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Politics : Welcome to Slider's Dugout -- Ignore unavailable to you. Want to Upgrade?

To: maxncompany who wrote (469)	8/23/2005 6:48:26 PM
From: panning4gold	Respond to of 50652

Just found this ... possible Condo REIT candidates. suite101.com Is there a "bubble" in the national housing market? Our discounted cash-flow work further supports the thesis that houses— or at least condos— have reached overheated prices. There's only a handful of REITs that we believe are worth less under the discounted cash-flow approach than under the NAV. But the three firms with the biggest drops in fair value all run apartment complexes: Equity Residential EQR, BRE Properties and Apartment Investment and Management AIV. What's the reason for this? Apartments are fetching such high prices as condo conversions that it's highly unlikely that these firms can generate enough cash flows from the properties they own— or through other efforts of management— to justify not liquidating their balance sheets. We've given apartment firms some credit for the steps they are taking to sell off properties at high market prices, but none so far have announced plans to sell off every last unit and ride off into the sunset.