doesn't this portfolio have a large percentage of 84 lumber stores. I have been surprised for about 20 years what keeps that firm in business. those sparse lots would be hard to redeploy if 84 lumber fades away. I want to get out of Cole II as soon as there is a way to do so
84 Lumber represents about 6.5% of SRC's annual rent (although Shopko provides the lion's share, around 30%). I'm not familiar with 84 Lumber, can you be more specific as to why you question their business model?
REIT's as a group are down around 11% from recent peaks, and SRC is down about 20%, not sure why. As it relates to the entire sector,I think the market's anticipation of higher interest rates because of Fed "tapering" is misplaced and temporary. Weakness in the economy will trump anything the Fed is doing over the longer term, and we still have a weak economy. REIT's and thus SRC should benefit as reality sets in, and interest rates begin to creep back downward (as they've done the last few trading days).
Speaking with Cole on Friday they are not saying publicly but with a wink wink I believe it is this week, they said first half of July 2013, that is ending tomorrow, do not be surprised if it is one day this week