Australia’s $190 billion real estate investment trust sector is set to surge higher over the next 12 months as rising rents and falling interest rates drive up earnings, leading global investment managers have forecast.

“We’re expecting 4-5 per cent earnings growth this year and 6-7 per cent next year [for global REITs],” said Steven Rodriguez, vice president and portfolio manager at $US200 ($320 billion) investment giant American Century Investments, which has stakes in Australian REITs Goodman Group and Scentre Group and previously had a stake in Charter Hall Group.