REITs: A combination of good returns with room for growth, say experts

Payouts can be affected by vacancy and tenants defaulting on payments

While the Nifty 50 index is down 6.2 per cent, all the three real estate investment trusts (REITs) listed on the exchanges are displaying positive year-to-date returns. Embassy Office Parks REIT is up 8.6 per cent, Mindspace Business Parks REIT is up 7.6 per cent, and Brookfield India Real Estate Trust is up 10.1 per cent.

Positive outlook

During the pandemic, with most people working from home, commercial real estate’s outlook had turned negative. Prices of REITs had corrected during that period. “Now, with the economy on the revival path, and companies calling employees back to office, the prospects of