Fitch Publishes REIT Report Quarterly for 3Q'15
On Sept. 14, 2015, Fitch published a special report stating that it expects the acute care hospital industry's consolidation will continue as various secular shifts encourage larger, integrated care delivery systems.
On Sept. 10, 2015, Fitch published its quarterly liquidity report stating that the median liquidity coverage ratio for select U.S. equity REITs is 1.2x for the July 1, 2015 to Dec. 31, 2017 period, down slightly from the three prior comparable timeframes. REITs' cost of debt remains attractive for larger and more seasoned companies; however, average unsecured bond spreads have risen over 25% from the prior year in response to macroeconomic factors.
On Aug. 17, 2015, Fitch published a special report stating that Houston's multifamily market is facing both demand headwinds and a meaningful supply wave. Construction accelerated over the past few years as a result of the strong absolute and relative economic growth and has been unrestrained because of the lack of physical or zoning barriers to entry. Fitch expects REIT operating performance in Houston will vary depending on submarket focus, as construction is concentrated. Supply is focused in the submarkets between and including downtown and northwest Houston
Other items in this edition of Fitch's 'REIT Report Quarterly' include:
--An overview of recent rating actions;
--Summaries of recently published REIT reports and criteria;
--Links to recent Fitch research.