Thursday, March 10, 2011

Follow up on Getty Realty, GTY

Income Investors, do not be fooled by GTY
reaffirming the dividend. It is still too risky for the ordinary income investor. I want to own an 8 plus dividend yield with low leverage just as you do, but not when the revenue source is so concentrated that a negative event could render your investment worthless.

If GTY can show consistent revenue over the next year or two, and repairs its dependence on such a narrow source of income, we can reconsider it as one of our investments.

P.S. GTY closed as $22.75 just where we sold it.