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  "documentTitle": "Howard Hughes Holdings Inc. (HHH)",
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  "authorName": "William Ackman",
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  "presentationDate": "2025-02-18 00:00:00",
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      "text": "While NAV is an interesting valuation metric for the company to track over time, it is not an appropriate transaction benchmark for HHH",
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      "text": "HHH is a tax-paying C-Corporation which has a low tax basis in its assets, which makes asset sales not viable",
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      "text": "In contrast, HHH is a going concern without the potential for short-term, tax-free NAV value monetization",
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      "text": "NAV is a relevant valuation construct for tax-free vehicles which own marketable assets that can be liquidated in a short period of time (e.g., REITs)",
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      "text": "Similarly, if HHH were to divest some or all of its operating assets, it would greatly diminish the company’s control over its MPCs, forfeit long-term growth benefits from densification and destroy intrinsic value",
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      "text": "No market exists to sell the entirety of HHH’s land in bulk, and even if such a market were to exist, any transaction would be at a substantial discount to the land’s NAV value",
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      "text": "In NAV calculations, HHH’s land (2/3 of NAV) is typically marked at most recent sale prices or as a present-value calculation of cash flows over a multi-decade period",
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