iREIT Daily

Elon Musk Made a Twit Out of Someone (It’s Just a Matter of Who)

Brad Thomas

467 postsJuly 11, 2022

For months now, the world watched as the world’s wealthiest man went to bat with social media giant Twitter (TWTR).

First Elon Musk – owner of Tesla (TSLA), SpaceX, and the Boring Company – wanted to buy it. But the social media giant didn’t want to be bought.

Then it tried to placate him with a seat on its board, but he didn’t want that.

Then it caved and signed an agreement with him.

Then he accused them of withholding key information about important metrics.

Then…

Need I go on?

In the beginning, Musk promised to unlock Twitter’s full potential to promote free speech and profits. But the tech titan has apparently given up on that intent and is now in the process of terminating the deal.

The Wall Street Journal reports:

“Elon Musk said he is seeking to terminate his $44 billion deal to buy Twitter Inc. nearly two months after saying the deal was ‘on hold’ over his questions about the number of spam and fake accounts on the platform.
“Twitter ‘is in material breach of multiple provisions of that agreement,’ according to a letter from Mr. Musk’s lawyer filed with securities regulators. The letter also accused the company of making ‘false and misleading representations’ when entering into the agreement.”

In a regulatory filing last Friday, Elon claimed Twitter hadn’t delivered the crucial data necessary to assess fake account occurrences. Plus, the filing accused it of making material changes to Twitter without Musk’s consent, such as cutting staff and freezing new hires.

He clearly wasn’t playing around about wanting to verify the authenticity of Twitter’s user base. And I tend to agree with him there.

Investing in any company should always be based on sound fundamentals. So I applaud Musk for demanding a full spectrum account of what his money is really purchasing.

Twitter does not share that opinion, however. It says it will sue if Musk does indeed back out. And it’s “confident we will prevail in the Delaware Court of Chancery,” as Bret Taylor, chairman of the board, tweeted.

This leaves one absolute conclusion amidst a sea of questions…

Whatever happens from here, it will undoubtedly be interesting to watch.

More Non-REIT News to Know About

Jean Madar, founder and chairman of Inter Parfums (IPAR), says he’s done dealing with China.

After spending several months with millions of dollars of his designer perfumes on lockdown in Shanghai, the cologne mogul has made it clear he wants to cut the world’s largest manufacturer out of his earnings equation.

“We’re doing this even though China is way cheaper,” Madar said. “How good is it to have cheaper components when you cannot get them? For a consumer-products company like us, you need to have super stability in supply.”

And it seems more and more companies are coming to the same conclusion according to a recent McKinsey & Co. survey. It indicated that nearly 20% of supply-chain executives returned significant production back to a closer proximity in the past year – double the number from 2021.

Meanwhile, over 30% claimed they added new suppliers in nearby countries, a 15% increase from a year earlier.

At this rate, we might see sweeping changes to the infrastructure of American commerce. In fact, we might see sweeping changes in how the world operates at large.

Could China’s influence be waning? More and more people are saying the answer to that is yes.

The World According to REITs

Plymouth Industrial REIT (PLYM) is a real estate investment trust (REIT) that owns single- and multi-tenant industrial properties. I know I write about it a good bit in this blog, but I’d say there’s good reason for that.

I’ve always admired this Boston-based blue-chip as a power player among the main U.S. industrial, distribution, and logistics corridors. Its fundamentals are rock solid, its performance is steady, and its acquisitions are incredibly strong.

The company just released its Q2 earnings today, including how it acquired five industrial buildings – in Charlotte, Chicago, Cincinnati, Cleveland, and St. Louis – totaling 464,449 square feet for a total of $48.9 million. That’s a weighted average price of $105 per square foot and a weighted average initial yield of 5.7%.

To quote CEO Jeff Witherell:

“The second quarter has closed out as one of the most active leasing periods we have ever had. Throughout our markets, our strategy has been to acquire assets that are well below replacement cost and have significant embedded rent growth. The strong demand we are experiencing for our industrial space, the rent spreads we are achieving, and the record levels of space we are leasing speak to how successful our strategy has been to date.”

This REIT has seen some pretty nice trading activity, up about 2.40% in the last five days. Then again, that does mean it’s about $0.40 over our Buy price.

But if you want to put it on your watchlist, I can’t say I blame you one bit!

Author’s Note: If you do determine this stock is right for you, make sure to purchase it at a smart entry point. Even the best of companies can burn you badly by buying in at inflated prices.

Happy Investing

Brad Thomas

467 posts

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Brad Thomas is Senior Research Analyst at iREIT and CEO of Wide Moat Research LLC. With over 30 years of real estate experience, he is also long-time Editor of Forbes Real Estate Investor, a monthly subscription-based newsletter that dives deep into the vast world of profitable properties, and since 2021, he has served as an adjunct professor at New York University.

