Hotel and Retail REITs extend long-term losses in Q1

The hotel and retail REIT sectors saw the most significant declines in the first quarter as "shelter-in-place" orders have kept customers home during the global coronavirus outbreak. Self-storage, diversified and industrial REITs were among the better, although still negative, sectors.

REITs, often regarded for their bond-like behavior, underperformed broader U.S. equities in the first quarter by more than 3%.

Office REITs fell 27.5% during the quarter, lowering their five-year annualized return to -3.75%. The sector could be in for a slow recovery should companies and employees find value in work-from-home arrangements and demand less office space.