To few people’s surprise, malls were heavily impacted by the COVID restrictions of the last year and a half, which caused real estate groups connected to malls to take a hit financially.
However, with more high-end properties than many of their competitors, Simony Property Group, owner of the King of Prussia Mall as well as both the Montgomery Mall and the Philadelphia Premium Outlets in Limerick, has weathered the storm better than most. And now it appears a light may finally be at the end of the tunnel.
Jonathan Weber of Seeking Alpha elaborates, stating that the stock value of Simony Property Group is on the mend. Simon’s dividend is currently up to $5.60 per share per year, which marks an increase of 8%.
That is certainly noteworthy, as numerous real estate groups were so hurt by pandemic restrictions that they had to sell off many properties to stay afloat, and also saw their stock value plummet.
However, it can’t be ignored that even with this jump in price, Simon’s value is still significantly lower than what it was prior to all the restrictions. Before the pandemic, Simon’s dividend was sitting at $8.40 a year. So the real estate group still has progress to be made for reestablishing themselves to where they were.
Still, this is encouraging news that signifies healing from all the damage done. And with Simon’s strong property portfolio it is projected that they will continue to see such gains. It will take time, but analysts expect this recovery to carry on and for Simon’s shares to keep trending closer to fair value.
For more details on how Simon Property Group’s shares are faring, read the article from Seeking Alpha here.