income builder 2021 24420.png
apartment REITs
homebuilders ETFs
single family rental REITs
manufactured housing REITs
student housing REITs
data center REITs
Cell tower REITs
net lease REITs
industrial REITs
storage REITs
office REITs
mall REITs
hotel REITs
Timber REITs
healthcare REITs
Billboard REITs
shopping center REIT
Casino REITs
cannabis REITs
farmland REIT investing
mortgage REITs

Explore our Real Estate Indexes

The Easy Way To Invest in Real Estate

RIET Hoya Capital High Dividend Yield ETF.png
HOMZ_Logo_Just Ticker.png
ETF express.png
  • Alex Pettee, CFA

Industrial REITs: Not Immune From Contagion

  • Industrial REITs have delivered relentless outperformance over the past half-decade, powered by the "need for speed" in consumer goods delivery, surging another 48% in 2019.

  • Riding the e-commerce wave, demand for well-located logistics assets has far outpaced supply during the past decade. Rents have roughly doubled since 2015, rising another 8% in 2019.

  • Industrial REITs didn't skip a beat from the trade war, but CV-19 poses a different kind of threat. These REITs have become increasingly more levered to U.S. consumer spending.

  • As one of the more economically-sensitive sectors, industrial REITs will see a relatively more muted benefit from lower interest rates compared with other more defensive real estate sectors.

  • The sector's stellar fundamentals will be put to the test in early 2020. The long-term secular tailwinds, driven by domestic e-commerce demand, should resume following a potential near-term slowdown in leasing activity.

To continue reading, click here to visit Seeking Alpha!