Strong Employment Causes A Fall in REIT Market

Posted on February 10th, 2015 at 5:22 PM
Strong Employment Causes A Fall in REIT Market

From the Desk of Jim Eccleston at Eccleston Law Offices:

A recent Labor Department report showing the biggest job gain in 17 years has triggered a fall in the U.S. real estate investment market since September. The reason is speculation that the Federal Reserve will boost interest rates in the first half of this year.

Last week, the 166-company Bloomberg REIT index fell 2.8%, the biggest drop since Sept. 12th. The 10-year Treasury yield rose to 1.96% from 1.82%.

Single-tenant buildings and health-care real estate led the decline. Those properties tend to be viewed as bond-like investments because they typically have tenants with long leases. Rising rates make it more expensive for REITs to borrow money, which may hurt their ability to buy property and develop real estate. Higher Treasury yields also reduce the appeal of the stocks' dividend yields.

The attorneys of Eccleston Law Offices represent investors and advisers nationwide in securities and employment matters. Our attorneys draw on a combined experience of nearly 65 years in delivering the highest quality legal services.

Related Attorneys: James J. Eccleston

Tags: REITs, Labor Department, Bloomberg, Eccleston Law

Return to Archive

TESTIMONIALS

Previous
Next

If the regulators are after you, and are trying to make a case against you, and you are going to contest their allegations against you, make sure you have the best securities industry defense lawyers, Eccleston Law Firm. My case was spun into a combination of penalties including fines, cash settlements, CE courses and suspension. They were the best I have seen in action. When all was said and done, they had done their magic, my situation was negotiated and settled with a simple "letter of caution" and a case closed without action. It is the most important legal business decision you will ever make, make it Eccleston Law.

Rick R.

LATEST NEWS AND ARTICLES

November 11, 2024
Charles Schwab Faces Multiple Lawsuits Alleging Elder Fraud Neglect

Charles Schwab and its affiliates are under scrutiny after recent lawsuits allege the firm failed to prevent scammers from defrauding elderly clients.

November 8, 2024
Former Advisor Faces Lawsuit Over Alleged Mishandling of Premium-Financed Life Insurance Plan

Joshua L. Gottlieb, barred by FINRA in 2017, faces a lawsuit alleging significant financial harm to a client following the sale of a premium-financed indexed universal life (IUL) insurance program. 

November 7, 2024
Fidelity Data Breach Exposes Sensitive Information of Over 77,000 Customers

According to InvestmentNews, Fidelity Investments recently disclosed a data breach affecting tens of thousands of customers, exposing sensitive personal data such as Social Security numbers and driver’s license information.