Is it Wise to Acquire First Industrial Realty Trust (FR) Shares?
Baron Funds, an investment management firm, released its “Baron Real Estate Income Fund” third quarter 2023 investor letter, a copy of which can be downloaded here. In the first nine months of 2023, the Fund has increased 1.20%, outperforming the REIT Index, which declined 2.89%. As of September 30, 2023, the Fund has maintained its top 3% ranking among all real estate funds for its 5-year performance period. Spare some time to check the fund’s top 5 holdings to know more about their top bets for 2023.
In its Q3 2023 investor letter, Baron Real Estate Income Fund mentioned First Industrial Realty Trust, Inc. (NYSE:FR) and explained its insights for the company. Founded in 1993, First Industrial Realty Trust, Inc. (NYSE:FR) is a Chicago, Illinois-based real estate investment trust company with a $5.7 billion market capitalization. First Industrial Realty Trust, Inc. (NYSE:FR) delivered a -11.87% return since the beginning of the year, while its 12-month returns are down by -4.21%. The stock closed at $42.53 per share on October 19, 2023.
Here is what Baron Real Estate Income Fund has to say about First Industrial Realty Trust, Inc. (NYSE:FR) in its Q3 2023 investor letter:
"Though we expect rent growth to moderate from its frenzied pace of the last few years, we remain optimistic about the long-term prospects for industrial REITs. With industrial vacancies at less than 4%, new supply expected to moderate in 2024, rents on in-place leases more than 50% below market, and multi-faceted demand drivers including the ongoing growth in e-commerce and companies seeking to improve inventory supply-chain resiliency by carrying more inventory (shift from just in time to just in case inventory), we believe our investments in industrial warehouse REITs like First Industrial Realty Trust, Inc. have compelling multi-year cash-flow growth runways."
A seasoned real estate professional inspecting a property with the company’s branding in the background. Editorial photo for a financial news article. 8k. --ar 16:9
Our calculations show that First Industrial Realty Trust, Inc. (NYSE:FR) failed to obtain a mark on our list of the 30 Most Popular Stocks Among Hedge Funds. First Industrial Realty Trust, Inc. (NYSE:FR) was in 24 hedge fund portfolios at the end of the second quarter of 2023, compared to 22 funds in the previous quarter. First Industrial Realty Trust, Inc. (NYSE:FR) delivered a -18.02% return in the past 3 months. You can find other investor letters from hedge funds and prominent investors on our hedge fund investor letters Q3 2023 page.
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Disclosure: None. This article is originally published at Insider Monkey.
