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Industry data and research highlights the investment performance benefits and opportunities of REIT-based real estate investments to institutional and individual investors, financial advisers, policymakers and the media. Nareit provides a range of stock performance data for both domestic and global REITs as well as a series of industry performance measures tracked daily, monthly and yearly. 

It may be surprising to many investors to learn that the same data they may use to value exchange-traded Equity REITs can also be used as a tactical signal for shifting capital between REITs and non-REIT stocks.

… sheets.   150 Million Americans Own REIT Stocks This research note estimates the number of American households and … Performance In this mid-year review and outlook, Nareit’s research team reviews the macroeconomic environment, REIT …   Estimating the Size of the Commercial Real Estate Market in the U.S. Nareit has updated our estimate of the …

With everyday life upended by the coronavirus for the foreseeable future, the commercial real estate industry is shifting on a daily basis.

With strong operational performance and balance sheets, REITs are well-positioned to navigate economic and market uncertainty in 2023.

I think it’s very difficult to make any thoughtful (let alone empirically based) case for predicting that the current real estate market cycle is nearing its end.  The evidence simply isn’t there.

… to trends in transactions and prices.  Recently-released data from the FDIC on bank lending reveal increased lending … rate, ahead of the pace during 2005-6 but well below the market peak in 2007 (Chart 2): Commercial property prices  … or longer-lasting. Calvin Schnure, vice president of research and industry information with NAREIT, discusses the …

For the second quarter of 2021, REITs made up an estimated 9.4% of the total CRE market.

A close examination of REIT financial exposures suggests that increases in interest rates may have little impact on their operating performance.

The current bull market for exchange-listed equity REITs has rewarded investors with returns averaging more than 21% per year over the past 8½ years—but by the standards of previous real estate market cycles this one has not even hit its stride yet.

The commercial real estate (CRE) mortgage market has changed dramatically since the end of 2021. For many real estate investors, gone are the days of low-cost, readily available property financing.

REIT diversification benefits come not merely from their low correlations to other assets but also from their historically strong risk-adjusted returns. 

 An increase in interest rates might be cause for concern if it were predicted to come with no accompanying increase in net operating income—but it’s those changes in net operating income, not the interest rates themselves, that should attract the closest attention of investors in any equity asset such as real estate.

REIT returns generally have low correlations with returns from the broad stock market.  Some REIT property sectors—including Health Care, Self Storage, Residential, Infrastructure, and Data Centers—seem to be especially defensive with average correlations of 65 percent or less even during periods encompassing market crises.

The underlying economic fundamentals for commercial real estate are gaining more momentum with a higher level of vaccine coverage, which is likely to boost REIT earnings growth over the remainder of this year.

Nareit is tracking quarterly investment holdings for the 28 largest actively managed real estate investment funds focusing on REIT investment.