Did you know that one of the biggest sectors in the REIT market today is cell phone towers? Or that REITs tend to generate positive returns in rising interest rate environments? This week on the Insight Bridge, Jon Cheigh, CIO and Head of Global Real Estate for Cohen & Steers sits down with FEG’s Greg Dowling to discuss all things REITs. From malls to cell towers and self-storage, REIT allocations have been shifting over time and have grown to positions of prominence in many portfolios, with over $1.6 trillion invested in U.S. REITs alone. In this episode, Jon shares his insights on the role of the indices as a forecaster for the future, his strategies for REIT valuation, and his thoughts on near- and longer-term trends in the space.
Chapters
0:30 Episode Introduction
1:15 Welcome
1:45 What exactly is a REIT?
3:02 The size and scope of the REIT universe
4:06 Factors behind the recent success of REITs
5:40 Rate sensitivity of REITs
7:01 The impact of COVID-19 on real estate
9:54 Best retail investment plays
12:18 Jon’s take on office space
16:53 Breaking down the rich pricing of hotels
19:32 REIT areas of interest and potential areas of growth
22:48 Best ways to value real estate
24:21 Comparing public and private valuations
27:37 How politics and policies impact real estate
29:39 The ex-U.S. REIT universe
33:20 The size of the average real estate portfolio and the role of REITs