It’s the start of June—one of three best months to be alive—and yet, I’m stuck reading through the shenanigans that CEO Nicholas Schorsch is pulling at American Realty.
I’m still sorting through it all, but my initial impression is this: it appears that he can receive $92 million over the next five years simply for delivering 7% total returns and beat a group of selected peers by six percentage points annually over that time frame. As a reference point, the REIT pays out a $0.0833 monthly dividend, which is a dividend yield of 8.05% based on current prices. In other words, if the price of the stock remains static and the dividend payout remains the same, the first leg of that performance hurdle would be automatically met right now.
Really, the scary thing is that, Schorsch was unrepentant when reached for comment by the Wall Street Journal. Describing his … Read the rest of this article!
The post Just Not Worth It: Stay Away From American Realty first appeared on The Conservative Income Investor.