The earnings growth of these US REITs has absolutely skyrocketed under the Obama Administration.
For the most recent fiscal year 2011, these 28 US REITs registered Total Pretax Income of $5.2 bil, which was an increase of a very robust 42% over 2010, and an increase of an much more robust 156% over 2009.
In deriving Pretax Income, I start with Pretax Income or Pretax Loss under Generally Accepted Accounting Principles (GAAP), and then exclude several clearly unusual very large items relative to Pretax Income, such as Asset Impairment Charges and Gains/Losses on Debt Retirements.
Clearly, the Obama Administration has created a US economic environment which has permitted these US REITs to flat out flourish.
I do think Energy Secretary Steven Chu is spot on when he talks about the importance to the country of the key highly incentivized tax incentives that REITs have to make energy efficient building retrofit investments in 2012.
Below here is the Pretax Income and Pretax Losses of these 28 US Big REITs for each of the most recent three years.
| Obama | |||||
| Bump | |||||
| PTI | PTI | ||||
| 1 Year | 2 Year | ||||
| PTI(L) | PTI(L) | PTI(L) | % | % | |
| 2011 | 2010 | 2009 | Change | Change | |
| mils $s | mils $s | mils $s | |||
| REITs | |||||
| Simon Property Group | 951 | 717 | 612 | 33% | 55% |
| Public Storage | 774 | 693 | 697 | 12% | 11% |
| HCP | 645 | 376 | 278 | 72% | 132% |
| Vornado Realty | 604 | 562 | 119 | 7% | 408% |
| Boston Properties | 314 | 278 | 263 | 13% | 19% |
| Ventas | 310 | 254 | 211 | 22% | 47% |
| Rayonier | 306 | 233 | 154 | 31% | 99% |
| Health Care REIT | 226 | 156 | 170 | 45% | 33% |
| Hospitality Properties | 208 | 193 | 148 | 8% | 41% |
| Plum Creek Timber | 192 | 203 | 205 | -5% | -6% |
| AvalonBayCommun | 166 | 104 | 125 | 60% | 33% |
| Digital Realty Trust | 158 | 106 | 91 | 49% | 74% |
| Realty Income | 153 | 122 | 120 | 25% | 28% |
| CBL&AssociatesProp | 146 | 125 | 106 | 17% | 38% |
| Senior Housing Prop | 145 | 129 | 129 | 12% | 12% |
| Weyerhaeuser | 144 | 87 | (855) | 66% | 117% |
| AlexandriaRealEstate | 143 | 124 | 124 | 15% | 15% |
| SL Green Realty | 136 | 142 | 67 | -4% | 103% |
| Federal Realty Trust | 132 | 126 | 117 | 5% | 13% |
| LibertyPropTrust | 132 | 125 | 125 | 6% | 6% |
| PiedmontOfficeRealty | 90 | 112 | 63 | -20% | 43% |
| Host Hotels & Resorts | (13) | (159) | (236) | 92% | 94% |
| Duke Realty | (60) | (32) | (5) | -88% | -1100% |
| Strategic Hotels | (76) | (104) | (136) | 27% | 44% |
| UDR | (111) | (114) | (79) | 3% | -41% |
| ApartmentInvestmMgt | (135) | (167) | (207) | 19% | 35% |
| Prologis | (169) | (309) | (95) | 45% | -78% |
| GenGrowthProperties | (299) | (403) | (279) | 26% | -7% |
| Total all 28 | 5,212 | 3,679 | 2,032 | 42% | 156% |
