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NAV Monitor: U.S. equity REITs close 2019 at median 2.8% discount to NAV

Editor's note: This Data Dispatch is updated monthly and was last published Dec. 2, 2019. The analysis includes current publicly traded U.S. equity real estate investment trusts that trade on the Nasdaq, NYSE or NYSE American with market capitalizations of at least $200 million. Click here to download these charts in Excel format.

Publicly traded U.S. equity REITs closed 2019 at a median 2.8% discount to their consensus S&P Global Market Intelligence net asset value per-share estimates.

The healthcare sector traded at the largest median premium to NAV, at 17.1%. Within the sector, Community Healthcare Trust Inc. and Omega Healthcare Investors Inc. closed the year at premiums of 77.6% and 57.9%, respectively, the largest premiums of all publicly traded equity REITs above $200 million market capitalization.

The "other retail" sector, which includes outlet center and single-tenant retail REITs, followed closely at a median of 17.0%, while the casino and self-storage sectors followed at 13.0% and 8.3%, respectively.

Regional mall REITs ended the year at a median 40.0% discount to NAV, the largest discount of any property sector by a significant margin. Taubman Centers Inc. traded at the steepest discount of the group, at 54.9%. Macerich Co. and Pennsylvania Real Estate Investment Trust followed at discounts of 44.3% and 40.0%, respectively, while Washington Prime Group Inc. and Simon Property Group Inc. closed the year at discounts of 25.4% and 17.9%, respectively. While CBL Properties' market capitalization fell below the $200 million threshold and was excluded from the analysis, the REIT's share price closed the year at $1.05, a 62.5% discount compared to its consensus NAV estimate of $2.80.

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