Steven Marks, Managing Director of Fitch Ratings, discusses industrial property REITs with The Commercial Real Estate Show host Michael Bull, He reviews performance and provides some forecasts and tips in this short video. Some highlights include:
- Total return of 2016 was around 35% compared to broader REITs in the low 20s and the S&P 500 in the mid 20s
- Think industrial will be one of best performers in 2017 driven by
- slow and steady economic growth
- strong demand for internet retail sales
- supply remains relatively in check
- Market appears to be in equilibrium, with new inventory being absorbed
- Online sales are growing at a fast clip, driving incremental demand