TORONTO, Jan. 13, 2026 /CNW/ – Hazelview Investments has released its 2026 Global Public Real Estate Outlook Report, offering a detailed perspective on globally listed REITs and the conditions shaping the next phase of performance for public REIT markets.
The report examines how global REITs have performed against broader equities since the start of the decade and outlines how the dynamic may begin to shift in 2026.
Using an active management lens, Hazelview Investments public securities team frames an interconnected mosaic, where supply, demand, valuation, and capital discipline are aligning in ways that could support renewed performance.
2025 Market Recap
In 2025, global REITs navigated a volatile macro environment marked by trade uncertainty and shifting monetary policy. As trade headwinds eased and financial conditions improved across major economies, global REITs ended the year with a high single-digit return in local currency terms.
Performance varied meaningfully by region and sector. Japan, Hong Kong, and Singapore led returns, while Canada and the U.K. also outperformed the global benchmark. Continental Europe lagged on a relative basis while the U.S. saw the weakest performance among major regions. At the sector level, healthcare outperformed on the strength of senior housing fundamentals, while cold storage, life science, data centres, and residential REITs underperformed.
REIT Performance in Context
Since 2020, global REITs have underperformed global equities, reflecting the disproportionate impact of the pandemic and subsequent monetary tightening on real estate. REITs has experienced the largest valuation decline of any major equity segment in the U.S. since 2021.
Hazelview Investments believes this period of atypical performance is nearing an inflection point. Strengthening fundamentals, paired with compelling valuations, create the conditions for REITs to begin making up lost ground in 2026 and beyond.
A Strong Fundamental Backdrop
The report highlights a favourable supply-demand backdrop across global real estate markets. New supply as a percentage of existing stock for many property types including retail, industrial, residential, and office, is forecasted to decline materially in most developed regions, potentially reaching all-time lows in markets like the U.S., Europe, Canada, Australia, and key Asia-Pacific economies. At the same time, demand remains resilient, with occupancy rates trending above historical averages across major property types.
This combination supports improved pricing power for operators and underpins expectations for stronger rent growth.
Valuations at Compelling Levels
From a valuation perspective, global REITs are trading at multi-decade lows relative to broader equities while Hazelview Investments indicates global REITs are trading at a double-digit discount to intrinsic value. The report speaks to how companies are increasingly responding to this disconnect by repurchasing shares and privatization activity as public market valuations remain persistently disconnected from private market asset values.
Best Ideas for 2026
Hazelview Investment’s identifies several areas of opportunity for potential outperformance, including:
- Industrial real estate across North America, Europe, and Japan, supported by lower supply and stronger leasing dynamics.
- Senior housing in North America, driven by favourable demographics and constrained new supply.
- Data centres, supported by continued demand related to AI adoption, with particular focus on the U.S., Hong Kong, and Singapore.
- Residential real estate in Australia and Germany, where supply-demand imbalances are expected to support strong rental growth.
The 2026 outlook reflects Hazelview Investments disciplined, long-term approach to public real estate investing and its active focus on identifying multi-year secular growth opportunities where fundamentals, valuations, and capital market dynamics align.
To read the report, please visit the Hazelview Investments website.
About Hazelview Investments:
Hazelview Investments Inc. is a global real estate investment firm with more than 25 years of experience and over $11 billion* in assets under management. Our strategically integrated investment platform gives investors single-point access to both private and public market opportunities. Through our range of in-house investment, development, and property management capabilities, our goal is to deliver repeatable risk-adjusted returns for our clients.
We provide a diversified range of real estate investment solutions — including equity and debt strategies across public and private markets — to institutions and consultants in strategic markets around the world. These solutions are delivered through separately managed accounts and a variety of fund structures, tailored to investor jurisdiction, investment size, and strategy. Guided by deep expertise, data-driven insights, and an ownership approach to investment, we actively aim to create and enhance value for investors, partners, and communities.
Learn more at www.hazelview.com.
*As of September 30, 2025
SOURCE Hazelview Investments
For additional information, contact: Andrea Chrysanthou, APR, Amplify, [email protected], 416-797-8194
