From the monthly archives:

February 2009

Averting Massive, Sector-Wide REIT Defaults: Non-Traded Equity May Be Part of the Answer

February 28, 2009

REIT stocks are in all sorts of unprecedented trouble. They depend on leverage, and to the extent that it can be had at all, it’s become more expensive and tougher on terms. Consequently, the weighted average cost of capital (debt and equity combined) for REITs will increase by an average by 100-200 basis points, to […]

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REIT Dividends Crumbling With Commercial Real Estate Values

February 22, 2009

There were $16.6 billion in dividend cuts in the S&P in the first quarter, and REIT dividends were not immune as commercial real estate values and NOI came under pressure with rapidly deteriorating economic conditions. Arbor Realty Trust (ABR), iStar Financial (SFI) and Grammercy Capital (GKK) all eliminated their fourth quarter dividends. Click here for […]

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The Best Performing Apartment REIT For 2009

February 8, 2009

Zillow reported that American homes lost about $1.4 trillion in value in the fourth quarter of 2008 alone. This value vacuum is directly connected to the dismal earnings now being reported by Apartment REITs. But first, one amazing factoid: this one quarter decline is more than all of 2007’s losses combined. This was also the […]

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REIT Outlook: 5% More Downside in 2009

February 7, 2009

By now the REIT story is a familiar one. They face a weakening economy, decreasing rents, lower occupancy, great difficulty refinancing old debt and even more difficulty raising new capital of almost any sort. The JP Morgan analyst in this video interview sees at least 5% more downside from here. However, he does like at […]

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REITs Paying Dividends in Stock

February 3, 2009

As 2009 winds on, the list of REIT dividends being paid in stock grows ever longer (Update: CBL says it will resume paying dividends in cash in Q2, SPG says it will resume cash dividends sometime in 2010 and NRF has already done so). Here is a complete, current list, with prices and “yields” updated […]

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