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Tickers in this Article: ADC, AMEX:PCC, RPT, NNN
The real estate industry is comprised of numerous investment niches, including builders, mortgage financiers and real estate investment trusts (REITs), and not all of them perform in lock-step with one another. Though the industry as a whole might not be doing as well, it appears the REITs are currently having their day in the sun. (For a primer on REIT valuation, see Basic Valuation Of A Real Estate Investment Trust (REIT))

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Below, we canvass several REITs whose dividend yields, earnings multiples and recent price performance all make them worthy candidates for those seeking value investments.

Rising REITs
Agree Realty Corporation
(NYSE:ADC) pays a very healthy 10.9% annual yield and trades for about 9.2 times last year's earnings. Agree is a REIT that owns and manages 68 commercial properties nationwide, including twelve shopping centers.

The company's shares are up nearly 120% in the last four months and trade at just over 1.09 book value.

Some Don't Agree
PMC Commercial Trust (AMEX:PCC) is a Dallas-based REIT that specializes in sourcing loans for small businesses secured against real estate assets. The stock has gained 75% since hitting 52-week lows in early March, and currently trades at roughly $7.15. The annual dividend yield is an investor-friendly 9% and the price/earnings ratio is around 10.

PMC shares trade at slightly over half the company's breakup value (price to book is 0.5), and this has recently caused a stir among shareholders. Claiming the company is not realizing its potential, one vocal stockholder is suggesting the company reinvent itself or liquidate. Management, however, has remained committed to its core business and its philosophy of conservatively growing the business.

PMC's first-quarter loans totaled a disappointing $3.5 million, but the company anticipates loan funding to be between $20 and $30 million for 2009.

Ramco-Gershenson Properties Trust (NYSE:RPT) is a REIT engaged in acquiring, developing, managing and leasing commercial shopping centers and malls. The company's stock is up 170% since March and still boasts some tremendous fundamentals. To wit, the company trades with a P/B of 0.64 and a price-to-sales ratio of just 1.25. It offers investors an annual dividend yield of around 10% and has an annual trailing P/E ratio of 12.

Last quarter, Ramco-Gershenson signed more new lease agreements than in comparable periods in both 2008 and 2007. Same center occupancy for the quarter stood at 94.1%.

Nineteen Years of Uninterrupted Dividend Raises
National Retail Properties (NYSE:NNN) is one of only 150 publicly-traded American companies that has the distinguished record of increased annual dividends for 19 or more consecutive years. The REIT owns over 1000 retail properties and the shares are up over 70% from lows hit last November.

NNN stock pays an annual 8.7% dividend and trades at 0.93 times book value.

The Wrap
Commercial shopping center REITs are currently in the 'fundamental' spotlight. The fallout from last year's market selloff weighed indiscriminately on both the best and worst outfits in the real estate sector. The above listed issues may well have been judged too harshly. (For additional reading take a look at The Basics of REIT Taxation and The Impact of Interest Rates on Real Estate Investment Trusts)

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