LAS VEGAS—In our continued coverage on the NAREIT Convention, REIT World 2015, from analysts' perspectives, Canaccord Genuity Inc. reviews the overall sentiment received from its multifamily and retail meetings in the commentary below.
The views expressed are the author's own.
Our retail REIT meetings at this week's NAREIT Convention in Las Vegas were set amid negative headlines from retailers such as Macy's, Nordstrom, and most recently Gap, yet the calm tone emanating from REIT management teams reflects the hard fact that quarterly same-store sales has minimal impact on REIT bottom lines.
Real estate is a longer-horizon business and long-term leases buffer short-term swings in both directions, and with nearly all REITs having executed asset upgrade programs for at least six to seven years, the new found portfolio strength is providing comfort that store closings are increasingly someone else's problem.
Overall, sentiment in the space is mixed and sector-specific, as rate uncertainty continues to fuel concerns over cap rate and operating trends. That being said, most management teams continue to highlight the underlying strength in fundamentals across all property types, which we expect to persist amid a slowly improving economic environment, though it seems clear macro expectations of investors are very mixed.
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Natalie Dolce
Natalie Dolce, editor-in-chief of GlobeSt.com and GlobeSt. Real Estate Forum, is responsible for working with editorial staff, freelancers and senior management to help plan the overarching vision that encompasses GlobeSt.com, including short-term and long-term goals for the website, how content integrates through the company’s other product lines and the overall quality of content. Previously she served as national executive editor and editor of the West Coast region for GlobeSt.com and Real Estate Forum, and was responsible for coverage of news and information pertaining to that vital real estate region. Prior to moving out to the Southern California office, she was Northeast bureau chief, covering New York City for GlobeSt.com. Her background includes a stint at InStyle Magazine, and as managing editor with New York Press, an alternative weekly New York City paper. In her career, she has also covered a variety of beats for M magazine, Arthur Frommer's Budget Travel, FashionLedge.com, and Co-Ed magazine. Dolce has also freelanced for a number of publications, including MSNBC.com and Museums New York magazine.
