Asia Pacific REITs Finish Q3 2020 7.2% Higher, Industrials Led Recovery

Hotel and Healthcare rises in September, Residential Down

October 5, 2020 – The Asia Pacific GPR/APREA Composite REIT index closed the third quarter 7.2% higher, after a a 1.4% loss in September 2020. The table below shows the total return performances realised in the previous month (September) for the various currencies available for the GPR/APREA Composite REIT Index.

	EUR	JPY	LOC	USD
GPR/APREA Composite REIT Index	0.5%	-1.9%	-0.7%	-1.4%%

The GPR/APREA Composite REIT Index covers 165 Asia Pacific REITs with a combined free float market capitalisation of US$ 278.8 billion as at September 30, 2020.

Looking at the sector performances, Hotel (2.5%) and HealthCare (1.3%) were the only ones up, Diversified (-0.7%), Industrial (-0.8%), Retail (-1.7%), Office (-1.8%) and Residential (-3.1%) contracted in September 2020:

	DIV	HCR	HOT	IND	OFF	OTH	RES	RET
GPR/APREA Composite REIT Index (Sept 2020)	-0.7%	1.3%	2.5%	-0.8%	-1.8%	n/a	-3.1%	-1.7%

Taiwanese REITs (6.9%) were the only ones keeping dry feet. Other countries recorded losses, ranging from -0.2% for Singapore to -5.4% for Thailand.

For the third quarter, however, the industrial sector led the REITs’ recovery in the region, with a 12.6% growth. The hotel and diversified sectors also performed well and expanded 8.8% and 7.7% respectively. The residential sector grew 5.3% while the retail sector was up 4.3%. While still on the growth territory, the office and healthcare sectors had the weakest performance during the quarter, with growth rates of 3.6% and 3.5% respectively.