Effect of Lockdowns and Vaccination on REITs return during the COVID-19 Pandemic

Abstract

The Covid-19 pandemic reshaped global financial markets, and Real Estate Investment Trusts (REITs) were no exception. This study examines how Covid-19 policies influenced REIT performance across 10 global markets, focusing on vaccination rates and lockdown restrictions. The findings reveal that while vaccination rates boosted REIT performance, stricter lockdown measures had a significant negative impact. However, when analysed separately, these effects were more pronounced in developed markets, whereas emerging markets exhibited contrasting responses, highlighting variations in economic recovery. By providing a comprehensive analysis across the full sample, developed, and emerging markets, this study provides critical insights into how government interventions shaped REIT market dynamics during the pandemic.