Mid-America Apartment Communities: Advantages Being Ignored Amid Supply Glut

Summary

  • Mid-America Apartment Communities is the largest Sunbelt apartment REIT with a well-diversified portfolio and a strong balance sheet.
  • MAA's conservatism in debt management, portfolio growth, and dividend coverage makes it appealing for long-term dividend growth investors.
  • The market's concerns about the wave of new supply in MAA's markets are largely misguided, and the stock price decline presents a buying opportunity.
  • Looking for a helping hand in the market? Members of High Yield Landlord get exclusive ideas and guidance to navigate any climate. Learn More »

U.S. Apartment Rental Prices Decline For Six Months Straight As Supply Rises

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Investment Thesis

Mid-America Apartment Communities (NYSE:MAA) is the largest and arguably strongest Sunbelt apartment REIT with about 102,000 units in the portfolio. This portfolio is well diversified across various types of multifamily communities, including highly amenitized and luxurious apartments appealing to higher

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This article was written by

20.43K Followers

Austin Rogers is a REIT specialist with a professional background in commercial real estate. He writes about high-quality dividend growth stocks with the goal of generating the safest growing passive income stream possible. Since his ideal holding period is "lifelong," his focus is on portfolio income growth rather than total returns.

Austin is a contributing author for the investing group High Yield Landlord, one of the largest real estate investment communities on Seeking Alpha, with thousands of members. It offers exclusive research on the global REIT sector, multiple real money portfolios, an active chat room, and direct access to the analysts. Learn more.

Analyst’s Disclosure:I/we have a beneficial long position in the shares of MAA either through stock ownership, options, or other derivatives. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.

Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.

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