iREIT Daily

This Is No April Fool’s Joke

Brad Thomas

467 postsApril 1, 2021

Quote of the Day:

“I wholeheartedly encourage any steps in the right direction in whatever time frame works for the person on the path.”
– Karen Dawn

(Source: StoryBlocks)

Oh, no he didn’t!

That could be a proper (if not quite professional) response to Elon Musk’s March 30 tweet, which went like this:

“Please consider moving to Starbase or greater Brownsville/South Padre area in Texas & encourage friends to do so!
“SpaceX’s hiring needs for engineers, technicians, builders & essential support personnel of all kinds are growing rapidly.”

Considering his sometimes cult-like fan-base, who knows? He could have just sent Texas’ entire economy into overdrive.

That’s somewhat tongue in cheek, but it is an interesting development nonetheless. Just not interesting enough to make me think the West Coast is going to turn into an uninhabited wasteland any time soon. Not when big-tech is beginning to announce some major office moves:

Microsoft (MSFT) opened its Redmond, Washington, headquarters and nearby buildings on Monday on a come-as-you-want basis.
Amazon (AMZN) told employees on Tuesday that it will be bringing employees back to the office this summer through the fall, if everything goes according to plan.
Facebook (FB) announced it will reopen its Menlo Park office on May 10, with its San Francisco, Fremont, and Sunnyvale offices following behind by mid-June.
Google (GOOG) now says it should be back to normal by the end of September, with “normal” including masks, social distancing, and health surveys – but back in the office nonetheless.

In other REIT-effecting news, Hawaiian Airlines CEO Peter Ingram told Yahoo Finance that:

“… we’ve seen a good uptick in bookings over the last couple of months really. Since the end of January, our domestic U.S. bookings have really started to accelerate. And as we are finishing the month of March, we’ll end up with a load factor in the [60% range of planes being filled]…”

Moreover, he foresees an even better opportunity as we start this new month of ours. “We’re starting to see people optimistic about booking out into later in the second quarter and even into the third quarter.”

Moving right along to the “good news for apartment REITs” category, U.S. housing inventory was at a record low of 1.03 million units at the end of February. Fox Business reported that there are just “not enough homes for sale.” And, “as a result, pending home sales plunged 10.6%” for the month after falling in January as well.

People still want houses, mind you. Those personal properties are still selling like shingled hotcakes. It’s just that there will be many more families who have to put their plans on pause than those who get to realize their version of the American Dream – probably for a while to come.

One last piece of information I’d like to share this morning is admittedly less promising for the REIT community, though only concerning one subsector.

It looks like Uni Global Union, Aviva Investors, and BMO Global Asset Management are targeting private-care nursing home companies and related real estate owners around the world to improve health, safety, and pay conditions for their employees.

I have no word yet that any of the U.S. REITs we cover will be effected by that. But I also don’t have any indication that they won’t get caught up in this push one way or the other. So just recognize that, if they are, those efforts will undoubtedly weigh heavily on their already strained bottom lines.

Let’s just say I don’t envy their positions regardless right about now.

The World According to Commercial Real Estate

Considering how much information I provided up above (where the word count definitely ran longer than usual), I figure why not continue the trend down here with more than your usual three featured REITBeat-compiled headlines?

Today, you get four, you lucky duck. Don’t say I never do anything for you – especially on April Fool’s Day, where I’m not going to even try pulling a single fast one on you.

At least not here. I make no promises elsewhere.

But here, you can hear the truth about how Brookfield Property Partners (BPY) officially came to an announced agreement for its parent company, Brookfield Asset Management (BAM), to purchase it at $18.17 per share. That means the market will soon lose a REIT, but we wish it the best regardless!

The same goes for these companies with their own announcements of various magnitude:

Macerich (MAC) sold its Paradise Valley Mall in Phoenix, Arizona, for $100 million, generating net proceeds of around $95 million. It will retain a 5% joint venture interest in the recently repurposed property.
Rexford Industrial Realty (REXR) purchased five California properties totaling 382,314 square feet for $23.3 million. It also sold one location for $1.5 million.
Empire State Realty Trust (ESRT) closed on an $850 million, four-year, unsecured revolving credit agreement with a group of financial institutions. The transaction, which replaces a previous position scheduled to mature this August, is good through March 31, 2025, with potential extension opportunities written in.

I’d say that’s enough for one day, but we still have to address yesterday’s movers and shakers.

Incidentally, it looks like Tanger Factory Outlet Centers (SKT) stayed off the “Down” list once again. So perhaps the bears have moved on to much more likely prey.

(Source: The Daily REITBeat)

Happy Investing

Brad Thomas

467 posts

View all my Posts

Brad Thomas is Senior Research Analyst at iREIT and CEO of Wide Moat Research LLC. With over 30 years of real estate experience, he is also long-time Editor of Forbes Real Estate Investor, a monthly subscription-based newsletter that dives deep into the vast world of profitable properties, and since 2021, he has served as an adjunct professor at New York University.

