Where to find the next property darling
Lately, the property market has been touting the success of the industrial market to the exclusion of all else. With the rise of e-commerce through COVID-19, undoubtedly, industrial assets are having their 15-minutes of fame. But for those who want to find good yields without the hefty price tag, there are a number of other forces shaping up the next darlings of the property market. The only catch is you're going to have to look offshore for the perfect play.
Global real estate investment trusts (GREITs) are an ever-expanding opportunity and offer a diversity that Australian REITs just can't match. Globally, there are about 571 offshore REITs, compared with 33 REITs in Australia. Not only does this offer a greater quantity of investment options, it also means overseas REITs are able to tap into thematics that don't yet exist in Australia because we don't have the scale or the infrastructure.
Take, for example, cell phone towers. As the uptake of mobile phone usage accelerates around the world, there needs to be more and better infrastructure to accommodate the growth. The 5G infrastructure total addressable market is set to grow by 253% between 2020 and 2025, according to a report by Bankr. It's driven by wider trends towards increased digitisation of the economy, the proliferation of IoT devices and demand for greater speeds for businesses and households.
This is just one example of a trend that Mark Mazzarella portfolio manager at APN Property Group is leveraging to capitalise on upcoming growth thematics. In their upcoming webinar Global REITs - A world of opportunity to access income, APN examines the next great themes which will power GREITs and deliver attractive yields to investors.
For a diversified, defensive income stream from global commercial property. Find out more. The APN Property webinar, Global REITs - A world of opportunity to access income, is open to current and prospective investors. It will be held at 10am (AEST) on 2 June 2021.
Click here to register.
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