Investing.com — Compass Point has started tracking Curbline properties Corp (NYSE: ) with a “Neutral” rating and a $24 price target given the company’s unique focus on unanchored convenience properties and low leverage model.
Spinned off from Site Centers in October 2024, CURB owns 97 properties, primarily in the Southeast and Southwest suburbs, including Miami, Atlanta and Phoenix. The company is debt-free and plans to fund acquisitions using its cash balance of $800 million and an expected issuance of unsecured debt in 2025, allowing for a potential doubling of the portfolio without raising capital.
CURB shares trade at a slight discount to NAV, but have a premium valuation of 23.7x 2025 forecast FFO of $0.99, reflecting its growth prospects. Despite a 15% rise since listing, Compass Point remains cautious, noting the need for CURB to demonstrate consistent public market performance and growth execution before justifying further premium multiples.
With plans to become the largest unanchored owner of prime space in the US, CURB’s growth trajectory will depend on strategic acquisitions and effective leverage management.
