General Growth Partners
After J.C. Penney's number-two spot on Pershing Square's portfolio comes General Growth Partners (GGP), a stock that's had a very different year from the department store chain: shares of GGP are up more than 14.5% so far in 2012, besting the broad market by a wide margin. GGP makes up $1.3 billion on Pershing Square's portfolio, and the hedge fund owns 7.7% of the firm's outstanding shares as a consequence.
GGP owns interests in approximately 170 regional shopping malls across the U.S., a business that provides the firm with a combination of consistent lease income and a smaller cut of retail sales at its properties. As a commercial REIT, it's best to think of GGP as an income generation vehicle; the firm rents out stores using long-term triple-net leases that keep volatile expenses like taxes, insurance, and maintenance off of GGP's list of responsibilities. That's reflected in GGP's 2.3% dividend yield right now.Ackman was one of the most conspicuous backers of GGP back in 2009 and 2010 when the REIT was struggling to stay afloat (it went bankrupt in 2009). And so far, his investment has paid off in spades. Still, it remains the number-three position in his firm's portfolio by size for a good reason: he thinks GGP's got more to pay investors in 2012. To see the rest of Bill Ackman's plays - including a complete list of which stocks he added or sold off, check out the Pershing Square Portfolio on Stockpickr. -- Written by Jonas Elmerraji in Baltimore.
Twitter and become a fan on Facebook.
Select the service that is right for you!COMPARE ALL SERVICES
Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.
- $2.5+ million portfolio
- Large-cap and dividend focus
- Intraday trade alerts from Cramer
- Weekly roundups
Access the tool that DOMINATES the Russell 2000 and the S&P 500.
- Buy, hold, or sell recommendations for over 4,300 stocks
- Unlimited research reports on your favorite stocks
- A custom stock screener
- Upgrade/downgrade alerts
Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.
- Diversified model portfolio of dividend stocks
- Alerts when market news affect the portfolio
- Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.
- Real Money + Doug Kass Plus 15 more Wall Street Pros
- Intraday commentary & news
- Ultra-actionable trading ideas
Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.
- 100+ monthly options trading ideas
- Actionable options commentary & news
- Real-time trading community
- Options TV