Apr. 28 at 4:20 PM
$ARE Bought the dip in this name this morning, in decent size. Been watching it for a bit and knew , as managment guided, Q1 would look not great, and knew the market would give me a great entry and it did.
Even if you get as aggressive as can be on NAV, I got it pegged between
$60 and
$65 in a "worst case scenario" and the dividend has already been cut so deep it's now covered over 2X over. This is a buy here, and start to trim around
$55 ish as things get better.
Reminds me a little of CIO, City Office Reit. The "office is dead" narrative hit hard, they cut their divy deep, well under FFO and were also trading at very low levels compared to NAV and ended up getting taken private at a premium as the market forgot about the value. Their occupancy was only like 72% too, at least ARE has 87% which is great and getting better it seems.