There’s usually at least some truth to every fear mongering media narrative, and the talking heads and short sellers have not been kind to retail REITs, as growing e-commerce continues to dramatically change the industry landscape. Yesterday we received news confirming that Simon Property Group (SPG) intends to acquire its smaller “A-Class” property REIT peer Taubman Centers (TCO), and shares of TCO shot up dramatically. There remains heightened uncertainty and volatility in this space, and it is making for an interesting, high-upfront-premium, income-generating options trade opportunity. We believe this is an attractive trade to place today, and potentially tomorrow as long as the share price doesn’t move too dramatically before then.