These High-Yielding Dividend Stocks Are Breathing a Huge Sigh of Relief
Office landlords have been under tremendous pressure in recent years. A rise in remote and hybrid work following the pandemic has affected the demand for office space. Meanwhile, surging interest rates are increasing borrowing expenses. These and other issues are putting pressure on the income produced by office buildings.
These headwinds have put the office sales market in a deep freeze because buyers and sellers couldn't agree on a firm value. That uncertainty of value has added more weight to drive down office REIT stock prices.
However, this week, the sector got a big boost when SL Green Realty (NYSE: SLG) agreed to sell a stake in one of its Manhattan office buildings in a deal valuing the property at $2 billion. The sale suggests that high-quality office buildings have held their values reasonably well, despite all the sector's issues. That's driving a relief rally in other office REITs.
Source Fool.com
