"Our latest 'Stock of the Month' has one of the finest and most dependable dividend streaks you'll ever find," notes Nathan Slaughter.
The editor of Street Authority Market Advisor explains, "Realty Income (O) just recently announced its 488th consecutive monthly dividend, meaning it hasn't missed a payment since 1970.
"That tells me two things. One, the shareholder-friendly management team is committed to returning excess cash to shareholders. Two, it has consistently generated the profits to back up those payments through thick and thin.
real estate investment trust posts
FeedRealty Income (O): 488 Consecutive Monthly Dividends
Continue reading Realty Income (O): 488 Consecutive Monthly Dividends
CoreSite (COR): Total Return from Data Center REIT
"I believe we have a unique opportunity to initiate a new position in a company that is still under the radar of most investors: CoreSite Realty Corp. (COR)," says growth and income specialist Bryan Perry.
The editor of The Cash Machine explains, "CoreSite is structured as a REIT intended to meet the strict needs of the information technology community; it manages more than 2 million square feet of data center space for more than 600 customers.
"Since the company's founding in 2001, CEO Thomas Ray has been in charge of the company's actions. (Before the initial public offering in September, Ray also served as a managing director of The Carlyle Group.)
Continue reading CoreSite (COR): Total Return from Data Center REIT
RioCan REIT: Shopping for Value in Canada's Malls
"RioCan REIT (RIOCF), the owner of high-quality shopping malls across Canada that's used the last two years to dramatically boost its portfolio growth potential," says Canadian trust expert Roger Conrad.
The editor of Canadian Edge explains, "Its 6 percent yield has consistently grown since I first added it to the Portfolio as an original member back in July 2004. And growth is accelerating again as recent investments pay off.
"Even the most conservative investors will find much to like in RioCan's reliability, unrecognized growth potential and 6 percent yield.
Continue reading RioCan REIT: Shopping for Value in Canada's Malls
Health Care REIT (HCN): Defensive Play for Growth and Income
The editor of Income Performance Letter explains, "Aging Americans cannot easily delay seeking necessary medical and living-assistance care, regardless of the economy. So we now recommend Health Care REIT (HCN), a real estate investment trust has some 600 properties that focus primarily on senior housing and health-care properties.
Continue reading Health Care REIT (HCN): Defensive Play for Growth and Income
The right REITs focus on rentals
"Home prices are becoming affordable again, so the decline in prices is likely more than half over," say Dr. Marvin Appel and Gerald Appel of Systems & Forecasts.
Meanwhile, the technical experts believe that long-term investors can now look to get back into the real estate investment market and recommend two ETFs that are based on rental REITs.
"Many analysts do not expect the financial markets to improve significantly until home prices stop falling. The pace of existing home sales remains low, and available inventory relatively high, both indicating that buyers are not yet able to step into the market at current prices.
"However, that could change within a year. Home prices are becoming affordable again, so the decline in prices is likely more than half over.
"The median home price is now more affordable to the median household than at any time since the start of 2004. My analysis suggests that housing prices will have to fall a bit more, but the housing market is not far from being reasonably valued for the first time in five years.
Health Care Properties Inc: A healthy real estate play
But that does not mean windows of opportunity do not exist, and one worth a review is Health Care Properties, Inc..
HCP (NYSE: HCP) is a self-administered real estate investment trust that invests exclusively in health care real estate throughout the United States.
Analysts like HCP's diverse portfolio, investments in life sciences facilities, and overall rental rates. Another positive: analysts like HCP's portfolio footprint, and modest pricing power, which has enabled it to increase both revenue and earnings at a healthy rate, no pun intended. The Reuters F2008/F2009 EPS consensus estimates for HCP are $2.30/$2.45.
Further, although HCP is expected to deliver low-signal-digit net income growth in F2008, there is a sense building in Wall Street circles that both of the above EPS estimates may be a tad low, and assuming that is the case, the time to consider purchasing HCP's shares is now, not after earnings guidance is raised, should that occur.
