Australian Retail Reits Look 'fair-to-fully Valued'
Dow Jones07-14
2345 GMT - Macquarie views Australian retail Reits as fair-to-fully valued, despite evidence that rents grew in 2Q. It notes that consumer headwinds have stiffened. Macquarie anticipates household spending growth will slow to 1.5% in FY 2027 compared to the prior year. Also, it highlights that the cap rate spread to real bonds is well below historical averages. "And there is pressure on asset values following the increase in real bonds," Macquarie says. It has neutral calls on Region, HomeCo Daily Needs REIT and Vicinity Centres. It retains an underperform call on Scentre. (david.winning@wsj.com; @dwinningWSJ)
(END) Dow Jones Newswires
July 13, 2026 19:45 ET (23:45 GMT)
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