This year is setting up to be a “capital constrained” year. That is just a investo-babble term for a year where lending is tight. No matter how you slice it, 2008 is going to be a challenging year economically.
But, many REITs are uniquely positioned to not only weather a tough economic ride but to actually benefit from it.
As a group REIT stocks took a beating in 2007 and for the value investor that means it might be time to start looking at some of them. All of the gloom and doom headlines keep the amateurs away and make them attractive targets for anyone able to correctly value them.
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May 16th, 2008 at 4:13 pm
Tim, when I look at most REITs they still seem depressed to me. Are there some in particular you think we should look at?
May 17th, 2008 at 10:40 am
Ethan, I don’t recommend particular stocks (REITs are stocks) in an open area like this.
In general, the privately traded REITs are doing better than the publicly traded ones. You evaluate the strength of the REIT like you would any other stock.