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

To: Madharry who wrote (71659)	12/4/2022 6:25:55 PM
From: E_K_S	1 Recommendation Recommended By Lance Bredvold Read Replies (2) \| Respond to of 78673

Re: Construction Workers Antidotal but here in Silicon Valley it's hard to get a contractor and rates are pretty high. Even at my Lake property in S. Lake Tahoe, it's very difficult to get any trades people out sooner than 60 days notice. I own a duplex and replaced one of the circuit breaker boxes (breakers were recalled years ago so thought it's time to replace even though they appear to work fine when tested). Will do the other side in 2023 and I expect it will be at least a month before they can give me a hard date for replacement. I plan to also have a new circuit installed (for a mini-split) and I expect that alone to be $1,500. I priced the 2 Zone Mini-Split which I installed in early 2021(for Unit 1) and equipment is about the same price for a 2023 delivery. -------------------------------------------------- The wage rates for these trade are almost 30% higher than in 2020-2021. My contractor was still booked up all 2022 w/ jobs (mainly working in new construction projects at the Lake). He finally got a 2nd helper but that was difficult to find someone w/ experience. I do hear high Tech companies are laying off and those are high paying jobs too. Therefore, I continue to look at FCF and if they can stay positive w/ higher wage rates. It looks like one of the biggest factors is the debt companies carry and if/when/how they plan to pay down and/or refinance. REITs only have so much pricing power. I was looking at CTO and noticed they actually have a few properties that are mixed-use. This last one they bought appears to be the largest. One smaller one in located in CTO Realty Growth Announces Acquisition of a Mixed-Use Property in Santa Fe, New Mexico and Sale of a Single Tenant Property in Falls Church, Virginia Paid $16.2 million ($118/Sqft) Dec 2021 Link to Web Site - 125 Lincoln Ave & 150 Washington Avenue 125 Lincoln Ave & 150 Washington Avenue is a two-building 137,200 square foot mixed-use property with dedicated underground parking spanning nearly an entire city block. The Property is proximate to Santa Fe’s artistic, cultural and culinary destinations, and is anchored by Deloitte, The New Mexican, Rosewood Inn of the Anasazi, Morgan Stanley, The Bull Ring, Regus, Avalon Trust Company and Raymond James. They have a "Mixed-Use" property under contract (November 2022) that is 6x more expensive (reason for their secondary). So let's see their rent roll and if they plan to do any expansion/conversion. I really like the concept of mixed-use, community living w/ retail & near local transit. Seems like that might demand premium pricing if it done well and in a nice location. I added to CTO at/near $19. Goes xdiv 12/9 for $0.38/share, so may add another chunk after it goes xdiv.