Is Tanger Factory Outlet Centers a Buy?
The mall real estate investment trust (REIT) niche is going through a shakeout. Tanger Factory Outlet Centers (NYSE: SKT) and its peers are facing massive headwinds with no easy fixes. With Tanger's stock off by roughly 55% this year alone, is it worth buying? Here are some things to think about before making a final call.
CBL & Associates and Pennsylvania REIT both declared bankruptcy just before the U.S. elections. The economic closures used to slow the spread of COVID-19 were what pushed these mall REITs over the edge, but problems were present well before 2020. Indeed, the "retail apocalypse" story has been around for years as consumers have increasingly taken advantage of online shopping options. In fact, the global pandemic really just sped up a process that was already underway.
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Source Fool.com
