REIT returns by property sector
How office, industrial, retail, housing, data centers and the other kinds of real estate trusts have performed since 1993, and how their prices compare with the cash their properties produce.
Sector returns over time
Total returns with dividends reinvested, month by month. Choose any of the indexes, or all of them, to layer on the chart; each keeps its colour while it is on. Point at the chart to read every line at that month, listed from highest to lowest.
| Year | All Equity REITs | Industrial | Office | Retail | Residential | Health Care | Self Storage | Lodging/Resorts | Data Centers | Telecommunications | VNQ (Vanguard Real Estate ETF) |
|---|---|---|---|---|---|---|---|---|---|---|---|
| 2026 | 14.5% | 11.2% | 11.9% | 14.9% | 3.7% | 23.1% | 17.4% | 36.6% | 33.0% | −2.2% | 11.1% |
| 2025 | 2.3% | 17.0% | −14.0% | 5.1% | −7.4% | 28.5% | −10.0% | −5.1% | −14.2% | −0.5% | 3.2% |
| 2024 | 4.9% | −17.8% | 21.5% | 14.0% | 12.8% | 24.2% | −0.5% | −2.0% | 25.2% | −14.2% | 4.8% |
| 2023 | 11.4% | 19.2% | 2.0% | 10.6% | 7.7% | 13.9% | 18.5% | 23.9% | 30.1% | −1.5% | 11.9% |
| 2022 | −24.9% | −28.6% | −37.6% | −13.3% | −31.3% | −22.2% | −26.7% | −15.3% | −28.0% | −28.6% | −26.3% |
| 2021 | 41.3% | 62.0% | 22.0% | 51.9% | 58.3% | 16.3% | 79.4% | 18.2% | 25.5% | 34.4% | 40.5% |
| 2020 | −5.1% | 12.2% | −18.4% | −25.2% | −10.7% | −9.9% | 12.9% | −23.6% | 21.0% | 7.3% | −4.6% |
| 2019 | 28.7% | 48.7% | 31.4% | 10.6% | 30.9% | 21.2% | 13.7% | 15.6% | 44.2% | 42.0% | 28.9% |
| 2018 | −4.0% | −2.5% | −14.5% | −5.0% | 3.1% | 7.6% | 2.9% | −12.8% | −14.1% | 7.0% | −6.0% |
| 2017 | 8.7% | 20.6% | 5.2% | −4.8% | 6.6% | 0.9% | 3.7% | 7.2% | 28.4% | 35.4% | 4.9% |
| 2016 | 8.6% | 30.7% | 13.2% | 0.9% | 4.5% | 6.4% | −8.1% | 24.3% | 26.4% | 10.0% | 8.6% |
| 2015 | 2.8% | 2.6% | 0.3% | 4.6% | 17.1% | −7.2% | 40.6% | −24.4% | — | 3.7% | 2.4% |
| 2014 | 28.0% | 21.0% | 25.9% | 27.6% | 40.0% | 33.3% | 31.4% | 32.5% | — | 20.2% | 30.4% |
| 2013 | 2.9% | 7.4% | 5.6% | 1.9% | −5.4% | −7.1% | 9.5% | 27.2% | — | 4.8% | 2.3% |
| 2012 | 19.7% | 31.3% | 14.2% | 26.7% | 6.9% | 20.4% | 19.9% | 12.5% | — | 29.9% | 17.6% |
| 2011 | 8.3% | −5.2% | −0.8% | 12.2% | 15.4% | 13.6% | 35.2% | −14.3% | — | — | 8.6% |
| 2010 | 27.9% | 18.9% | 18.4% | 33.4% | 46.0% | 19.2% | 29.3% | 42.8% | — | — | 28.4% |
| 2009 | 28.0% | 12.2% | 35.5% | 27.2% | 30.8% | 24.6% | 8.4% | 67.2% | — | — | 30.1% |
