Aew Uk Reit Share Discussion Threads

[skyship] 29/2/2024 16:49

Specto - in their IM presentation (see link below) they confirmed the Wilko site already under negotiations for re-letting; and the industrial property at Runcorn likely to be re-let at a higher level.

They go on to explain their track record of 33 qtrs of 2p/share dividend. When not covered by earnings, they show cover with capital gains from property sales.

They would be very loath to cut; and certainly no need to as adequate reserves to cover any earnings shortfalls.

So - wrong. Would be totally surprising if they cut. They won't.

[spectoacc] 29/2/2024 14:03

Agreed, AEWU has delivered, but best to value it now with the dividend lowered, say 1.5p/qtr going forwards.

The cut may not happen - they only need one good sale in the pipeline - but nobody could be surprised if it gets cut.

[chucko1] 28/2/2024 15:27

Agreed - but although based over a perhaps statistically significant period of 5.5 years, that still does not include a lot of transactions, nor the change in investment manager as of not that long ago. Added to the risk is the relatively small size of the REIT. This is not to say that it cannot continue to outperform, but therein lies some increased risk. Hence my preference for one or two others, although the now hard hit share price of 84p to give a yield of 9.5% is beginning to get interesting (once again).

Competition from SREI, once again, as it just gapped down 5% on nothing whatsoever. Bought those first.

[stemis] 28/2/2024 14:54

One man's 'churn' is another man's 'asset management to improve the quality of income streams and maximise value, exploiting pricing inefficiencies in smaller commercial properties, let on shorter occupational leases in strong commercial locations'.

I think if you expected this to be a passive landlord, sitting on a bunch of properties to generate a rental income and pay this out as a dividend, you were looking in the wrong place.

I've just looked back at my financial data, going back to 1 April 2018 (the period of my interest). During the 5.5 years since then the company has paid out 44p in dividends, costing £69.7m. Net rental income (after costs and interest) was £60.8m. However it also made a £20.8m gain on sale of properties. Net revaluation of properties over the period was a surplus of £2.2m. Overall a 'profit' of £83.9m.

Clearly there's no guarantees going forward but, so far, I'd say it's done pretty much what it says on the tin...

[chucko1] 28/2/2024 13:54

Nickrl, that is my sense. I have been an avoider of AEWU (for 18 months or so) after having been a cheerleader (arguing against the dividend doubters). The price reflects far less benefit of doubt than some others, at a time when doubt is reappearing to some extent.

[cwa1] 28/2/2024 12:47

Modest top up just under 83p. Seems very weak with a persistent seller. Ho hum...

[nickrl] 27/2/2024 19:38

Seems the luv affair is over here that they can keep churning the portfolio to cover the divi deficit

[cwa1] 27/2/2024 12:45

Oh, go on then, I'll have a handful at 85.74p. Price does seem very weak though, so probably further to fall. Wish folk wouldn't keep putting temptation in my way. I blame that Skyship...mutter...grumble :-))

[skyship] 27/2/2024 11:05

No indeed. Discount only 15%; but the stock has always enjoyed a slightly higher rating than many peers due to its consistent 8p/annum dividend - paid every year since IPO nearly 9yrs ago.

I've bought for the likely swing back up toward 100p - see chart in 1536 above.

[boystown] 27/2/2024 10:49

Not as big a discount as you usually go for Skyship???

[skyship] 27/2/2024 10:41

Hitting the Q4'22 lows. On offer below 88p for a 9.1% yield.

Added a few more, though only a few as pretty fully invested in my SIPP.

[skyship] 22/2/2024 21:10

Just a different observation:


free stock charts from uk.advfn.com

[spectoacc] 22/2/2024 13:17

The couple of CVA's causing the divi to be uncovered again won't have helped. They'll no doubt try to maintain it indefinitely as per usual, but no one can say they weren't warned, if they did cut it. Plenty of commentary in every release about it.

One of the better REITs tho - perhaps they should bid for something. I hear API's for sale.

[skinny] 22/2/2024 13:10

Just an observation :-

[fred177] 22/2/2024 13:04

Alex was running the show at the time

[skyship] 22/2/2024 12:57

You ask anything behind the fall?

Investment manager Laura Elkin gone on maternity leave! 😀 She's done it before without problems; so unlikely to be a true reason for current weakness.

[skyship] 22/2/2024 11:08

Averaged down at 89.56p - c90p inc SD. Discount at 13%; yield at 8.9%.

[mindthestash] 16/2/2024 15:43

anything behind thus fall
sub 90?
its looking like time to add more

[nickrl] 13/2/2024 18:52

@grahamnash re ~1527 its gone down....

Seriously these have shown significant resilience and the manager has certainly been very adept at well time sales and acquisitions so one to trade in / out of as Sky has above by the looks of it.

[skyship] 13/2/2024 10:44

Bt in @ 92.7p; that's 93.2p inc SD. Disc. @ 10%; Yld @ 8.6%.

[grahamnash] 08/2/2024 16:06

Does anyone have any thoughts on how the recent decrease in NAV might affect the share price going forward?

[skyship] 26/1/2024 08:18

The 2023 see-saw price action suggests BUY low 90s; SELL @ 100p

[skyship] 26/1/2024 08:16

Or:
Prospective lettings at three void units: the former Wilko at Union Street, Bristol; the former Mecca Bingo at The Railway Centre, Dewsbury; and the former Sports Direct at Barnstaple Retail Park are advancing well. The re-letting of these units are expected to have completed during the first half of this calendar year, further improving income streams and mitigating the incurrence of void costs, albeit with associated tenant incentives suppressing earnings potential over the short term.

[spectoacc] 26/1/2024 07:03

Or:
"EPRA earnings per share have been negatively impacted by 0.28 pence due to two tenants entering administration during the period.....The Company's portfolio saw a like-for-like valuation decrease of 1.59% during the quarter, symptomatic of subdued deal flow in the UK commercial property investment market. "