Getting Paid to Wait for Deleveraging

Summary

The episode examines a REIT's high‑yield bond, which trades above 7% with a 340‑basis‑point spread despite solid market fundamentals and improving leasing. Management is actively selling $280‑300 million of assets, using proceeds to cut debt and potentially buy back bonds, positioning the company for significant interest savings as many existing bonds carry coupons over 8%. With over $600 million in liquidity and no unsecured maturities until late 2027, the balance sheet has room to improve, offering investors a chance to earn high income while betting on a credible path back to investment‑grade metrics.