No. of Recommendations: 9
I had the same thought when I looked at the list. He is not picking based on where the industry is going, which one will be relevant in future, etc...

The way to think of REIT's is long lived assets producing cash flows which will be distributed to shareholders in tax efficient way. If your long-lived assets tail values are very important part of the assumption, otherwise, you are basically returning the capital. From this point of view, the list is pretty under-whelming.

The reason CBL's of the world are trading so low compared to the cash flow is because there are enough investors think the tail value of those assets are severely damaged.
Print the post  

Announcements

When Life Gives You Lemons
We all have had hardships and made poor decisions. The important thing is how we respond and grow. Read the story of a Fool who started from nothing, and looks to gain everything.
Contact Us
Contact Customer Service and other Fool departments here.
Work for Fools?
Winner of the Washingtonian great places to work, and Glassdoor #1 Company to Work For 2015! Have access to all of TMF's online and email products for FREE, and be paid for your contributions to TMF! Click the link and start your Fool career.
Advertisement