George Soros Net Worth and Top 5 Holdings Heading into 2023

3. Duke Realty Corporation (NYSE:DRE)

Value of Soros Fund Management’s 13F Position: $308 million

Number of Hedge Fund Shareholders: 26

Soros appears to be bullish on the long-term prospects of the housing market given his stakes in DHI and Duke Realty Corporation (NYSE:DRE), the latter of which he raised the size of by 2,332% during Q3, lifting it to 6.39 million shares. Hedge fund ownership of DRE has doubled over the last year, helped along by John Paulson’s Paulson & Co and Dmitry Balyasny’s Balyasny Asset Management each adding Duke Realty to their 13F portfolios during Q3.

Duke Realty Corporation (NYSE:DRE) was acquired by industrial-focused REIT Prologis, Inc. (NYSE:PLD) on October 3 in a deal valued at $23 billion. That was actually less than the $24 billion Prologis has initially offered for the company back in May, which at the time was deemed “insufficient”. The acquiring firm plans to retain about 94% of Duke’s assets, or about 142 million square feet of property, as well 1,200 acres of undeveloped land that Duke either owns or controls.

The Baron Real Estate Income Fund had also been buying more shares of Duke Realty Corporation (NYSE:DRE) recently in anticipation of the merger, as revealed in its Q2 2022 investor letter:

“Shares of Duke Realty Corporation, a $25 billion industrial REIT, declined only 7% in the second quarter, in large part because the company agreed to merge with Prologis at a 30% premium. We acquired additional shares in the company in the most recent quarter. We are optimistic about the prospects for the combined Prologis/Duke Realty entity. Prologis is merging with its largest REIT competitor in Duke Realty. Duke’s industrial portfolio is among the best in industrial real estate. The company has an excellent track record in development and construction. We believe the merger has strategic and financial merits including acquiring a high-quality portfolio in mostly similar or attractive real estate markets and the likelihood of realizing both additional revenue and cost savings. We will have more to say on Prologis/Duke Realty in future shareholder letters.