We have frequently noted the precarious state of the U.S. mall REITs (see "Myopic Markets & The Looming Mall REITs Massacre" and "Is CMBS The Next "Shoe To Drop"? GGP Sales Suggest Commercial Real Estate Crashing"), but the epic collapse of the Galleria at Pittsburgh Mills paints a uniquely horrific outlook for mall operators. The 1.1 million square foot mall, once valued at $190 million after being opened in 2005, sold at a foreclosure auction this morning for $100 (yes, not million...just $100). According to CBS Pittsburgh, the mall was purchased by its lender, Wells Fargo, which credit bid it's $143 million loan balance, which was originated in 2006, to acquire the property. Pittsburgh Mills mall auctioned off for a hundred bucks. Bid by Wells Fargo which is holding 149 Mill. Debt on mall. — PAUL D. MARTINO (@PMARTKDKA) January 18, 2017 Like many malls around the country, Pittsburgh Mills has suffered the consequences of weak traffic amid tepid demand from the struggling U.S. consumer resulting in massive tenant losses. According to the Pittsburgh Tribune, the mall is only 55% occupied and was last appraised for $11 million back in August. The value of the mall has been plummeting since it opened in July 2005. Once worth $190 million, it was appraised at $11 million in August. The mall has lost a number of key tenants over the years, including a Sears Grand store. The mall's retail space is nearly half empty, with about 55 percent occupied. Of course, New York Fed President Bill Dudley laid out a very compelling case for retailers yesterday if he can just convince American homeowners to commit the same mistakes they made back in 2006 by repeatedly withdrawing all of the equity in their homes to fund meaningless shopping sprees. So it's probably safe to keep buying those mall REITs...afterall those 3% dividend yields are amazing alternatives to Treasuries and you're basically taking the same risk...assuming you overlook the billions of property-level debt that ranks senior to your equity position.
Retail REIT, General Growth Properties, Inc. (GGP), has decided to change its name officially to GGP Inc. effective Jan 27.
DFA Global Real Estate Securities Portfolio (DFGEX) a Zacks Rank #1 (Strong Buy) seeks to achieve exposure to a broad portfolio of securities of U.S. and non-U.S. companies in the real estate industry
Fidelity Real Estate Investment Portfolio (FRESX) a Zacks Rank #1 (Strong Buy) seeks to provide a yield that exceeds the composite yield of the Standard and Poor's 500 Index
On Jan 10, 2017, we issued an updated research report on retail REIT, Simon Property Group, Inc. (SPG).
DFA Real Estate Securities I Fund (DFREX) seeks to achieve long-term capital appreciation
Two days ago, we reported that heading into Christmas, countless "mall brawls" had broken out across America's as last minute holiday shoppers were filmed fighting with each other in shopping malls in New Jersey, Alabama, Georgia and other states for those last minute "holiday cheer" purchases. The videos made for for a very Unmerry Christmas. Now, in the spirit of holiday symmetry, following the one day lull on Christmas Day, the brawls returned on the day after Christmas, with fights, disturbances and false reports of gunfire causing chaotic scenes and shutting down several malls across the United States on Monday, as shoppers scrambled for the best deals in the typically busy post-Christmas shopping day. The first calls from the The Mills at Jersey Gardens came in just after nightfall Monday. Witnesses said they thought they had heard shots fired. That, along with a fight, led to what Elizabeth police Officer Greg Jones described as a "chaotic panic and everybody running all at once." Eight to 10 people suffered minor injuries during a melee in the food court at the Jersey Gardens malls the mayor there said on Twitter. Panic followed when someone shouted "gun," after a chair hit the ground, causing a loud noise in the mall's food court, Elizabeth Mayor Chris Bollwage tweeted. The incident led to a SWAT team with riot shields and body armor raiding the mall, while shoppers either ran or hid in stores. No weapons were found and no-one was arrested. Photos and video clips posted on social media showed heavily armed police officers responding to the incident as shoppers raced to exits and alarms rang out inside the mall. Similar disturbances unfolded across the United States on Monday at malls that were packed with shoppers returning gifts, using gift cards they received over the holiday weekend or simply searching for clearance deals. Many involved calls of shots being fired and youths fighting. It was unclear if the incidents were connected. As Reuters reports, a large fight between teenagers broke out in the food court at the Cross Creek Mall in Fayetteville, North Carolina. Police fielded several unconfirmed reports of shots fired, said a Facebook post by the Fayetteville Police Department, which also said the mall was evacuated. The Cross Creek Mall in Fayetteville, North Carolina, was evacuated as police arrived to break up the fight. Claims were made that shots were fired. "Once people start running in that area or chairs are getting knocked over, tables, that sort of thing, that echoes and it could resemble the sound of a gunshot to a lot of people," he said. Ref Cross Creek Mall. Reported shots fired. Unconfirmed. No shooting victims or property damage. Mall made the decision to evacuate, not PD — Fayetteville Police (@FayettevillePD) December 26, 2016 The Hulen Mall in Fort Worth, Texas, was on lockdown, Fort Worth police said on Twitter. The CBS website there reported that police said officers responded to reports of gunshots but arrived to find that several fights had broken out involving 100-150 