Nontraded REITs Growing By Record Rates – Projected To Raise $45 Billion In 2022
June 2, 2022 | Dalton Brewster | Benzinga
Ukraine, rising interest rates, plummeting markets and rampant inflation. These are few of the main topics that the mainstream media is always covering. With everything going on in the world, more investors are deciding to invest in alternative investments like nontraded real estate investment trusts (REITs).
Per investment bank Robert A. Stanger & Co., nontraded REITs are projected to raise $45 billion in 2022. This represents a 23% increase from $36.5 billion in 2021. Post pandemic, demand will only increase for this sector, including beaten-down sub niches like office space.
Brookfield Real Estate Income Trust
Brookfield Asset Management finalized its nontraded REIT Brookfield Real Estate Income Trust back in November. This new company was formed by transitioning the advisory role of Oaktree Real Estate Income Trust Inc., one of Brookfield’s subsidiaries, over to Brookfield.
Brookfield, the parent company, is a leading global alternative asset manager with approximately $650 billion assets under management (AUM) across industries like real estate, infrastructure, private equity and renewable energy. Its clients include pension plans, endowments, sovereign wealth funds, private wealth investors and insurance companies.
This REIT has exposure to various types of investments like office space, multifamily homes, debt and logistics warehouses worldwide. It also has more alternative holdings, including DreamWorks Animation Studios in Glendale, California.
