So it stands to reason that the apartment markets in some metropolitan areas have not recovered all the value (as measured by National Council of Real Estate Investment Fiduciaries' appreciation return
) lost during the recession as of Q2 2014.
The NPI total return for the quarter was 2.91%, comprised of a 1.35% income return and a 1.55% capital appreciation return
Investors expect to see a 5.6 percent income return and a 4.2 percent property appreciation return
for the year.
The daily capital appreciation return
series for this index are obtained from Yahoo Finance.(1)
The average annual appreciation return
for non-trophy properties during that same period was 1.24%, compared with only -0.80% for trophy properties (204 basis-point spread).
From 1992 through 1998, the CE100 index has provided a total stock-price appreciation return
of 223,6 percent while the S&P 500 has trailed at only 206.1 percent.
The National Council of Real Estate Investment Fiduciaries (NCREIF), Chicago, reported its property index returned 2.57 percent for the quarter, comprised of a 1.39 percent income return and the 1.18 percent capital appreciation return
On a rolling four quarter basis, the ODCE total return before fee is an impressive 20.14%, comprised of 6.30% income and 13.17% capital appreciation return
. This has been driven by strong investor demand for core real estate in major markets.
Warehouse properties were the only ones to show a positive mean annual appreciation return
over the fifteen years, albeit a minuscule 0.03 percent.
NCREIF's Property Index, which measures the return of a large pool of commercial real estate properties, saw a 1.42 percent income return and a 0.92 percent capital appreciation return
in the quarter--a drop from the second quarter's 2.68 percent return and well below third-quarter 2011'S 3.30 percent return.
UBP's total return to investors for the year was 9.01%, comprising a dividend return of 6.1% and price appreciation return
Investors expect to end 2012 with a 5.8 percent income return and a 4.1 percent property appreciation return