Thomas has also been featured on or in Forbes magazine, Kiplinger's, U.S. News and World Report, Money, NPR, Institutional Investor, GlobeStreet, CNN, Newsmax, and Fox. And he was the #1 contributing analyst on Seeking Alpha in 2014, 2015, 2016, 2017, 2018, 2019, 2020 and 2021 based on both page views and number of followers.

Thomas is the recently-published author of The Intelligent REIT Investor Guide (2021), co-author of The Intelligent REIT Investor (2016), and he wrote The Trump Factor: Unlocking The Secrets Behind The Trump Empire (2016) - all available on Amazon.

Thomas received a bachelor of science in business/economics from Presbyterian College and is married with five wonderful kids.

REIT Mutual Fund	Symbol
Alpine Realty Income and Growth Fund	AIGYX, AIAGX
American Century Real Estate Fund	REAIX, REACX, AREEX, AREWX, ARYCX, AREDX
Real Estate Securities Fund	MRESX
AR Capital Real Estate Income Fund	ARIAX, ARICX, ARIPX
AssetMark Real Estate Securities Fund	AFREX
Aston/Harrison Street Real Estate Fund	AARIX, ARFCX
Baron Real Estate Fund	BREIX, BREFX
BlackRock Real Estate Securities	BIREX, BAREX, BCREX
Brookfield U.S. Listed Real Estate Fund	BRUAX, BRUCX, BRUIX, BRUYX
CGM Realty Fund	CGMRX
West Loop Realty Fund	REIIX, REIAX, REICX
Cohen & Steers Institutional Realty Shares	CSRIX
Cohen & Steers Realty Income Fund	CSEIX, CSDIX, CSBIX, CSCIX
Cohen & Steers Realty Shares	CSRSX
Columbia Real Estate Equity Fund	CREAX, CREIX, CRRVX, CRERX, CREEX, CRRFX, CREWX, CRECX, CREBX
Compass EMP REC Enhanced Volatility Weighted Fund	CWRAX, CWRIX, CWRTX, CWRCX
Davis Real Estate Fund	RPFRX, DREYX, DRECX, DREBX
Delaware Real Estate Investment Trust Portfolio II	DPRTX, DPRBX
Delaware Real Estate Investment Trust Portfolio	DPREX, DPRSX, DPRRX, DPRCX
DFA Real Estate Securities Portfolio	DFREX
Dunham Real Estate Stock Fund	DAREX, DNREX, DCREX
DWS RREEF Real Estate Securities Fund	RRRRX, RRREX, RRRAX, RRRSX, RRRBX, RRRCX
DWS RREEF Real Estate Securities Income Fund	REFAX, REFCX, REFIX, REFSX
Eaton Vance Real Estate Fund	EAREX, EIREX
EII Realty Securities Fund	EIIRX
Fidelity Advisor Real Estate Fund	FHEIX, FHEAX, FHETX, FHECX, FHEBX
Fidelity Advisor Real Estate Income Fund	FRIRX, FRIQX, FRINX, FRIOX
Fidelity Real Estate Income Fund	FRIFX
Fidelity Real Estate Investment Portfolio	FRESX
Fidelity Spartan Real Estate Index Fund	FSRNX, FRXIX, FSRVX
Fidelity Series Real Estate Equity Fund	FREDX, FREFX
Fidelity Series Real Estate Income Fund	FSREX, FSRWX
Forward Real Estate Long/Short Fund	KSRYX, FRLSX, FFSRX, KSRAX, KSRCX, KSRBX
Forward Real Estate Fund	FPREX, FFREX, KREAX, KRECX
Forward Select Income Fund	KIFYX, FSIMX, FFSLX, KIFAX, KIFBX, KIFCX
Franklin Real Estate Securities Fund	FREEX, FRLAX, FRRSX, FSERX
GMO Real Estate Fund	GMORX
Goldman Sachs Real Estate Securities Fund	GREIX, GRETX, GREAX, GRESX, GRERX, GREBX, GRECX
Great-West Real Estate Fund	MXREX
Heitman REIT Fund	OARTX, OBRTX
ING Real Estate Fund	CRARX, IREWX, IDROX, CLARX, CRWRX, CRCRX, CRBCX
INVESCO Real Estate Fund	REINX, IARFX, IARIX, IARYX, IARAX, IARRX, IARCX, AARBX
Ivy Real Estate Securities Fund	IRSAX, IREIX, IRSYX, IRSRX, IREEX, IRSCX, IRSBX
John Hancock Real Estate Securities Fund	JIREX
Johnson Realty Fund	JRLTX
J.P.Morgan Realty Income Fund	URTLX, JRIRX, URTAX, URTBX, URTCX
J.P. Morgan Security Capital U.S. Core Real Estate Securities Fund	CEEAX, CEERX, CEEFX, CEESX, CEECX
J.P. Morgan U.S. Real Estate Fund	SUSIX
Lazard U.S. Realty Equity Portfolio	LREIX, LREOX
Lazard U.S. Realty Income Portfolio	LRIIX, LRIOX
Manning & Napier Real Estate Series	MNRIX, MNREX
Morgan Stanley Institutional U.S. Real Estate Portfolio	MSUSX, MUSDX, MSULX, MURSX
Natixis AEW Real Estate Fund	NRFAX, NRFYX, NRFBX, NRFCX, NRFNX
Neuberger Berman Real Estate Fund	NBRIX, NBRFX, NREAX, NRERX, NRECX, NRREX
Nuveen Real Estate Securities Fund	FREAX, FARCX, FRSSX, FREBX, FRLCX, FREGX
Oppenheimer Real Estate Fund	OREAX, OREIX, OREYX, ORENX, OREBX, ORECX
PHOCAS Real Estate Fund	PHREX
PIMCO RealEstateRealReturn Strategy Fund	PRRSX, PETPX, PETAX, PETDX, PETCX, PETBX
Pioneer Real Estate Shares	PWREX, PYREX, PCREX, PBREX
Principal Real Estate Securities Fund	PIREX, PIRPX, PREPX, PRETX, PREJX, PRRAX, PRERX, PRENX, PRAEX, PRCEX, PRLEX
ProFunds Real Estate UltraSector ProFund	REPIX
Prudential Select Real Estate Fund	SREAX
Prudential U.S. Real Estate Fund	PJEAX, PJEZX, PJECX, PJEBX
REMS Real Estate Income 50/50 Portfolio	RREIX
REMS Real Estate Value-Opportunity Fund	HLRRX, HLPPX
Rydex Real Estate Fund	RYREX, RYHRX, RYCRX
SA Real Estate Securities Fund	SAREX
SEI Institutional Mgd Real Estate Fund	SETAX, SEIRX
Spirit of America Real Estate Income & Growth Fund	SOAAX
SSgA Clarion Real Estate Fund	SSREX
Stratton Real Estate Fund	STMDX
T.Rowe Price Real Estate Fund	TRREX, PAREX
TIAA-CREF Real Estate Securities Fund	TIREX, TRRPX, TRRSX, TCREX
Vanguard REIT Index Fund	VGSNX, VGRSX, VGSLX, VGSIX
Virtus Real Estate Securities Fund	PHRAX, PHRIX, PHRCX, PHRBX

