The Daily REITBeat | Thursday, October 2nd, 2025

"What Else Besides Tech?"

Author

David Auerbach
October 02, 2025

Today’s Newsletter (October 2nd, 2025)

Futures mixed at the time of this writing as talking heads focus on the lack of progress in the US government shutdown while OpenAI is getting a lot of attention on its share sale and $500 billion valuation.

From Bloomberg

  • "Technology stocks drove global indexes to fresh highs after an OpenAI share sale catapulted the firm to the world’s most valuable startup, bolstering optimism for artificial intelligence.

  • Nasdaq 100 futures climbed 0.5%, putting the gauge on track for a fifth straight gain. Europe’s Stoxx 600 rose 0.8%, led by an advance of more than 2% in technology shares. In Asia, equities rose past last month’s record close as chipmakers rallied. MSCI’s global index also notched a fresh high.

  • OpenAI’s valuation soared to $500 billion after current and former employees sold about $6.6 billion of stock, boosting the company’s price tag well above its previous $300 billion level. The ChatGPT owner also forged agreements with South Korean firms to supply chips for its Stargate project.

  • The AI boom has powered global stocks to successive highs, with a resumption of interest-rate cuts and resilient earnings adding to the bullish momentum. For now, investors also see limited risk from the political impasse in Washington, which has triggered the first government shutdown in nearly seven years.

  • “The tech sector is so large and it’s doing so well,” said Marija Veitmane, senior multi-asset strategist at State Street Global Markets. “The reason the market is prepared to pay those high valuations for the tech sector is really because we don’t see good growth opportunities outside tech.”"

In REIT News

  • RBC upgrades CCI to Outperform from Sector Perform (lowered price target by $1 to $112)

  • RBC downgrades AMT to Sector Perform from Outperform (lower price target by $40 to $220)

  • Wolfe Research upgrades AMH to Outperform from Peer Perform ($38 price target)

  • Yesterday, Morningstar upgraded SLG to Hold from Sell (maintain $50 price target)

  • NHI announced that it has invested $74.3 million, including transaction costs, for the acquisition of four properties with 344 units in Oklahoma and Oregon which will continue to be managed by Compass Senior Living which is an existing relationship for the company

  • IIPR closed its initial investment into IQHQ, Inc. which totaled $105 million and was comprised of a $100 million investment into a revolving credit facility with the remainder invested in shares of preferred stock of IQHQ plus received a commitment from a federally regulated commercial bank for a three-year, $100 million secured revolving credit facility

  • UMH announced its 3Q’25 operating update where “occupancy gains and rent increases achieved throughout 2024 and thus far in 2025 have increased our same property October 2025 rental and related charges by approximately 10% over October 2024 and our total charges by 12%”

  • CURB announced that the Company’s Board of Directors has authorized a $250 million share repurchase program plus filed a Form 8-K related to the implementation of a $250 million “at the market” stock offering program

  • ESRT achieved the highest possible Global Real Estate Sustainability Benchmark (GRESB) 5 Star Rating for the sixth consecutive year with a score of 93 and an A in public disclosure as it achieved the highest management score for all 575 ranked companies in the Americas and the second highest overall score for all listed companies in the Americas

  • SMA closed its previously announced transaction with Argus Professional Storage Management and together they will own or manage over 460 self-storage properties in North America

  • Yesterday morning, CBL announced that it had closed on nearly $158.0 million in financing activity in three separate transactions with its JV partners as they 1) closed on a new $43.0 million loan secured by The Pavilion at Port Orange in Port Orange, FL; 2) closed on an agreement with the existing lender for the non-recourse loan secured by Coastal Grand in Myrtle Beach, SC; and 3) entered into a 9-month extension of the $26.7 million non-recourse loan secured by York Town Center in York, PA

  • Yesterday morning, GOOD announced the acquisition of an industrial portfolio totaling 693,236 sf of manufacturing, distribution, and warehouse space across six locations in Michigan, Indiana, and Georgia and concurrent with the $54.5 million acquisition, the company leased back the facilities via a 20-year absolute net lease to TI Group Automotive Systems, L.L.C. and its affiliate

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Welcome your comments and feedback.

Have a great day!

David Auerbach