Players like EastGroup Properties EGP, Stag Industrial STAG and Park Hotels & Resorts PK are likely to prosper. Given this backdrop, investors should consider betting on defensive asset categories within the industry that portray resiliency and have solid fundamentals that will drive growth.
An expected slowdown in leasing demand is anticipated to dampen the prospects of the industry, while supply-chain constraints and high material costs may raise development costs. Even though Fed’s latest decision to keep interest rates steady brings cheer to REIT investors, broad-based economic uncertainty remains a key concern for the REIT and Equity Trust - Other industry.
