Constantly hear how retail is dead. The convo needs to be bifurcated by malls, power centers, grocery anchored centers, and single tenant. I'm in agreement we're largely over malled and that some will continue to suffer.

A data guy at heart some ways that I dig deeper.
Let's start by looking at Brixmor, a leader in grocery anchored retail with 70% of their portfolio being grocery anchored.

-3Q20 net effective rent for NEW leases near all time highs
-92% collection (2% being deferrals) and 97% of tenancy open
-91.2% leased compared with 92.4%
this time last year…
Now let's look at Realty Income, a leader in single tenant properties and a portfolio that is 85% retail (based on rev)

-3Q20 occupancy of 98.6% closer to ATH then struggletown
-3Q20 rent collections of 93.6% with a 5.7% exposure to theater's
-94% of tenants open
-page 30 has a great breakdown of bankruptcies…
There's a lot more analysis to be done to be forward looking, but if you're an investor and not monitoring the public reporting from those in your space, you may be missing a treasure trove of great information.

Friendly reminder to think critically as we go into 2021!

• • •

Missing some Tweet in this thread? You can try to force a refresh

Keep Current with Matthew Lasky

Matthew Lasky Profile picture

Stay in touch and get notified when new unrolls are available from this author!

Read all threads

This Thread may be Removed Anytime!


Twitter may remove this content at anytime! Save it as PDF for later use!

Try unrolling a thread yourself!

how to unroll video
  1. Follow @ThreadReaderApp to mention us!

  2. From a Twitter thread mention us with a keyword "unroll"
@threadreaderapp unroll

Practice here first or read more on our help page!

More from @MattLasky

22 Aug
What's to follow is absolutely not investment advice, but a look into how I allocate our personal assets today and likely into the future. This is highly unconventional, but works for us.

At a high level we're between 30-40% of our invested assets in an algorthymetically traded
portfolio that I manage. The remainder is in commercial real estate. I say invested capital b/c I'm somewhat of a "fiscal prepper" and keep about 1.5+ years worth of living expenses in cash at all times.

The algo portfolio trades primarily futures these days and is built on
multiple durations to scale in and out of positions (mainly hourly and daily). The goal here is to really create high prop trading like returns and re-balance them into cash flowing assets annually. Psychology I view this a bit like a VC / swing for the fences bucket. I focus on
Read 8 tweets
21 Apr
In an effort to bring more transparency to CRE, a deal from the trenches:

We bought a half leased medical office building for 55/sf (~1/4th replacement cost) in a prestigious suburb of a declining MSA. Normally we want growth tailwinds but this suburb had been growing and is a
frequent “best places to live” with great schools.

Why’d we buy-
-Able to structure long term sale leaseback from seller (hospital system)
-Huge lot, building had excess land and a great exterior
-Priced as if building was 48k sf when we knew it was 54k sf.

Deal execution-
-Re-parceled land and sold out parcel paying down debt & reducing our basis ~10%
-remodeled lobby to modernize building
-attracted two tenants, one of which full floor user bringing us to 95% occupancy via huge ti package we budgeted in on the front end

Read 5 tweets
13 Apr
1/n) Below is tweet storm of my journey into public market investing/trading, how I learned, and a thank you to those who have helped (direct & indirect) along the way:

It was 3 years ago just before Easter we were on our way to Amsterdam for 10 days (it was a work trip for my
2/n) wife, I invited myself). During the days while she had work and I was working remote, I began my quest to learn about public market investing. Reason is, majority of net worth at the time had been tied up in Commercial Real Estate (co-investing in our investments for my “day
3/n) job”). I felt valuations were beginning to get frothy and wanted diversification/liquidity for the next real estate cycle. Enter reading Security Analysis. Value intuitively made sense. This led me to @PrestonPysh @stig_brodersen , which led me to @Greenbackd work in Deep
Read 21 tweets

Did Thread Reader help you today?

Support us! We are indie developers!

This site is made by just two indie developers on a laptop doing marketing, support and development! Read more about the story.

Become a Premium Member ($3/month or $30/year) and get exclusive features!

Become Premium

Too expensive? Make a small donation by buying us coffee ($5) or help with server cost ($10)

Donate via Paypal Become our Patreon

Thank you for your support!

Follow Us on Twitter!