Continue reading Health Care Properties Inc: A healthy real estate play
Options update: Real Estate Investment Trust volatilities up as Share prices down
General Growth Prop(NYSE:GGP) share price is near its 32-month low. GGP is the 2nd largest U.S. based publicly traded Real Estate Investment Trust with 200 regional shopping malls in 45 states. GGP declared a dividend of $0.50 per share, payable January 31, 2008. GGP February option implied volatility of 57 is above its 26-week average of 37 according to Track Data, indicating larger price risk.
Boston Properties(NYSE:BXP) share price is near its 18-month low. BXP, an owner and developer of office properties in the United States, closed at $85.42. BXP will report Q4 EPS on January 29th. Mortimer Zuckerman is Chairman of the Board of BXP. BXP has a market cap of $10.1 billion with long term debt of $5.4 billion. BXP February option implied volatility of 40 is above its 26-week average of 28 according to Track Data, suggesting larger risk.
Options Update is provided by Stock Specialist Paul Foster of theflyonthewall.com
Short Stories: Is Alesco Financial headed for the dumpster?
Although short selling -- the practice of selling borrowed shares with the hope of repaying the loan by buying back the shares at a lower price -- goes against the American belief that stocks always go up, I have long been fascinated with it. Short Stories discusses what works, what doesn't, and what some of the leading lights in shorting stocks think about its opportunities and threats. I describe possible short trades and seek your comments and questions for story ideas. I don't offer any investment advice and I don't trade on any of the posts I write.
Alesco Financial (NYSE: AFN) looks like it will have trouble coming up with the money to repay its debts. This Real Estate Investment Trust (REIT) uses borrowed money to buy into the alphabet soup of securities -- such as Collateralized Debt Obligations (CDOs) and Mortgage Backed Securities (MBSs) -- that could cost Wall Street up to $400 billion in write-downs. With 22% of its float sold short, many investors have already figured out that Alesco, at $3.28, is on life support. But it pays a 31 cent a share dividend, for a 9% dividend yield -- 36% if it was annualized (but I doubt Alesco will be able to continue to pay it) -- which those short sellers are willing to pay because they think the stock has further to decline.
The question about whether to sell short this stock revolves around whether Alesco can pay off its $11.2 billion in debt. Here are some factors to consider:
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Debt repayment. In its most recent annual report of March 2007, Alesco said it was on the hook to repay $3.6 billion It owed in less than a year and then nothing in the intervening years and in more than five years it would owe $6.8 billion. If it has already paid off the $3.6 billion it could be OK. But its most recent quarterly report said it had $91 million in cash so if it owes more than $91 million in the next few months, it could be in trouble. And it's already dedicated $19 million of that cash to dividends.
Continue reading Short Stories: Is Alesco Financial headed for the dumpster?
Strategic Hotels in play?

Strategic Hotels & Resorts (NYSE:BEE) focuses on operating upscale and luxury hotels and resorts, mostly in North America and Europe. The portfolio has about 20 properties with more than 10,000 rooms, and the company is structured as a real estate investment trust or REIT. According to the company's website, "Our asset management expertise is what truly distinguishes us."
Well, an analyst for Wachovia (NYSE:WB), Jeffrey Donnelly, has published a very favorable report on Strategic Hotels. In fact, he thinks there could even be a buyout, with possible suitors like the Blackstone and Carlyle.
It certainly looks like the fundamentals of Strategic Hotels are perking up. In the fourth quarter, funds from operations and revenue increased from $9.2 million, or $0.17 per share to $20.3 million, or $0.26 per share. Sales increased from $119.7 million to $242.5 million.
And, no doubt, private equity firms have been targeting leisure properties. But this does not mean a deal will necessarily happen.
Also, Donnelly thinks a deal would be valued at $24-$26 per share. Thus, with the stock price currently at $23.51, there's not much upside left.
Tom Taulli is the author of various books, including the Complete M&A Handbook and the EDGAR-Online Guide to Decoding Financial Statements.
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