people. There were no injuries, police said. Fort Worth Police spokeswoman Tamara Velle said officers initially responded to reported gunfire inside the mall. After breaking up the fights, officers stopped by each store to let people leave while the lockdown remained in effect, KTVT reported. hulen mall wild for this one lmao pic.twitter.com/4rD4ZO5h1H — cyn ???? (@CyNinja) December 27, 2016 At least one fight shut down the Fox Valley Mall in Aurora, Illinois, late on Monday, and police were called to quell the disturbance, the Chicago Daily Herald reported, citing managers of businesses in the building. Online videos showed uniformed personnel directing mall patrons out of the building and customers fleeing down an escalator. Police and mall management could not be reached for comment. Hundreds of people (left) were in the vicinity of a food court brawl (right) in the Fox Valley Mall in Aurora, Illinois. Seven juveniles were arrested in the fight In Memphis, Tennessee, seven people were arrested after incidents at two malls, CNN affiliate WMCA reported. Police said a group started a disturbance in the Wolfchase Galleria food court and started running, which prompted some customers to call 911, according to Fox 13. Cops at Wolfchase Mall in Memphis removed both adults and juveniles. An officer leaves Oak Court Mall in Memphis, Tennesse where police were called after a fight broke out and reports were made of shots being fired. Then a crowd gathered outside Oak Court Mall, about 10 miles west, and started a disturbance, WMCA said. Both malls were cleared and closed early for the night. Visitors to Oak Creek Mall linger in the parking lot outside as police patrol the area The Town Center Aurora in Aurora, Colorado, was also closed early after multiple skirmishes were reported inside the mall, the Aurora Police Department said on Twitter. Teens were tackled by cops at the Aurora Mall in Colorado. There were several large fights 'involving juveniles', cops said Aurora PD spokesman Sgt. Chris Amsler said about 100 people had gathered in the food court before the brawls broke out -- prompting the Colorado mall to close early on Monday afternoon. "(It) kind of morphed into this large disturbance," Amsler said. When off-duty police officers working as security guards tried to break up a fight, people circled the officers, who called for backup, Amsler said. As police officers on duty arrived, fights broke out throughout the mall, at a movie theater and at a nearby park-and-ride lot, he said. He estimated 500 people were involved. Authorities arrested five people, all juveniles, and recovered no weapons, he said. One person assaulted at the park-and-ride lot suffered "significant" injuries and was taken to a hospital, Amsler said. The mall is closing early this evening due to a disturbance. No immediate threats exist. We will open tomorrow at 10 a.m. — Town Center Aurora (@TCAurora) December 27, 2016 In Monroeville, Pennsylvania, seven people were arrested after incidents at two malls, CNN affiliate WMCA reported. Police said a group started a disturbance in the Wolfchase Galleria food court and started running, which prompted some customers to call 911, WMCA said. Then a crowd gathered outside Oak Court Mall, about 10 miles west, and started a disturbance, WMCA said. Both malls were cleared and closed early for the night. Shots were reported in both incidents, but police said they found no evidence of gunfire, WMCA said. No injuries were reported, CNN affiliate WATN said. Police put the Arizona Mills mall in Tempe, Arizona, on lockdown after reports of shots fired inside the shopping center. Two people, including a juvenile, were arrested after two fights broke out at the mall, an ABC affiliate reported. In Beechwood, Ohio, a juvenile was arrested for hitting a police officer after police used pepper spray to break up a fight that started about 6:30pm near a food court. Crowds were seen falling over themselves in a stampede towards the exits at the Beechwood Place mall, which went into lockdown as police investigated. Officers initially responded to the scene for a report of shots fired. Police later confirmed that there were no gunshots. Shoppers rush into a wild stampede at the Beechwood Place Mall after a fight broke out and someone shouted - incorrectly, police said - that a gun had been drawn Fire officials say a man and a police officer were exposed to the pepper spray and received medical treatment. No one else was injured. John Boyd, the 19-year-old who was hit with pepper spray, described the sensation to Cleveland.com. 'My face burned... it went into my skin,' Boyd said. 'My whole body burned.' It wasn't clear what caused the fight, but police told USA Today that the incident had apparently been 'loosely organized on social media'. Finally, a fight at The Shoppes at Buckland Hills mall in Manchester, Connecticut, led to the mall being evacuated around 5:30pm, according to police. Video shows boys throwing swift jabs at one another while other youths crowd around to watch. 'Up to ten' teenagers were involved in the fights, according to police. One police officer was assaulted while trying to break up one of the first fights, authorities said, but didn't seek medical attention. Crowds peered through glass as boys threw punches at one another in The Shoppes at Buckland Hills mall in Manchester, CT. Several boys were arrested There were several hundred teens in the mall when the fights broke out, and several were arrested, Manchester police Captain Chris Davis said on Twitter. There were no weapons involved and no sign that the fight was gang related, police said. It's not known whether the rash of incidents across the country were coordinated in any way, or were just coincidental.
