Looks like CBL is going nowhere but up and given the continued strength in retail sales and reports out of GGP and Simon that leasing is getting even stronger - next year will be even better - maybe we even see a dividend increase to .25!
David, I would like to agree with you but I am thinking CBL is close to being fully valued. It is 10x FFO. While SPG around 19x FFO, it has better properties, better growth, and lower leverage. Plus, isn't SPG overvalued at this point? Also as price increases, chances of secondary increase. So while I think we get a few more points, I am at least thinking about selling a bit.
Well, I see FFO continuing to increase and with the FED announcing basically zero interest rates and guaranteeing they will be buying at least 500 Billion in MBS... I see our borrowing costs continuing to decline.
I agree that we aren't going to double from here but I see a .25 dividend being very possible next year and see no reason CBL can't accelerate FFO growth in 2013 and 2014 as interest expenses continue to fall. $25 to $27 is very possible IMO.
And if there is an SPG acquisition of GGP (or even just an attempted acquisition) we could see valuations on both CBL and PEI move upwards.