Asia Pacific REITs Record 2.3% Loss In The Third Quarter

Industrial REITs down 6.8% in September but up 0.2% in the third quarter

By Jeroen Vreeker, Index Analyst for Global Property Research

October 5, 2021 – Asia Pacific REITs finished the third quarter of 2021 2.3% lower in USD terms, with the GPR/APREA Composite REIT Index losing 3.9% in September 2021.

Taiwan managed to eke out a gain last month, rising 0.2%. In other regions, losses ranged from -1.7% for Malaysia to -9.5% for Thailand. The GPR/APREA Composite REIT Index underperformed regional equities in September, which fell 1.8%. However, in the third quarter, REITs fell less than equities with the GPR/APREA Composite REIT Index down 2.3% versus the equities  -4.3%. The table below shows the total return performances realised in the previous month and in the third quarter for the various currencies available for the GPR/APREA Composite REIT Index.

	EUR	JPY	LOC	USD
GPR/APREA Composite REIT Index	-2.1%	-2.4%	-2.7%	-3.9%

	EUR	JPY	LOC	USD
GPR/APREA Composite REIT Index	-0.1%	-1.8%	-0.8%	-2.3%

Taking the sector perspective, the September 2021 losses (see below) ranged from -1.6% for Hotel to -6.8% for Industrial:

	DIV	HCR	HOT	IND	OFF	OTH	RES	RET
GPR/APREA Composite REIT Index	-2.7%	-4.4%	-1.6%	-6.8%	-2.9%	n/a	-5.5%	-2.5%

The total return performances realised in the third quarter (see below) for the various sectors available for the GPR/APREA Composite REIT Index are representative of the negative momentum with only Industrial (0.2%) returning a marginal gain.

	DIV	HCR	HOT	IND	OFF	OTH	RES	RET
GPR/APREA Composite REIT Index	-2.4%	-1.2%	-2.1%	0.2%	-2.4%	n/a	-3.3%	-3.6%

The comprehensive GPR/APREA Composite REIT Index covered 178 Asia Pacific REITs with a combined free float market capitalisation of US$333.8 billion as at September 30, 2021. Following the latest quarterly rebalancing of the GPR/APREA index series, which took effect on September 20, 2021, ESR Kendall Square REIT (South Korea) was added to the GPR/APREA Composite REIT Index.