W. P. Carey (WPC) Announces Investments Totaling $282 Million

W. P. Carey Inc. (NYSE: WPC), a leading net lease REIT specializing in corporate sale-leasebacks, build-to-suits and the acquisition of single-tenant net lease properties, today announced six investments completed during the 2019 fourth quarter totaling approximately $282 million and more than 2.7 million square feet. The investments are located in the U.S. and Europe and are diversified across property types. The properties are triple-net leased to industry-leading tenants with a weighted-average lease term of approximately 20 years. Together with completed capital investment projects and other investments, this activity brings total investment volume for the 2019 fourth quarter to approximately $410 million and for the full year to $870 million. Gino Sabatini, Head of Investments, W. P. Carey, said: “Today’s announcement is a great example of the benefit of having on-the-ground teams in the U.S. and Europe with the local expertise and networks needed to efficiently close deals in accordance with the unique structuring and critical timing requirements of companies. The end of the year is often our most active period given our track record of timely execution and ou...

I have kicked W. P. Carey (WPC) out of my portfolio on Monday after shares have

I have kicked W. P. Carey (WPC) out of my portfolio on Monday after shares have had an extremely good run in 2019. Taking profits in income vehicles that have performed well is the smart thing to do, especially when shares have become widely overbought and overvalued. While I don’t think that W. P. Carey’s dividend is at risk, I think it is a good time to scale back exposure to high-yielding BDCs and REITs in light of growing downside risks. W. P. Carey’s shares have surged a whopping ~28.0 percent in 2019 on the back of a major stock market rebound after the December 2018 sell-off. According to the Relative Strength Index, or RSI, which flashes a value of 75.02, WPC is now widely overbought, which exposes investors to correction risks. The increase in share price is driven largely by an improvement in investor sentiment and not due to a fundamental change in W. P. Carey’s value proposition, in my opinion. W. P. Carey is a commercial property real estate investment trust with a national real estate platform. At the end of the March quarter, W. P. Carey’s real estate portfolio included 1,168 properties reflecting 134 million square feet, which makes ...