Diamond Hill Small Cap Strategy Initiates Position in Alexandria Real Estate Equities (ARE)

Diamond Hill Small Cap Strategy initiated a position in Alexandria Real Estate Equities (ARE), a life science REIT, in Q4 2025. The company's shares are down 42.76% over the past year, but the strategy believes the shares are deeply discounted and reflect challenges such as high interest rates, lower venture capital funding, and regulatory pressure. Despite these challenges, the company maintains a solid balance sheet, a long operating history, and a well-located portfolio.