The non-listed REIT sector showed clear signs of stabilization and renewed strength in the fourth quarter, with aggregate net asset value edging higher to $90.2 billion, according to new data from Robert A. Stanger & Company.
While the broader sector remains down 2.7% year over year—largely driven by declines in Lifecycle REITs—NAV REITs posted positive momentum, delivering 2.1% quarter-over-quarter NAV growth and 2.3% year-over-year growth. The gains mark a notable inflection point following a prolonged period of NAV contraction, the firm said in its Q4 2025 edition of The Stanger Report.
Performance data underscored the shift. The Stanger Public NAV REIT Total Return Index rose 2.3% in Q4 and gained 5.8% for full-year 2025, outperforming major public REIT indices, which averaged a 1.7% decline in Q4 and a 2.7% gain for the year. Over the past five years, the index has delivered a cumulative total return of 40.1%, beating diversified listed real estate benchmarks by 5.6% with materially lower volatility.
Reflecting the growing role of private placement vehicles, the report introduced the new Stanger Composite NAV REIT Total Return Index, which includes both publicly registered and private placement NAV REITs. The composite posted a 6.5% trailing 12-month return.
Fundraising trends also strengthened into year-end. Public non-listed REITs raised $5.7 billion in 2025, while private placement REITs collected $9.5 billion, up 80.9% year over year. DST programs raised $8.2 billion, a 45.4% increase. December alone saw $3.7 billion raised across DSTs and non-listed REITs.
“The Q4 numbers confirm that NAV REITs are regaining their footing after a prolonged adjustment period,” said Kevin Gannon, chairman and CEO of Robert A. Stanger & Company. “The funds that held their line are now seeing signs for optimism, with NAV growth returning, redemptions easing, and capital re-engaging.”
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