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

To: Spekulatius who wrote (55280)	5/4/2015 10:03:20 AM
From: Grommit	Respond to of 78715

STAG -- that statement seems ridiculous. same for mentioning that their deal pipeline is larger than their existing base. but their debt is low and things seem under control now. yes - something to watch. DRE targets indust buildings of the same large size as STAG. I like that dre's buildings are much newer than stag's, but i'm not sure that age is the key factor in industrial buildings / warehouses.

To: Spekulatius who wrote (55280)	5/4/2015 11:15:16 AM
From: Grommit	Respond to of 78715

STAG -- this was just issued and they mention a few points -- Fitch Ratings-New York-04 May 2015: Fitch Ratings has upgraded the credit ratings for STAG Industrial.. The Rating Outlook has been revised to Stable from Positive. The upgrade reflects STAG's credit strengths, which include strong leverage and fixed charge coverage metrics for the rating, excellent liquidity, a sizable unencumbered asset pool and improving access to unsecured debt capital... STAG has not made investments in ground-up development or unconsolidated joint venture partnerships. The absence of these items helps simplify the company's business model, improve financial reporting transparency and reduce potential contingent liquidity claims, which Fitch views positively...While the company may selectively pursue the acquisition of completed build-to-suit (BTS) development projects in the future, Fitch anticipates only a moderate amount of such activity by STAG on an ongoing basis. Fitch views the acquisition of completed BTS projects developed by third parties as less risky than the speculative development undertaken by some of STAG's industrial REIT peers The company has only minimal exposure to what market participants general consider 'core' U.S. industrial and logistics markets, which include Chicago, Los Angeles/Inland Empire, Dallas - Fort Worth, Atlanta and New York/Northern New Jersey. Fitch views this as a credit negative, all else equal, given superior liquidity characteristics for industrial assets in 'core' markets - both in terms of financing capacity and transaction volumes. As of Dec. 31, 2014, the company's portfolio was primarily in secondary markets (64.5% of annualized base revenue), followed by primary markets (20.0%) and tertiary markets (15.5%)