Co-produced with R. Paul Drake
The general investing public has limited familiarity with REITs. They are often considered an “alternative” investment and viewed with suspicion.
Here we focus on Real Estate Investment Trusts that invest in real property. These are known as Equity REITs, eREITs, or most often just REITs. (Mortgage REITs, or mREITs, are quite different businesses and carry more risk.)
On top of that, the claims of REIT advocates (like us) that REITs almost never go bankrupt seems crazy. This is even more true once one sees the plot in Figure 1.
Figure