8% Yielding REITs I Am Buying

Image sources: KKR, VNO, NAREIT, YCHARTS, EPRA, Canva

Important Disclaimer: Leonberg Capital holds positions in KREF-A, VNO-M. This video is impersonal and does not provide individualized advice or recommendations for any specific person. Viewers/readers should not make any investment decision without conducting their own due diligence and consulting their financial advisor about their specific situation. This video is for entertainment purposes only and you are responsible for your own investment decisions. The information is obtained from sources believed to be reliable, but its accuracy cannot be guaranteed. The opinions expressed are those of the publisher and are subject to change without notice. This YouTube channel is managed by Leonberg Research OÜ, a subsidiary of Leonberg Capital OÜ.

#reits #dividend #passiveincome

[LjErickson]

Jussi - your videos are the best! Keep em coming!

[Krautlander]

Got the first KKR preferred under 18$. SL Green was my best buy. Good chances for 8% Yielder with the upside chances.

[ericfrith]

Thanks, Jussi. How are you thinking about the call / YTW t reinvestment risk with the mREIT preferreds, if you don't mind my asking?

[mrb]

They decrease in cost by about that amount every year too! I'm in MORT for 4 years now, currently 11% yield.

[thothiel]

Thank you Jussi. Following the last few weeks in my portfolio I can already see the recovery in the REIT sector starting to play out. Thanks to your ideas I have been able to lock in some nice yields for the future. Please continue your efforts!

[yeladim]

VNO-M: Prefs should trade like a bond - inverse to interest rates, but there is no catalyst for it to trade at par. It also has no pref. dividend protection as in any case there is no common dividend.
ABR-F: Has a catalyst to trade at par, being the interest reset in 2026, leading to a redemption. Has pref dividend protection as they pay a common dividend.
Both have a current yield of ~8%.

[wernerschonenberger]

Hi Jussi! Already mentioned SWATCH GROUP (UHR, SWX) once in a comment. I know it's not your usual "playing field" but this stock heads deeper and deeper into value territory because the value of its big real estate portfolio is exceeding its market capitalization meaning even a "break up"/liquidation would profit the shareholders and there are other "immaterial" values lile the OMEGA and SWATCH brand names. On the negative side we have a CEO/Son of the founder/large stakeholder that hangs up the phone on analysts, some company brands got a little bit "out of fashion" and the laging luxury watch market in China/SE Asia. In my opinion, problems that can and will be solved. I'm writing to you because the RE is the "hidden" value in this company. What do you think?

[Hayekenshort]

Hi Jussi, High yield landlord subscriber here, thks for ur effort nd timely coverage on all ur positions. A question on a singapour reits a friend advised me, Fraser centerpoint ticker J69.USI, hav u considered it ? any other potential singapourean reits u would advise?

[dogwhisperer]

I'm confused. How do you buy KREF.A.

[readyready-uj]

What is the ticker for the VNO preferred shares. Seems like there are many options

[jackvogel]

Is there any common equity left if you assume a default of 50% of their office portfolio with a 50% recovery?

[Tuinman]

Can you make a video for Rick or whitestone?

[davidwysocki]

Thanks, Jussi, for an interesting presentation on these two preferred REIT shares. Good stuff to ponder.

[michaelak]

dont do this to me. lol (doubled by VICI)
FINE, lets roll the vid... (thanks brother)

[cuchulainkailen]

HYL subscriber. For m-REITs you say lower int. rates bad for cash flow but good for property values (so, NAV). ... "I want to believe..."
However, yield curves uninverting + ofc RE defaults in NYC/other + general RE overvaluations ---> recession and lower valuations. No?
Are you discounting other shoes to drop??

[rhjiotq]

What are your thoughts on Mortgage REITs with the Fed potentially lowering rates?

[GeorgeWilliamSinclair]

just sold a property in Portland and I'm thinking to put the cash in stocks, I know everyone is saying its ripe enough, but Is this a good time to buy stocks? How long until a full recovery? How are other people in the same market raking in over $200k gains with months, I'm really just confused at this point.

[MarijkeWillemsen]

Thanks! I appreciate very much that you discussed preferreds! I hope you will do more, also the floating ones.