After earlier pullbacks, secondary-market signals for public REITs have turned
constructive. Multiple brokerages say domestic public REITs are trading in a
historically low valuation range; the rollout of index funds and firmer
expectations of insurance inflows should improve supply-demand and lift
long-term allocation appeal. As of June 30, the spread between distribution
yield on property-rights REITs and the 10-year government bond yield reached
levels seen at the market troughs in early‑2024 and early‑2025. Historically,
such wide spreads have preceded valuation recoveries, suggesting recent
adjustments have largely absorbed near-term negative pressure and strengthened
the valuation cushion.
