How the Removal of Dodd-Frank Could Affect Banks
While the Dodd-Frank Act was passed to avoid another financial crisis, it has crippled banks’ profitabilities over the years due to higher capital requirements.
Interest rates are inversely related to the REIT sector. A rise in interest rates has a two-fold impact on REITs.
In this article, we’ll compare Communications Sales & Leasing with its peers American Tower Corporation, Rayonier, Potlatch, and InfraREIT.
Why Look to REITs for Opportunities?
HEDGING AGAINST INFLATION Property stocks and REITs have often been viewed as inflation hedges because expected inflation will affect prices of real estate, and rental income tends to rise along…
RETURNS AND RISKS OF REITS REIT and property stock performance has been relatively strong over the long term, especially when compared with traditional bond and equity indices. Since 1992, the…
COMPARING DIVIDEND YIELDS ACROSS ASSET CLASSES Since 1999, approximately half of the total return of the Dow Jones U.S. Select REIT Index has come from dividends. During periods of heightened…
Hotel and Mortgage REITs Took a Plunge
Within the iShares US Real Estate ETF (IYR), mortgage and hotel and resort REITs were the worst-performing subgroups of the week.
The industry sentiment is divided when it comes to evaluating the impact of the short interest ratio. Many consider it to be an indicator of bearish sentiment.
Healthcare REITs ended the week of December 31, 2015, as the most valuable subgroup within the iShares US Real Estate ETF (IYR).
How Has Wyndham Worldwide Performed Compared to Its Peers?
Wyndham’s peers have outperformed based on PE and PS. Its ETFs have outperformed based on price movement and PE, but Wyndham is way ahead of its ETFs based on PBV.
Wyndham’s YTD price movement was going down quarter-over-quarter in 2015 until the 3Q15 earnings report. After the report, WYN rose 5.4% to close at $80.64 per share on October 27, 2015.
Global Payments (GPN) has a market cap of $8.3 billion. Global Payments’ YTD (year-to-date) price movement is rising day by day.
The Outlook for Industrial REITs
Industrial REITs are expected to pick up steam as the US economic outlook gradually improves—demand for industrial properties is tied to overall economic growth.
If inflationary pressures cause interest rates to rise, this can sometimes work in favor of owners of warehouses or self-storage facilities. The Federal Reserve raised the interest rates with expectations of stable long-term inflation.
Industrial properties suffered a major setback during the 2008 financial crisis. The vacancy rate for industrial properties increased, and the need for new industrial buildings was close to zero.
Why Did Ginnie Mae TBAs Fall with the Bond Market?
Mortgage REITs such as Annaly Capital Management (NLY), MFA Financial (MFA), and American Capital Agency (AGNC) are big holders of Ginnie Mae TBAs.
For the week ending August 19, Fannie Mae TBAs ended at 103 17/32—down 7 ticks for the week. The ten-year bond yield rose by 7 basis points to 158 basis points.
Mortgage rates and bond yields have shown a weak correlation. Treasury yields have fallen over the past month, while mortgage rates have been steady.
An Insight Into Columbia Property Trust’s Geographic Coverage
Columbia Property Trust operates in 15 major markets, including San Francisco, New York, Washington, D.C., Houston, Atlanta, Los Angeles, and others.
As of 3Q15, Columbia Property Trust’s property portfolio included 41 operational buildings with a rentable commercial space of 13.9 million square feet.
CXP has multi-tenant and single-tenant office properties in industries such as legal services, business services, financial services, utilities, and retail.
Equity Residential’s Management Paints a Bullish Picture for 2016
Equity Residential upwardly revised its guidance for its 2016 same-store operating performance, normalized FFO per share, and some of its transactions.
Equity Residential’s total revenue for 4Q15 stood at $703.2 million, a rise of 5.8% over 4Q14. On a same-store basis, revenues rose 5.2% to $666.4 million.
Equity Residential had a total of 98,200 same-store apartment units in 4Q15 compared to 98,400 units in 4Q14. All the units were same-store apartment units.
General Growth Properties: 13 Analysts Give a ‘Buy’ Rating
On February 3, General Growth Properties’ (GGP) stock closed at $28.10.
General Growth Properties (GGP) management scheduled a conference call to discuss its 4Q15 earnings and provide some outlook on the future.
To lower its effective borrowing costs and extend its maturity profile, GGP was active in unsecured and secured credit markets in fiscal 2015.