REIT Replay: REIT indexes fall in 1st week of December

Indexes for US real estate investment trusts dropped during the first week of December.

Both the Dow Jones Equity All REIT index and MSCI US REIT (RMZ) fell 1.67% during the recent week, compared with a small 0.31% increase for the S&P 500 and a 0.50% gain for the Dow Jones Industrial Average.

All Dow Jones US real estate property sector indexes logged declines for the recent week. The office REIT index recorded the largest decrease of the group, down 6.76%. The hotel and apartment REIT indexes followed, with declines of 3.46% and 2.50%, respectively.

The four worst-performing REIT stocks with at least $200 million in market capitalization all came from the office sector. Life sciences-oriented Alexandria Real Estate Equities Inc. recorded the largest share-price decline for the week, down 15.26%. Net Lease Office Properties and SL Green Realty Corp. ranked next with share-price drops of 14.75% and 9.63%, respectively, followed by Brandywine Realty Trust down 9.62%.

On the other hand, regional mall REIT CBL & Associates Properties Inc. logged a 6.94% share-price increase the past week, ranking as the best-performing REIT stock above $200 million in market cap. Industrial REIT Industrial Logistics Properties Trust and residential REIT Millrose Properties Inc. ranked second and third with share-price increases of 4.87% and 4.10%, respectively.