US Real Estate Investment Trusts (REITS) Statistics

Real Estate Investment Trusts (REITs) are positioned at the intersection of real estate and investment, offering insights into broader market dynamics and trends.

Here is an overview of key statistics, sector performance, and trends shaping the U.S. REIT landscape in 2025.

What Are Real Estate Investment Trusts (REITs)?

Real Estate Investment Trusts (REITs) are companies that manage and own income-generating real estate properties. They allow individual investors to participate in the real estate market without owning physical properties.

These trusts focus on acquiring a wide range of assets, including office buildings, residential complexes, and retail centers, while delivering consistent dividend returns.

REITs operate by pooling capital from investors to purchase or finance income-producing properties.

The income generated, mainly through rent or loan interest, is distributed as dividends to shareholders. Like mutual funds, publicly traded REITs make buying and selling shares through stock exchanges easy.

Benefits of REITs

Accessibility: Investors can buy shares with relatively low initial investments.
Dividend income: Most REITs must legally return at least 90% of taxable earnings to shareholders.
Diversification: They provide an opportunity to diversify portfolios across different property sectors.

Types of REITs

There are three primary kinds of REITs, each serving distinct investment purposes:

Equity REITs focus on owning and operating properties that generate rental income. They include sectors like retail, healthcare, and apartments.
Mortgage REITs invest in real estate mortgages and mortgage-backed securities rather than the properties themselves.
Hybrid REITs combine the characteristics of both equity and mortgage REITs, offering a mix of property ownership and mortgage investment.

Key REITs Performance Highlights for 2025

The FTSE Nareit All Equity REIT Index delivered 14% total returns in 2024, surpassing the 25-year average of ~10%, and this positive momentum is expected to extend further into 2025.
Healthcare REITs, data center REITs, and office REITs emerged as top performers in 2024, and similar sector strengths are anticipated for the new year.
A standout feature of REITs is that dividend yields for select sectors remained attractive. Some REITs offered double-digit payouts, and yields as high as 15.3% were reported for niche players.
Several REITs traded at a premium to their net asset value (NAV), signaling investor confidence and strong cost-of-capital advantages heading into 2025.

Number of Properties Owned by REITs in The US

Real estate investment trusts (REITs) hold various properties across the United States, ranging from commercial spaces to residential buildings. Their expansive portfolios provide investors access to diversified real estate investments without requiring direct property ownership.

Key insights into property holdings:

Over 535,000 properties nationwide fall under the ownership of various REITs. These include a mix of sectors such as healthcare facilities, office spaces, shopping malls, industrial warehouses, and rental housing.
Around $4.5 trillion worth of assets are managed by publicly traded equity REITs, showcasing their significant presence in the real estate industry.
By diversifying across different property categories, REITs reduce risk while maintaining steady income streams for their investors.

Historical Trends in Returns & Dividends

Over time, real estate investment trusts (REITs) have proven their value in providing consistent returns through dividends and stable property investments. Historical patterns bear out their reliability as an option for individuals and institutions seeking dependable income.

Here are key statistics and insights to illustrate these trends:

REITs are legally required to distribute at least 90% of their taxable income as dividends, ensuring steady payouts for investors.
Average annualized returns for equity REITs have historically surpassed 10%, often outperforming traditional mutual funds.
Equity REITs generate returns through rental income and property appreciation by focusing on income-producing real estate, while mortgage REITs primarily earn from real estate mortgages or mortgage-backed securities.
Many REITs demonstrate resilience during economic downturns, sustaining dividends even in challenging conditions.
Among residential and apartment building investments, dividend growth has mirrored demand increases in metropolitan property sectors over decades.
Today’s REIT market manages assets valued at over $4.5 trillion, with listed REITs providing transparency unmatched by private alternatives.

This performance history highlights why diverse investors rely on REITs, whether it’s for long-term capital appreciation or consistent income generation.

Occupancy Rates Across Property Types

Real estate investment trusts provide valuable insights into occupancy levels across various property types. These rates highlight demand trends and offer an overview of market performance.

