Institutional Investor (April 15)
“Whether passively or actively managed, the REIT industry has not been able to avoid sharp slowdowns every decade or so. In the present downturn, publicly traded REITs can be acquired at a substantial discount to their net asset value. That means it has actually become cheaper to buy real estate through a REIT than to purchase the properties directly.” The sector seems primed for consolidation and “the likely dropouts” include “REITs that took on too much debt when commercial real estate roared ahead and got into trouble when the cycle spun downward.”
Tags: Acquired, Cheaper, Commercial real estate, Consolidation, Cycle, Debt, Discount, Downturn, NAV, Passively. Actively managed, Properties, Real estate, REIT industry, Slowdowns
Bloomberg (February 5)
Slowdowns at West Coast ports have already disrupted the operations of Honda, Subaru, Toyota and McDonalds. Now it looks like the “union-led work slowdowns could shut the U.S. West Coast’s 29 ports in five to 10 days” unless a new contract deal is accepted. Excepting Toyota, all of the mentioned companies have resorted to the expensive airlifting of some cargo.
Tags: Airlifting, Cargo, Honda, McDonald's, Ports, Slowdowns, Subaru, Toyota, U.S., Union, West Coast
