Third Avenue
Third Avenue Real Estate Value Fund
Global Mid-cap Real Estate
Mar 2025 → Sep 2026
Our archive holds 5 letters from this strategy, behind 11 investment theses and positions in 42 companies. Every quote below is copied verbatim from the letter it came from.
5 letters in 2 years · follow all of Third Avenue for every strategy.
Performance
as of Sep 30, 2026 · net of fees · USD · Institutional
- 1Y−14.3%
- 3Y · /yr+10.3%
- 5Y · /yr+2.4%
- 10Y · /yr+3.5%
- Inception · /yr+8.2%
| 1Y | 3Yper year | 5Yper year | 10Yper year | Since inceptionper year | |
|---|---|---|---|---|---|
| Third Avenue Real Estate Value Fund | −14.3% | +10.3% | +2.4% | +3.5% | +8.2% |
Disclaimer
These figures are copied from the manager’s latest letter, as of Sep 30, 2026. They were extracted automatically, have not been verified by HF Best Ideas and may contain errors. They cover a single share class, in the currency and fee basis stated above; other share classes and your own returns will differ. This is not investment advice, nor an offer to buy or sell any fund. Past performance does not predict future returns.
Read full disclosures →What it bought and sold
The Fund also trimmed back WESCO and Freddie Mac preferred, exited D.R. Horton, and extended its British Pound and Hong Kong Dollar hedges for portfolio management purposes.
- TrimmedFreddie MacSep 2026
The Fund also trimmed back WESCO and Freddie Mac preferred, exited D.R. Horton, and extended its British Pound and Hong Kong Dollar hedges for portfolio management purposes.
Along these lines, the Fund initiated positions in the common stock of Scentre Group and Home Depot during the quarter.
The Fund also exited its position in the common stock of Segro (the leading owner and operator of industrial and logistics properties in the U.K. and Western Europe) after it agreed to be acquired by Prologis (a U.S.-REIT that is the largest owner of industrial and logistics properties globally) during the quarter.
Along these lines, the Fund initiated positions in the common stock of Scentre Group and Home Depot during the quarter.
The Fund also trimmed back WESCO and Freddie Mac preferred, exited D.R. Horton, and extended its British Pound and Hong Kong Dollar hedges for portfolio management purposes.
The Fund also added to other holdings where the price-to-value gap broadened during the period (FirstService Corp. and Hang Lung Group).
In terms of residential-related businesses, the Fund increased its position in the B shares of Lennar Corp. (“Lennar”) during the quarter.
With respect to the Fund’s international holdings, Savills plc (“Savills”) was increased during the quarter.
The Fund also added to other holdings where the price-to-value gap broadened during the period (FirstService Corp. and Hang Lung Group).
As far as real estate operating companies, the Fund increased its position in Brookdale Senior Living (“Brookdale”) during the period.
the Fund reduced various positions within the North American (D.R. Horton and WESCO International) and Asia Pacific (CK Asset Holdings and Wharf Holdings) regions
the Fund reduced various positions within the North American (D.R. Horton and WESCO International) and Asia Pacific (CK Asset Holdings and Wharf Holdings) regions
the Fund reduced various positions within the North American (D.R. Horton and WESCO International) and Asia Pacific (CK Asset Holdings and Wharf Holdings) regions
the Fund reduced various positions within the North American (D.R. Horton and WESCO International) and Asia Pacific (CK Asset Holdings and Wharf Holdings) regions
The Fund also trimmed back CK Asset Holdings, exited several positions following corporate activity (National Storage REIT, F&G Annuities, Rayonier, and Unite Group), and extended the Fund’s Hong Kong Dollar hedge.
Of note, the Fund added to several holdings where the price- to-value gap broadened to historically wide levels amid recent volatility, including certain commercial-centric issuers (U-Haul Holdings and FirstService Corp.) and select international companies (Accor SA and Ingenia Communities).
Of note, the Fund added to several holdings where the price- to-value gap broadened to historically wide levels amid recent volatility, including certain commercial-centric issuers (U-Haul Holdings and FirstService Corp.) and select international companies (Accor SA and Ingenia Communities).
