The Daily REITBeat | Friday, January 24th, 2025

"A Softening Stance?"

Good Morning!

Futures in the red at the time of this writing as talking heads focus on China trade tariffs, dollar/bitcoin pricing, treasuries, earnings and several economic data points coming due today.

From Bloomberg

"Global stocks are ending the week at record highs after President Donald Trump appeared to soften his approach toward tariffs on China. The yen strengthened after the Bank of Japan raised interest rates.
The president said in an interview with Fox News that he would “rather not” use tariffs against the world’s second-largest economy. He has also, so far, held back from imposing tariffs on Europe, though he warned of levies against Canada and Mexico.
Signs that Trump is open to negotiation has helped lift assets around the world under the shadow of a trade war, from stocks to currencies. Emerging-markets currencies are on course for their best week since July 2023. Europe’s benchmark Stoxx 600 index is on track for a fifth weekly advance after hitting a record. The dollar dropped to a one-month low as investors switched to higher-yielding assets.
“It is early days but nothing that President Donald Trump has said or done has caused a bad reaction in financial markets,” said Chris Iggo, chief investment officer of core investments at AXA Investment Managers. “Quite the contrary. It is paying to stay invested.”
US futures slipped 0.2% after the S&P 500 scaled a fresh peak."

In REIT News

Evercore ISI initiates MAA with an Inline rating ($155 price target)
Morgan Stanley upgrades AMH ($40) and MAA ($168) to Overweight from Equalweight
Morgan Stanley downgrades AVB ($223) and INVH ($35) to Equalweight from Overweight
PLYM executed a two-year lease at its 769,500 sf Class A industrial building in the Metro East submarket of St. Louis that commenced on January 15, 2025 noting that the lease is for 600,000 sf during the first year and 450,000 sf during the second year with a major international manufacturing, engineering, and logistics service provider
HPP closed on the sale of a non-core office property, Maxwell, located in the Los Angeles Arts District, for $46.0 million before prorations and closing costs and used net proceeds to repay amounts outstanding on its unsecured revolving credit facility and inclusive of its Foothill Research Center office property which is under contract and expected to close in first quarter of this year, the company will have executed on a total of $93.8 million in non-core asset sales since mid-November last year with additional sales expected to follow
GTY entered into a Third Amended and Restated Credit Agreement with a group of existing and new lenders that increases its senior unsecured revolving credit facility to $450 million noting that the Credit Facility will mature in January 2029, with Company options to extend the maturity date to January 2030, and includes an accordion option that allows the Company to request additional lender commitments not to exceed $300 million plus used the increased capacity provided by the Credit Facility to repay its $150 million senior unsecured term loan that was to mature in October 2025
Yesterday, Moody’s affirmed KIM’s “Baa1” senior unsecured debt rating and backed senior unsecured debt rating for its operating partnership plus affirmed its “(P)Baa1” senior unsecured medium term note program rating and its “Baa2” preferred stock and “(P)Baa2” preferred shelf rating while revising its outlook to positive from stable

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David Auerbach & Mary Jensen

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David Auerbach
dauerbach@irrealized.com
214.492.3777

David Auerbach boasts over two decades of experience in the securities industry, specializing as an institutional trader with a focus on Real Estate Investment Trusts (REITs), Equity and Preferred stocks, MLPs, ETFs, and Closed End Funds.

Based in Dallas, TX throughout his entire career, David currently serves as the Chief Investment Officer for Hoya Capital, managing the Hoya Housing 100 ETF (Ticker: HOMZ) and The High Yield Dividend ETF (Ticker: RIET).

Previously, David held the position of Managing Director at Armada ETF Advisors, the sub-advisor for the Residential REIT ETF (Ticker: HAUS) and The Private Real Estate Strategy via Liquid REITs ETF (Ticker: PRVT). Additionally, he acts as a consultant with IRRealized, LLC, focusing on corporate access in the REIT industry.

David's industry journey includes roles at World Equity Group, Esposito Securities, and Green Street Advisors where he got his start in the REIT industry. At Esposito Securities, he played a crucial role in building the REIT/Real Estate platform and worked extensively with institutional investors, Equity REITs, and ETF issuers.

Throughout his career, David has been quoted by reputable publications such as Bloomberg, WSJ, Financial Times, REIT.com, and GlobeSt.com. He has also made notable appearances as a featured guest on networks like Yahoo Finance, TD Ameritrade, and Bloomberg.

David holds a BBA in Finance from the University of Texas at Austin (May 1999) and an MBA in Finance from Southern Methodist University (May 2005). He maintains FINRA Series 7, 24, 55, and 63 registrations.

In his leisure time, David is an avid traveler, often found crisscrossing the country in pursuit of attending as many Phish concerts as possible.

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