PUBLISHER: SkyQuest | PRODUCT CODE: 1877962
PUBLISHER: SkyQuest | PRODUCT CODE: 1877962
Global REITs Market size was valued at USD 2.1 trillion in 2024 and is poised to grow from USD 2.18 trillion in 2025 to USD 2.91 trillion by 2033, growing at a CAGR of 3.7% during the forecast period (2026-2033).
The global REITs market is experiencing robust growth largely driven by urbanization and sustained demand for leasing from corporations, which boosts income-producing assets in high-grade commercial real estate. The rising e-commerce trend and digitalization elevate the need for industrial properties, such as warehouses and data centers. Legislative reforms enhancing market transparency and investor protection have bolstered confidence and engagement in the sector. With longer lease terms and strong tenant retention, commercial real estate offers stable revenue, highlighted by Indian REITs featuring a substantial Weighted Average Lease Expiry. Additionally, REITs deliver attractive dividend yields compared to traditional fixed-income investments, appealing to yield-seeking investors. As foreign and institutional investments increase, capital availability for portfolio expansion and new developments continues to rise, aided by proptech innovations enhancing efficiencies and tenant experiences.
Top-down and bottom-up approaches were used to estimate and validate the size of the Global REITs market and to estimate the size of various other dependent submarkets. The research methodology used to estimate the market size includes the following details: The key players in the market were identified through secondary research, and their market shares in the respective regions were determined through primary and secondary research. This entire procedure includes the study of the annual and financial reports of the top market players and extensive interviews for key insights from industry leaders such as CEOs, VPs, directors, and marketing executives. All percentage shares split, and breakdowns were determined using secondary sources and verified through Primary sources. All possible parameters that affect the markets covered in this research study have been accounted for, viewed in extensive detail, verified through primary research, and analyzed to get the final quantitative and qualitative data.
Global REITs Market Segments Analysis
Global REITs Market is segmented by Investment Focus, Structure Type, Property Sector, Investment Strategy, Distribution Type and region. Based on Investment Focus, the market is segmented into Residential, Commercial, Industrial, Healthcare and Data Centers. Based on Structure Type, the market is segmented into Equity REITs, Mortgage REITs and Hybrid REITs. Based on Property Sector, the market is segmented into Retail, Office, Multifamily, Self-Storage and Hospitality. Based on Investment Strategy, the market is segmented into Value-Add, Core and Opportunistic. Based on Distribution Type, the market is segmented into Publicly Traded, Private and Non-Traded. Based on region, the market is segmented into North America, Europe, Asia Pacific, Latin America and Middle East & Africa.
Driver of the Global REITs Market
One of the key market drivers for the Global REITs (Real Estate Investment Trusts) Market is the increasing demand for real estate as a stable investment option amid fluctuating economic conditions. Investors are drawn to the appealing dividend yields and potential for capital appreciation that REITs offer compared to traditional stocks and bonds. Additionally, the growing trend of urbanization and the need for diversified portfolios fuel interest in REITs, particularly in sectors like residential, commercial, and healthcare properties. This shift highlights the attractiveness of REITs as a vehicle for accessing real estate markets while providing liquidity and ease of investment.
Restraints in the Global REITs Market
One key market restraint for the Global REITs market is the fluctuating interest rates, which can significantly impact investors' perceptions of real estate investments. When interest rates rise, borrowing costs increase for property acquisitions and development, making it less attractive for companies to invest in new real estate projects. This environment can lead to reduced capital flows into the REIT sector, as yields from REITs may become less competitive compared to fixed-income investments. Furthermore, higher rates can dampen consumer spending and slow economic growth, adversely affecting occupancy rates and rental incomes, further complicating the landscape for REITs.
Market Trends of the Global REITs Market
The global REITs market is experiencing a significant trend towards the integration of Proptech solutions, significantly transforming operations and investor relations. Enhanced by the incorporation of AI analytics, IoT monitoring, and blockchain applications, REITs are improving asset management, reducing operational costs, and elevating tenant experiences. This technological shift allows for data-driven decision-making, moving beyond traditional anecdotal evidence. As the market increasingly digitizes, it is attracting a new wave of tech-savvy investors who prioritize REITs that demonstrate robust digital infrastructure. This evolution not only streamlines transactions but also fosters transparency and trust, positioning the REIT sector as a leader in innovation and efficiency.