| 2008 | −37.7% | −67.5% | −41.1% | −48.4% | −24.9% | −12.0% | 5.0% | −59.7% | — | — | −37.0% |
| 2007 | −15.7% | 0.4% | −19.0% | −15.8% | −25.2% | 2.1% | −24.8% | −22.4% | — | — | −16.5% |
| 2006 | 35.1% | 28.9% | 45.2% | 29.0% | 38.9% | 44.5% | 40.9% | 28.2% | — | — | 35.3% |
| 2005 | 12.2% | 15.4% | 13.1% | 11.8% | 13.7% | 1.8% | 26.5% | 9.8% | — | — | 11.9% |
| 2004 | 31.6% | 34.1% | 23.3% | 40.2% | 32.7% | 21.0% | 29.7% | 32.7% | — | — | — |
| 2003 | 37.1% | 33.1% | 34.0% | 46.8% | 25.9% | 53.6% | 38.1% | 31.7% | — | — | — |
| 2002 | 3.8% | 17.3% | −6.3% | 21.1% | −6.0% | 4.8% | 0.6% | −1.5% | — | — | — |
| 2001 | 13.9% | 7.4% | 6.6% | 30.4% | 9.0% | 51.9% | 43.2% | −8.6% | — | — | — |
| 2000 | 26.4% | 28.6% | 35.5% | 18.0% | 34.3% | 25.8% | 14.7% | 45.8% | — | — | — |
| 1999 | −4.6% | 3.9% | 4.3% | −11.8% | 9.5% | −24.8% | −8.0% | −16.1% | — | — | — |
| 1998 | −17.5% | −11.7% | −17.3% | −4.7% | −8.1% | −17.4% | −7.2% | −52.8% | — | — | — |
| 1997 | 20.3% | 19.0% | 29.0% | 16.9% | 16.3% | 15.8% | 3.4% | 30.1% | — | — | — |
| 1996 | 35.3% | 37.2% | 51.8% | 34.6% | 29.5% | 20.4% | 42.8% | 49.2% | — | — | — |
| 1995 | 15.3% | 16.2% | 38.8% | 5.1% | 12.0% | 24.9% | 34.4% | 30.8% | — | — | — |
| 1994 | 3.2% | 18.7% | 2.9% | 3.0% | 2.3% | 4.1% | 8.9% | −8.9% | — | — | — |
The total return since the start of the range, with dividends reinvested. VNQ, the Vanguard Real Estate ETF, holds REITs in proportion to their market value, so it shows what a single fund that owns the whole market returned after its fee; All Equity REITs is Nareit’s index of the same market.
11 of 23 indexes on the chart.
Returns by sector
Annualised total returns to Aug 2026. Volatility is the yearly standard deviation of monthly returns over the last ten years (or since the index began, if shorter). Worst fall is the deepest drop from a previous high, in the month it bottomed. Colours: returns are green above zero and red below, deeper the larger; volatility, worst fall and yield are ranked against the other rows, green for the better end (calmer, shallower, higher yield) and red for the worse.
| Index | 1Y | 3Y | 5Y | 10Y | 20Y | Since start | Volatility | Worst fall | Dividend yield |
|---|---|---|---|---|---|---|---|---|---|
| Specialty | 24.5% | 24.1% | 16.3% | 13.9% | — | 14.5% · 2015 | 22.3% | −39% · Mar 2020 | 5.57% |
