July REITview
Welcome to our monthly REITView newsletter – where we analyze the latest national trends in real estate investment trusts (REITs) and their implications for investors and the Nevada real estate market. REITs own and often operate a pool of income-producing real estate assets. Investors can purchase a liquid stake in these portfolios – think of them as mutual funds for real estate. While REITs are not the biggest players in Nevada’s commercial real estate landscape, secondary markets like Las Vegas with above-average population and job growth are likely to attract REITs looking for value and growth opportunities. The sectors listed below, which were selected based on relevancy to Nevada, represent more than 75 percent of the 170 Financial Times Stock Exchange (FTSE) REITs currently being traded. It is useful to look at shorter-term and longer-term returns to determine trends. Overall, equity REITs gained three-quarters of a percentage point in June (versus May). After a disappointing May, the Industrial sector rebounded by 10 percentage points with a monthly return of 7.46 percent, followed by the Lodging/Resorts sector with an 8.69 percentage point rebound. The Industrial sector's June performance [...]