Welcome!

News Feed Item

Financial Assessment of Global Residential REIT Industry



 

 

 

LONDON, March 19, 2014 /PRNewswire/ -- Reportbuyer.com just published a new market research report:

Financial Assessment of Global Residential REIT Industry



A Shift Towards Rental Housing is Driving the Industry

This financial assessment study analyzes the financial ratios of public companies across the globe in the residential real estate investment trust (REIT) industry. To assess financial performance, public companies in the residential REIT industry are first identified. Then, their financials are gathered and ratios such as return on equity and EBIT margin are computed. After this, the ratios are divided into four categories: profitability, liquidity, activity, and solvency. Weights are assigned to different ratios based on industry averages, and an overall rank is determined. Market-based numbers and the number of properties managed are also considered. The study presents key drivers, restraints, top performers by region, and market outlook.


CEO's Perspective

1. Demand for rental housing is gaining momentum in cities across the globe, more so in the North American region.
2. Higher interest rates, rising house prices, higher job creation, and aversion towards owning houses due to prior experience with foreclosures are pushing up the demand for rental housing.
3. Increasing rent growth and decreasing vacancy rates are expected to boost the profitability of apartment operators and REITs.
4. Currently, the US home ownership rate is at a X-year low. As of August 2013, home prices in the United States have increased X% year-on-year.
5. Currently, the vacancy rate is less than the X-year average rate and the effective rent is higher than the X-year average rent.
6. Signs of recovery in the global economic scenario—more so in the North American region compared to the Eurozone—is expected to improve job creation rates and thereby, employment rates as well.
7. Total returns on residential REIT stocks have shown two-year cycles of peaks and troughs from 1996 to 2006 and after that, the cycles have occurred over longer periods of time.
8. The supply of new apartments has plateaued in the past three years and is expected to gain momentum with overX units under construction in the United States.
9. Key profitability ratios such as return on equity and EBITDA margins have shown an increase in 2012 compared to 2011 and this trend is expected to continue.
10. In the residential REIT industry, student housing has emerged as a separate asset class generating double-digit returns thanks to strong rental growth.


Research Objective and Scope

Research Objective
• To analyze the financials of companies in the global residential real estate investment trust (REIT) industry
• To rank companies based on their financial and risk management
• To identify key trends and challenges that can impact the performance of industry participants over the next X months

Geographic Scope
Global Study

Ratios Analyzed
• Profitability
• Activity (Turnover)
• Liquidity
• Solvency

Study period
Financial Year 2012

Companies Analyzed
108 companies across the globe


Who will benefit?
• Companies operating in the global residential REIT industry
• Apartment operators
• Real estate operating companies (REOCs)
• Private equity
• Venture capital investors
• Fund managers
• Retail investors
• Hedge funds
• Insurance funds and other members of the investing community

Sources
• Frost & Sullivan in-house research expertise
• Established business and financial databases, such as Capital IQ
• Company annual reports
• Published news
• Industry associations, such as NAREIT
• Press releases

Note: For company-level analysis, data used is from the company's latest annual performance (FY 2012). For industry-level analysis, data is as of Q3 2013.


Table of Contents

1. Executive Summary
2. Research Objective and Scope
3. Residential REIT Industry—Market Overview
4. Drivers and Restraints
5. Residential REIT Industry—Key Regions
6. Residential REIT Industry—Financial Assessment
7. Key Conclusions
8. Appendix
9. The Frost & Sullivan Story




Read the full report:
Financial Assessment of Global Residential REIT Industry
http://www.reportbuyer.com/banking_finance/capital_markets/financial_ass...

For more information:
Sarah Smith
Research Advisor at Reportbuyer.com
Email: [email protected]
Tel: +44 208 816 85 48
Website: www.reportbuyer.com

 

SOURCE ReportBuyer

More Stories By PR Newswire

Copyright © 2007 PR Newswire. All rights reserved. Republication or redistribution of PRNewswire content is expressly prohibited without the prior written consent of PRNewswire. PRNewswire shall not be liable for any errors or delays in the content, or for any actions taken in reliance thereon.

