Core Viewpoint - The article discusses the risks associated with shorting REITs, particularly in December 2025, when short interest increased as REIT prices were at their lows, suggesting that this strategy may lead to significant losses as the market rebounds in 2026 [1][3][5]. Group 1: Market Trends and Shorting Dynamics - Short interest in REITs surged in December 2025, coinciding with a market low for these assets [1][3]. - The Vanguard REIT ETF (VNQ) saw a substantial price increase in 2026, indicating that many shorts entered positions at an inopportune time [5]. - The average short position is currently underwater by about 5%, which is not unusual in the stock market [5]. Group 2: Risks of Momentum Investing - Shorting based on momentum is deemed particularly risky, as it assumes that price movements reflect underlying fundamentals, which may not always be the case [7][10]. - The average stock historically rises by 8%-9% annually, meaning that short sellers must outperform this benchmark to avoid losses [11][12]. - The asymmetry of risk in shorting is highlighted, as potential losses are theoretically unlimited while gains are capped at the stock price going to zero [17]. Group 3: Specific REITs Under Scrutiny - Centerspace (CSR) is identified as a heavily shorted REIT, with a short interest increase of 270 basis points in December [14][16]. - Other REITs with significant short interest include NETSTREIT (NTST), Acadia Realty (AKR), and Americold (COLD), each facing unique market conditions that challenge the short thesis [26][34][40]. - CSR is projected to remain profitable, with consensus estimates for FFO per share showing steady growth through 2027, making it a risky short position [20][22]. Group 4: Potential for Short Squeezes - The article suggests that CSR, NTST, AKR, and COLD are well-positioned for potential short squeezes due to high short interest and the stability of their underlying fundamentals [49][50]. - The demand for cold storage properties remains strong, indicating that Americold could recover from current oversupply issues, further complicating the short thesis [42][45]. - The overall sentiment is that shorting stable, profitable companies with high dividend yields is a precarious strategy, especially as market conditions improve [47][49].

Core Viewpoint - Acadia Realty Trust will release its fourth quarter 2025 earnings on February 10, 2026, followed by a conference call on February 11, 2026, to discuss the results and operational performance [1][2]. Company Overview - Acadia Realty Trust is an equity real estate investment trust (REIT) focused on long-term profitable growth, owning a high-quality portfolio of street and open-air retail properties in dynamic retail corridors [3]. - The company also has an investment management platform that targets opportunistic and value-add investments through institutional co-investment vehicles [3]. Investor Communication - The company utilizes its Investors page on its website to disclose material nonpublic information and comply with disclosure obligations under Regulation FD, including investor presentations and portfolio updates [4]. - Investors are encouraged to monitor the company's website and LinkedIn profile for updates, press releases, SEC filings, and other communications [4].

Group 1 - The article does not provide any relevant content regarding company or industry insights [1]

Core Viewpoint - Acadia Realty Trust announced the appointment of David Buell as the new Chief Accounting Officer, effective January 2026, succeeding Richard Hartmann [1] Group 1: Leadership Transition - David Buell will join Acadia Realty Trust in January 2026 as the new Chief Accounting Officer [1] - Buell has over 15 years of experience in the real estate investment trust sector, having held several leadership positions, including Chief Accounting Officer [1] - Prior to his role in the real estate sector, Buell was a Senior Manager in KPMG's audit practice, where he served various clients [1]

Core Insights - Three stocks have been added to the Zacks Rank 5 (Strong Sell) List, indicating a negative outlook for these companies Company Summaries - Acadia Realty Trust (AKR) is a self-managed equity REIT focused on the ownership, acquisition, redevelopment, and management of neighborhood and community shopping centers. The Zacks Consensus Estimate for its current year earnings has been revised 6% downward over the last 60 days [1] - Avantor (AVTR) is a global provider of mission-critical products and services to various industries, including biopharma, healthcare, education & government, and advanced technologies & applied materials. The Zacks Consensus Estimate for its current year earnings has been revised almost 5.3% downward over the last 60 days [2] - Carter's (CRI) is the largest marketer of branded apparel and related products for babies and young children in North America. The Zacks Consensus Estimate for its current year earnings has been revised almost 5.9% downward over the last 60 days [3]

Core Insights - Acadia Realty Trust (AKR) is highlighted for its high-quality street-level retail properties located in affluent urban markets, which are considered valuable assets for investment [2] Group 1: Investment Focus - The investment service iREIT+HOYA Capital emphasizes income-producing asset classes that provide sustainable portfolio income, diversification, and inflation hedging [1] - The service targets dividend yields up to 10% across various income-focused portfolios, including REITs, ETFs, closed-end funds, and preferred stocks [2] Group 2: Analyst Position - The analyst has a beneficial long position in AKR shares, indicating confidence in the stock's performance [3] - The article expresses the analyst's personal opinions and is not influenced by compensation from any company mentioned [3] Group 3: General Information - The content serves as informational material and does not constitute financial advice, encouraging readers to conduct their own due diligence [4]

