Brookfield Property Partners L.P. (BPYPP)

Brookfield Property Partners Series 1-A Preferred offers a speculative 10% yield, trading at $16 versus its $25 par value. BPYPP benefits from a recent parent-led equity injection, strengthening its position in the capital stack and improving the safety buffer for preferred holders. While Brookfield Property Partners' FFO turned negative due to high debt costs, losses have narrowed, and management is actively recapitalizing, reducing debt by $3.7 billion.

Brookfield Property Partners L.P. (NASDAQ: BPYPP - Get Free Report) shares were down 0.3% on Tuesday. The stock traded as low as $14.80 and last traded at $14.85. Approximately 7,751 shares were traded during trading, a decline of 62% from the average daily volume of 20,244 shares. The stock had previously closed at $14.90. Brookfield

U.S. equity markets extended their winning streak to an eighth week - the longest in five years - after inflation data both domestically and abroad showed a further cooling of price pressures. Extending its weekly winning streak to the longest since 2017, the S&P 500 posted gains of another 0.9% on the week, lifting the benchmark to within 1% of record highs. Pushing their eight-week rebound to over 25%, the Equity REIT Index gained 0.6% this week, with 9-of-18 property sectors in positive territory, while the Mortgage REIT Index gained 1.3%.

Brookfield Property Partners LP preferred shares were downgraded to "Sell" due to high debt levels and a declining FFO. Q2-2023 saw FFO remain negative even though there was marginal improvement in office occupancy levels. Refinancing will be challenging, and mortgage defaults are expected to increase.

We recently highlighted the potential issues for Brookfield Property preferred shares. They have come home to roost, and the shares are down 30%.

Brookfield Property Partners was taken private by the mothership. The preferreds have been left hanging.

We take a look at the action in preferreds and baby bonds through the first week of January and highlight some of the key themes we are watching. Preferreds had a terrific start to the year, supported by lower Treasury yields and higher stocks.

Warren Buffett has a history of favoring REITs over rental properties. In past shareholder meetings, he explains that he dislikes private real estate investments for a number of reasons.

Despite reporting record-low occupancy rates and rental rate spreads, mall REITs have been the best-performing property sector this year, riding the vaccine-driven reopening rotation to gains of more than 40%.

Monthly update of the Dividend Champions List.

Many Malls Are A Pandemic Away From Extinction

Brookfield Property Partners L.P. got an offer from its parent company. We run some calculations on NAV to show that this is very generous. We suggest some ways to harvest extra income while you wait.

Brookfield Asset Management offered to pay $16.50 per share for the Brookfield Property Partners units it didn't already own. That represented a $5.9 billion deal, which caused BPY to jump roughly 15%.

Brookfield Asset Management recently made an offer to take its real estate partnership, Brookfield Property Partners L.P., private. This has ramifications far beyond investors in the partnership and U.S. REIT equivalent. Combined with the recently-renegotiated Taubman deal, we have concrete data on a distressed sector.

The tech-wreck dragged on as U.S. equity markets declined for the second-straight week after Congress failed to reach a compromise on a renewed stimulus package and after a potential vaccine setback.

There was a time when malls were thriving communities – agoras, if you will – where people went to sell, shop, eat, unwind, catch up, and hang out.