Andrew Spodek, CEO of Postal Realty Trust, Inc., participated in a video interview at Nareit’s REITworld: 2022 Annual Conference held in San Francisco on Nov. 15-17.
Postal Realty’s portfolio represents about 6% of total properties leased to the U.S. Postal Service. “Even though we are only 6%, we are the largest owner,” Spodek said. The next 20 largest owners altogether only own about 11% of the market, making it “hugely fragmented,” he added.
Spodek said the current size of the postal properties market is somewhere between $12 billion to $15 billion. “I think the opportunity set is very large and I think that we’re primed to capitalize on that,” he noted.
Spodek also commented on ways in which Postal Realty is a prudent steward of capital, pointing to its low leverage, around 84% level of fixed-rate debt, and its “very conservative tenant with very high occupancy.”
Meanwhile, Spodek discussed the balance the company is looking to achieve between flex, last-mile, and industrial postal properties. He noted that the REIT looks at all asset types but focuses primarily on last-mile and flex. “Industrial properties are more opportunistic for us,” he said.