Core Insights - Acadia Realty Trust (AKR) is highlighted for its high-quality street-level retail properties located in affluent urban markets, which are considered valuable assets for investment [2]. Group 1: Investment Focus - The investment service iREIT+HOYA Capital emphasizes income-producing asset classes that provide sustainable portfolio income, diversification, and inflation hedging [1]. - The service targets dividend yields up to 10% across various income-focused portfolios, including REITs, ETFs, closed-end funds, and preferred stocks [2]. Group 2: Analyst Position - The analyst has a beneficial long position in AKR shares, indicating confidence in the stock's performance [3]. - The article expresses the analyst's personal opinions and is not influenced by compensation from any company mentioned [3]. Group 3: General Information - The content serves informational purposes and does not constitute financial advice, encouraging readers to conduct their own due diligence [4]. - Seeking Alpha clarifies that past performance does not guarantee future results and that the views expressed may not reflect the platform's overall stance [5].

Core Points - Acadia Realty Trust has announced a cash dividend of $0.20 per common share for the quarter ended December 31, 2025 [1] - The dividend is payable on January 15, 2026, to shareholders on record as of December 31, 2025 [1] - Acadia Realty Trust is an equity real estate investment trust focused on delivering long-term, profitable growth [1]

Financial Performance - Total revenues for Q3 2025 reached $101.006 million, a 15.0% increase from $87.745 million in Q3 2024[19] - Rental revenues increased to $98.714 million in Q3 2025, up 14.4% from $86.288 million in Q3 2024[19] - Total expenses for Q3 2025 were $90.837 million, a 29.3% increase compared to $70.253 million in Q3 2024[19] - Operating income decreased to $12.684 million in Q3 2025, down 27.9% from $17.492 million in Q3 2024[19] - Net loss attributable to Acadia shareholders for Q3 2025 was $5.618 million, compared to a profit of $8.414 million in Q3 2024[19] - Basic income per share for Q3 2025 was $0.03, down from $0.07 in Q3 2024[19] - Comprehensive loss for Q3 2025 was $14.280 million, compared to a loss of $26.788 million in Q3 2024[24] - Net loss for the nine months ended September 30, 2025, was $43.554 million, compared to a profit of $6.979 million for the same period in 2024[24] - Impairment charges for Q3 2025 amounted to $12.570 million, while there were no impairment charges in Q3 2024[19] - Equity in losses of unconsolidated affiliates for Q3 2025 was $(3.694) million, compared to earnings of $11.784 million in Q3 2024[19] Assets and Liabilities - As of September 30, 2025, total assets increased to $4,875,192,000 from $4,371,203,000 as of December 31, 2024, representing a growth of approximately 11.5%[16] - Total liabilities increased to $2,210,078,000 from $1,838,931,000, marking an increase of about 20.2%[16] - Cash and cash equivalents significantly increased to $49,388,000 from $16,806,000, reflecting a growth of approximately 194.5%[16] - Unsecured notes payable rose to $818,093,000 from $569,566,000, which is an increase of approximately 43.7%[16] - Acadia shareholders' equity grew to $2,246,020,000 from $2,065,672,000, representing an increase of about 8.7%[16] - The company reported a total of 131,031,455 common shares outstanding as of September 30, 2025, compared to 119,657,594 shares as of December 31, 2024, indicating an increase of approximately 9.5%[16] Cash Flow and Investments - Total cash provided by operating activities increased to $124,995,000 in 2025 from $102,576,000 in 2024, reflecting a growth of approximately 22%[30] - Acquisitions of real estate amounted to $406,907,000 in 2025, significantly higher than $48,855,000 in 2024[30] - Proceeds from the disposition of properties and other investments were $61,533,000 in 2025, compared to $58,670,000 in 2024[30] - Total net cash used in investing activities was $430,436,000 in 2025, compared to $50,133,000 in 2024, indicating a significant increase in investment activity[30] - Proceeds from unsecured debt reached $1,091,200,000 in 2025, compared to $342,984,000 in 2024, showing a substantial increase in financing[30] Dividends and Distributions - The company declared dividends of $0.20 per common share/OP unit, totaling $26,202 in distributions[27] - Dividends paid to common shareholders increased to $75,128,000 in 2025 from $54,681,000 in 2024[30] - Dividends/distributions declared and payable increased to $27,720,000 in 2025, up from $22,914,000 in 2024, representing a growth of 20.5%[31] - The company declared distributions of $0.60 per Common Share/Unit for the nine months ended September 30, 2025, compared to $0.55 for the same period in 2024, representing an increase of 9.1%[143] Impairment and Losses - The company experienced impairment charges of $37,210,000 in 2025, reflecting challenges in asset valuations[30] - The company recognized a loss on change in control of $9.6 million due to the acquisition of an additional 48% interest in the Renaissance Portfolio, increasing its ownership to 68%[72] - The company recorded an impairment charge of $3.5 million related to the 650 Bald Hill Road property for the three months ended September 30, 2025[81] Market and Economic Conditions - The company has noted potential risks including macroeconomic conditions and the ability to implement business strategies effectively, which could impact future performance[12] - Future performance may be influenced by changes in interest rates and borrowing costs due to elevated inflation[12] Real Estate Portfolio - The Company held ownership interests in 167 properties within its REIT Portfolio as of September 30, 2025[36] - The Company’s real estate portfolio primarily consists of street and urban retail properties, and suburban shopping centers[43] - The Company’s buildings and improvements increased to $3,411,249,000 as of September 30, 2025, compared to $3,174,250,000 in 2024, marking a rise of 7.5%[56] Shareholder and Equity Information - The Company has an at-the-market equity issuance program with $238.7 million remaining available for future share issuance as of September 30, 2025[137] - The Company physically settled 11,172,699 shares under the ATM Program's forward in March 2025, receiving net proceeds of $277.9 million[139] - The Company has scheduled future minimum rental revenues of $1.96 billion under non-cancelable tenant leases with remaining terms greater than one year as of September 30, 2025[159] Debt and Financing - The company’s total indebtedness reached $1.86 billion as of September 30, 2025, compared to $1.54 billion as of December 31, 2024, reflecting an increase of 21%[87] - The Operating Partnership issued $100.0 million in senior unsecured notes, including $20.0 million at 5.86% due August 21, 2027, and $80.0 million at 5.94% due August 21, 2029[97] - The company entered into a $250 million incremental delayed draw term loan, of which $175 million was drawn at closing, with a maturity date of May 29, 2030[94] Segment Information - The Company has identified three reportable segments: REIT Portfolio, Investment Management, and Structured Financing, with net income as the key measure of segment profitability[167] - The REIT Portfolio segment consists primarily of high-quality core retail properties located in densely populated metropolitan areas[168]

