Freestanding retail REITs are likely to remain market outperformers as long as the broader macroeconomic outlook remains uncertain, according to analysts.
As of Feb. 19, returns for freestanding retail REITs were 14.5 percent higher year-to-date. That compares with a 5.9 percent decline in returns for the FTSE/NAREIT All REIT Index.
R.J. Milligan, a senior analyst at Robert W. Baird & Co., describes the segment as “one of the top performers over the past 10 years.”