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Strategies & Market Trends : Value Investing -- Ignore unavailable to you. Want to Upgrade?

To: Paul Senior who wrote (33723)	3/6/2009 3:30:18 PM
From: E_K_S	Read Replies (1) \| Respond to of 78750

Friday, March 6, 2009 Game Over REITS? S&P Puts Entire Industry On Downgrade Review Posted by Tyler Durden at 10:24 AM zerohedge.blogspot.com S&P just announced it was downgrading Camden Property Trust and First Industrial, and putting nine other REITs on downgrade review including AIV, BRE, Capital Automotive, CLP, DDR, HRP, PLD and UDR... =========================================================== Notice that the headline mentions HRP but in the body of the article they discuss HPT (Hospitality Properties Trust. There is no mention of HRP. There was this news on HRP regarding their Hawaii properties. Posted: Wednesday, March 4th, 2009 12:30 PM HST Bill to curtail commercial rent increases passes By Associated Press HONOLULU (AP) — Legislation that would give businesses that lease commercial property in the Sand Island, Kalihi Kai and Mapunapuna areas some leverage in rent disputes is moving forward in the House. The House Judiciary Committee yesterday approved a bill that would mandate "fair and reasonable" rents when leases are renegotiated. The measure would require arbitrators to consider past negotiating practices, as well as the use and characteristics of the land. More than 180 businesses that lease property in the areas have complained that HRPT Properties Trust, a Massachusetts firm that is Hawaii's biggest industrial landowner, has been pushing exorbitant rent hikes. The measure now goes to the House floor. A companion bill in the Senate is to be considered Thursday. ============================================================ Friday, March 6, 2009 Ex-Damon tenants ask Hawaii Legislature to intervene pacific.bizjournals.com From the article:"...HRPT has sent letters seeking to raise rents from about $4 per square foot per year to $8 to $10 per square foot a year, with a 4 percent annual increase, said Michael Steiner, executive director of Citizens for Fair Valuation, a hui of 22 commercial and industrial Mapunapuna tenants...." The take away I get from this is that their current rents are solid but potential increases may be limited by future arbitration. I do not anticipate any decrease in Hawaii rent rolls which may not be the case for other REIT properties located on the mainland. On any new test of the lows for HRPpB, HRPpC or HRPpD, I am going to load up. EKS