The real estate market is showing signs of stabilization with solid fundamentals and convincing long-term drivers especially in areas related to data centers, senior housing and student housing
Global real estate investment trusts (REITs) have taken investors on a rollercoaster ride over the past two years. The aggressive ones increasing interest rates by central banks has depressed asset values and put pressure on demand, resulting in an unfavorable environment for the sector.
SIGNALS OF STABILIZATION
“Monetary policy tightening cycles are likely over in major markets as investors are now closely monitoring potential rate cuts. In parallel, the real estate market is showing signs of stabilization. While the timing and extent of future reductions remain uncertain, we expect the overall path of monetary policy over the next 12-18 months to remain constructive for REIT sentiment.” Rick RomanoCFA, Head of Global Real Estate Securities PGIM Real Estate…
** This article was written by FinanceLounge