REITs poised to correct. This one could fall even further.
A colleague of mine recently brought an interesting phenomenon to my attention. REITs and one particular REIT – Simon Property Group (SPG) – have had quite the run in the last few months. The above chart runs from March until today – June 22, 2009. It’s clear to see that REITs as an asset class (using VNQ as a proxy) have rallied in excess of the broad market.
Retailer Steve & Barry's, which recently filed for bankruptcy-court protection, has agreed to be acquired by turnaround specialist Bay Harbour Management for $163 million if a deal on renegotiated leases can be reached.
The offer is a so-called stalking horse bid, which sets a minimum price for a company to be auctioned off under bankruptcy-court supervision.