Let’s assume that higher long-term rates (3%+) are here to stay. Can REITs (real estate investment trusts) and high rates co-exist? Or must there be just one winner in this suddenly one-sided tug of war? After all, as the 10-year Treasury’s yield has rallied, REITs have suspiciously suffered: REITs and Rates: Oil and Water? And the headline arguments against REITs during rising rate periods seem to make sense: REITs need cheap money to grow, and When risk-free assets pay more, income investors will buy them instead of REITs. These knocks may apply to low-yielding shares, especially static payers, but they historically haven’t applied to firms (REIT or otherwise) that have been able to grow their payouts meaningfully as rates have risen .… Read more