12 REITs With the Highest Exposure to Bed Bath & Beyond

These 12 real estate investment trusts collectively hold 143 leases for stores in the bankrupt chain.
Steven Porrello
By Steven Porrello  
Published
Edited by Rick VanderKnyff  

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Real estate investment trusts, or REITs, typically aren’t volatile investments, not in the way of tech startups at least. But when one of their tenants is a household retail brand, like Bed Bath & Beyond, that tenant’s bankruptcy could make for unsettling news.

According to data compiled by S&P Global Market Intelligence, Bed Bath & Beyond is a “top tenant” for 12 retail REITs that collectively hold 143 Bed Bath & Beyond leases. That means if the former retail giant empties all of its stores, these real estate companies will have to figure out how to fill 143 vacant spaces.

REITs are traded on exchanges like stocks and exchange-traded funds, or ETFs. These companies are legally required to dish out at least 90% of their taxable income to shareholders as dividends. A potential loss of revenue, then, could threaten a REIT’s ability to pay dividends at current levels.

At the beginning of 2023, Bed Bath & Beyond had more than 700 locations, down from well over 1,000 as recently as 2019. With only 360 locations left in April, that number will gradually dwindle — potentially affecting the landlords who lease out the space.

But there is good news: No retail REIT has more than 2.3% of its total portfolio exposed to Bed Bath & Beyond. And, as we’ll explain, filling retail space with new tenants shouldn’t be too challenging in a real estate market that still lacks sufficient space.

Still, it’s important to be informed about your investments. If you invest in retail REITs, here are the 12 that have the highest exposure to Bed Bath & Beyond (BBBY).

REITs covered