watch the xpj

The post below I recently placed on CER thread, but it is appropriate to all listed REITs.
"The XPJ is a measure of Australian Real Estate Investment Trusts. This index peaked around 2600 in Feb 2007, at the start of Jan 2008 it was around 2100, Nov.2008 around 1200 & now sits around 829.
Whilst this fall is significant & many REITs may now represent excellent value, we still have no guarantee the bottom has been reached for REITs.
Falling retail sales leading to tenant vacancies is becoming more of an issue.
Commercial real estate sector still has to deal with deleveraging highly gear balance sheets with plenty of assets for sale.
I believe value is returning to this down beaten sector but it is still too early to be highly committed to REITs because they are still very capable of going lower.
When REITs do bottom they are going to represent a very unique opportunity to investors.
Happy to research this sector but will stay on the sidelines at present awaiting lower bottoms to occur or a sign a bottom has been reached."
Regards
Buffett