Самый большой и известный в мире биржевой фонд REITов.Краткий обзор VNQФонд инвестирует в акции REITов и компаний, которые покупают офисные здания, отели и другую недвижимость. Цель фонда - близко следовать за результатами индекса MSCI US REIT Index.Доходность фондаНа момент написания поста среднегодовой рост цены за 10 лет составляет 4,56%. Дивиденды за 2016 к цене пая — 4,7%. Если сложить эти цифры, то получится впечатляющая годовая доходность — 9,26% в долларах. При этом дивиденды растут из года в год.Любители сдавать в наем московские квартиры только позавидуют такой доходности.Комиссии0,12% в год. Очень низкая плата. Нельзя даже сравнивать с уровнем комиссий российских ЗПИФов недвижимости (от 2-5% ежегодно + 1,5% надбавка при покупке пая).Финансовые показателиРыночная капитализация — 9,1 млрд. $.С одной стороны, P/E — 28, P/B — 2,3 — достаточно высокие коэффициенты, они показывают переоцененность данного фонда.С другой стороны ставка роста прибылей компаний, входящих в фонд — 17,2% ежегодно, в течение последних 5 лет. Это очень высокая ставка, характерная для активно растущих компаний.Состав активовВ фонд входят 157 акций. Из них:диверсифицированные REITы — 7,3%здравоохранение — 11,9%отели и курорты — 6%промышленные объекты — 6,5%офисы — 13,5%жилые дома — 15,5%торговая недвижимость — 23,2%специализированные — 15,8%Как мы видим, состав портфеля хорошо диверсифицирован.Рассмотрим первые 3 позиции, входящие в фонд.Simon Property Group Inc. - REIT, который реконструирует, владеет владеет и управляет торговыми центрами (110 шт.), премиальными магазинами (17 шт.) и фабричными помещениями (15 шт.). и др. в 35 штатах США и в Пуэрто-Рико.Public Storage - REIT, который владеет и управляет складами для самостоятельного хранения вещей в 9 штатах США. Компания сдает места для хранения в аренду на помесячной основе, как физическим, так и юридическим лицам.Prologis Inc. - компания, которая занимается сдачей в аренду недвижимости для логистических целей в Америке, Европе и Азии. Например, логистический центр в аэропорту Пекина (склады, распределительные центры и т.д.).Рейтинг MorningstarПо рейтингам доходности и риска VNQ - выше среднего.ВладельцыНа 95% владеют паями данного фонда институциональные инвесторы (в большинстве случаев другие фонды, в том числе пенсионные).РезюмеПодведем итог по Vanguard REIT ETF (VNQ) Фонд хорошо диверсифицирован и показывает отличную доходность как от роста цены, так и по дивидендным выплатам. Поэтому в долгосрочной перспективе он может быть рекомендован широкому кругу пассивных инвесторов в качестве инвестиций в недвижимость США.Фонд переоценен по коэффициентам. Это может привести к существенному падению цены его паев. В связи с этим я рекомендую 2 варианта действий:воздержаться от его покупки паев полгода-год до следующей коррекции либокупить небольшую долю в портфель (2-3%), а затем каждые полгода покупать аналогичные доли (если пай упадет, вы усредните цену)Я планирую приобрести данный фонд в свой портфель.Блог о недвижимости.
The Zacks Analyst Blog Highlights: Gilead Sciences, Medtronic, NVIDIA, Accenture and Simon Property
On Dec 9, 2016, we issued an updated research report on Simon Property Group, Inc. (SPG).
Top Research Reports for NVIDIA, Medtronic & Gilead Sciences
Fidelity Series Real Estate Equity F (FREFX) a Zacks Rank #2 (Buy) invests the majority of its assets in stocks of companies principally engaged in the real estate industry
JHFunds2 Real Estate Securities 1 Fund (JIREX) a Zacks Rank #1 (Strong Buy) was incepted in October 2005
Simon Property Group Inc. (SPG) has partnered with Urbanspace, the top market maker in New York City, for a new holiday market during the impending festive season.
Nuveen Real Estate Securities A (FREAX) a Zacks Rank #3 (Hold) seeks to provide above average current income and long-term capital appreciation.
Simon Property Group Inc. (SPG) has agreed to sell three tranches of senior notes totaling $1.85 billion.
On Nov 9, Hospitality Properties Trust (HPT), DiamondRock Hospitality Company (DRH), Global Net Lease, Inc. (GNL) and TIER REIT, Inc (TIER) are slated to release their third-quarter 2016 results.