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Mike Keogh

Think/US Apartments: Touchdown to healthy long term returns

Henderson has been a long term investor in the US residential market, convinced of the sector’s stable high income led performance and the ability to function robust capital appreciation through good asset management. In recent years, given wider market financial uncertainties and a global hunt for yield, capital allocations to the apartment sector have risen significantly, from a growing pool of investors, attracted by its historic strong return performance. Real Capital Analytics (RCA) recorded US$85bn of transactions in the apartment sector in 2012, exceeding that of the office sector for the first time, with the subsequent improvement in cap rates contributing to the NCREIF Property Index, reporting a sector annual return of 11.2%.​
In our latest "Think" report, Michael Keogh (Senior Investment and Economic Analyst) provides a detailed update on the US Apartments sector.

​Henderson has been a long term investor in the US residential market, convinced of the sector’s stable high income led performance and the ability to function robust capital appreciation through good asset management. In recent years, given wider market financial uncertainties and a global hunt for yield, capital allocations to the apartment sector have risen significantly, from a growing pool of investors, attracted by its historic strong return performance. Real Capital Analytics (RCA) recorded US$85bn of transactions in the apartment sector in 2012, exceeding that of the office sector for the first time, with the subsequent improvement in cap rates contributing to the NCREIF Property Index, reporting a sector annual return of 11.2%.
Read the attached report