Thomas has also been featured on or in Forbes magazine, Kiplinger's, U.S. News and World Report, Money, NPR, Institutional Investor, GlobeStreet, CNN, Newsmax, and Fox. And he was the #1 contributing analyst on Seeking Alpha in 2014, 2015, 2016, 2017, 2018, 2019, 2020 and 2021 based on both page views and number of followers.

Thomas is the recently-published author of The Intelligent REIT Investor Guide (2021), co-author of The Intelligent REIT Investor (2016), and he wrote The Trump Factor: Unlocking The Secrets Behind The Trump Empire (2016) - all available on Amazon.

Thomas received a bachelor of science in business/economics from Presbyterian College and is married with five wonderful kids.

UMH Properties CEO, Sam Landy

REIT Mutual Fund	Symbol
Alpine Realty Income and Growth Fund	AIGYX, AIAGX
American Century Real Estate Fund	REAIX, REACX, AREEX, AREWX, ARYCX, AREDX
Real Estate Securities Fund	MRESX
AR Capital Real Estate Income Fund	ARIAX, ARICX, ARIPX
AssetMark Real Estate Securities Fund	AFREX
Aston/Harrison Street Real Estate Fund	AARIX, ARFCX
Baron Real Estate Fund	BREIX, BREFX
BlackRock Real Estate Securities	BIREX, BAREX, BCREX
Brookfield U.S. Listed Real Estate Fund	BRUAX, BRUCX, BRUIX, BRUYX
CGM Realty Fund	CGMRX
West Loop Realty Fund	REIIX, REIAX, REICX
Cohen & Steers Institutional Realty Shares	CSRIX
Cohen & Steers Realty Income Fund	CSEIX, CSDIX, CSBIX, CSCIX
Cohen & Steers Realty Shares	CSRSX
Columbia Real Estate Equity Fund	CREAX, CREIX, CRRVX, CRERX, CREEX, CRRFX, CREWX, CRECX, CREBX
Compass EMP REC Enhanced Volatility Weighted Fund	CWRAX, CWRIX, CWRTX, CWRCX
Davis Real Estate Fund	RPFRX, DREYX, DRECX, DREBX
Delaware Real Estate Investment Trust Portfolio II	DPRTX, DPRBX
Delaware Real Estate Investment Trust Portfolio	DPREX, DPRSX, DPRRX, DPRCX
DFA Real Estate Securities Portfolio	DFREX
Dunham Real Estate Stock Fund	DAREX, DNREX, DCREX
DWS RREEF Real Estate Securities Fund	RRRRX, RRREX, RRRAX, RRRSX, RRRBX, RRRCX
DWS RREEF Real Estate Securities Income Fund	REFAX, REFCX, REFIX, REFSX
Eaton Vance Real Estate Fund	EAREX, EIREX
EII Realty Securities Fund	EIIRX
Fidelity Advisor Real Estate Fund	FHEIX, FHEAX, FHETX, FHECX, FHEBX
Fidelity Advisor Real Estate Income Fund	FRIRX, FRIQX, FRINX, FRIOX
Fidelity Real Estate Income Fund	FRIFX
Fidelity Real Estate Investment Portfolio	FRESX
Fidelity Spartan Real Estate Index Fund	FSRNX, FRXIX, FSRVX
Fidelity Series Real Estate Equity Fund	FREDX, FREFX
Fidelity Series Real Estate Income Fund	FSREX, FSRWX
Forward Real Estate Long/Short Fund	KSRYX, FRLSX, FFSRX, KSRAX, KSRCX, KSRBX
Forward Real Estate Fund	FPREX, FFREX, KREAX, KRECX
Forward Select Income Fund	KIFYX, FSIMX, FFSLX, KIFAX, KIFBX, KIFCX
Franklin Real Estate Securities Fund	FREEX, FRLAX, FRRSX, FSERX
GMO Real Estate Fund	GMORX
Goldman Sachs Real Estate Securities Fund	GREIX, GRETX, GREAX, GRESX, GRERX, GREBX, GRECX
Great-West Real Estate Fund	MXREX
Heitman REIT Fund	OARTX, OBRTX
ING Real Estate Fund	CRARX, IREWX, IDROX, CLARX, CRWRX, CRCRX, CRBCX
INVESCO Real Estate Fund	REINX, IARFX, IARIX, IARYX, IARAX, IARRX, IARCX, AARBX
Ivy Real Estate Securities Fund	IRSAX, IREIX, IRSYX, IRSRX, IREEX, IRSCX, IRSBX
John Hancock Real Estate Securities Fund	JIREX
Johnson Realty Fund	JRLTX
J.P.Morgan Realty Income Fund	URTLX, JRIRX, URTAX, URTBX, URTCX
J.P. Morgan Security Capital U.S. Core Real Estate Securities Fund	CEEAX, CEERX, CEEFX, CEESX, CEECX
J.P. Morgan U.S. Real Estate Fund	SUSIX
Lazard U.S. Realty Equity Portfolio	LREIX, LREOX
Lazard U.S. Realty Income Portfolio	LRIIX, LRIOX
Manning & Napier Real Estate Series	MNRIX, MNREX
Morgan Stanley Institutional U.S. Real Estate Portfolio	MSUSX, MUSDX, MSULX, MURSX
Natixis AEW Real Estate Fund	NRFAX, NRFYX, NRFBX, NRFCX, NRFNX
Neuberger Berman Real Estate Fund	NBRIX, NBRFX, NREAX, NRERX, NRECX, NRREX
Nuveen Real Estate Securities Fund	FREAX, FARCX, FRSSX, FREBX, FRLCX, FREGX
Oppenheimer Real Estate Fund	OREAX, OREIX, OREYX, ORENX, OREBX, ORECX
PHOCAS Real Estate Fund	PHREX
PIMCO RealEstateRealReturn Strategy Fund	PRRSX, PETPX, PETAX, PETDX, PETCX, PETBX
Pioneer Real Estate Shares	PWREX, PYREX, PCREX, PBREX
Principal Real Estate Securities Fund	PIREX, PIRPX, PREPX, PRETX, PREJX, PRRAX, PRERX, PRENX, PRAEX, PRCEX, PRLEX
ProFunds Real Estate UltraSector ProFund	REPIX
Prudential Select Real Estate Fund	SREAX
Prudential U.S. Real Estate Fund	PJEAX, PJEZX, PJECX, PJEBX
REMS Real Estate Income 50/50 Portfolio	RREIX
REMS Real Estate Value-Opportunity Fund	HLRRX, HLPPX
Rydex Real Estate Fund	RYREX, RYHRX, RYCRX
SA Real Estate Securities Fund	SAREX
SEI Institutional Mgd Real Estate Fund	SETAX, SEIRX
Spirit of America Real Estate Income & Growth Fund	SOAAX
SSgA Clarion Real Estate Fund	SSREX
Stratton Real Estate Fund	STMDX
T.Rowe Price Real Estate Fund	TRREX, PAREX
TIAA-CREF Real Estate Securities Fund	TIREX, TRRPX, TRRSX, TCREX
Vanguard REIT Index Fund	VGSNX, VGRSX, VGSLX, VGSIX
Virtus Real Estate Securities Fund	PHRAX, PHRIX, PHRCX, PHRBX

