REITs to see gradual recovery

Positively, offices were not impacted as badly compared to retailers, UOB Kay Hian added. It added that in the current low interest rate environment, Malaysian REITs still commanded attractive yields compared with fixed income instruments

PETALING JAYA: A gradual recovery for the real estate investment trust (REITs) industry is expected from the fourth quarter of this year (4Q20) with earnings to recover only from next year.

UOB Kay Hian said this in a report, adding that it was forecasting the sector to contract about 19% for 2020 and earnings to jump 20% for 2021.