NEW YORK CITY-The week before last, the Morgan Stanley REIT Index (RMS) hit two all-time highs in one week, and last week it repeated that performance, closing at 415.37 on Thursday and at 416.52 the next day. The previous week’s highs were 405.39 and 409.17. The strong performance of the RMS over the last few weeks has translated into a gain of 13.7% year-to-date while the equity indexes have fared poorly, particularly the Nasdaq, according to figures reported by the Bear Stearns REIT Monitor on Friday. The Dow Jones Industrial Average is off 5.1%, the S&P 500 is down 12% and the tech-heavy Nasdaq has plummeted 24.4% on a total return basis.

For the weeks ending Aug. 8 and Aug. 1, total net outflows from real estate mutual funds amounted to $51 million but that was more than compensated for during the week ending Aug. 15, which saw net inflows of $80 million. It has been almost a year since that much money was invested in these funds in a single week. Increased market values brought their total assets to $12 billion from $11.7 billion the week before.

The Monitor also notes that earnings for most the 103 REITs it tracks “remained solid.” Estimates were met by 48 of them, 36 beat them and 19 missed analysts’ projections. FFO per share growth for the sector overall amounted to 6.7%, up over the consensus expectation of 6.3%. Bear Stearns’ coverage universe saw 5.4% average FFO growth for the quarter, below its forecast of 5.7%.

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