M&A Sharks Are Circling Whitestone REIT

Dear Landlords,

I want to extend a warm welcome to all our new members! We recommend that you start by reading our Welcome Letter by clicking here. It explains why we invest in real estate through REITs and how to get started.  

As a reminder, our most recent "Portfolio Review" was shared with the members of High Yield Landlord on July 3rd, 2024, and you can read it by clicking here.

You can also access our three portfolios via Google Sheets by clicking here.

New members can start researching positions marked as Strong Buy and Buy while taking into account the corresponding risk ratings.

If you have any questions or need assistance, please let us know.

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M&A Sharks Are Circling Whitestone REIT

There are risks to a value-based investment approach to REITs, like the one we take here at High Yield Landlord. Our positions in Medical Properties Trust (MPW) and Uniti Group (UNIT) are reminders of this.

But there are also huge potential rewards of a value-based approach to investing in publicly traded REITs as well.

We have established a formula for identifying undervalued REITs with strong assets but also some conspicuous issues that cause them to trade at a discount to peers or to their own net asset value ("NAV").

This is exactly the formula that attracts acquirers: good assets at an impaired valuation.

Though we have certainly endured some painful losses in the past (and learned valuable lessons from them), we believe our overall track record speaks for itself. Many of our biggest winners over the years have come from M&A wherein our holdings were the acquisition target.

Here are some of our buyout winners from the last ~6 years:

Across these 8 acquired REITs, our average total return (for varying periods of time) has been about 53%.

The ability to identify likely buyout prospects and buy shares of them at opportunistic prices has been a big part of our secret sauce at High Yield Landlord.