently, the Company will be required to rely primarily upon the availability of debt or equity capital to fund the construction and acquisitions of and improvements to correctional and detention facilities.