2026 REIT Market Outlook: Summary of Webinar

2026 REIT Market Outlook Webinar Recap

In a recent webinar hosted by Nareit and Bloomberg Intelligence, experts explored the 2026 outlook for Real Estate Investment Trusts (REITs) against a backdrop of macro uncertainty, policy changes, and varying sector performance. Moderated by Bloomberg Intelligence analysts Jeff Langbaum and Lindsay Dutch, the discussion included insights from John Worth of Nareit, Eric Rothman of CenterSquare Investment Management, and Gina Szymanski of AEW.

The webinar addressed the volatility expected in the year ahead due to legislative, regulatory, macroeconomic, and geopolitical factors that impact the overall market and specifically REITs. The panel discussed how policy changes and interest rates have influenced sentiment in the real estate market and investor positioning based on property-type fundamentals.

Reflecting on 2025 and early 2026, Worth highlighted the resilience of REIT operational metrics despite lagging equity returns. He pointed out the disconnect between REITs and broader equities, as well as public REIT and private real estate valuations. The discussion focused on the convergence of these divergences in 2026 and the potential for increased capital markets activity with stronger REIT balance sheets and debt market access.

Rothman addressed the administration’s emphasis on housing affordability and institutional ownership, particularly scrutinizing single-family rental REITs. He discussed the shift towards build-to-rent development models and the importance of stability in interest rates for decision-making in leasing, development, and transactions. Szymanski emphasized the potential of growth to offset the impact of higher rates and discussed the resilience of retail, public-to-private arbitrage opportunities, and the value of stable rental options for families.

Panelists highlighted the constructive outlook for listed real estate in 2026, supported by evolving supply-demand dynamics, strong balance sheets, and narrowing valuation gaps. They discussed trends in office and multifamily sectors, with Rothman noting the positive leasing momentum in office spaces and Szymanski pointing out the challenges in multifamily despite attractive risk-reward dynamics.

In response to audience questions, Worth explained the differences in speed of repricing rather than ownership changes affecting public and private real estate valuations. Rothman and Szymanski identified supply-demand balance as a key driver for 2026, while Worth emphasized the importance of growth for improved REIT performance in the coming year.