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Simon property group reit2/18/2024 ![]() Two large US mall owners, Brookfield and Unibail-Rodamco-Westfield, have announced plans to radically reduce exposure to US malls. Unlike a shopping center acquisition, in which SPG can wipe out most of the acquired company's overhead expenses, the synergies aren't visible. SPG did not disclose how much it is investing. Either way you know David has a plan, and I'm interested in seeing it realized for the benefit SPG shareholders! Given SPG's existing assets and healthy financial base this could be just the move to further separate SPG from the pack of other high quality malls owned by undercapitalized players like UWR and MAC. I for one am looking forward to seeing what David and the Jamestown team come up with. in South America, Simon gets access to some proven creative talent and a potential investor base that could partner on some novel projects that may have an eventual home in SPG when proven/stabilized. Despite what appears to be bit of hodgepodge assets of Jamestown esp. This may be the deal that gets the redevelopment pipeline reignited and reinvigorated. If it works (which I suspect it will) it will likely be well worth the price paid, if not it will be a rare miss that likely didn't cost much.Īs the nature of Malls evolves its clear to me that David is looking for "out of the box" thinking from proven entrepreneur/developers on how to really make great places for people to go experience and enjoy and not just shop for things that they may be able to buy online or turn them into big entertainment playgrounds. Given the past retailer investments (SPARC, etc) that everyone second guessed David on and their subsequent tremendous success I'd certainly be willing to bet on David Simon. ![]() ![]() Material for a company the size of Simon is likely a bit subjective but I would think it would have to be greater than a couple hundred million (possibly even $500M) to hit that threshold. Since details of the Jamestown investment weren't disclosed it is probably not deemed a material transaction. This project made a very positive impact to the neighborhood though I'm unfamiliar with the economics. I have been to Chelsea Market (pre-pandemic) and though it's since been sold to Google it is a great project that has a great energy in what was previously a bit of a tough area. What is Simon Property Group Inc.I hadn't previously heard of Jamestown, but from what I understand they have a very good reputation. It is a trending stock that is worth watching. On Stockchase covered Simon Property Group Inc. stock dropping?Įarnings reports or recent company news can cause the stock price to drop.įor help on deciding if you should buy, sell or hold the stock. Read the latest stock experts ratings for Simon Property Group Inc. Read the latest stock experts' ratings for Simon Property Group Inc. The latest stock analyst recommendation is. is a American stock, trading under the symbol The business’s growth outlook is not impressive, and SPG may face potential headwinds for growth due to the transition to e-commerce. ![]() Total debt is around 6.5x times trailing twelve-month cash flow of $3.8B, and cash flow grew slightly around 3% compared to $3.6B last year.īased on consensus estimates, sales are expected to grow by 2% - 3% on average going forward.The company has been resilient and managed to pay predictable dividends.Īlthough the dividend yield looks attractive and would likely be sustainable in the near term, the potential of consistently increasing dividends in a foreseeable future and long-term capital appreciation is not high. The balance sheet is quite leveraged like other REITs, with net debt of $24.8B. The company’s revenue was hit quite hard during the pandemic and SPG’s revenue and EBIT in the trailing twelve-month did not recover to 2019’s levels. SPG is now trading at 17.5x times' Forward P/E. Trevor Rose’s Insights - Trevor’s most-liked answers from 5i Research.
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