Armada Hoffler Properties: Why I Am Buying This 7%-Yielder
Armada Hoffler Properties, Inc. is a small-cap REIT with diversified exposure to office, retail, and residential properties. Armada Hoffler Properties has underperformed in the REIT market due to its focus on office properties and relatively elevated debt levels. However, if we dig deeper into the details, we will see that the underlying risks are not that high.
Armada Hoffler: Solid Dividend At A Great Price
Armada Hoffler Properties is a REIT that owns and leases a diversified portfolio of office, retail, and multifamily properties in the U.S. The REIT's portfolio consists of 59 properties spread across multiple states, with a focus on mixed-use communities which provides greater diversification. It has experienced a decrease in AFFO and occupancy rates, but the shares seem to be undervalued using very conservative assumptions.
Armada Hoffler Properties: 7% Dividend Yield With Strong Coverage
Armada Hoffler Properties is trading at a low 9.14x multiple to the midpoint of 2024 NFFO guidance. The REIT offers a 7.2% dividend yield that is 151% covered by 2024 NFFO. AHH's office occupancy is dipping but remains elevated against the national average.