Below are key occupancy statistics across distinct real estate sectors:

Residential REITs consistently maintain average occupancy levels near 95%, driven by steady demand for apartments and urban housing in metropolitan areas.
Commercial real estate properties, such as office buildings, averaged 87% occupancy in 2025 as hybrid work models continue changing tenant behavior.
Retail centers, including shopping malls and strip centers, reported an occupancy rate of around 92%, supported by a mix of e-commerce-resistant businesses and service-oriented tenants.
Industrial facilities, such as warehouses and distribution centers, are the most occupied property sector, with 96% occupancy. This is driven by the growing logistics and online shopping needs.
Healthcare real estate, covering assets like senior living facilities, managed occupancy rates close to 91%, reflecting growing demand in aging demographics.

These occupancy data points reveal how efficiently REITs utilize their property assets while adapting to economic shifts. Investors often assess these metrics to identify trends and predict the stability of income-producing real estate within specific property types.

The figures also highlight how REITs balance various real estate investments to provide returns and consistently respond to varying industry demands.

REITs Sector Trends & Growth Drivers

Growth in Specialized Sectors Like Data Centers & Self-Storage

The growth of specialized sectors, such as data centers and self-storage, has fueled the rapid evolution of REITs. These niches provide reliable sources of income and cater to growing market demands.

Here are key highlights and statistics tied to their expansion:

Data centers have seen a significant surge, driven by the growing demand for cloud-based services and digital infrastructure. Occupancy levels in this sector often approach 98%, reflecting high use rates.
The global data center market’s value is projected to exceed $130 billion by 2025, providing a robust growth backdrop for relevant REITs.
Self-storage facilities maintain stable occupancy rates, averaging near 94%, as individuals and businesses increase demand for flexible storage solutions.
Over the past decade, self-storage REITs have delivered above-average annualized returns, consistently outpacing the broader REIT market.
Witnessing explosive demand driven by artificial intelligence (AI) growth and the need for server storage.
These sectors operate with lower maintenance costs than traditional commercial properties, contributing to dependable gross income streams.
Listed REITs specializing in these areas provide transparency and accessibility for investors seeking stable dividends and predictable returns.

The sustained growth in data centers and self-storage enables REITs to diversify portfolios while targeting sectors less prone to economic fluctuations.

Economic Activity Generated by REIT Operations & Construction

Real estate investment trusts (REITs) contribute significantly to the economy by generating employment and driving substantial revenue streams. Their operations and development activities create ripple effects across industries.

Here are the key highlights showcasing their economic impact:

REIT-focused construction, including new developments and renovations, supports close to 3 million jobs annually within the construction and related services sectors.
A limited supply of facilities due to power and cooling requirements pushed up rental rates, creating attractive pricing power for REIT operators like Equinix and Digital Realty Trust.
REITs’ operations and property management contribute over $190 billion annually to the U.S. gross domestic product (GDP).
Boosted by e-commerce expansion, where logistics and warehousing demand remains strong.
Commercial properties, such as office buildings and retail centers, create indirect economic activity by involving service providers, including cleaning, security, and maintenance crews.
Investment in data centers and logistics facilities has surged, indirectly contributing to technological advancements and supply chain efficiencies.
Taxable income generated by REITs ensures substantial revenue for federal and local governments, strengthening public infrastructure.
Benefit from rising demand for senior housing amid an aging population. For instance, Global Medical REIT (GMRE) achieved 96% occupancy, reflecting robust fundamentals despite past tenant challenges.
Specialist sectors like healthcare and residential REITs enhance local economies by sustaining community services and increasing housing availability.
Across the real estate market, REIT-funded projects drive demand for materials and services, amplifying impact on employment and business opportunities.

Through their developments, REITs manage real estate properties and drive essential job creation and financial activity, making them a vital force in the real estate industry and other industries.

Regional Influence & Household Investments in REITs

Real estate investment trusts (REITs) are critical in creating regional economies and attracting household investments. Their accessibility and diverse property portfolios appeal to retail and institutional investors alike.

