In his report dated Sept 30, Natarajan says that he continues to remain positive on office space utility and viability as a stable real estate asset class, although he acknowledges that macro conditions have “deteriorated”.
RHB Group Research analyst Vijay Natarajan has maintained his “overweight” rating for US office REITs, despite the sector being down 35% year-to-date (ytd) on the back of concerns over empty office buildings, sharp interest rate hikes and fears of a possible deep recession.
In comparison, Singapore REITs (S-REITs), despite concerns of the rate hikes from the US Federal Reserve (US Fed) are 13% lower ytd.
