May 17, 2015
We all know about REITs and the great turns they can provide to commercial real estate investors. Green Street Advisors has been steering potential stock buyers toward these important vehicles for about 30 years now.
When they founded the company, they were only covering 37 real estate investment trusts, valued at $3.3 billion. Now the team, which has grown from two to about 100 employees during that time, has to watch 179 REITs with an estimated value of $904 billion.
Of course, this trend has done well for the Newport Beach-based firm. Mike Kirby, chairman and director of research for the firm, talks about what he thinks investors should expect from this product.
Kirby thinks that most should have REITs as five to 10 percent of their investment portfolio, seeing that they have had an 11-percent annual return since Green Street’s founding.
Kirby has some interesting insights on this commercial real estate industry sector. Read more below.