Here’s a closer look at their regional impact and investment patterns:

The U.S. Sun Belt region has emerged as a top choice for REIT investments, driven by strong population growth and demand for residential and commercial real estate assets.
West Coast REITs maintain steady success, bolstered by the expansion of the high-tech industry and premium property sectors like office buildings and data centers.
Overcame negative market perceptions with consistent fundamentals in specific markets, notably Philadelphia and Austin. REITs diversifying into life sciences and residential spaces also gained traction.
Northeast states see consistent activity, often led by investment in healthcare and residential REITs, improving services for local communities.
Expanded to include new subsectors such as single-family rentals, affordable housing, and student accommodations, contributing to nearly 40% of transaction volume over the past three years.
Around 145 million Americans are directly or indirectly involved with REIT investments, including through mutual funds or 401(k) plans.
Annual household investment in publicly traded REITs has steadily grown, with over $3 trillion in market capitalization noted in 2025.
Regional development funded by REITs generates ripple effects, creating jobs, spurring small business growth, and increasing property values.
Retail investors favor REITs because they can generate consistent rental income and capital gains while maintaining liquidity through public markets.

REITs provide individual households access to historically stable real estate markets and stimulate localized economic development across the country.

Economic & Market Environment

Interest Rate Sensitivity:

Given their capital-intensive nature, declining financing costs from potential rate cuts are positioned to support REITs.
While long-term Treasury yields remain critical, REITs have insulated from volatility by securing 91.3% of debt as fixed-rate loans and maintaining an average interest rate of 4.1%.
Public vs. Private Real Estate Valuation Gap:
The pricing gap between REIT valuations and private real estate has narrowed significantly; the spread declined from 212 basis points in early 2024 to 69 basis points by Q3 2024.
This convergence is expected to catalyze a revival of halted transactions in the broader commercial real estate (CRE) market.

Capital Raising and Strategic Moves

REITs secured $40.8 billion in unsecured debt issuances by Q3 2024, highlighting their disciplined financial strategies.
Notable transactions included Lineage REIT’s $5.1 billion IPO and joint ventures like Equinix’s $15 billion expansion into data centers, demonstrating portfolio expansion and innovation capabilities.
With more substantial balance sheets and cost-of-capital advantages, REITs are poised to lead in acquisitions. Projected transaction market normalization could further boost REIT activity in 2025.

REITs Challenges & Risks

Rising geopolitical tensions, changes in tariff policies, and potential fiscal imbalances hold downside risks for the broader CRE market.
Persistent supply-demand imbalances in segments like the office sector and industrial properties could pressure short-term operational metrics.
REITs remain a promising avenue for investors seeking income and diversification. They paid strong dividends in 2024 and offer inflation-protected earnings as property values and rents adjust to economic conditions.
Institutional investors increasingly favor REITs because of their operational efficiency, sustainability focus, and innovative strategies. As a result, they are becoming core holdings in real estate portfolios.

Final Thoughts

The positive momentum in the REIT aligns with broader economic shifts. From benefiting from AI-driven demand in data centers to strong fiscal discipline across sectors, REITs are well-positioned for sustained growth.

While vigilance in monitoring economic risks is crucial, 2025 presents an ideal entry point for investors looking to capitalize on REITs’ operational strengths and capital-access efficiencies.

Frequently Asked Questions

How many REITs are there in the USA?

There are approximately 225 publicly traded REITs in the United States, covering various sectors, such as residential, healthcare, and retail properties.

What are the top 5 largest REITs in the US?

The largest REITs by market capitalization include Prologis, American Tower, Crown Castle, Equinix, and Public Storage.

Which country has the most REITs?

The United States leads with the highest number of REITs globally, due to its established real estate market and favorable legislation.

Why REITs are not popular with investors?

Some investors may shy away from REITs due to their tax-advantaged structure, which often results in high dividend payouts and limited capital appreciation compared to other equities.

What is the US largest office REIT?

Boston Properties is considered the largest office REIT in the US, focusing on high-quality office buildings in major metropolitan areas.