The Real Deal Miami

REITs beat stock market in year-end gains

December 29, 2010 03:12PM

Real estate stocks are poised to end the year with gains that are twice as large as the broader stock market, marking the second consecutive year in which REITs outperformed the major stock indexes, the Wall Street Journal reported. REITs, on the Dow Jones All REIT index, were up 27 percent as of Tuesday’s close, compared to the Dow Jones industrial average, which was up 11 percent, and Standard & Poor’s 500 index, up 12.86 percent. “The REIT yields are very attractive compared to anything else in the market,” said Brad Case, vice president of research and industry information for the National Association of Real Estate Investment Trusts. Since the beginning of the year, dozens of REITs have raised dividends, a drastic change from last year when many REITs were cutting or suspending dividends. [WSJ]