We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Duke Realty (DRE) Issues Rent Collection & Leasing Updates
Read MoreHide Full Article
Duke Realty Corp. has collected 98.3% of the originally-billed April rents with combined collections and deferrals aggregating 99.8%, and 95.4% of the originally-billed May rents with combined collections and deferrals totaling 99.1% as of May 31, 2020. The company also noted that collection of May rents were at a faster pace than April’s.
The company also stated that bulk of rent deferral requests have been denied, while total amount of deferrals granted denotes less than 1% of annual revenues. It apprised that in California and New Jersey, the two states having several eviction moratoriums, during April and May, the company has managed to collect 100% of the rent.
Moreover, Duke Realty’s leasing activity for April and May aggregated 4.5 million square feet. With 847,000 square feet of leases being signed in its speculative development pipeline, the company has achieved 68% of pre-leasing level in the development pipeline, up from 61% as of Mar 31, 2020, reflecting decent demand for the company’s properties.
Amid e-commerce boom and supply-chain strategy transformations, demand for industrial real estate has been strong. In light of the coronavirus pandemic, warehouse operations have become more essential with more e-commerce customers. Over the long term, apart from the fast adoption of e-commerce, logistics real estate is expected to benefit from the likely increase in inventory levels post the coronavirus crisis. This will open up prospects for industrial REITs including Duke Realty, Prologis (PLD - Free Report) , Terreno Realty (TRNO - Free Report) , Rexford Industrial Realty, Inc. (REXR - Free Report) and others.
Nevertheless, recovery in the industrial market has continued for long and market rents are expected to remain flat for the rest of 2020. Also, although industrial real estate fundamentals seem more resilient relative to other asset categories, it is not immune to market dislocations and volatility. The pandemic’s adverse impacts on the economy will likely hinder the demand for space in the near term, impeding near-term rent growth. Rent relief and deferrals are added concerns.
Shares of Duke Realty have gained 15.5% over the past year, as against the industry’s decline of 4.7%.
In addition to the companies you learned about above, we invite you to learn about 5 cutting-edge stocks that could skyrocket from the exponential increase in demand for “stay at home” technologies. This could be one of the biggest buying opportunities of the decade.
Image: Shutterstock
Duke Realty (DRE) Issues Rent Collection & Leasing Updates
Duke Realty Corp. has collected 98.3% of the originally-billed April rents with combined collections and deferrals aggregating 99.8%, and 95.4% of the originally-billed May rents with combined collections and deferrals totaling 99.1% as of May 31, 2020. The company also noted that collection of May rents were at a faster pace than April’s.
The company also stated that bulk of rent deferral requests have been denied, while total amount of deferrals granted denotes less than 1% of annual revenues. It apprised that in California and New Jersey, the two states having several eviction moratoriums, during April and May, the company has managed to collect 100% of the rent.
Moreover, Duke Realty’s leasing activity for April and May aggregated 4.5 million square feet. With 847,000 square feet of leases being signed in its speculative development pipeline, the company has achieved 68% of pre-leasing level in the development pipeline, up from 61% as of Mar 31, 2020, reflecting decent demand for the company’s properties.
Amid e-commerce boom and supply-chain strategy transformations, demand for industrial real estate has been strong. In light of the coronavirus pandemic, warehouse operations have become more essential with more e-commerce customers. Over the long term, apart from the fast adoption of e-commerce, logistics real estate is expected to benefit from the likely increase in inventory levels post the coronavirus crisis. This will open up prospects for industrial REITs including Duke Realty, Prologis (PLD - Free Report) , Terreno Realty (TRNO - Free Report) , Rexford Industrial Realty, Inc. (REXR - Free Report) and others.
Nevertheless, recovery in the industrial market has continued for long and market rents are expected to remain flat for the rest of 2020. Also, although industrial real estate fundamentals seem more resilient relative to other asset categories, it is not immune to market dislocations and volatility. The pandemic’s adverse impacts on the economy will likely hinder the demand for space in the near term, impeding near-term rent growth. Rent relief and deferrals are added concerns.
Shares of Duke Realty have gained 15.5% over the past year, as against the industry’s decline of 4.7%.
Currently, Duke Realty carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
5 Stocks to Soar Past the Pandemic:
In addition to the companies you learned about above, we invite you to learn about 5 cutting-edge stocks that could skyrocket from the exponential increase in demand for “stay at home” technologies. This could be one of the biggest buying opportunities of the decade.
See the 5 high-tech stocks now>>