Hot Gas Utility Companies To Invest In 2016: Silver Bay Realty Trust Corp (SBY)
Silver Bay Realty Trust Corp., incorporated on June 29, 2012, is focused on the acquisition, renovation, leasing and management of single-family properties. The Company generates all of its revenue by leasing its portfolio of single-family properties.
As of September 30, 2012, the initial portfolio consisted of more than 2,540 single-family properties. As of September 30, 2012, Two Harbors owned a portfolio of approximately 1,660 single-family properties through its wholly owned subsidiary, Two Harbors Property Investment LLC. The Company is managed by PRCM Real Estate Advisers LLC.Advisors' Opinion:
- [By Selena Maranjian]
The biggest new holdings are Comcastand Prudential Financial. Other new holdings of interest include Silver Bay Realty Trust (NYSE: SBY ) , a hybrid mortgage REIT (real estate investment trust). Spun off by Two Harbors Investment, Silver Bay will focus on single-family homes, profiting from foreclosures. The company is worth watching, especially with a housing recovery under way, even though some question the recovery. In its last quarter, Silver Bay acquired 1,200 single-family properties, bringing its portfolio to 4,600. Its overall occupancy rate is 53%, but 92% among its stabilized properties.
- [By Amanda Alix]
For Wall Street types, single-family foreclosures can be bought cheaply and in bulk, then fixed up and rented. Companies like the Blackstone Group (NYSE: BX ) and Colony Financial (NYSE: CLNY ) have been very active in this market, with the former purchasing 16,000 homes just last year, and the latter ramping up its own portfolio to approximately 7,000. This new industry has also spawned fresh entrants from the REIT field, Silver Bay Realty (NYSE: SBY ) and Altisource Residential, (NYSE: RESI ) two trusts that were spun off earlier this year from parent ! companies Two Harbors Investment (NYSE: TWO ) and Altisource Portfolio Solutions (NASDAQ: ASPS ) , specifically to take advantage of the boom in the foreclosure-to-rental market.
- [By Amanda Alix]
2013 is starting off sweet for the hybrid REIT
Despite missing earnings per share estimates by $0.03, Two Harbors managed to keep its net interest spread at 2.9%, with no decrease from the previous quarter. The trust took a hit on book value of $0.35 -- not too disappointing considering the special Silver Bay Realty (NYSE: SBY ) dividend of $1.01 Two Harbors passed around with its own $0.32 payout, about six weeks ago.
source from Top Stocks To Buy For 2015:http://www.topstocksforum.com/hot-gas-utility-companies-to-invest-in-2016.html