According to a recent report from analyst firm BTIG, fourth quarter operating results for the Strip Center sector demonstrated the continued stability of high-quality real estate. However, the company says that volatility in the capital markets and continued negative sentiment has set the sector up for a potentially choppy 2018.
“Overall, we have lowered our growth estimates for the sector to 0.4% this year,” analyst Michael Gorman explains. “We continue to believe that valuations have disconnected from the long-term prospects of the space.”
As for which companies receive the firm’s buy ratings? They point to Kimco Realty, Kite Realty, Regency Centers and Retail Opportunity.
As The REIT Wire recently revealed, Kimco is creating tools to help streamline leasing. The REIT just revealed that a growing consensus of consumers are showing an interest in retail events or experiences, such as pop-up shops, and so they are capitalizing on the trend.
As for the analysts’ neutral ratings? Those were given to Acadia Realty, DDR and Federal Realty.
Check back with The REIT Wire as we continue to closely monitor Q4 2017 and Q1 numbers to come.