Latest Stories
SYS-CON Events announced today that Interface Masters Technologies, a leader in Network Visibility and Uptime Solutions, will exhibit at the 19th International Cloud Expo, which will take place on November 1–3, 2016, at the Santa Clara Convention Center in Santa Clara, CA. Interface Masters Technologies is a leading vendor in the network monitoring and high speed networking markets. Based in the heart of Silicon Valley, Interface Masters' expertise lies in Gigabit, 10 Gigabit and 40 Gigabit Eth...
In this strange new world where more and more power is drawn from business technology, companies are effectively straddling two paths on the road to innovation and transformation into digital enterprises. The first path is the heritage trail – with “legacy” technology forming the background. Here, extant technologies are transformed by core IT teams to provide more API-driven approaches. Legacy systems can restrict companies that are transitioning into digital enterprises. To truly become a lea...
SYS-CON Events announced today that Sheng Liang to Keynote at SYS-CON's 19th Cloud Expo, which will take place on November 1-3, 2016 at the Santa Clara Convention Center in Santa Clara, California.
In his session at @ThingsExpo, Kausik Sridharabalan, founder and CTO of Pulzze Systems, Inc., will focus on key challenges in building an Internet of Things solution infrastructure. He will shed light on efficient ways of defining interactions within IoT solutions, leading to cost and time reduction. He will also introduce ways to handle data and how one can develop IoT solutions that are lean, flexible and configurable, thus making IoT infrastructure agile and scalable.
Much of the value of DevOps comes from a (renewed) focus on measurement, sharing, and continuous feedback loops. In increasingly complex DevOps workflows and environments, and especially in larger, regulated, or more crystallized organizations, these core concepts become even more critical. In his session at @DevOpsSummit at 18th Cloud Expo, Andi Mann, Chief Technology Advocate at Splunk, showed how, by focusing on 'metrics that matter,' you can provide objective, transparent, and meaningful f...
Just over a week ago I received a long and loud sustained applause for a presentation I delivered at this year’s Cloud Expo in Santa Clara. I was extremely pleased with the turnout and had some very good conversations with many of the attendees. Over the next few days I had many more meaningful conversations and was not only happy with the results but also learned a few new things. Here is everything I learned in those three days distilled into three short points.
So, you bought into the current machine learning craze and went on to collect millions/billions of records from this promising new data source. Now, what do you do with them? Too often, the abundance of data quickly turns into an abundance of problems. How do you extract that "magic essence" from your data without falling into the common pitfalls? In her session at @ThingsExpo, Natalia Ponomareva, Software Engineer at Google, provided tips on how to be successful in large scale machine learning...
Cognitive Computing is becoming the foundation for a new generation of solutions that have the potential to transform business. Unlike traditional approaches to building solutions, a cognitive computing approach allows the data to help determine the way applications are designed. This contrasts with conventional software development that begins with defining logic based on the current way a business operates. In her session at 18th Cloud Expo, Judith S. Hurwitz, President and CEO of Hurwitz & ...
The Transparent Cloud-computing Consortium (abbreviation: T-Cloud Consortium) will conduct research activities into changes in the computing model as a result of collaboration between "device" and "cloud" and the creation of new value and markets through organic data processing High speed and high quality networks, and dramatic improvements in computer processing capabilities, have greatly changed the nature of applications and made the storing and processing of data on the network commonplace.
An IoT product’s log files speak volumes about what’s happening with your products in the field, pinpointing current and potential issues, and enabling you to predict failures and save millions of dollars in inventory. But until recently, no one knew how to listen. In his session at @ThingsExpo, Dan Gettens, Chief Research Officer at OnProcess, will discuss recent research by Massachusetts Institute of Technology and OnProcess Technology, where MIT created a new, breakthrough analytics model f...
Without a clear strategy for cost control and an architecture designed with cloud services in mind, costs and operational performance can quickly get out of control. To avoid multiple architectural redesigns requires extensive thought and planning. Boundary (now part of BMC) launched a new public-facing multi-tenant high resolution monitoring service on Amazon AWS two years ago, facing challenges and learning best practices in the early days of the new service. In his session at 19th Cloud Exp...
Digitization is driving a fundamental change in society that is transforming the way businesses work with their customers, their supply chains and their people. Digital transformation leverages DevOps best practices, such as Agile Parallel Development, Continuous Delivery and Agile Operations to capitalize on opportunities and create competitive differentiation in the application economy. However, information security has been notably absent from the DevOps movement. Speed doesn’t have to negat...
The Internet of Things can drive efficiency for airlines and airports. In their session at @ThingsExpo, Shyam Varan Nath, Principal Architect with GE, and Sudip Majumder, senior director of development at Oracle, will discuss the technical details of the connected airline baggage and related social media solutions. These IoT applications will enhance travelers' journey experience and drive efficiency for the airlines and the airports. The session will include a working demo and a technical d...
While DevOps promises a better and tighter integration among an organization’s development and operation teams and transforms an application life cycle into a continual deployment, Chef and Azure together provides a speedy, cost-effective and highly scalable vehicle for realizing the business values of this transformation. In his session at @DevOpsSummit at 19th Cloud Expo, Yung Chou, a Technology Evangelist at Microsoft, will present a unique opportunity to witness how Chef and Azure work tog...
Your business relies on your applications and your employees to stay in business. Whether you develop apps or manage business critical apps that help fuel your business, what happens when users experience sluggish performance? You and all technical teams across the organization – application, network, operations, among others, as well as, those outside the organization, like ISPs and third-party providers – are called in to solve the problem.