New On The Block
- Six Flags Entertainment Corp. (NYSE: FUN) insists it has plans to boost attendance and reduce costs. But activist shareholder Land & Buildings Investment Management got specific on Friday, Sept. 26: spin off Six Flags' real estate into a REIT or sell it outright, unlocking what it says could be $6 billion in value. Citing bad weather, merger hangovers from last year's Cedar Fair tie-up, and record short interest, the firm sees a "generational opportunity" for those brave enough to buy the dip before the ride goes back up. This isn’t L&B’s first ride with Six Flags. In late 2022, its pitch sent shares soaring 45% and even got a new director added to the board. By mid-2023, it campaigned for real estate monetization—advice the company ignored in favor of the Cedar Fair merger. That deal, L&B’s Jonathan Litt argues, turned out "far worse than we even anticipated." Additionally, Six Flags must contend with rivals like Disney and Universal, who are luring its potential customers, and the pressure to capitalize on its land is only growing.
