Industrial-focused real estate investment trusts have outperformed the broader REIT index for a fourth consecutive quarter, as e-commerce fulfilment and supply-chain reshoring keep demand for warehouse space elevated.
Occupancy across major logistics precincts remains near record highs, with rental growth continuing to outpace office and retail assets by a wide margin.
“Industrial is still the standout asset class institutional investors want more exposure to, and there simply isn't enough stock to go around,” one REIT analyst said.
Several trusts have flagged further acquisitions funded by capital recycled out of underperforming office holdings.