Active managers have increasingly allocated to telecommunications, healthcare and office REITs in first quarter 2025, according to Nareit’s quarterly active managers tracker, though office investment remains below the sector’s index weighting. This analysis is based on data from 23 actively managed real estate investment funds that invest mainly in REITs.
Telecommunications, the most overweight sector, received active investment at 132 percent of its index share, followed by timberland REITs at 120 percent, residential at 117 percent and data centers at 116 percent, according to the report. Healthcare saw the largest increase, year-over-year, in percentage of its index share, for the second consecutive quarter.
The office sector saw significant increases in investor interest, as the sector was at 72 percent of its index share, compared to 48 percent, year-over-year. Self-storage also saw improvements after several quarters of underweighting, as well as increased qu
