Is the Worst Over for Macerich?
The novel coronavirus pandemic has been particularly hard on real estate investment trusts (REITs) -- especially mall REITs, which entered the pandemic in a vulnerable position due to high debt loads and struggling tenants. Many major retailers have been pushed into bankruptcy, and the rest are still suffering from lower sales. The stock of Macerich (NYSE: MAC) is down almost 75% since the beginning of the year, so it certainly is worth asking whether the worst is over.
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Macerich owns or has an interest in 47 regional shopping centers and five large strip malls. The company has properties in many attractive urban markets, which should be doing well under normal circumstances. All of its properties were shuttered in mid-March, and 44 of them are back in business, including the important malls in New York City. The three remaining malls in California are closed subject to county restrictions.
Source Fool.com
