Third Avenue Management, an investment management company based in New York City, released its “Third Avenue Real Estate Value Fund” fourth quarter 2023 investor letter. A copy of the same can be downloaded here. In the calendar year, the fund returned +23.27% (after fees) versus +10.85% for the Fund’s most relevant benchmark, the FTSE EPRA NAREIT Developed Index. In addition, you can check the top 5 holdings of the fund to know its best picks in 2023.
Third Avenue Real Estate Value Fund featured stocks like Prologis, Inc. (NYSE:PLD) in the fourth quarter 2023 investor letter. Prologis, Inc. (NYSE:PLD) is a logistics real estate company. On March 14, 2024, Prologis, Inc. (NYSE:PLD) stock closed at $130.75 per share. One-month return of Prologis, Inc. (NYSE:PLD) was -2.70%, and its shares gained 11.86% of their value over the last 52 weeks. Prologis, Inc. (NYSE:PLD) has a market capitalization of $120.928 billion.
Third Avenue Real Estate Value Fund stated the following regarding Prologis, Inc. (NYSE:PLD) in its fourth quarter 2023 investor letter:
“Prologis, Inc. (NYSE:PLD) (a U.S.-based Industrial and Logistics REIT) held a capital markets forum, where the management team reviewed the evolution of the business and highlighted their “customer focus”. The team also covered several material value-drivers, including: (i) the “loss-to-lease” opportunity within the existing portfolio with market rents approximately 60% above in-place leases, thus representing nearly $3.0 billion of incremental cash flow3 that can be realized as leases renew, (ii) a 12k acre landbank that can accommodate more than 200 million square feet of additional properties, which is increasingly being used to deliver datacenters given the higher capital values relative to industrial properties, and (iii) its Essentials segment, including the addition of rooftop solar panels at many facilities, which currently account for 555 Megawatts (“MW”) of installed capacity (and generates $40 million of operating profits) but is expected to comprise 7000 MW of capacity by 2030 (and generate approximately $800 mm of annual profits).”
A large logistic facility within the industrial real estate sector.
Prologis, Inc. (NYSE:PLD) is not on our list of 30 Most Popular Stocks Among Hedge Funds. At the end of the fourth quarter, Prologis, Inc. (NYSE:PLD) was held by 46 hedge fund portfolios, compared to 48 in the previous quarter, according to our database.
We discussed Prologis, Inc. (NYSE:PLD) in another article and shared the list of best real estate and realty stocks to buy according to analysts. In addition, please check out our hedge fund investor letters Q4 2023 page for more investor letters from hedge funds and other leading investors.
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Disclosure: None. This article is originally published at Insider Monkey.
