The Market Commentary blog on reit.com presents analysis of the macro- and micro-economic fundamentals impacting the REIT and commercial real estate industry. The Nareit economics team offers their commentary on the state of the market, the outlook for commercial real estate and breaking macroeconomic news. The opinions set forth here are solely those of its author(s), and do not necessarily reflect the views of the Nareit or its membership.
The Importance of Real Estate and Rent in Reopening the Economy
Putting the pieces of connected commerce together in the COVID-19 era.
Most REIT Sectors Edged Higher Last Week
Nine of the 14 REIT sectors posted a positive total return.
Updated REIT Industry April Rent Collections
Using the public data along with the privately collected Nareit data, this research note presents a fuller picture of the industry’s rent collection for April.
COVID-19 Shutdowns Impacted CRE Markets Right Away
The business closures and social distancing designed to slow the spread of COVID-19 had a significant impact on demand for commercial real estate, vacancies and rent growth across the major property sectors.
Market Conditions Calm a bit for REIT Returns
Last week the index posted a total return of negative 4.5%, the second week of single-digit moves after much sharper gyrations both up and down in the early stages of the crisis.
Weakness in Durable Goods Orders Focused on Transportation
We are not expecting a “V” shaped recovery because some effects of the virus are likely to remain for quite some time. This news on durable goods orders, though, is consistent with underlying business fundamentals remaining intact for now despite the shutdown.
Nareit Member Survey Results on COVID-19 and April Rent Collections
Fifty-four listed equity REITs responded between April 8 and April 15, representing most property sectors and almost $418 billion in equity market capitalization or 44% of the FTSE Nareit All Equity REIT equity market capitalization.
REIT Share Prices Little Changed Last Week, Q1 Earnings Season Opens Soon
In more normal times a weekly move up or down of nearly 4% would be major news, but in a period of heightened volatility during the covid-19 crisis, this is the smallest move in quite a while.
Policy Moves Sparked Rebound in REITs, S&P 500 Last Week
The markets have gained ground in two of the past three weeks despite news of record levels of jobless claims as firms close to curb the spread of COVID-19.
REITs, Broader Equity Markets Gave Back Some Gains Last Week
REITs declined in the week ended April 3, with a total return of -7.67%, giving back almost half of the gains they posted the week before.
Lessons from the Global Financial Crisis for the Coronavirus Crisis: Public and Private Real Estate
REITs and Real Estate Related Economic Data to Watch for During the Coronavirus Crisis
Several important data releases are scheduled in the coming weeks. Here’s what to watch.