| Data Centers | 28.0% | 14.1% | 7.2% | 12.3% | — | 14.1% · 2015 | 21.1% | −35% · Sep 2022 | 2.36% |
| Industrial | 22.2% | 4.7% | 2.3% | 11.2% | 5.6% | 10.3% · 1993 | 22.2% | −85% · Feb 2009 | 3.42% |
| Self Storage | 6.6% | 7.4% | 1.6% | 8.5% | 11.2% | 14.0% · 1993 | 22.1% | −52% · Mar 2009 | 4.29% |
| Manufactured Homes | 3.6% | 3.1% | −5.0% | 7.7% | 11.2% | 10.5% · 1993 | 17.9% | −48% · Feb 2009 | 3.66% |
| Health Care | 30.3% | 27.7% | 11.8% | 7.7% | 9.6% | 11.3% · 1993 | 22.6% | −48% · Feb 2009 | 2.51% |
| Single Family Homes | −2.9% | −0.7% | −3.0% | 6.3% | — | 8.7% · 2015 | 19.1% | −34% · Mar 2026 | 4.06% |
| All Equity REITs | 12.5% | 10.4% | 2.3% | 5.8% | 6.3% | 9.4% · 1993 | 17.3% | −68% · Feb 2009 | 3.68% |
| Residential | −0.3% | 3.0% | −2.3% | 5.2% | 6.8% | 9.9% · 1993 | 17.6% | −67% · Feb 2009 | 4.00% |
| Telecommunications | −12.1% | −0.2% | −9.2% | 5.0% | — | 8.4% · 2011 | 22.2% | −46% · Sep 2023 | 4.23% |
| VNQ (Vanguard Real Estate ETF) | 8.6% | 9.7% | 1.5% | 4.9% | 5.9% | 7.3% · 2004 | 17.6% | −68% · Feb 2009 | — |
| Free Standing | 9.5% | 9.8% | 2.8% | 4.8% | 9.0% | 11.1% · 1993 | 21.2% | −41% · Mar 2020 | 5.09% |
| Apartments | −0.5% | 3.9% | −1.5% | 4.7% | 6.3% | 9.7% · 1993 | 19.0% | −68% · Feb 2009 | 4.07% |
| Home Financing | 15.5% | 13.6% | 2.9% | 3.9% | 2.4% | 7.2% · 1999 | 28.4% | −64% · Oct 2008 | 13.52% |
| Regional Malls | 24.4% | 29.9% | 15.2% | 3.6% | 5.5% | 10.3% · 1993 | 32.2% | −82% · Feb 2009 | 4.12% |
| Lodging/Resorts | 38.0% | 16.3% | 6.8% | 3.6% | 2.4% | 4.6% · 1993 | 31.3% | −84% · Feb 2009 | 3.91% |
| Retail | 14.9% | 16.0% | 7.5% | 2.7% | 4.7% | 9.1% · 1993 | 24.3% | −75% · Feb 2009 | 4.44% |
| Shopping Centers | 12.5% | 12.4% | 6.9% | 2.4% | 3.3% | 8.1% · 1993 | 27.0% | −73% · Mar 2009 | 4.00% |
| Timberland | −8.0% | −7.0% | −4.1% | 1.3% | — | 4.6% · 2010 | 27.4% | −46% · Mar 2020 | 3.99% |
| Commercial Financing | −19.6% | −5.7% | −8.3% | 1.2% | −5.7% | 1.2% · 1999 | 27.6% | −94% · Mar 2009 | 11.81% |
| Diversified | 10.8% | 7.6% | −0.8% | −0.2% | 2.1% | 6.1% · 1993 | 22.8% | −69% · Feb 2009 | 5.79% |
| Office | −0.6% | 8.8% | −4.8% | −1.6% | 1.3% | 7.4% · 1993 | 24.6% | −71% · Mar 2009 | 4.22% |
| Gaming | −15.7% | 0.4% | — | — | — | −0.2% · 2023 | 16.2% | −16% · Aug 2026 | 7.24% |
Best and worst sector each year
Among the 13 property sectors (subsectors and mortgage REITs excluded), counting those with a full year of returns. 2026 is the year to date.
