Forest City Enterprises, Inc. (FCE-A)

gpiazzolla (84.30) Submitted: 9/8/2009 10:57:07 AM : Start Price: $4.23 FCE-A Score: +109.18

From the Third Avenue 08Q3 Letter. "(...) Forest City is one of the premier U.S. developers of urban, mixed-use developments. Over the past ten years it has compounded book value per share by 15% per year using its value creation approach to real estate. In recent years, the company has completed some of the most valuable developments in its long history (The New York Times Building and Westfield San Francisco Centre) and taken advantage of rich pricing to sell tertiary properties. More than 75% of the company’s retail, office, and multifamily assets are strategically located in New York City, Boston, Washington, D.C., Denver, California, and Chicago. This diversified collection of assets is more than 92% occupied and provides recurring free cash flow for reinvestment into new, value-creating developments. Since Forest City is not a real estate investment trust, it is able to retain and reinvest its earnings. The recent market price of Forest City Common essentially implies no value to the company’s $1.8 billion (book value) development pipeline (approximately $18 per share). Current economic conditions will probably cause Forest City to delay the timing of certain projects and possibly even walk away from certain developments in its “shadow” pipeline. In addition, rising construction costs and more conservative “exit” financing may lead to less attractive development margins. Nonetheless, over 90% of Forest City’s developments are located in its strategic, high-barrier-toentry markets, where supply remains constrained and additional building will be limited, given the restrictive lending environment. Forest City’s strong balance sheet and its development know-how should enable it to work through the difficult building process, obtain the necessary financing and secure tenants for its irreplaceable locations. As in the past, the development pipeline ultimately translates into growth in shareholder value".

ddberg (97.74) Submitted: 12/10/2008 10:20:35 AM : Start Price: $7.64 FCE-A Score: -18.49

Morningstar "stocks with no value" pick. ("We'd prefer a pack of gum to these businesses.)

chk999longonly (99.33) Submitted: 1/17/2008 7:12:17 PM : Start Price: $35.23 FCE-A Score: -53.76

This is at a 52 week low.

No sub-prime exposure, write up on the liquid lounge

SparkChris (88.75) Submitted: 9/1/2007 11:05:35 AM : Start Price: $55.02 FCE-A Score: -58.35

third ave real estate

Swizzled (< 20) Submitted: 8/8/2007 2:24:29 PM : Start Price: $59.44 FCE-A Score: -58.75

Third Avenue Value holding - Hidden Gem interview from 2003

jim44095 (30.95) Submitted: 8/7/2007 4:54:35 PM : Start Price: $54.70 FCE-A Score: -57.73

fOREST CITY ENTERPRISES IS A WELL RUN REAL ESTATE COMPANY WITH GOOD GROWTH POTENTIAL.

TomFoolNC (97.37) Submitted: 3/1/2007 1:08:06 PM : Start Price: $61.12 FCE-A Score: -64.70

solid mgt company