3rd Quarter Wrap Up 2018: MegaCities and the Growth of Global Real Estate Companies

“REITs were created in the US after President Eisenhower signed the Cigar Excise Tax Extension of 1960. The law was enacted to give all investors the opportunity to invest in large-scale, diversified portfolios of income-producing real estate in the same way they typically invest in other asset classes – through the purchase and sale of liquid securities. Since then, more than 30 countries around the world have established REIT regimes. A comprehensive index for the REIT and global listed property market is the FTSE EPRA/Nareit Global Real Estate Index Series. As of December 2017, the index included 477 stock exchange listed real estate companies from 35 countries representing an equity market capitalization of about $2 trillion (with approximately 78% of that total from REITs).” ~Wikipedia on “real estate investment trust”

By Catherine Austin Fitts

This week is the final segment of our 3rd Quarter 2018 Wrap Up. On Thursday, I will discuss our theme – “Megacities and the Growth of Global Real Estate Companies.”

The megacities trend has profound implications both for culture and for markets. This trend includes the flow of capital into real estate and the intersection of global equity markets with global real estate development, ownership and management.

Between 1800 and 2000, the global population percentage living in cities grew from 3 to 47. That percentage is likely to continue to rise for some time to come.

The increase in planetary urban density is tied to the growth of the Asian economies and the rise of the Asian middle class. Of 47 current megacities (with populations of 10 million people or more), 30 are in Asia, including 15 in China and six in India.

Our 3rd Quarter 2018 Wrap Up comes with a web presentation and transcripts. This includes our tables of megacities and global real estate companies for your review. Our goal is to ensure you understand the growth of megacities as an important primary trend — with consequences for culture, geopolitics and investment for decades to come.

In Let’s Go to the Movies! I will review one of the choices in our Megacities collection of Documentaries, Movies & TV Shows, Crazy Rich Asians. Set in New York City and Singapore, it tells the story of an immensely wealthy Chinese family who made their fortune in real estate. This movie was first reviewed in our Food for the Soul column.

E-mail or post your questions for Ask Catherine at the Money & Markets commentary here.

Talk to you Thursday!

Related Solari Reports

2016 Annual Wrap Up – The Global Harvest

2nd Quarter 2018 Wrap Up – the Rise of the Asian Consumer

Related Links

Sir James Goldsmiths 1994 Globalization Warning