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Northern-Evergreen t1_j6obuxf wrote

The PE is high, commercial real-estate in the new environment, and interest rates hurting growth. I'm tempted to buy put, but the options seem expensive at the minute.

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clorpussy OP t1_j6ohq5m wrote

You should buy puts... from me. I'll sell you 1,500 at 155 expiring 3/17/23 at $3.90.

Now I know it's undervalued

Interest rates on the rise allow them to raise rates and increase the % of property leased. They are in an amazing position rn. Their interest is mostly fixed rate, meaning other people who enter the space would have to pay higher rates than they will on their "mortgages". Growth is limited for everyone buying property and demand for their space is increasing as less companies will buy with higher rates. All of this will temporarily raise lease rates as well.

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clorpussy OP t1_j6opbxe wrote

They're basically rent triple net to multi-billion dollar pharmaceutical companies. The interest rates going up has a net-neutral effect due to their interest being non variable.

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