REIT ETF	Symbol
Flex Shares	ASET
Wisdom Tree Global Ex-US	DRW
S&P 500 Equal Weight	EWRE
iShares FTSE Industrial/Office	FNIO
MSCI Real Estate Index	FREL
S&P REIT Index	FRI
First Trust S&P REIT	FRI
iShares Real Estate 50	FTY
Flexshares Global	GQRE
iShares Cohen & Streers	ICF
iShares International Developed RE	IFGL
iShares US RE	IYR
Premium Yield Equity REIT	KBWY
ETRACS Monthly Pay 2x Leverage	MORL
Market Vector Mortgage	MORT
iShares Global REIT	REET
iShares FTSE Mortgage	REM
iShares Residential	REZ
IQ US Real Estate Small Cap	ROOF
iShares FTSE NAREIT Retail	RTL
DOW Jones Global RE	RWO
SPDR Dow Jones	RWR
Schwab US REIT	SCHH
Super Dividend REIT	SRET
ProShares Ultra RE	URE
Vanguard REIT	VNQ
Vanguard Global ex-US	VNQI
iShares International Developed	WPS
Wilshire US REIT	WREI
Pacer Benchmark Data & Infrastructure RE	SRVR
Pacer Benchmark Industrial RE	INDS
Pacer Benchmark Retail RE	RTL
Hoya Capital Housing	HOMZ
NetLease Corporate RE	NETL

REIT Name	Ticker	Annual Increases/yr
Federal Realty	FRT	51
Universal Health Realty	UHT	33
National Retail Properties	NNN	29
Realty Income	O	27
Tanger Outlets	SKT	26
Urstadt Biddle	UBA	25
Essex Property Trust	ESS	25
W.P.Carey	WPC	22
National Health Investors	NHI	17
Equity Lifestyle	ELS	15
Digital Realty	DLR	15

This Is No April Fool’s Joke

Brad Thomas

467 postsApril 1, 2021

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This Is No April Fool’s Joke

467 postsApril 1, 2021

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