REITs Jump Into SPAC Mania
U.S. equity markets climbed to fresh record highs this week amid a pullback in interest rates and inflation expectations as the global growth outlook has been tempered by ongoing COVID issues abroad.
Climbing to fresh record highs, the S&P 500 gained another 2.7% on the week while the tech-heavy Nasdaq 100 surged nearly 4%. Mid-Caps and small-caps, however, lagged for the fourth straight week.
Real estate equities were mixed amid a busy week of news flow - and one dividend cut - as the Equity REIT Index gained 0.2%. Homebuilders rallied as mortgage rates retreated.
Joining a wave of other real estate SPACs this year, including Simon Property and Alexandria, billboard REIT Lamar Advertising announced the formation of a $300 million special purpose acquisition vehicle.
Prison REIT GEO Group plunged 25% this week after its board immediately suspended the company's quarterly dividend payments and stated that it will "undertake an evaluation of GEO's structure as a REIT."
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