Insights

Our approach is focused on cities we believe are best positioned to benefit from global megatrends

City at sunset
Informed by over 85 years of real estate experience, our approach centers on three core beliefs:

Sector Allocation

Nuveen Global Cities REIT allocates across core private real estate sectors. While diversified across sectors, the team is currently focused on the most dynamic segments of the market: industrial, housing, and alternative real estate. We believe that a number of themes will drive long-term outperformance in these property types. Below are three examples of themes that drive our allocation.

Sector strategy built on megatrends
Insights Industrial power
During the past decade, warehouse facilities have experienced growing demand because they serve multiple purposes in the modern, digital economy. We see potential for continued strength in this sector due to continued e-commerce sales growth, rerouting of goods as global production shifts to new locations, warehousing demand for construction and building materials in the Sun Belt, and the repatriation of manufacturing.
Insights Migration to the Sun Belt
In the U.S. the trend toward the Sun Belt cities has long been in place, but the pace was accelerated by COVID-19. This shift will have implications for real estate values in many sectors, including housing, office, industrial and technology centers.
Insights Health care transformation
We see potential for growth in alternative sectors, including life science facilities focused on medical research and medical offices where patients seek outpatient care. We believe more care will be delivered outside of hospitals in cost-effective settings such as medical offices and, in particular, in medical offices that offer higher acuity services that cannot be delivered via telemedicine.

Selecting the right cities

Our proprietary analysis of more than 4,000 cities has identified the top 2% of those cities that we believe are best positioned to benefit from global megatrends.

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