REITs Under Pressure in October

In the latest edition of Quick Study, Brad Case, NAREIT’s senior vice president for research and industry information, said that despite market weakness in October, economic fundamentals continue to support the sector.

The total returns of the FTSE/NAREIT All REIT Index dropped 4.9 percent in October, while the S&P 500 index lost 1.8 percent.

“It was a very poor month in October,” Case observed. “The last three months have been weak for investors in all segments of the equity markets,” he added.

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Year-to-Date, FTSE/NAREIT All REIT Index Up 7.1%

REIT share prices came under pressure in October with concerns of rising interest rates bearing down on the market, according to analysts. However, REIT returns continued to lead the S&P 500 through the first 10 months of the year.

The total returns of the FTSE/NAREIT All REIT Index dropped 4.9 percent in October, while the S&P 500 index lost 1.8 percent.

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REITs Continue to Beat S&P 500

REIT share prices came under pressure in October with concerns of rising interest rates bearing down on the market, according to analysts. However, REIT returns continued to lead the S&P 500 through the first 10 months of the year.

The total returns of the FTSE/NAREIT All REIT Index dropped 4.9 percent in October, while the S&P 500 index lost 1.8 percent.

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Vornado Spinning Off Assets in Washington, D.C.

Vornado Realty Trust (NYSE: VNO) said Oct. 31 it plans on merging its Washington, D.C.-area properties with select assets of The JBG Companies, a real estate firm based in Chevy Chase, Maryland.

The new, combined company will become a publicly traded REIT known as JBG SMITH Properties. The transaction is valued at approximately $ 8.4 billion, and is expected to be completed in the second quarter of 2017.

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Austin Ranked as Top Market for Real Estate Opportunities in 2017

Austin, Texas, now offers the most attractive real estate investment and development opportunities of any major U.S. market, according to a survey of industry authorities.

Another Texas market, Dallas/Fort Worth, took second place in the Emerging Trends in Real Estate 2017 survey from PwC and the Urban Land Institute (ULI) released Oct. 26. Portland, Oregon ranked third in the survey of more than 1,800 real estate experts.

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