Whilst most ASX 200 blue chips are nursing heavy losses today, REITs are, mostly, on fire. This space is currently one of the best-performing sectors on the ASX, with the S&P/ASX 200 A-REIT Index (ASX: XPJ) up a healthy 1.46% at the time of writing.

What's more, we've seen several real estate investment trusts even clock fresh new 52-week highs today.

Scentre Group (ASX: SCG) units touched a new high of $3.34 this afternoon, and are currently up 1.22% at $3.3 each.

Stockland Corporation Ltd (ASX: SGP) units reached a new high of $4.83 around the same time. Ditto for Centuria Industrial REIT (ASX: CIP), which vaulted up to $3.56 a unit in the past hour.

We've seen similar moves from HMC Capital Ltd (ASX: HMC), Charter Hall Group (ASX: CHC), and Dexus Industria REIT (ASX: DXI).

So how can we explain this apparent stock market paradox?

How are ASX REITs defying the meltdown to hit new highs?

Well, it's fairly difficult to pinpoint what's going on here. There are no obvious catalysts that can explain why investors seem to be flocking out of other ASX 200 shares and into REITs this Friday. Real estate investment trusts are often some of the ASX's most cyclical shares, so it's a real head-scratcher.

There are a couple of things we can point to though.

Firstly, we got some news today out of Bunnings REIT BWP Trust (ASX: BWP).

In January, we covered BWP's bid for fellow Bunnings landlord Newmark Property REIT (ASX: NPR). This bid, consisting of 0.4 BWP units offered for every Newmark unit, saw the Newmark unit price rocket 40% at the time.

Yesterday, BWP announced that it intends to shift its offer to an "unconditional" one as of 21 March, and extended its offer period to 12 April.

Given the rapturous reception of its original offer, it's possible that this news is having an impact on the REIT scene today.

Another factor we can point to is the recent broker love that many REITs have been on the receiving end of.

Earlier this week, my Fool colleague James covered the buy ratings that two different ASX brokers gave to Rural Funds Group (ASX: RFF) and Stockland.

Then last week, my colleague Bronwyn also covered similar buy ratings from different brokers again, this time covering Ingenia Communities Group (ASX: INA), Arena REIT No 1 (ASX: ARF) and Charter Hall Group.

Perhaps these recent and glowing reviews of these ASX REITs have convinced investors of their safe haven potential this Friday.

Whatever the reason for today's market defiance from the ASX REIT space, no doubt its investors will be delighted.

The post How are ASX REITs smashing 52-week highs despite today's market meltdown? appeared first on The Motley Fool Australia.

Among them are four ASX REITs, which have handed down their report cards. Let's see how they performed:

BWP Trust (ASX: BWP)

The BWP share price is up 2% to $3.42. This morning, the Bunnings Warehouse-focused property company reported a 5% increase in revenue to $82.3 million and a modest increase in profits before investment property valuation changes to $57.5 million. This was underpinned by like-for-like rental growth of 4.8%. BWP will be paying an interim distribution of 9.02 cents per unit.

Centuria Industrial REIT (ASX: CIP)

The Centuria Industrial share price is up 1% to $3.35. The industrial property company posted a statutory profit of $12.2 million, compared to a loss of $45.6 million a year earlier. And while Centuria Industrial's funds from operations (FFO) were flat at $54.1 million for the half, the company has increased its FFO per share guidance for the full year to 17.2 cents. It has also reaffirmed its FY 2024 distribution guidance of 16.0 cents per share.

Dexus Industria REIT (ASX: DXI)

The Dexus Industria share price is up over 4% to $2.90. Investors appear pleased with its like-for-like income growth of 7.3%. Management notes that this leaves it "on track to deliver FY24 guidance with HY24 Funds From Operations (FFO) per security of 8.6 cents and distributions of 8.2 cents."

Newmark Property REIT (ASX: NPR)

The Newmark Property share price is up 1.5% to $1.33. It reported a 2.9% increase in operating earnings to $7.2 million thanks to like-for-like income growth of 3.9%. Newmark has also reaffirmed its FY 2024 distribution guidance of 7.6 cents per share. That's if its proposed merger with BWP isn't complete before then. Speaking of which, Newmark advised this morning that it continues to unanimously recommend that shareholders accept the proposal.

The post 4 high-profile ASX REITS charging higher on half-year results appeared first on The Motley Fool Australia.

If you've got a keen interest in Wesfarmers Ltd (ASX: WES), you may be familiar with either the BWP Trust (ASX: BWP) or the Newmark Property REIT (ASX: NPR). Or perhaps both.

Both of these REITs lease land to Wesfarmers.

BWP owns a 73-property portfolio of real estate, with 61 of those properties occupied by Bunnings Warehouses.

Meanwhile, Newmark has a portfolio consisting of nine properties. These are rented out to retailers like JB Hi-Fi Ltd (ASX: JBH), Petstock and Freedom. But 74.1% of the ASX REIT's income comes from Wesfarmers businesses like Kmart, OfficeWorks and Bunnings.

Why is this significant? Well, the big ASX REIT news today is that these two property trusts are merging.

BWP and Newmark to join in an ASX Bunnings REIT mega-merger

In an announcement put out this morning, both REITs confirmed that Newmark was approached by BWP for a full takeover last month.

Today, those details have become public, along with the news that Newmark's independent board committee has unanimously recommended that unitholders accept the latest offer.

That offer is an all-scrip one, with Newmark unitholders to receive 0.4 BWP units for every Newmark unit owned. That implies a valuation of $1.39 per Newmark unit. This, Newmark told investors, represents a whopping 43.1% premium to the 97 cents unit price Newmark units closed at yesterday.

As such, it's no surprise to see Newmark units pop on the share market this Wednesday. At present, the ASX REIT is up a massive 38.66% at $1.34 a unit.

In contrast, the BWP unit price has fallen 1.3% today to $3.42 so far.

Here's some of what Newmark chair Michael Doble told investors this morning:

The Proposal represents a highly attractive offer for NPR securityholders. The consideration reflects a material premium to NPR's trading price and provides an opportunity to participate in a larger merged group with lower gearing, which is particularly compelling given the ongoing elevated interest rate environment and market uncertainty.

After careful consideration, the IBC has concluded that the Proposal is in the best interests of NPR securityholders and unanimously recommends that NPR securityholders accept the BWP takeover offer, in the absence of a superior proposal.

The offer is conditional on 50.1% of Newmark unitholders granting approval for the merger, amongst other conditions. Both ASX REITs have put a 'mid-March 2024' deadline for the offer to close and the merger to proceed.

It's clear who investors think is betting the better deal here, judging by today's REIT unit price movements on the ASX.

The post This ASX Bunnings REIT is rocketing 40% today. Here's why appeared first on The Motley Fool Australia.