FTSE350: It remains wise to be selective with Reits

Primary healthcare landlords are also expected to perform well, partly because of a continued need to build healthcare centres which are cheaper to operate and which relieve some of the pressure on conventional A&E departments. The main operators are also expected to benefit from the quality of the revenue stream, with most rents paid for indirectly by the government.

The outlook for office landlords is likely to be influenced mostly by geography. Growth in regions such as Manchester, Birmingham and Leeds is expected to be stronger than in more established areas for office space in London, where valuations have been depressed by Brexit. The big unknown factor here is whether or not these depressed valuations are a sign of weakness to come or whether a favourable outcome to the whole situation could lead to some significant revaluations.

One certainty is that progress in maintaining rental income will depend on how the economy performs. The other certainty is that many retail landlords will continue to face headwinds generated in part by a switch in consumer habits from conventional retail to online shopping, and also by the number of retail chains going bust.

That said, the well-run shopping malls will perform better than most, but only for the more hands-on landlords sensitive to changing trends and tenant requirements. The notable exception is the convenience side, where those outlets specialising in non-discretionary items will perform better.