The Local Shopping Reit Share Discussion Threads

[tiltonboy] 06/7/2016 22:03

Thanks. Sorry for the laziness!

[skyship] 06/7/2016 21:24

Strath posted this in 1333 above:

"LSR have also entered at least 8 properties in the Acuitus auction on the 7th July, cat nos 8, 16, 28, 50, 55, 60, 74 & 81. Anticipated receipts £3.5M+."

[tiltonboy] 06/7/2016 19:32

Do we know the lot numbers in tomorrow's auction?

[tiltonboy] 06/7/2016 18:33

strath,

I must have missed one of those. Would be nice to think that they sold others as well. I would expect an announcement after the auction tomorrow, but it probably won't come until next week.

I wonder if the guide prices were in line with their book value!

[strathroyal] 06/7/2016 18:30

tiltonboy - didn't they sell the first 4 lots? 5, 60, 64 & 80 with proceeds c£920,000.

Also the list I put up only consisted of properties I could locate on the Gallery which had around 60% of LSR's portfolio on it and I would therefore be surprised if one or more of the others being handled by Eversheds weren't LSR, so I would speculate that they raised over a £1M today, although still disappointing that lot 95 didn't sell.

I'm not sure if this has any significance but the Gallery on LSR's website now has only 136 properties listed whereas when I checked ahead of these auctions (only 2-3 weeks ago), there were somewhere between 220-230

[tiltonboy] 06/7/2016 15:54

So, after a good start, the remaining lots failed to sell, so only about 500k raised. It will be interesting to see what tomorrow brings.

I'm out of the office tomorrow, so no commentary!

[holts] 06/7/2016 15:51

difficult to believe with the current carnage they didn't consider a bird in the hand was worth taking as it would seem there are going to be a lot of pending forced asset sales .

[prop_joe] 06/7/2016 15:40

Thanks Tiltonboy for auction updates - good to see sites sold but a shame that the big one fell just short of the asking price. I too would be very tempted to accept a slightly lower price in the current climate.

[tiltonboy] 06/7/2016 14:43

The 4th lot (the big one) fell just short of the asking price. I would be inclined to take the price!

AOW,

I think there are some interesting opportunities out there, but the trend still looks down. If SREI fall much further I will be adding them to the list.

[gfrae] 06/7/2016 14:28

Perhaps they ought to use the proceeds to buy in a few of their own now rather cheap shares ? Does not seem much point in paying down debt which is costing them about 2% when they can buy in their own shares which may soon be yielding c.10%.

[actofwill] 06/7/2016 13:49

So Tilton - what are you best picks given current price drops?

[spob] 06/7/2016 13:38

thanks for the info

[tiltonboy] 06/7/2016 13:04

3rd lot has gone for 40% above guide.

[tiltonboy] 06/7/2016 12:59

Just watching the Allsop auction.

Lots are generally going through above guide prices.

LSR have sold two lots above guide on one , and within the range on the second one.

[badtime] 06/7/2016 12:30

Like to take som more Tilts?

[my retirement fund] 05/7/2016 08:56

Yes the Standard life fund will be just the tip of the Ice Berg. Its making news as its a fairly large one.However the situation does look to me like its going to need serious central bank intervention otherwise we could be in for a very long and drawn out correction.

[gfrae] 05/7/2016 08:49

There is an anomaly between the price of property Unit Trusts and Investment Trusts I believe. Investment Trust prices have have fallen in anticipation of falling prices,whilst unit prices may not be pricing in the anticipated fall yet,making them look relatively expensive.

[my retirement fund] 04/7/2016 22:46

Standard Life has suspended it property fund until it can sell more assets. It simply cant sell property quick enough to meet the redemptions. Do you forsee this crash as being once in a lifetime event Sky? A bit like the sub bank debt after the credit crunch.

[skyship] 02/7/2016 09:47

Tilts - absolutely. However ever lower yields are an absurdity - should be moving the other way IMO. For the sector as a whole this makes encouraging reading (Property Week - 1st July):
===================================

Listed propcos face takeover bids on back of Brexit slump

30 June 2016 | By Richard Williams

Cash-rich overseas investors are preparing hostile takeover bids of listed UK property companies after share prices slumped following the Brexit vote.

Property Week has been informed of at least one Middle Eastern consortium looking to take advantage of a drop-off in the value of listed property company shares and the fall in the pound.

The Middle Eastern consortium is being fronted by 3 Associates Capital and is on behalf of four parties.

The pooled fund is said to be mobilising capital and in discussions with financial advisers about preparing a formal bid.

It has a hit list of second-tier listed property companies.
“Why buy a portfolio when you can buy a company?”

“This is a big opportunity to buy companies, not just shares in companies,” said a source familiar with the plans.

“Why spend hundreds of millions of pounds building up a portfolio in London when you can buy a company for the same price? That’s the smart play right now.”

Other parties, including US and Canadian pension funds, are also thought to be lining up bids for property companies.

The share prices of companies with significant exposure to the London market have been hit the hardest since the referendum.

Stock exchange trading screen

Source: Shutterstock/Hxdbzxy

Last Friday, Derwent London was the worst-hit real estate investment trust (REIT), closing down 24%, but others were not too far behind. Great Portland Estates dropped 22%, while British Land, Helical Bar and St Modwen all fell by 19%.

The rout continued on Monday as companies including British Land, Derwent, Great Portland and Workspace suffered further double-digit declines before recovering some of the lost ground on Tuesday and Wednesday.

The upshot is that much of the listed sector is now trading at significant double-digit discounts to gross asset value, giving investors a potential opportunity to gain exposure to UK property at a large discount to the most recent valuations in the direct property market.

Foreign investors are also able to take advantage of the weakness of the pound, which hit a 31-year low against the dollar on Monday.

[jack1236] 02/7/2016 08:13

Hi tiltonboy,

Hope your well and doing well!!

[tiltonboy] 02/7/2016 08:07

I do not expect too much this week, but would like to see some of the properties sold. With Carney talking of interest rate cuts, I wouldn't be surprised to see buyers return to the market (at some stage). After all this is tertiary, private landlord stuff, not institutional London offices.

[skyship] 02/7/2016 07:24

So, as Strathroyal revealed, this week is a bit of a crunch week for LSR holders with the Allsops auction on Weds 6th & the Acuitus auction the next day, Thurs 7th.

With all the uncertainty post Brexit, especially the collapse in the prices of listed commercial propcos, will investors still step up to the plate and bid on those attractive yields. I suspect the investors will return; but perhaps we shouldn't be too surprised if there is a dearth of buyers this coming week...

[badtime] 01/7/2016 17:03

What's held u back? :)

[tiltonboy] 01/7/2016 16:08

Looking at the volume it's only me!

Bought a million so far.

[badtime] 01/7/2016 15:50

Fair amount going ..wonder who is buying ..apart from Tilts :)