Giant storage REIT Public Storage (PSA) has announced they will be doing a new cumulative preferred stock offering.
Being a high investment grade rated REIT we all know this will be a low coupon–‘Dave in Texas’ is guessing 4.50%. PSA last came to the market on 6/8/2020 with a 4.625% issue and it is trading in the stratosphere at $26.94. This very high price may indicated an even lower coupon than Dave guesses.
The company did not announce a specific redemption of preferred shares with proceeds, but a potential redemption is mentioned in the ‘use of proceeds’ section.
It looks like the PSA-X and PSA-W issues which are both 5.20% coupons are top candidates for redemption.
mcg was on this early with Dave in Texas chiming in.