Category Archives: Real Estate

Debt Refinancing Eliminates Risk of Default; But Diversified Healthcare Trust Will Need to Raise Equity Eventually

Diversified Healthcare Trust (DHC) reported 2020 second quarter normalized funds from operations (FFO) (according to my definition) of $52.8 million or $0.22 per share, down 33% from $81.1 million or $0.33 per share in the prior year quarter.  The decline … Continue reading

Posted in DHC, Real Estate | Tagged | Leave a comment

A Weak Second Quarter Should Mark the Bottom for Colony Capital, But Future Dilution is a Key Issue

Colony Capital reported a 2020 second quarter net loss of $2.04 billion or $4.33 per share, compared with a much smaller loss in the prior year quarter.  This year’s loss was driven by $2.0 billion of impairment charges taken across … Continue reading

Posted in CLNY, Real Estate | Tagged , | Leave a comment

Colony Capital: The Big Pivot on Hold

In response to activist pressure precipitated by a deterioration in its financial performance and a steady decline in its stock price, Colony Capital announced in November 2019 a new strategy to focus on growing its Digital Realty and Investment Management … Continue reading

Posted in CLNY, Real Estate | Tagged , , | Comments Off on Colony Capital: The Big Pivot on Hold

After the Quick Rebound, Investors Should Approach Homebuilding Stocks with Caution

Homebuilding stocks have been on a wild ride in 2020.  They boomed from the start of the year, rising 19.1% (according to my index of 11 publicly-traded builders) to February 21, handily beating the 3.0% gain on the S&P 500 … Continue reading

Posted in Consumer Discretionary, Housing, Real Estate | Tagged | Comments Off on After the Quick Rebound, Investors Should Approach Homebuilding Stocks with Caution

DHC Cuts Distribution As It Copes with COVID-19 Fallout

DHC’s share price closed on Thursday (4/9) at $3.51, down 58.4% year-to-date, worse than the peer group average of down 24.7%, but the stock is up from its bottom of $2.00.  Most of the losses for DHC occurred during March. … Continue reading

Posted in DHC, Real Estate | Tagged | Comments Off on DHC Cuts Distribution As It Copes with COVID-19 Fallout

Homebuilder Stocks Fall as Optimism About Global Economic Growth Rises

Homebuilding stocks have been the best performing of the 150-odd sectors in the Dow Jones U.S. Total Market Index, up 44.4% over the past 12 months as of November 8. Last year, they declined sharply in the face of Federal … Continue reading

Posted in Consumer Discretionary, Housing, Real Estate | Tagged , , | Comments Off on Homebuilder Stocks Fall as Optimism About Global Economic Growth Rises

SNH Still Seems Behind Goal on Asset Sales

SNH has set a goal of $900 million in announced or closed asset sales in 2019.  With more than nine months of the year gone, it has completed only $119.1 million in asset sales and has an estimated $125 million … Continue reading

Posted in DHC, Real Estate, SNH | Tagged | Comments Off on SNH Still Seems Behind Goal on Asset Sales

A Reset for Senior Housing Properties Trust

In response to the financial difficulties of its primary tenant, Five Star Senior Living (FVE), Senior Housing Properties Trust (SNH) has been forced to negotiate a change in the structure of their business relationship.  Specifically, SNH has agreed to cancel … Continue reading

Posted in DHC, Real Estate, SNH | Tagged , | Comments Off on A Reset for Senior Housing Properties Trust

The Old and New Five Star

Five Star Senior Living (FVE) and its landlord Senior Housing Properties Trust (SNH) have previously announced a restructuring of their commercial arrangements whereby SNH will cancel the five master leases that cover 181 senior living and skilled nursing facilities currently … Continue reading

Posted in FVE, Real Estate | Tagged , | Comments Off on The Old and New Five Star

A Solid First Half for Housing and the Builders

A typical analysis from policy makers, like the Federal Reserve, points out that activity in the housing market has declined so far this year; but that assertion focuses primarily on housing starts.   A more complete picture from the national data … Continue reading

Posted in Consumer Discretionary, Housing, Real Estate, Uncategorized | Tagged , | Comments Off on A Solid First Half for Housing and the Builders