REITs post impressive returns in 2012
Despite economic uncertainties characterized by a fiscal cliff and shaky global economy, REITs recorded a strong return of 19.7 percent in 2012, making it the fourth consecutive year that equity REITs have outperformed other asset classes, according to the FTSE NAREIT Equity REIT Index.
“I think it was a handsome performance, and exceeded most expectations for the year,” says Michael Torres, principal and CEO of Adelante Capital Management, of the REIT index's 2012 performance. “I think that really what drives a lot of that performance has been the recovery of or access to capital for some of the companies.”
James Kammert, principal and portfolio manager at Harrison Street Securities, says investors were attracted to the sound fundamentals of REITs during an economically tumultuous y