The Local Shopping Reit Share Discussion Threads

[deepvalue2015] 08/12/2016 14:45

@skyship Re quote: that would be a first!

[skyship] 08/12/2016 13:56

"The Board of LSR is grateful to the overwhelming majority of its shareholders for their support and will set out its roadmap for the completion of the Company's strategic plan in our annual results statement, which will be published on 12 December 2016. In the meantime, the Board will continue to act in the best interests of all shareholders, including Thalassa, and prosecute its plans as expeditiously and sensibly as possible."

[my retirement fund] 08/12/2016 12:05

They are not going to tell it like it is because they are just going to attract more spivs like Thalassa, they are not going to write the book value down and they most certainly wont be taking a pay cut - what exactly are people expecting?

[skyship] 08/12/2016 12:00

So true...

[tiltonboy] 08/12/2016 11:46

Not long to wait (Monday)and I think we will be all in a better position to make a reasoned opinion. At the moment it is mostly bluster.

[orinocor] 08/12/2016 11:41

If this company is so undervalued and its properties are on such a high yield why can it not afford to pay its shareholders a dividend? Look at RECI it will pay you a 6.5% yield. I think they've sold all the good stuff and are left with a lot of dross.

[my retirement fund] 08/12/2016 11:30

Well I've first got in around 35p a few years ago and looking back ive almost broken even but its taken lot of effort to trade out of my initial mistake and moreover a complete waste of my time when I could have been doing more productive things with my money so you can stick your sarcasm where the sun don't shine.

[hillofwad] 08/12/2016 11:26

Certainly some tensions appearing on this board as concerns creeping in Surprising that Internos thought some of the kit was so poor that all it warranted was an appearance in what can only be described as a bucket shop auction house I thought these high yielders were meant as stocking fillers in the portfolios to beef the income up to attract buyers

It is really difficult to understand what Internos are doing andvthe worry is that only a big haircut on prices s going to shift the remainder Dont think we will see more than 3-4% haircut on valuation Its the discount requirement is the concern However it deos increasingly look as Soukop has paid top dollar and wil need to balance the books at under 25p to have half a chance
I am holding but it will have to be under 25p to buy any more

[redhill9] 08/12/2016 11:23

Steady, steady! Some are getting a little carried away here I think. Perhaps waiting for the figures next week would be sensible rather than being panicked into selling now by doom monger talk of extreme scenarios. Don't forget that these properties are generating reasonable income for LSR.

[my retirement fund] 08/12/2016 10:54

NAV 19p is possible - or worse ! These property stinkers have a habit of having book values that make Amazons top 100 selling books in the fiction department look rather plausible! Theres a long string of them - many having left investors penniless.

[skyship] 08/12/2016 10:27

RCT2 - as I said on the THAL thread: "perhaps best to wait for the stats and statement to come with the Finals in c2weeks time" - now earlier, perhaps 12th or 13th according to Tiltonboy.

[gfrae] 08/12/2016 10:26

Is DS selling post EGM ? Or is it your posts How ?

[hillofwad] 08/12/2016 10:14

SP down again today!!

[hillofwad] 08/12/2016 10:12

Stem I appreciate that. I have attempted to factor in a sum over and above the 26% discount "exit fees" to include debt ,cancellation fees etc and doubt whether that equates to more than 5p per share Its anyone,s guess but perhaps a little unfair to apply the 26% acrosss the whole portfolio for the sale of some dross

Having said that I do agree with you these sales reflect a large divergence between "value "and "realisable value"

[tiltonboy] 08/12/2016 10:10

SteMis,

It's easy to pick on individual or a small number of properties to try and prove a point, as I could equally point out that they sold a larger amount of properties recently at a (modest) premium to NAV. Until such time that there is a trend appearing, I am quite happy to maintain, and/or add to my holding.

If I'm wrong I will put my hand up and say so.

[stemis] 08/12/2016 09:42

I might be wrong but I thought NAV was circa 43p per share at the last count so a26% haircut with all the exit fees still puts us ahead of the game at 27pish but not a lot!!!

Unfortunately not. You are forgetting the impact of debt here which gears up the discount. In simple terms you can't apply the discount straight to NAV because you don't get a 26% reduction in the debt

[rcturner2] 08/12/2016 09:37

Skyship, any comment?

[hillofwad] 08/12/2016 09:32

Just goes to show the discrepancy between a book valuation and actual market transaction I might be wrong but I thought NAV was circa 43p per share at the last count so a26% haircut with all the exit fees still puts us ahead of the game at 27pish but not a lot!!! Perhaps a little unfair to use all the ugly sisters being fire sold as a yardstick to market value the whole

[stemis] 08/12/2016 09:15

The properties valued under 100k have an average yield of 10.68% in the books.

If those yields were applied to the two properties sold here

hxxp://www.pugh-auctions.com/Auction/Manchester/20161206

the book values would be £156,404 (£16,704/10.68%). They sold for £116,000. That's a 26% discount to NAV. Apply that across the whole portfolio and you end up with a NAV of 19p.

I'm not saying its as straightforward as this but it does show that what evidence there is hardly points to this being undervalued...

[tiltonboy] 08/12/2016 08:02

I will try and catch the auction this afternoon.

[hillofwad] 08/12/2016 08:00

Tilts

Certainly interesting to see what prices were achieved

[tiltonboy] 07/12/2016 21:47

Looking at the quality of the assets sold, I'm not surprised they were on big yields!

The properties valued under 100k have an average yield of 10.68% in the books.

[hillofwad] 07/12/2016 19:55

Just had a flick through What a load of dross?? All 10% plus yields probbaly book valued at 8%or less Interesting to compare prices achieved to book values and we wonder why the share price is below 30P

[hillofwad] 07/12/2016 19:48

Internos displaying all their expensive skillsets to instruct some Conference League auctioneers to fire sell assets Bet the prices achieved bore no relation to book value?