Raising A Yellow Flag Over REIT Valuation [View article]
Adam - Uncle Ben testified before Congress today and warned that premature tightening of monetary policy would carry a substantial risk of slowing or ending the economic recovery. His comment that the Fed could prepare to “take a step down” in the next few meetings caused REIT shares to fall...
Good timing on the yellow flag....all REITs but one declined and O declined the most....Brad
Laws Of Cap Rate Compression And Several REITs With Mispriced Risk [View article]
Vincent - Yes. But as a dividend investor, I would also like my dividend to be aligned with the risk of investing. When I say "mispriced risk" I am referring to the fact that MPW is using low cost capital (debt and equity) to acquire lower quality assets (hence the 8% cap rate). As an investor, IMO you are not being adequately rewarded for the risk of investing in lower quality assets. That is why I think the dividend yield for MPW should be something closer to 6% o 7%. By purchasing MPW shares today, you are (IMO) overpaying and not being compensated for the risks of owning assets that are subject to more interest rate risk, etc...Thanks for your question. Brad
I'm Not Gonna Brag, But I Did Recommend STAG [View article]
Rick - Thanks for reading...WPC is trading at a 23x P/FFO multiple....year over year total return is 94% .... very strong management team...perhaps the best performing triple net REIT today...in short, the shares aren't cheap....CSG could represent a good rotation opportunity....I like CSG's young portfolio (vs WPC's more mature portfolio...). But you can't ignore the fact that WPC has a strong track record of paying and increasing dividends....it's hard to beat a track record...Goo luck, Brad
Chambers Street: More Liquidity Magic On The Way In REIT-Dom [View article]
mgordon10 - If it were me, I would put an order in at $9.00 - $9.50. With 247 million or so shares, there will be opportunity...Volume looks good....I will keep you posted..Thanks, Brad
Chambers Street: More Liquidity Magic On The Way In REIT-Dom [View article]
Thanks...I plan to interview Cuneo next week...I will post the article...Keep in mind that CSG is a young portfolio and that makes for nice residual value (as compared with more mature assets with WPC and STAG). Good luck, Brad
Raising A Yellow Flag Over REIT Valuation [View article]
Adam - Thanks for the "shout out". As I alluded to in my article, my biggest issue with GOOD has to do with asset quality and management.....and those 2 happen to be the biggest risks for investors in a market where we are facing uncertainty. IMO, an investor should examine the income fundamentals of GOOD to determine the true risk-adjusted return. I have not spent a lot of time on GOOD's portfolio but what I did see is troubling. Given these 2 noteworthy risks, I cannot even make comparisons with GOOD and O. Most importantly, I could not sleep well at night knowing that my management team has conflicts of interest with no meaningful shareholder alignment. I just spent 2 days interviewing management teams for O, NNN, and others and there is clear support that these internally managed REITs are doing one thing: protecting shareholder money. I will try to put together a detailed "unbiased" article (I know you and Dane are long GOOD) focusing on the risks associated with the underlying portfolio and inherent conflicts associated with GOOD management. Thanks again, Brad
I'm Not Gonna Brag, But I Did Recommend STAG [View article]
Robert - Thanks...I would like to take credit but REITs are just doing a pretty darn good job right now. I'm trying to spend ample time writing about risks because I really want to keep my audience focused on the all important risk control. As always, I'm glad to be of assistance. Brad
Raising A Yellow Flag Over REIT Valuation [View article]
Raising A Yellow Flag Over REIT Valuation [View article]
Good timing on the yellow flag....all REITs but one declined and O declined the most....Brad
If You Are Going To Be A Successful REIT Investor, You Must Go Where The REITs Are [View article]
Picking An All-Star REIT Team To Defend Against Interest Rate Risk [View article]
Laws Of Cap Rate Compression And Several REITs With Mispriced Risk [View article]
I'm Not Gonna Brag, But I Did Recommend STAG [View article]
I'm Not Gonna Brag, But I Did Recommend STAG [View article]
Chambers Street: More Liquidity Magic On The Way In REIT-Dom [View article]
Chambers Street: More Liquidity Magic On The Way In REIT-Dom [View article]
Chambers Street: More Liquidity Magic On The Way In REIT-Dom [View article]
Chambers Street: More Liquidity Magic On The Way In REIT-Dom [View article]
Raising A Yellow Flag Over REIT Valuation [View article]
I'm Not Gonna Brag, But I Did Recommend STAG [View article]
I'm Not Gonna Brag, But I Did Recommend STAG [View article]
I'm Not Gonna Brag, But I Did Recommend STAG [View article]