Investors Assess Apartments After the Love Is Gone

A strong recovery in single-family homes may spell bad news for apartment companies that reaped big profits over the last few years by renting to displaced homeowners, Fitch Ratings says in a new report.

The ratings agency says that an improving housing market could weigh on rent growth for multifamily real-estate investment trusts. Fitch estimates that 80% of the growth in apartment demand between 2009 and 2011 was derived from declining homeownership.

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Demand for REITs insatiable as investors chase higher returns

The best year on record for Canadian publicly-traded real estate just keeps getting better, driven by an insatiable demand from investors for a decent return.

The capital markets had raised a total of $8.208-billion in announced deals as of Thursday , including $5-billion in equity, according to CIBC World Markets Inc. That total dollar amount smashed through the $6.255-billion raised in 2011 which was a record.

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