| Year | Best | Worst | Gap | All Equity REITs |
|---|---|---|---|---|
| 2026 | Lodging/Resorts +36.6% | Gaming −4.8% | 41% | +14.5% |
| 2025 | Health Care +28.5% | Data Centers −14.2% | 43% | +2.3% |
| 2024 | Specialty +35.9% | Industrial −17.8% | 54% | +4.9% |
| 2023 | Data Centers +30.1% | Diversified −7.6% | 38% | +11.4% |
| 2022 | Specialty −0.8% | Office −37.6% | 37% | −24.9% |
| 2021 | Self Storage +79.4% | Health Care +16.3% | 63% | +41.3% |
| 2020 | Data Centers +21.0% | Retail −25.2% | 46% | −5.1% |
| 2019 | Industrial +48.7% | Retail +10.6% | 38% | +28.7% |
| 2018 | Health Care +7.6% | Timberland −32.0% | 40% | −4.0% |
| 2017 | Telecommunications +35.4% | Retail −4.8% | 40% | +8.7% |
| 2016 | Industrial +30.7% | Self Storage −8.1% | 39% | +8.6% |
| 2015 | Self Storage +40.6% | Lodging/Resorts −24.4% | 65% | +2.8% |
Valuation and cash flow · Q2 2026
From Nareit’s quarterly REIT Industry Tracker, which adds up the reported results of the companies in each index. Price / FFO is the share price over a year of funds from operations, the REIT industry’s measure of cash earnings; lower means cheaper. The implied cap rate is the yield the stock market is paying on the properties themselves: a year of net operating income over the market value of the real estate. “Median” and “Quarters cheaper” cover every quarter since 2000 (or since Nareit began reporting the sector); the latter is the share of those quarters in which the sector traded at a lower price / FFO than today: near 100% means expensive against its own history. Colours compare sectors: green is cheaper (lower price / FFO, higher cap rate and yield) or sounder (lower payout and debt, higher occupancy and NOI growth), red the reverse.
| Index | Market value | Price / FFO | Median | Quarters cheaper | Implied cap rate | Dividend yield |
|---|---|---|---|---|---|---|
| All Equity REITs | $1546B | 18.0× | 16.5× | 82% | 5.74% | 3.68% |
| Industrial | $193B | 19.7× | 17.9× | 66% | 5.04% | 3.42% |
| Office | $44.7B | 10.3× | 13.5× | 31% | 7.38% | 4.22% |
| Retail | $242B | 15.1× | 13.2× | 64% | 5.88% | 4.44% |
| Residential | $169B | 16.6× | 18.7× | 33% | 5.94% | 4.00% |
| Health Care | $297B | 27.1× | 16.3× | 98% | 4.42% | 2.51% |
| Self Storage | $97.8B | 17.7× | 17.6× | 52% | 5.32% | 4.29% |
| Lodging/Resorts | $42.0B | 11.2× | 11.2× | 49% | 9.85% | 3.91% |
| Diversified | $27.5B | 14.2× | 13.9× | 52% | 7.38% | 5.79% |
| Data Centers | $205B | 30.6× | 20.3× | 81% | 5.74% | 2.36% |
| Telecommunications | $135B | 15.3× | 23.1× | 0% | 6.24% | 4.23% |
| Specialty | $29.2B | 15.4× | 13.7× | 67% | 8.07% | 5.57% |
| Timberland | $23.0B | — | — | — | 7.49% | 3.99% |
| Gaming | $39.9B | 10.5× | 13.2× | 5% | 2.08% | 7.24% |
| Shopping Centers | $75.7B | — | — | — | 6.20% | 4.00% |
| Regional Malls | $77.3B | — | — | — | 5.40% | 4.12% |
| Free Standing | $89.0B | — | — | — | 6.00% | 5.09% |
| Apartments | $111B | — | — | — | 6.02% | 4.07% |
| Manufactured Homes | $28.7B | — | — | — | 5.40% | 3.66% |
| Single Family Homes | $29.4B | — | — | — | 6.11% | 4.06% |
Cash flow and balance sheet
| Index | FFO, last 4 quarters | Dividends paid | Payout of FFO | Same-store NOI growth | Occupancy | Debt / market assets | Debt / EBITDA |
|---|---|---|---|---|---|---|---|
