I always like to try to think about what Buffett saw in this. I think it's the ability to reinvest large sums of cash-flow back into capex via the rebuilding and re-leasing at higher prices. This is a pattern he's doing at Berkshire say with the utilities, railroad, etc.. A leveraged business that reinvests most of its profits can be a good business as inflation rises. The debt provides part of the excess return. Furthermore, being a REIT having to distribute 90% of profits, no wonder it's called 'growth properties'. I wonder if in fact the dividend may be very low because they can take all the money and use it. Using money in a business (with the exception of capital investment that only accrues to consumers such as seat upgrades on airplanes or even tech upgrades in cable companies) is quite tax efficient and is sort of like issuing shares for growth, it's the opposite of distributions because you can't find anything to invest in. Self-funded deployment of capital to earn a higher return. In the case of SRG, potentially 2x higher rent.
