The recovery in South African listed property over the past two years has been nothing short of remarkable. Following the severe valuation compression experienced during the Covid-19 period and the subsequent global tightening cycle, the sector has staged a powerful rebound. The SA All Property Index (ALPI) has delivered a total return approaching 75% over the past two years, while the first two months of 2026 have continued this momentum with the index up roughly 7.78% year-to-date. Market capitalisation across the sector now exceeds R755 billion, and capital market access has improved materially compared with the conditions prevailing between 2020 and 2023. This recovery has been underpinned by a combination of cyclical and structural drivers. Domestically, the easing of load-shedding, moderating inflation and a stabilisation in the political landscape following the 2024 election have improved investor sentiment toward South African assets more broadly. Equally important has been the shift in the global interest-rate environment. After the sharp tightening cycle of 2022-2023, central banks have gradually begun to transition toward easing, reducing the pressure that higher funding costs exert on leveraged real estate balance sheets. The month's gains were broad-based, with only three companies recording negative returns, reflecting improving operational fundamentals across retail, logistics, diversified, and specialist segments alike. Operationally, the sector’s fundamentals have also improved. Retail landlords have seen steady growth in tenant turnover and trading densities, while industrial and logistics portfolios continue to enjoy extremely tight vacancy levels. Balance sheets across most major South African REITs are materially stronger than during the pandemic period, with loan-to-value ratios broadly stabilised in the mid-30% range and interest-rate hedging above 80% across the sector.