6/17/2016 | By Sarah Borchersen-Keto
Tim Mihalick, president and CEO of Investors Real Estate Trust (NYSE: IRET), joined REIT.com for a CEO Spotlight video interview at REITWeek 2016: NAREIT’s Investor Forum at the Waldorf Astoria New York.
The company announced earlier this month that it would exit the health care and industrial markets in order to become a pure-play multifamily REIT based in the Midwest. In 2015, it disposed of its office and retail assets.
Mihalick said the company concluded that the multifamily asset class offered the most potential for maximizing shareholder value.
“As we look forward, we have a long runway as we reposition the portfolio,” Mihalick said.
Mihalick also commented on factors impacting fundamentals in its core Midwest market. The western half of North Dakota has felt the impact of weakness in the energy sector, specifically the city of Williston, according to Mihalick. Elsewhere in the state, the city of Minot has seen a recovery, with occupancy around the 95 percent range, he added.
As for the remainder of 2016, “we expect pretty slow and steady growth,” Mihalick said.