British Land Share Discussion Threads

[williamcooper104] 30/6/2022 11:03

That's what having founder management with a big chuck of equity will do for you

[medieval blacksmith] 30/6/2022 11:03

So seeing as the NAV per share hasn't really gone anywhere over the last decade and the dividend yield isn't anything to boast about why would anyone buy here??? Is the forward strategy attractive and will the UK provide the stable base for NAV per share growth?

[essentialinvestor] 30/6/2022 11:00

Helical avoided the same fate, they went for a more modest private share placing,
one of the reasons why their NAV is ahead of the 2007 pre GFC peak valuation.

[williamcooper104] 30/6/2022 10:43

That and they literally gave away Broadgate to Blackstone

[essentialinvestor] 30/6/2022 09:48

12 February 2009
"Proposed 2 for 3 Rights Issue at £2.25 per new share to raise net proceeds of £740 million

The Board of Directors of The British Land Company PLC (the “Company”;) today announces a rights issue to raise approximately £740 million net of expenses by the issue of up to 340,873,589 New Shares (representing approximately 67 per cent. of the existing issued share capital and 40 per cent. of the enlarged issued share capital immediately following completion of the Rights Issue) through a 2 for 3 Rights Issue at 225 pence per New Share.."


You suddenly had an extraordinary increase in share count, with those shares
issued right near the GFC low point - double whammy.

[essentialinvestor] 30/6/2022 09:45

Huge value destruction was caused by the highly dilutive RI at the height of the GFC
which very significantly increased the number of shares in issue - that largely "explains" the longer term share price

[bondholder] 30/6/2022 09:42

It brings to mind Buffett talking about frictional costs where investors keep buying and selling

[bondholder] 30/6/2022 09:40

Share price is the same as 25 years ago. Amazing result.

[medieval blacksmith] 30/6/2022 08:52

Yes, RIP Miata. Good poster in ADVFN better times.

[jonwig] 30/6/2022 06:51

buywell - MIATA last posted in 2014 and admitted to suffering a major heart attack. (Click next to his username to view).

I rememer appreciating his knowledge and his posts; never got "personal", always informative.

[buywell3] 30/6/2022 02:23

MIATA

The BLND chart in your header refers to a different US company called Blend Labs Inc

[williamcooper104] 29/6/2022 23:42

That's very possible I'm swerving them as have long memories of when their share price traded at big discounts Also multi-sector REITs tend to underperform specialist REITs Usually doesn't make much difference as to if you go for LAND or BLND as they both tend to screw up the same

[ericshunn] 29/6/2022 22:42

Can't help but feel we are witnessing a structural rather than cycical change in the demand for (city centre) office space globally. If this happens to be the case, it provides profound challenges for Prop Cos. REITs might just get cheaper.

[essentialinvestor] 29/6/2022 19:03

Nick, you would know more about commercial office than me,
I would guessestimate growing demand for flex space plus older office space to come out of the market over the next few years would be of some support.
But none of us have a crystal ball and we may be facing a more significant
equity bear market this time around, so where sector share prices end up..etc.

[nickrl] 29/6/2022 17:32

Thats bounced them into the 30%+ discount league. BLND & LAND share price had been holding up better than GPE & DLN since start of year so have moved more in line.

Whilst I certainly have doubts about office durability in the long run (rush hour public transport use has only crept upto 50% on pre covid although more flexibility over hours probably means that isn't a direct read across to occupancy rates) although right sizing accommodation will have a long tail as breaks or expiries come due and BLND pretty insulated for a few years. The retail pks should hold position and their shopping centres have already taken a big hit. Dividend is easily covered at the cash level.

Have avoided the big propcos especially ones with JVs and associates as but maybe time to take an interest.

[essentialinvestor] 29/6/2022 15:22

Yes may be a fair comment but in terms of the listed sector SP's are arguably
well ahead of that, BLND trading at near £9 in 2015.

Now it does not necessarily follow that the current price having fallen significantly
equates to value, however the discount to NAV may give at least some protection.

UK recession looks about nailed on now only fair to say.

[ghhghh] 29/6/2022 15:12

BoF downgrade to Neutral, pt 440p. Says Euro real estate glory days are numbered!!

US inflation, EU stagflation and Chinese devaluation signalling end of property yield compression and the ultra low yield bond

[essentialinvestor] 29/6/2022 14:44

In for a small amount.

[williamcooper104] 29/6/2022 12:44

Yep LAND way down too Suspect it's the cost of living crisis and LANDs exposure to shopping centres Along with the office exposure

[nickrl] 29/6/2022 11:49

Merril Lynch downgraded them along with LAND.

Only got headlines not reason

[my retirement fund] 29/6/2022 10:22

one to watch

[nickrl] 29/6/2022 09:16

Indeed general malaise against london centric propcos this morning maybe because Norges Bank has pulled a sale of a London office as it didn't get offers it was looking for. Que valuers taking a slice off at next valuations but City AM say May was highest for leasing deals for several years in the capital!!