Suju Mukkatira’s Post

Ires Reit Intends to Explore and Evaluate “strategic options,” which may Involve a Sale The declaration comes after Vision Capital, a dissident shareholder, decided to relaunch its effort to force changes to the company’s management, including several board seats Read More:https://cutt.ly/4wJO7IfA #RealEstateNews #StrategicOptions #SalePossibility #FinancialNews 

From the Hindenburg report alleging links between Dhaval Buch, SEBI activity and Blackstone “During Dhaval Buch’s time as senior advisor, while his wife was a SEBI official, Blackstone sponsored Mindspace and Nexus Select Trust, India’s second and fourth REIT to receive SEBI approval to publicly IPO. “Blackstone has been one of the largest investors and sponsors of REITs, a nascent asset class in India. India’s first ever REIT, Embassy, obtained SEBI approval and IPO’ed on April 1st, 2019, sponsored by Blackstone, just 3 months before Dhaval Buch reported joining Blackstone in July 2019. “13 months later, in August 2020, Mindspace REIT, backed by Blackstone, became India’s second REIT to IPO, after SEBI approval. “Blackstone now sponsors Nexus Select Trust, described as India’s largest retail platform of assets, by ICICI Research, which listed in May 2023, and became India’s fourth publicly traded REIT. Blackstone has multiple other interests across retail estate. “During Dhaval Buch’s time as advisor to Blackstone, SEBI has proposed, approved and facilitated major REIT regulations changes. These include 7 consultation papers, 3 consolidated updates, 2 new regulatory frameworks and nomination rights for units, specifically benefiting private equity firms like Blackstone.”

In an end-of-2023 annual report and letter to stockholders, KKR Real Estate Select Trust Inc., a ’40 Act closed-end fund that qualifies for tax treatment as a real estate investment trust, highlighted its 5.78% net distribution rate (for Class I shares) during a year in which real estate performed poorly, as reflected in the fund’s delivery of a -6.25% net total return for the year. Since its inception in 2021, the fund has provided annualized net total returns ranging from 8.9% (Class I shares) to -7.08% (Class S shares).   KKR Ralph Rosenberg Billy Butcher Julia Butler #alternativeinvestments #annualreport #KKRRealEstateSelectTrust #realestateinvestmenttrust #REIT #nettotalreturn

It’s always a useful exercise to compare two REITs to see which makes a better investment choice for yourself. We look at two popular REITs with CapitaLand Investment Limited (SGX: 9CI) as their sponsor - CapitaLand Integrated Commercial Trust (SGX: C38U) and and CapitaLand Ascendas REIT (SGX: A17U). So, which makes the better investment? #betterbuy #REITs #investing #sgxstocks

🏢 Investing.com Exclusive: MCB Real Estate Pursues Acquisition of Whitestone REIT 📈 Key Points: * MCB Real Estate remains determined to acquire Whitestone REIT (NYSE: WSR), despite initial offer rejection. * Offered $14 per share in all cash, a 17% premium over 60-day average and 7% over 52-week high. * WSR Board rejected, citing valuation concerns 🚫💼. 📊 Behind the Scenes Insights: * Exclusive data reveals WSR's stock performance inflated by takeover speculation and MCB's own stock purchases. * MCB currently owns 9.5% of WSR's shares, influencing market dynamics. 💬 MCB's Perspective: * Believes $14/share offer reflects significant premium amidst market conditions. * Urges WSR Board to engage in negotiations for optimal shareholder value 📈💬. 🔄 Market Dynamics: * MCB's persistent stock acquisitions since January position it uniquely for future negotiations. * Speculation remains about potential bid increase from MCB 🤔💼. 🔍 Conclusion: * Industry experts suggest potential for higher bids, impacting WSR's shareholders. * Negotiation could unlock value for all stakeholders involved 💡. https://lnkd.in/gr5StZwB

Capital at risk. As the real estate market experiences renewed investor interest, interactive investor took a look at some of the factors supporting REIT investors like TR Property. Key Takeaways include: - Undervalued opportunities: Many property companies in “good shape” are currently undervalued, presenting a significant opportunity for investors. - Corporate activity: Mergers and portfolio sales within the REIT space highlight narrowing discounts between share prices and NAVs, showcasing real-world property values. - A shift in sentiment: With interest rates falling and property yields becoming more attractive, the long-term value of property investment is looking promising. Check out the full analysis here: https://lnkd.in/esb9D9Rt Approved by Columbia Threadneedle Management Limited on 15/10/2024

