The Daily REITBeat | Tuesday, February 18th, 2025

"A Peace Proposal?"

Good Morning!

Futures in the green at the time of this writing as talking heads focus on Russian/US government discussions regarding the Ukraine War along with earnings, commodities/treasuries and a busy economic calendar this week.

From Bloomberg

"Global stocks rose, with Wall Street set for gains, as Russian and US officials met to negotiate an end to the three-year war in Ukraine.
S&P 500 contracts rose 0.3% while those on the Nasdaq 100 edged up 0.4% after Monday’s holiday. In Europe, the Stoxx 600 index held near record highs, with defense stocks such as Rheinmetall AG and Dassault Aviation SA rallying further on expectations that governments will have to ratchet up military spending. A gauge of emerging-market equities hit a three-month high.
The spending concerns weighed on European bonds, however, with German 10-year bund yields — the benchmark borrowing rate for the euro area — touching the highest in more than two weeks. As US Treasuries trading resumed, 10-year yields rose about three basis points.
The moves came as Saudi Arabia hosted talks between Russia and the US, which could pave the way for President Donald Trump and Russia’s Vladimir Putin to meet. Meanwhile, European governments are mulling new defense funding measures ahead of a March 20-21 summit.
“The prospect of the war in Ukraine coming to an end is very positive,” said Tim Graf, head of EMEA macro strategy at State Street Bank and Trust Co. “Underneath it all is defense spending, which will be good for US defense contractors, but also European industrials and defense contractors.”"

In REIT News

Scotiabank upgrades DLR to Sector Outperform from Sector Perform (maintain $208 price target)
BMO upgrades WPC to Outperform from Market Perform (raise price target by $7 to $67)
Yesterday, Morningstar downgraded VTR to Hold from Buy (maintain $70 price target)
CHCT, CSR, GOOD, ILPT, JBGS announce earnings after the close of trading while HR announces tomorrow morning before the open
SBRA announced three promotions within its executive leadership team whereby 1) Lukas Hartwich has been promoted to Executive Vice President – Finance after previously serving as Senior Vice President – Finance; 2) Kara Pappanduros has been promoted to Senior Vice President – Asset Management after previously serving as Vice President – Asset Management; and 3) Anna Mohr has been promoted to Vice President – Human Resources after previously serving as Director – Human Resources
Yesterday, CBL announced that it had closed on the sale of Imperial Valley Mall in El Centro, CA, for $38.1 million in an all-cash transaction where net proceeds from the sale were applied to the term loan principal balance, which after closing, was reduced to $680.3 million
On Friday, TRNO announced that it completed the redevelopment of a property located at 1720 East Garry Avenue in Santa Ana, California on February 13, 2025 noting that the property contains a 92,000 sf rear-load industrial distribution building with ten dock-high and two grade-level loading positions and parking for 145 cars for a total investment of $41.3 million which is LEED Silver certified and 100% leased to a provider of temperature-controlled life sciences supply chain solutions as the estimated stabilized cap rate is 5.1%

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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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