Doesn't quite make sense. A 'sell' on a REIT that has revenue coming from facilities leases that are not retail establishments, as well as rev from services. May be, but not likely the revenue would be tied to the customer's sales, so it is more 'locked in'. A 'buy' on a REIT that has revenue coming from shopping malls, all retail, and their leasing is totally tied to a pct of sales. So if the consumer drops in sales, that REIT (Simon) will more likely lose revenue.
Business is and will be down worldwide, but PLD is not in those businesses, just leasing them on long term leases with early termination fees.
Totally agree Pad, Simon is doomed. They will not see $100 again for a long time. The fear has folks already downsizing Christmas lists. Granted the lease in a mall is fixed but when the store is "going out of business" they don't care and have already counted the loss from rent. On the other hand, every piece of crap that does get sold (worldwide) most likely spent some time in a PLD center. I would like to know PLD asset value and how it compares to $27.00 a share.
Agree -- PLD is not at all exposed to the risks that their clients are experiencing. Their clients are big, and even if they start to have problems, someone else will be in their place to pickup the space.