One of five retail REITs I’m reviewing today. SPG specializes in Class A regional malls.
With interest rates poised to rest from their recent upward pattern, it looks like retail could come into play. But individual stocks still seem way too dangerous. Gaming the guidance is way too much of a gamble nowadays, and the penalty fro being wrong is brutal. See, e.g., Chico’s FAS and Pacific Sunwear. REITs are a more intriguing play. Most yields are in the 3-5 percent range, the payouts are well covered by funds from operations, and the risks – weak consumer spending that leads to higher occupancy rates and possible distribution reductions, are probably a miod-2007 issue and aren’t likely to detract from the present short-term play.
$86.12 (09/05/06)