That said, such a scenario does not seem to be “priced in” with Brookdale trading at a discount to its owned real estate in our estimation—without factoring in any value for its operating platform, third party management business, or deferred tax assets.
The Fund also trimmed back CK Asset Holdings, exited several positions following corporate activity (National Storage REIT, F&G Annuities, Rayonier, and Unite Group), and extended the Fund’s Hong Kong Dollar hedge.
The Fund also trimmed back CK Asset Holdings, exited several positions following corporate activity (National Storage REIT, F&G Annuities, Rayonier, and Unite Group), and extended the Fund’s Hong Kong Dollar hedge.
Both of which seem constructive for the Fund’s recent investment in Hang Lung Group.
The Fund also trimmed back CK Asset Holdings, exited several positions following corporate activity (National Storage REIT, F&G Annuities, Rayonier, and Unite Group), and extended the Fund’s Hong Kong Dollar hedge.
The Fund also trimmed back CK Asset Holdings, exited several positions following corporate activity (National Storage REIT, F&G Annuities, Rayonier, and Unite Group), and extended the Fund’s Hong Kong Dollar hedge.
Also held
- Big Yellow Group Plc
- Five Point Holdings, LLC
- Wharf Holdings Limited
- CBRE Group, Inc.
- Jardine Matheson Holdings Limited
- Weyerhaeuser Company
- Lennar Corp.
- FirstService Corporation
- Sun Communities, Inc.
- Fidelity National Financial, Inc.
- Fannie Mae
- Hang Lung Group Limited
- Brookfield Corporation
- Accor SA
- First Industrial Realty Trust, Inc.
- AMH
- U-Haul Holding Company
- PulteGroup, Inc.
- Prologis, Inc.
- Berkeley Group Holdings Plc
- CK Asset Holdings Limited
- Accor S.A.
- Champion Homes, Inc.
- Big Yellow Group PLC
- Segro plc
- JLL
- Hang Lung Properties Limited
- Federal National Mortgage Association
- Savills plc
- Big Yellow Group plc
- Federal Home Loan Mortgage Corporation
- Lennar Corporation
- WESCO International, Inc.
- Berkeley Group Holdings plc
Its investment theses
- Scentre GroupSep 2026Scentre Group owns dominant retail-led destinations in supply-constrained Australian and New Zealand markets, with high occupancy, strong productivity, urban densification potential, and shares trading below NAV.
- Home DepotSep 2026Home Depot combines a dominant home-improvement franchise with resilient demand, substantial real-estate ownership, strong free cash flow, and distribution expansion that could lift cash flows and NAV.
- Brookdale Senior LivingJun 2026Brookdale Senior Living owns a large senior housing platform and could narrow its NAV discount through higher occupancy, stronger cash flow, debt reduction, and asset conversion.
- Lennar Corp.Jun 2026Lennar’s land-light model can support higher returns, free cash flow, and a stronger valuation if margins and profitability normalize.
- Savills plcJun 2026Savills is a diversified global real estate services platform whose Eastdil combination could improve scale, efficiency, mandates, and valuation.
- Brookdale Senior LivingMar 2026Brookdale Senior Living is a leading senior housing operator with resilient assisted-living demand, improving finances, strong growth potential, and an apparently discounted valuation.
- Hang Lung GroupMar 2026Hang Lung Group is a well-capitalized Hong Kong property company with valuable retail assets, improving operating catalysts, and a pronounced double-discount valuation.
- Big Yellow plcMar 2026Big Yellow plc is the largest UK self-storage owner with a hard-to-replicate portfolio, discounted valuation, and lease-up upside.
- Accor SASep 2025Accor SA is a leading global hotel management and franchise platform with significant market share across various regions, currently trading at a discount to peers despite opportunities for divestment and increased franchise agreements.
- Champion HomesSep 2025Champion Homes is a leading producer of affordable housing in North America, showing strong financial health and growth potential despite current market challenges.