Rumblings In REITland

After a five-year run in which real estate investment trusts have outperformed virtually every major stock index, REITs now appear vulnerable to pressures from a host of uncertain economic factors. Financial triggers such as interest rates and currency fluctuations, as well as more earthbound considerations such as slow job growth and spiking energy costs could seriously affect earnings growth and property values. Some stocks are likely to suffer setbacks, both from external problems such as investors selling out of high-priced stocks, or from internal issues such as empty buildings.