Financial Data and Key Metrics Changes - The company reported same-store NOI growth of 8.2%, with street retail portfolio delivering 13% growth during the quarter [29][31] - The quarterly FFO increased by a penny to $0.29 compared to the previous quarter's $0.28, despite short-term dilution from the partial conversion of the City Point loan [36][37] - The company expects total same-store growth of 6%-7% in Q4, aiming to achieve the upper end of the 5%-6% projection for the year [31][32] Business Line Data and Key Metrics Changes - The leasing team executed $3.7 million in AVR during Q3, bringing total signed leases year-to-date to $11.4 million, ahead of last year's record pace [17][18] - The company added, expanded, or renewed leases with several high-demand brands, achieving an average GAAP spread of 36% in high-growth markets [19][20] - The company converted approximately $7 million of AVR from S&O to open and paying tenants during the quarter [18][19] Market Data and Key Metrics Changes - Sales for reporting tenants on the streets showed significant growth, with SoHo sales up 15%, Bleecker Street over 30%, and Gold Coast of Chicago over 40% [23][24] - Despite concerns in Washington, DC, sales on M Street increased by 16% year-over-year, indicating strong tenant demand [24] - The company noted a resurgence in foot traffic and energy in key markets, including San Francisco, driven by economic recovery and demographic trends [10][11] Company Strategy and Development Direction - The company aims to build Acadia Realty Trust into the premier owner-operator of street retail in the U.S., focusing on both internal and external growth opportunities [15][28] - The strategy includes maintaining a 5% plus annual growth rate through internal growth opportunities and accretive external acquisitions [7][12] - The company is confident in its ability to fund acquisitions and redevelopment projects, with a strong balance sheet and liquidity [30][39] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the ongoing economic recovery, particularly among affluent consumers, which is driving demand for street retail [49][50] - The company anticipates continued strong performance in its street retail portfolio, with several years of tailwinds expected [15][40] - Management acknowledged the importance of adapting to market conditions and maintaining flexibility in funding strategies [68][69] Other Important Information - The company plans to refine its FFO definition for 2026 to provide a clearer link between real estate growth and bottom-line earnings [30][38] - The company raised approximately $212 million of equity during the quarter to fund its acquisition pipeline and redevelopment projects [39][40] Q&A Session Summary Question: Can you lift the veil a little bit on the pipeline of acquisitions you're looking at? - The company indicated that the $500 million pipeline is a gross number, with specific conversations ongoing regarding potential deals [42][44] Question: Are you seeing no signs of slowing down in terms of tenant demand? - Management confirmed that the affluent consumer is driving recovery, leading to strong sales and profitability for retailers in key locations [48][49] Question: Could you go into some of the considerations of what would make you hit the 5% versus the 9% growth in 2026? - The company highlighted that achieving the higher end of growth depends on the speed of leasing and opening spaces, with confidence in reaching at least 5% [54][55] Question: What proportion of the mark-to-market opportunity has already been addressed? - Management noted significant sales growth in key markets and indicated that the company has already addressed a portion of the mark-to-market opportunities [76] Question: Any sense what the split might look like on that $500 million pipeline between core and investment management deals? - The company refrained from providing specific numbers but emphasized a robust pipeline and the ability to fund all opportunities [81]