REIT ETF	Symbol
Flex Shares	ASET
Wisdom Tree Global Ex-US	DRW
S&P 500 Equal Weight	EWRE
iShares FTSE Industrial/Office	FNIO
MSCI Real Estate Index	FREL
S&P REIT Index	FRI
First Trust S&P REIT	FRI
iShares Real Estate 50	FTY
Flexshares Global	GQRE
iShares Cohen & Streers	ICF
iShares International Developed RE	IFGL
iShares US RE	IYR
Premium Yield Equity REIT	KBWY
ETRACS Monthly Pay 2x Leverage	MORL
Market Vector Mortgage	MORT
iShares Global REIT	REET
iShares FTSE Mortgage	REM
iShares Residential	REZ
IQ US Real Estate Small Cap	ROOF
iShares FTSE NAREIT Retail	RTL
DOW Jones Global RE	RWO
SPDR Dow Jones	RWR
Schwab US REIT	SCHH
Super Dividend REIT	SRET
ProShares Ultra RE	URE
Vanguard REIT	VNQ
Vanguard Global ex-US	VNQI
iShares International Developed	WPS
Wilshire US REIT	WREI
Pacer Benchmark Data & Infrastructure RE	SRVR
Pacer Benchmark Industrial RE	INDS
Pacer Benchmark Retail RE	RTL
Hoya Capital Housing	HOMZ
NetLease Corporate RE	NETL

REIT Name	Ticker	Annual Increases/yr
Federal Realty	FRT	51
Universal Health Realty	UHT	33
National Retail Properties	NNN	29
Realty Income	O	27
Tanger Outlets	SKT	26
Urstadt Biddle	UBA	25
Essex Property Trust	ESS	25
W.P.Carey	WPC	22
National Health Investors	NHI	17
Equity Lifestyle	ELS	15
Digital Realty	DLR	15

Elon Musk Made a Twit Out of Someone (It’s Just a Matter of Who)

Brad Thomas

467 postsJuly 11, 2022

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Elon Musk Made a Twit Out of Someone (It’s Just a Matter of Who)

467 postsJuly 11, 2022

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