Can REITs Sustain Double-Digit Returns?

Block, Ralph
September 2011
Journal of Financial Planning;Sep2011, Vol. 24 Issue 9, p38
Academic Journal
The article offers information on the risks and strengths of real estate investment trust (REIT) in sustaining double digit annual total returns. It explains that REITs are dividend stocks that must pay at least 90% of the pre-tax net income to shareholders which are expected to come from the current income of commercial real estate. It adds that the total returns of REITs can be attributable to the high current dividend yields over the last decade which would make the shares more valuable over time.


Related Articles

  • Climbing returns at risk from falling yields. Brett, Michael // Estates Gazette;1/22/2005, Issue 503, p44 

    Presents an outlook on the stock performance of the commercial property market in Great Britain in 2005. Significance of the introduction of real estate investment trusts; Factors affecting the real estate market; Assessment on the market's yield patterns.

  • Supplement.  // EuroProperty;3/3/2008, p53 

    The article discusses the financial performance of real estate investment trusts (REIT) in the global market. The global REIT market was observed to have grown in 2007 against all key indices, including market capitalization, trading volume, and total rates of return. Asian markets are stated to...

  • Puma returns 118% cash.  // Estates Gazette;10/29/2005, Issue 543, p57 

    This article reports that Puma Property Fund has announced a capital return to investors equal to 118% of their original investment. The £ 50 million disposal will reduce the size of the commercial property portfolio to around £ 100 million, leaving shareholders with an investment equal to...

  • Life Between the B's.  // Morningstar DividendInvestor;Mar2012, Vol. 8 Issue 2, p1 

    The article presents the author's views on the value of high payout dividend-paying stocks. According to the author, these stocks can provide fair values if there is no bargaining and if they are not in a bubble. He further focuses on a group of high yielding stocks issued by the Real estate...

  • Falling Star? Korn, Donald Jay // Financial Planning;Jan2007, Vol. 37 Issue 1, p87 

    The article offers an outlook for real estate securities in 2007. It reports the financial performance of the industry, as well as the commercial real estate market in the U.S. Real estate mutual funds experienced continued growth for seven years as real estate investment trusts (REITS) and real...

  • Despite Plush 1st Quarter, REITS Cautious on CRE. Comtols, James // Mortgage Servicing News;Jun2008, Vol. 12 Issue 5, p21 

    The article reports on the first quarter performance of several commercial real estate firms in the U.S. Of the companies that updated in 2008, two lowered prior 2008 guidance,whereas 12 companies kept the guidance unchanged. Of the five industrial real estate investment trusts (REITs) that...

  • Abroad range of Reits. Watt, Gregor // Money Marketing;3/1/2007, p65 

    The article looks into the international aspects of real estate investment trusts (reits) in Great Britain. Despite the muted performance in the local market, overseas market through reits offer a double-digit returns for investors since widest choice for overseas property investment was...

  • REALTY SHARES CONTINUE TO SLIDE.  // National Mortgage News;11/12/2007, Vol. 32 Issue 8, p10 

    The article reports on the declination in commercial real estate sector in the U.S. with the decrease on the total return basis of the real estate investment trusts (REITs) to 5.92% in October 2007. The National Association of Real Estate Investment Trusts has reported that the equity REITs...

  • The Risk-Return Attributes of International Real Estate Equities. Asabere, Paul K.; Kleiman, Robert T.; Mcgowan, Carl B.; Jr. // Journal of Real Estate Research;Summer91, Vol. 6 Issue 2, p143 

    Abstract. This paper examines the risk and return attributes of international real estate equities over the 1980-1988 time period. The empirical results indicate that international real estate equities offer higher returns as well as greater total and systematic risk than U.S.-based REITs. The...


Read the Article


Sorry, but this item is not currently available from your library.

Try another library?
Sign out of this library

Other Topics