| All Equity REITs | $85.0B | $62.9B | 67% | 4.1% | 93.8% | 34% | 5.6× |
| Industrial | $9.5B | $7.0B | 73% | 5.1% | 93.5% | 27% | 5.2× |
| Office | $4.4B | $2.7B | 53% | 2.9% | 88.0% | 57% | 9.0× |
| Retail | $17.0B | $12.1B | 67% | 3.9% | 97.3% | 40% | 4.9× |
| Residential | $10.6B | $7.6B | 70% | 1.8% | — | 28% | 4.6× |
| Health Care | $10.9B | $9.0B | 59% | 6.6% | 85.6% | 42% | 5.9× |
| Self Storage | $5.8B | $4.7B | 81% | −0.1% | 90.7% | 23% | 4.3× |
| Lodging/Resorts | $3.7B | $1.9B | 36% | — | 75.6% | 38% | 4.8× |
| Diversified | $1.9B | $1.7B | 82% | −0.2% | 96.3% | 47% | 7.4× |
| Data Centers | $6.8B | $4.7B | 60% | — | — | 23% | 6.2× |
| Telecommunications | $8.3B | $5.9B | 74% | — | — | 40% | 6.9× |
| Specialty | $2.1B | $1.7B | 72% | — | 99.1% | 38% | 6.8× |
| Timberland | — | $0.9B | — | — | — | 24% | 5.1× |
| Gaming | $4.0B | $2.9B | 89% | — | 100.0% | 38% | 4.9× |
| Shopping Centers | $5.5B | $3.9B | 51% | 4.0% | — | — | — |
| Regional Malls | $5.4B | $3.7B | 74% | 1.5% | — | — | — |
| Free Standing | $6.1B | $4.5B | 74% | — | — | — | — |
| Apartments | $7.2B | $5.3B | 70% | 0.8% | 95.8% | — | — |
| Manufactured Homes | $1.6B | $1.1B | 69% | 6.4% | — | — | — |
| Single Family Homes | $1.8B | $1.3B | 70% | 1.9% | — | — | — |
Dividends paid and FFO are totals over the last four quarters. Market value is the equity market capitalisation of the index’s companies in Aug 2026; dividend yield is for that month. Nareit reports price / FFO, debt / market assets and debt / EBITDA for whole sectors only, and occupancy for some; a dash means Nareit publishes no figure.
Valuation and fundamentals over time
Quarterly since 2000 for the sectors on the returns chart above that Nareit covers for this measure. Change the lines there.
| Quarter | All Equity REITs | Industrial | Office | Retail | Residential | Health Care | Self Storage | Lodging/Resorts | Data Centers | Telecommunications |
|---|---|---|---|---|---|---|---|---|---|---|
| Q4 2000 | 7.5× | 8.5× | 8.5× | 6.3× | 8.8× | 6.6× | 7.0× | 4.7× | — | — |
| Q4 2001 | 8.4× | 8.7× | 8.1× | 7.7× | 9.4× | 10.6× | 8.1× | 5.8× | — | — |
| Q4 2002 | 8.6× | 9.5× | 6.9× | 8.8× | 8.9× | 10.3× | 7.3× | 10.5× | — | — |
| Q4 2003 | 11.7× | 12.4× | 9.1× | 11.4× | 12.4× | 13.8× | 9.8× | 28.0× | — | — |
| Q4 2004 | 14.3× | 15.0× | 12.7× | 13.3× | 16.3× | 15.7× | 12.8× | 20.2× | — | — |
| Q4 2005 | 14.7× | 15.5× | 15.0× | 12.8× | 16.5× | 13.5× | 15.7× | 21.5× | 8.1× | — |
| Q4 2006 | 17.7× | 15.2× | 20.2× | 16.3× | 20.3× | 18.5× | 20.3× | 14.7× | 17.8× | — |
| Q4 2007 | 12.0× | 12.4× | 12.6× | 11.6× | 12.9× | 14.9× | 11.0× | 8.2× | 17.3× | — |
| Q4 2008 | 9.2× | 11.5× | 8.4× | 7.6× | 11.8× | 12.7× | 11.4× | 4.1× | 7.9× | — |
| Q4 2009 | 15.6× | 17.9× | 14.5× | 13.2× | 15.1× | 17.6× | 12.1× | 25.9× | 13.3× | — |
| Q4 2010 | 18.4× | 20.4× | 13.7× | 16.7× | 21.7× | 20.9× | 15.8× | 22.3× | 12.5× | — |
| Q4 2011 | 15.7× | 16.3× | 12.4× | 14.9× | 21.5× | 18.2× | 18.6× | 13.8× | 12.9× | — |
| Q4 2012 | 17.4× | 19.6× | 13.3× | 18.0× | 19.5× | 18.1× | 19.0× | 14.4× | 13.2× | 25.4× |
| Q4 2013 | 16.2× | 17.7× | 14.1× | 16.2× | 17.8× | 14.3× | 19.8× | 14.1× | 9.8× | 25.1× |
| Q4 2014 | 18.3× | 19.6× | 16.0× | 18.5× | 21.6× | 17.3× | 22.8× | 15.0× | 11.9× | 22.1× |
| Q4 2015 | 17.3× | 16.6× | 15.1× | 16.6× | 21.1× | 18.6× | 28.1× | 9.5× | 20.1× | 21.3× |
