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3 pts One unique aspect of REITs is that their assets essentially trade in two markets: the stock market fi.e. shares of the REIT) and

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3 pts One unique aspect of REITs is that their assets essentially trade in two markets: the stock market fi.e. shares of the REIT) and the private market (i.e. the properties themselves). Which of the following correctly describes how to analyze and take advantage of that fact? Compute the REIT'S NAV. If the NAV is lower than the stock market value, then the REIT should sell properties and buy shares. Compute the REITs Net Asset Value (NAV). If the NAV is lower than the stock market value, then the REIT should issue shares and buy properties. Compute the REIT's Net Income (NI). If the Ni is lower than the Funds From Operations (FFO), then the REIT should sell properties and buy shares. Compute the REIT's Net Income (NI). If the Nl is lower than the Funds From Operations (FFO), then the REIT should issue shares and buy properties. The relationship between property valuations and stock market valuations is too complex to allow for this type of analysis

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