| This dissertation uses standard performance ranking methodology to investigate whether the performance of Real Estate Investment Trusts (REITs) that have chosen to diversify by property type differs from the performance of REITs that have remained more specialized in their property holdings. The introduction of property-type diversification into REIT asset holdings can provide benefits in the form of decreased reliance on rental cash flows from any one industry. However, property-type diversification can potentially lead to decreased performance due to inferior management expertise in each of the chosen property types, as well as to increased management costs associated with closing that expertise gap. |