| Q4 2016 | 16.4× | 17.9× | 16.5× | 15.2× | 21.4× | 13.9× | 21.7× | 10.8× | 22.5× | 19.8× |
| Q4 2017 | 18.0× | 20.0× | 16.5× | 16.1× | 21.0× | 16.3× | 20.1× | 11.3× | 29.0× | 24.3× |
| Q4 2018 | 15.2× | 17.3× | 13.4× | 11.1× | 19.1× | 15.3× | 18.6× | 9.5× | 18.9× | 21.9× |
| Q4 2019 | 18.7× | 23.6× | 16.4× | 12.8× | 23.1× | 17.8× | 19.7× | 10.0× | 25.1× | 28.2× |
| Q4 2020 | 21.3× | 25.6× | 13.5× | 12.0× | 21.2× | 17.5× | 22.1× | — | 34.2× | 29.0× |
| Q4 2021 | 25.7× | 33.3× | 13.4× | 17.6× | 31.6× | 22.4× | 29.1× | — | 35.2× | 31.3× |
| Q4 2022 | 15.9× | 21.3× | 7.1× | 12.5× | 17.7× | 17.3× | 16.1× | 9.3× | 24.6× | 19.1× |
| Q4 2023 | 16.6× | 22.5× | 8.2× | 12.6× | 17.0× | 17.3× | 19.4× | 10.2× | 29.2× | 19.3× |
| Q4 2024 | 17.3× | 17.1× | 9.5× | 13.4× | 18.8× | 25.3× | 17.3× | 9.6× | 37.0× | 17.9× |
| Q4 2025 | 16.9× | 19.9× | 9.0× | 13.2× | 15.8× | 25.7× | 15.4× | 9.0× | 27.1× | 18.9× |
| Q2 2026 | 18.0× | 19.7× | 10.3× | 15.1× | 16.6× | 27.1× | 17.7× | 11.2× | 30.6× | 15.3× |
Price / FFO swings with interest rates and sentiment: most sectors fell to single digits in early 2009. Quarters when a sector’s FFO was near zero or negative (hotels in 2020–21) are left out, because the ratio means nothing there.
Reading REIT sectors
A real estate investment trust (REIT) is a company that owns income-producing property, such as warehouses, apartments, shopping centres or data centres, and pays most of its taxable income to shareholders as dividends. Listed REITs trade like shares, so an index of them shows what an investor in that kind of property actually earned, with dividends reinvested.
Sectors behave very differently because their tenants and leases do. Hotels re-price rooms every night and fall hardest in recessions; self storage and apartments reset rents within a year; office and retail leases run for many years, which delays both good and bad news. Health care and data centres depend on operators and a few large tenants.
Funds from operations (FFO) is net income with property depreciation added back and gains from property sales removed. Buildings usually hold their value better than accounting depreciation assumes, so FFO is the standard measure of a REIT’s recurring cash earnings, and price / FFO plays the role a price-to-earnings ratio does for other companies.
Sources & update policy
Returns are the FTSE Nareit U.S. Real Estate Index Series property sector and subsector indexes (monthly total return indexes since December 1993, or since the index began) and the FTSE Nareit All Equity REITs index. Each month the site extends them with Nareit’s performance by property sector table, checked daily, which also supplies market values and dividend yields. Valuation, cash flow and leverage come from Nareit’s REIT Industry Tracker, published about two months after each quarter.
Figures are as published by Nareit and FTSE Russell; this page does not recompute them. Indexes change members over time, so a sector’s history reflects the companies in it at each date. Dollar totals such as FFO grow partly because the index adds companies.
Not investment advice
Historical data for education only. Past returns do not predict future returns. Neither this site nor Nareit guarantees the data’s accuracy or completeness.