The National Council of Real Estate Investment Fiduciaries (NCREIF) has released its second quarter 2024 results for the NCREIF Property Index (NPI).
The expanded NPI includes 12,789 properties, totaling just under $900 billion in market value. The aggregate market value of the properties in this expanded NPI declined for the eighth straight quarter and returns were negative for the seventh straight quarter.
The market value index has declined by about 16.5 percent since the peak in second quarter 2022. This is still significantly less of a drop than occurred during the financial crisis in 2008 and 2009, when values declined by almost 30 percent. The total return for the quarter declined 0.22 percent. Although still negative, the return has been improving for the past two quarters after dropping to -2.95 percent in fourth quarter 2023.
The negative 0.22 percent total quarterly return consisted of 1.18 percent from income and -1.40 percent from negative property
