NYMTZ - Winners Of REIT Earnings Season
2024-05-16 10:00:00 ET
Summary
- Over 200 U.S. REITs and homebuilders have reported first-quarter earnings results over the past six weeks, providing critical information on the state of the commercial and residential real estate industry.
- A microcosm of the past two years in REIT world, interest rate movements dictated the narrative and stock performance, overshadowing what was ultimately a relatively solid earnings season.
- Of the 99 REITs that provide guidance, 41% raised their full-year FFO outlook, 48% maintained, while 10% of REITs lowered their guidance - a "raise rate" slightly above historical averages.
- Winners included Apartment REITs, which reported a surprising firming in rents and occupancy despite ample multifamily supply, and Healthcare REITs, which reported improving operator health with one notable exception.
- Notable losers this earnings season included Industrial REITs - which indicated softness across much of the "goods economy" and Hotel REITs - which reported a moderation in leisure travel. On the debt-side, results from mortgage REITs were hit-and-miss, with distress still limited to office assets.
Real Estate Earnings Recap
With real estate earnings season now complete, we compiled the critical metrics across each real estate property sector, which we've split into a two-part report: Winners of REIT Earnings Season & Losers of Earnings Season. ...
Winners Of REIT Earnings Season