- The proposed Monmouth buyout will change Industrial Logistics Properties Trust's portfolio in several ways.
- The contribution of Hawaiian industrial lands will be reduced, and the exposure in the mainland U.S. will become prevalent.
- The current largest tenant of the company will become second largest, as FedEx will account for about 25% of the company's rental revenues.
- However, the percentage of investment-grade rated tenants will increase and synergies between tenant industries point to less volatile rental streams.
- I believe that the company's portfolio quality will increase, which, in combination with the recent share price decline, creates a long opportunity for investors.
For further details see:
Industrial Logistics Properties Trust: The Deal With Monmouth Will Enhance The Company's Portfolio Quality