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Not All Real Estate Is Created Equal

  • Concerns about commercial real estate overlook dramatic dispersion across subsectors.
  • US public data center REITs are up 19.4% year-to-date, given accelerated fundamentals, with apartments and logistics also up strongly.1
  • Conversely, US office is seeing all-time high national availability of 26%,2 reflected in office REITs down 16.2% year-to-date.
US Public REIT performance year-to-date
  1. FTSE NAREIT, as of June 30, 2023. Reflects total return of publicly traded REITs by NAREIT subsector from December 30, 2022, to June 30, 2023.
  2. CoStar, as of March 31, 2023. Based on Class A buildings greater than 100,000 sf, excluding owner-occupied buildings.
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