- Granite Real Estate Investment Trust (GRT.UN)
- Dream Industrial Real Estate Investment Trust (DIR.UN)
Q: With the BoC dropping interest rate the REIT sector should have triggered a rebound. That has not happened yet. Do you have a theory as to why? Thanks.
5i Research Answer:
The Boc has dropped rates, but bond yields have risen pretty much everywhere, regardless. This started with strong US job numbers and has continued with investors worried about the US being able to continually sell new debt. For the residential sector, lower immigration numbers are also likely a factor.