Aug 5 (Reuters) - Simon Property Group ( SPG ) lowered

annual forecast for net income and missed second-quarter

estimates for funds from operations (FFO) on Monday.

Demand for Real Estate Investment Trusts (REITs), like Simon

Property ( SPG ), faltered as inflation-weary consumers kept a tight lid

on spending and pressured expansion plans of real estate tenants

such as restaurants and retailers.

Simon Property ( SPG ) has a diverse portfolio of tenants comprising

apparel giants such as Lululemon, Nike ( NKE ),

restaurants like Cheesecake Factory ( CAKE ) and other luxury

brands.

The commercial REIT now expects annual net income

attributable to shareholders in the range of $7.37 to $7.47 per

share, compared with its prior forecast of $7.38 to $7.53 per

share.

For the quarter, the company reported FFO of $2.90 per

share, below analysts' estimate of $2.94 per share, according to

LSEG data.

The REIT, however, lifted the lower end of its annual FFO

forecast, from the earlier $12.75 to $12.90 per share, to

between $12.80 and $12.90 per share.

It also posted revenue of $1.46 billion in the quarter ended

June 30, compared with analysts' average estimate of $1.30

billion.