A-REIT Survey 2024

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The evolution of Australia's Real Estate Investment Trust (REIT) market

Since the listing of The General Property Trust (now GPT Group) in 1971, Australian Real Estate Investment Trusts (A-REITs) have grown into a key pillar of the public equity markets, offering deep liquidity and investor confidence. Today, A-REITs stand as one of the largest and most significant REIT markets worldwide. 

For 30 years, BDO has been at the forefront of A-REIT market analysis, providing expert insights and in-depth annual reports that have become essential resources for understanding the sector's evolution and trends. 

To mark the 30th edition of BDO’s annual A-REIT survey, we’ve captured the key milestones that have shaped the sector’s development over this time. 


A-REIT Survey 2024

As part of our long-standing commitment to tracking the A-REIT market, this year’s survey offers a comprehensive analysis of how the sector performed over the 2024 Financial Year (FY24), comparing the A-REIT Index to the broader S&P/ASX 200. 

Key takeaways

FY24 saw the A-REIT sector continue its recovery from the impacts of the COVID-19 pandemic. Our analysis reveals that, in FY24, the A-REIT Index outperformed the S&P/ASX 200 Index by a remarkable 12.1 per cent, delivering a total return of 19.9 per cent. While industrial and retail A-REITs achieved positive returns, office and diversified sectors struggled, reporting negative outcomes for the year. 

The A-REIT Index experienced significant fluctuations, including a 5 per cent surge in July 2023 followed by a 16 per cent decline by October 2023, largely driven by rising interest rates and bond yields, with the RBA increasing its cash rate target to a 12-year high. 


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BDO A-REIT Survey Report 2024

Key findings in 2024

A-REIT sector price return

The S&P/ASX A-REIT 200 Index returned 19.9 per cent in FY24, outperformed the broader market Index (ASX 200 Index) by 12.1 per cent by year end. This outperformance was largely bolstered by dovish interest rate expectations, resilience in the property market, and significant gains in the industrial sub-sector.

Figure 1: S&P/ASX A-REIT 200 Accumulation Index VS S&P/ASX 200 Index

S&P/ASX A-REIT 200 Accumulation Index VS S&P/ASX 200 Index

Source: CapitalIQ and BDO analysis

Individual category performance

While industrial and retail sub-sectors outperformed FY23, all other sub-sectors underperformed compared to the previous year, with the office category performing the worst with –18.9 per cent (FY23: -13.9 per cent), followed by diversified with -5.3 per cent (FY23: -4.2 per cent), retail with 6.8 per cent (FY23: -0.8 per cent), and industrial with 69.7 per cent (FY23: 12.4 per cent).

Figure 2: 2024 A-REIT sector price returns

2024 A-REIT sector price returns

Source: CapitalIQ and BDO analysis 

Key themes 

Despite these challenges, FY24 saw the sector stabilise and reveal key areas of strength. Three dominant themes have emerged from our findings, which we expect will continue to shape the performance of A-REITs in the year ahead:

  1. Portfolio optimisation in response to a new economic environment
  2. Growing concerns over refinancing risks
  3. The continued rise of alternative real estate investments like data centres, student accommodation and build-to-rent (BTR).

These trends highlight the adaptability of A-REITs and underscore the ongoing evolution of strategies within the sector as it responds to a shifting market landscape.

For more information on the sector as well as our ranking of the top ten best-performing A-REITs, download the survey. 

FY 24 Top 10 A-REITS

Every year, BDO in Australia provides a ranking of the top ten best-performing A-REITs. For more information about our ranking method, download the survey.


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How BDO can help 

For the past 30 years, BDO in Australia has been dedicated to publishing our annual A-REIT survey. Each year, we deeply value the insights and contributions from REITs across the country, as well as the engagement from our readership. If you’d like to discuss this year’s results or how BDO can support with your own investment journey, contact us today. 

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