3 Reasons to own Listed REITs today

Listed REITs offer an attractive entry point because the sector appears early in a new cycle, fundamentals are improving and valuations remain favorable.

• As of September 30, 2026, listed REITs were only three years into the current cycle, while historical cycles have typically lasted much longer.
• Rising demand and shrinking new supply are creating pricing power and driving US REIT cash-flow growth above trend.
• Cohen & Steers measures historical cash-flow growth through weighted average funds available for distribution (FAD) growth for constituents of the FTSE Nareit All Equity REITs Index, excluding outliers above or below 100%.
• Listed REIT valuations remain attractive relative to their own history and other asset classes, based on percentile rankings over the trailing 15 years.
• The valuation analysis uses forward earnings yield, option-adjusted spread yield, implied cap rate and nominal cap rate, with data measured at September 30, 2026.

Takeaway: The author argues that investors should consider listed real estate while the cycle is still young, cash flows are strengthening and valuations are below historical or cross-asset extremes, while noting that past cycles and performance do not guarantee future results.