In this article, we will take a look at the Top 5 Real Estate and Realty Stocks to Invest In According to Hedge Funds. For a deeper discussion and an expanded list, please see the Top 10 Real Estate and Realty Stocks to Invest In According to Hedge Funds.
5. Mid-America Apartment Communities, Inc. (NYSE:MAA)
Number of Hedge Fund Holders: 47
Mid-America Apartment Communities, Inc. (NYSE:MAA) ranks among the best real estate and realty stocks to invest in according to hedge funds. Citizens maintained a Market Outperform rating and a price target for Mid-America Apartment Communities, Inc. (NYSE:MAA) on June 10, noting better lease traction and operational efforts. According to analyst Aaron Hecht, new rental rates in May 2026 were 210 basis points higher than in the first quarter of 2026, while renewals climbed 140 basis points.
In May, the company used dispositions to buy back $50 million worth of shares, pushing the total amount of retired stock to $123 million year-to-date, roughly 1% of shares outstanding.
Photo by RDNE Stock project on Pexels
According to Citizens, Mid-America Apartment Communities, Inc. (NYSE:MAA) focuses primarily on development rather than acquisition, underwriting to 6% yields on existing rents and beginning work at its recently acquired Kansas City site.
As part of its ReiMAAgine strategy, the company is testing its ReiMAAgined Operating Platform, which uses centralization and AI to minimize staffing requirements and turnover while enhancing leasing and resident happiness.
Mid-America Apartment Communities, Inc. (NYSE:MAA) is a multifamily REIT focused on the ownership, development, redevelopment, acquisition, and management of apartment communities across the Southeast, Southwest, and Mid-Atlantic regions of the United States.
4. Prologis, Inc. (NYSE:PLD)
Number of Hedge Fund Holders: 58
Prologis, Inc. (NYSE:PLD) ranks among the best real estate and realty stocks to invest in according to hedge funds. On June 17, Raymond James renewed coverage of Prologis, Inc. (NYSE:PLD), rating the shares at Market Perform. Analyst David Rodgers mentioned the company’s development into data centers as a growth catalyst in his assessment.
The firm stated that Prologis, Inc. (NYSE:PLD) has a stronger industrial lease pipeline and a solid integrated mark-to-market. Raymond James believes that increased demand from global capital partners will support continuing organic expansion.
In addition, Prologis, Inc. (NYSE:PLD) announced its £12.6 billion ($16.62 billion) buyout offer for Britain’s Segro on June 24. After the warehouse landlord rejected the initial offer, Prologis, Inc. (NYSE:PLD) took the offer public in an attempt to increase pressure on the board to participate.
According to Prologis, Inc. (NYSE:PLD), Segro, which is listed on the FTSE 100, has been trading at a consistent discount to its net asset value and is facing obstacles that keep it from realizing the potential of its development and data center pipeline.
Prologis, Inc. (NYSE:PLD) is a leading global real estate investment trust focused primarily on logistics and industrial properties, owning, operating, and developing approximately 1.3 billion square feet of facilities across 20 countries on four continents.
3. CoStar Group Inc. (NASDAQ:CSGP)
Number of Hedge Fund Holders: 62
CoStar Group Inc. (NASDAQ:CSGP) ranks among the best real estate and realty stocks to invest in according to hedge funds. On June 4, Benchmark began coverage of CoStar Group Inc. (NASDAQ:CSGP) with a Buy rating and a $45 price target. According to analyst Michael Rindos, the stock had plummeted by roughly 50% year-to-date due to worries about the sluggish housing economy, aggressive expenditure at Homes.com, and buzz from activist investors.
The firm thinks the stock has reached its lowest point and is ready to climb again. In the second half of 2026, the residential segment’s AEBITDA is predicted to turn upbeat, while margins are anticipated to grow into 2027.
Additionally, on May 29, CoStar Group Inc. (NASDAQ:CSGP) announced that it had reached an agreement to pay $800 million in cash for Zonda, a supplier of homebuilder software and new house development data.
The deal comprises NewHomeSource and Livabl, two online new house marketplaces in the US and Canada. These platforms display listings from residential builders and offer floor plans, virtual tours, prices, and community information for newly built properties.
CoStar Group Inc. (NASDAQ:CSGP) provides online real estate marketplaces, information, and analytics for the commercial and residential property markets.
2. Equinix Inc. (NASDAQ:EQIX)
Number of Hedge Fund Holders: 65
Equinix Inc. (NASDAQ:EQIX) ranks among the best real estate and realty stocks to invest in according to hedge funds. Following meetings at the Nareit REITweek conference, Stifel reiterated its Buy rating and $1,250 price target for Equinix Inc. (NASDAQ:EQIX) on June 4. The firm stated it is still optimistic about Equinix’s capacity to profit from a faster AI infrastructure cycle. Stifel also stated that enterprise engagement is rising as deployments transition from trials to distributed systems.
According to Stifel, the shift satisfies the need for latency-sensitive operations that benefit Equinix’s sprawling, interconnection-rich architecture. The company continues to operate on an unrestricted development pipeline, aided by utility ties and supply chain management.
In addition, on June 14, Equinix Inc. (NASDAQ:EQIX) revealed a broader partnership with Cisco and NVIDIA to implement AI infrastructure throughout its data center network. By offering standardized AI factory designs and deployment automation services, the company will allow clients to use the Cisco Secure AI Factory with NVIDIA throughout its global data centers.
Equinix Inc. (NASDAQ:EQIX) is a digital infrastructure company. Its platform, Equinix, combines a global footprint of International Business Exchange and xScale data centers, along with interconnection solutions, digital offerings, business & digital ecosystems, and consulting & support services.
1. CBRE Group Inc. (NYSE:CBRE)
Number of Hedge Fund Holders: 65
CBRE Group Inc. (NYSE:CBRE) ranks among the best real estate and realty stocks to invest in according to hedge funds. On June 17, UBS restated its Buy rating and $185 price target for CBRE Group Inc. (NYSE:CBRE) shares following an investor meeting that included CBRE’s CEO, Bob Sulentic, COO Vikram Kohli, and CFO Emma Giamartino. The meeting addressed AI’s potential as a driver of competitive intelligence advantages and efficiency, as well as the booming data center industry.
UBS feels the climate in the second quarter was consistent with CBRE’s predictions. The firm highlighted that valuations have increased dramatically this year.
In addition, on June 23, CBRE Group Inc. (NYSE:CBRE) signed an updated 364-day senior unsecured revolving credit arrangement that provides a $1 billion credit facility to its subsidiary CBRE Services, Inc. The new deal, which matures on June 22, is handled by Wells Fargo and supported by assurances from CBRE Group Inc. (NYSE:CBRE) and certain US companies, bolstering the company’s short-term financing strategy.
CBRE Group Inc. (NYSE:CBRE) provides commercial real estate services and investment solutions in the United States, the United Kingdom, and internationally.
While we acknowledge the potential of CBRE to grow, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than CBRE and that has 100x upside potential, check out our report about the cheapest AI stock.
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