As more publicly traded REITs underperform, they become targets for investors seeking a quicker return on their investments. This has been evident with Equity Commonwealth, a small commercial REIT that faced a proxy battle with Jonathan Litt's investment firm, Land & Buildings. A similar scenario is unfolding with Texas-based shopping center REIT Whitestone. Last month, investor Bruce Schanzer and his firm, Erez Asset Management, called for Whitestone to accept an acquisition offer from Fortress Investment Group. Although the board initially rejected the offer, Schanzer publicly criticized the decision, posing several scathing questions to the management team. “Why should Whitestone remain an independent public company, with all the attendant costs, when 'excess' G&A expenses (public company and standalone corporate costs well above other shopping center REITs) are, we estimate, approximately $7-8 million per year and drag earnings down by roughly 15 percent per year?” he asked. He also challenged the company's assertion that its value is higher than the buyout offer: “Presumably, management and the Board feel the intrinsic value of the Company is even higher than the price at which Fortress was prepared to transact. If that is the case, why haven’t you prioritized investing the Company’s capital, or your personal capital, into Whitestone’s undervalued stock?” Additionally, he questioned the composition of the board: “If you were organizing a shopping center REIT like Whitestone today and picking a group of trustees to oversee the strategy and execution of such a business, would you again select a lawyer, a PR professional, an energy executive, an investment banker who specializes in bankruptcy, and a former politician? Why wouldn’t you want at least a few people who have substantial experience owning and operating a portfolio of shopping centers and/or managing a public REIT among those trustees?” Much like Jonathan Litt, Schanzer’s firm owns around two percent of the equity in the REIT. Schanzer also aims to leverage his influence over other investors to force changes on the company’s board. Although neither of these bids has been successful so far, if REITs continue to underperform, we will likely see more activism from investors. If one of these efforts succeeds, it could inspire more investors to seek ways to recover their investments from struggling REITs.

REITs have not had an easy time grappling with the twin headwinds of soaring inflation and elevated interest rates. ESR-LOGOS REIT(SGX: J91U) has bucked this trend and recently announced a major acquisition of two properties in a transaction worth S$772 million. Here are five highlights from this purchase that income investors should take note of. #SGXstock #industrialreit #singaporereits #investing

Chilton Capital Management LLC on The ‘X’ Factor for #REITs 🔍 REIT Outlook: Origin & Evolution: Established in 1960 to democratize real estate, REITs have evolved from trusts to corporations (like Apple and Exxon), gaining favorable tax statuses. 🌐 Capital Allocation: Crucial for REITs, involving decisions on acquisitions, stock transactions, and debt management to enhance value beyond a steady-state portfolio. 📈 💡 Key Points: Cost of Capital: REITs compare their stock price to Net Asset Value (NAV) to gauge whether external growth is beneficial. 💵 Historical Performance: REITs have historically traded at NAV premiums, allowing them to make profitable investments. However, recent trends show shorter periods of NAV premiums. 📊 🔄 Historical Context: The Old Guard (1990’s, 2002–2006): Growth through Acquisitions: REITs raised capital and acquired properties, often at NAV premiums, leading to significant portfolio expansion and returns. 🏢💼 High-Profile Deals: Notable acquisitions include General Growth Properties' purchase of Ala Moana Center and Equity Office Properties' sale to Blackstone. 🏆 2010 – 2024, The Acquisition Ice Age: Market Conditions: REITs faced discounts to NAV, leading to fewer high-profile deals compared to private equity. Despite this, they achieved an annualized total return of +8.1%. 📉 Private Equity Dominance: High-debt ratios gave private equity a cost advantage, leading to public REITs going private. 🏦 🔮 The ‘X’ Factor for the Next Decade: Current Positioning: REITs are well-positioned with disciplined capital allocation and strong balance sheets, ready for potential NAV premiums and acquisition opportunities. 📈 Recent Deals: VICI Properties Inc. and Public Storage made notable acquisitions without raising new equity. 🛠️ Welltower™ Inc. (NYSE:WELL)'s strategic acquisitions have resulted in strong returns. 📈 📈 Future Outlook: Expected Growth: AFFO growth estimates are +5% for 2024, +6% for 2025, and 2026. REITs making strategic acquisitions could boost this growth further. 🚀 Opportunity: Camden Property Trust shows potential for significant returns due to its current discount to NAV and strong growth prospects. 💰 🔍 Conclusion: Anticipating Change: The next cycle may differ from past trends. REITs' strategic management and access to capital position them well for future growth and opportunities in commercial real estate. 🌟 https://lnkd.in/gWnxDTpG

This commentary is just as relevant to real estate as it is to buyout funds. Operating expertise is arguably the most difficult part of the business as you can’t learn it from a book or by building models. You have to actually live with assets to understand how to improve them. #propertymanagement #cre #privateequity https://lnkd.in/gDMS8nRe