REIT deals on the decline

TRD MIAMI /
Feb.February 03, 2010 10:56 AM

While many had hoped that the glut of distressed commercial properties could translate into prime opportunities for real estate investment trusts, experts say that the number of deals being made is actually on the decline, even among those REITs laden with cash. This is due, in part, to property owners’ reluctance to sell off their better assets — especially in a market in which commercial property prices are 35 percent down from their peak. While REITs sold off around $24 billion in new stock in 2009, according to the Wall Street Journal, they only purchased around $6.4 billion in property, marking a 67 percent decline from the previous year’s figure. Stephen Richter, CFO with Weingarten Realty Investors, said that deals are hard to peg. “Today I’m sitting with $125 million in cash that I can’t find investment for,” Richter said. “If I would have known the markets are where they are today, I certainly wouldn’t have sold a third of the company.”


Related Articles

arrow_forward_ios
Jonathan Kalikow and Leonard Tannenbaum

Jackpot: Cannabis REIT has $120M in capital to lend to operators

Jackpot: Cannabis REIT has $120M in capital to lend to operators
2965 West Corporate Lakes Boulevard and Black Creek Group CEO Raj Dhanda (Credit: Google Maps, Blue Vault)

TIAA sells Weston warehouse for $33M

TIAA sells Weston warehouse for $33M
(Illustration by Andrew Colin Beck)

These highly leveraged real estate firms could feel the squeeze in a downturn

These highly leveraged real estate firms could feel the squeeze in a downturn
State report finds open gas valve fueled building explosion at Plantation shopping center

State report finds open gas valve fueled building explosion at Plantation shopping center

State report finds open gas valve fueled building explosion at Plantation shopping center
Bayside Marketplace is planning another high-rise entertainment venue with a view

Bayside Marketplace is planning another high-rise entertainment venue with a view

Bayside Marketplace is planning another high-rise entertainment venue with a view
Construction of downtown Hollywood high-rise may start soon

Construction of downtown Hollywood high-rise may start soon

Construction of downtown Hollywood high-rise may start soon
South Florida firm, partner acquire Tampa office building for $29.4M

South Florida firm, partner acquire Tampa office building for $29.4M

South Florida firm, partner acquire Tampa office building for $29.4M
Developer borrows $105M, breaks ground for mixed-use Flagler Village project

Developer borrows $105M, breaks ground for mixed-use Flagler Village project

Developer borrows $105M, breaks ground for mixed-use Flagler Village project
arrow_forward_ios

The Deal's newsletters give you the latest scoops, fresh headlines, marketing data, and things to know within the industry.

Loading...