Joel Agree on investment strategy
From Power Connections Fireside Chat with Joey Agree · · Agree Realty Corporation
“Our investment strategy focuses on e-commerce resistant industries and recession resistant durable goods and services that are necessity based, avoiding discretionary and luxury sectors.”
On , Joel Agree, President, Chief Executive Officer & Director at AGREE REALTY CORP, spoke about investment strategy during Power Connections Fireside Chat with Joey Agree on Agree Realty Corporation.
About Joel Agree
Joey Agree, president and CEO of Agree Realty, has been discussing the company's growth and his views on the retail real estate market. In September 2022, he stated that the company had raised approximately $500 million in common equity, bringing its total hedged capital to over $1.1 billion, and had raised its 2022 acquisition guidance to a midpoint of $1.5 billion. Agree described the company as a "singles and doubles hitter" focused on risk mitigation, and said that speculative development in an inflationary environment is "playing with fire." He also predicted a "true rationalization of industrial distribution space" over the next seven to ten years, and argued that brick-and-mortar retail is an integral part of an omni-channel world. In a 2021 interview, Agree said that during the pandemic the company raised over $1.2 billion in capital and deployed it by acquiring approximately $460 million in real estate in the third quarter, with over 80% of tenants being nationally recognized retailers such as Home Depot, Walmart, and TJ Maxx. He stated that the pandemic accelerated existing retail trends by five to seven years, and that online retail is often unprofitable for retailers due to high return rates and shipping costs. Agree also noted that Agree Realty required employees to return to the office five days a week, saying that "if you want a job you can work from home, but if you want a career, we need you in the office."