Plural Investing's Chris Waller on the entertainment and hospitality turnaround at Seaport $SEG

Mar 24, 2025

Chris Waller, Founder and CIO of Plural Investing, reveals his insights into Seaport Entertainment Group and its unique mix of hospitality and entertainment. He discusses the transformative potential of new management, the impact of high-profile investors like Bill Ackman, and highlights the innovative addition of attractions like Meow Wolf. Waller explores the challenges of cash burn and operational adjustments while identifying the lucrative opportunities for revitalizing the Seaport District. His deep dive into real estate dynamics offers a compelling view on potential returns.

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INSIGHT

Seaport Overview

Seaport Entertainment (SEG), spun off from Howard Hughes, is a collection of loss-making properties.
Its market cap is significantly lower than the initial investment, presenting a potential value opportunity.

INSIGHT

Market Misses Value

Investors are focused on SEG's cash burn, particularly at the Tin Building food hall.
The real value lies in the Pier 17 and the overall district's potential.

INSIGHT

Location: Strength & Weakness

SEG's location, while close to the water and slightly removed from the subway, presents both strengths and weaknesses.
Management must adapt concepts to capitalize on the unique location.

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Chris Waller, Founder and CIO at Plural Investing, joins the podcast for the third time to discuss his thesis on Seaport Entertainment Group Inc. (NYSE American: SEG), whose focus is to deliver unparalleled experiences through a combination of restaurant, entertainment, sports, retail and hospitality offerings integrated into one-of-a-kind real estate that redefine entertainment and hospitality.

For more information about Plural Invest, please visit: https://www.pluralinvesting.com/

Plural Investing/Hidden Gems write up on $SEG: https://www.hiddengemsinvesting.com/p/special-report-seaport-entertainment

Chapters:

[0:00] Introduction + Episode sponsor: Fintool

[2:22] What is Seaport Entertainment and why it's interesting to Chris

[7:40] What is Chris seeing with $SEG that makes Seaport a risk adjusted alpha opportunity

[9:20] Cash burn / is the district really that valuable, good

[17:41] What attracted Andrew to $SEG - how the opportunity came about (spin off from Howard Hughes)

[22:36] Ackman involvement

[27:25] Overview of Pier 17 and the new lease they've got there / Meow Wolf concept

[36:37] Tin Building and the vision for it / kitchen consolidation / competitive analysis

[48:50] Overview of 250 Water and Vegas assets (air rights, Triple A team)

[59:33] Overview of "The Historic District"

[1:02:38] How the $SEG thesis doesn't play out / new management team

[1:06:06] Final thoughts

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