Good volume of over 10 million in that UT...but the price...ouch :-( |
Blimey CWA swallowed a dictionary.
CREI was tipped alongside SUPR recently, this slide is surprising and inviting an add, especially as it is dividend day. But yes can see why folks might prefer SUPR. |
SGRO - lovely run for 10yrs : 2012-2022. Then down 50% over the past two years.
Still, 9.4% pa compound plus divis. Do you ever sell?
free stock charts from uk.advfn.com |
@skyship #424. Thank you. I've not done the sums to correct book cost for RPI. |
Good call... |
@skyship #422. Better than that, bought soon after name change, average book cost after expenses 210pps. |
nexus - hopefully SGRO only bought recently! |
riverman77 #419. Absolutely agreed. SEGRO is excellent; their NAV and dividend increases over time have been very good. However I do already have 4.2% of AUM invested in SGRO. |
 @Spectoacc #417. Because in my opinion:
1. IM Webcast Presentation of 2024 03 15 P46. My modelling disagrees with P46. Perhaps I have misunderstood their assumptions which suggest that an IRR of 12% is achievable. I question how this can be possible unless either the OCR soars well beyond the 3.8% average stated in the SUPR accounts for a FRI lease, or the retailer manages to increase turnover by 3.5% + inflation, y/y for 18 years. Looking at Tesco & Sainsbury historic accounts, like for like t/o increase seems to just keep up with inflation. Indeed in any long term forecasting model my inclination would be to, at the most optimistic, allow for annualised ERV = GDP. If I model for acquisition of shares based on the share price discount to NAV and assume zero discount on share sale, the best achievable IRR = 10.5%. So .. while still on my watchlist I have red-flagged Atrato as being, economical with the truth.
2. I have been unable to determine how much skin Atrato have in SUPR.
One important positive is that the assets are leased by blue chip companies that have high resilience to economic vagaries.
In summary, like you I do look at comparatives, discount, yield etc, but also factor in management's financial commitment, quality & integrity. |
I noticed that SGRO has fallen a lot over last 6m or so - don't usually monitor this as tends to trade on premium to everything else, but now on 20% discount too. Lower yield than most others but probably much faster rental growth. Would probably pick this over CREI if wanted another REIT. |
I'm not trying to proselytise anyone on CREI :-)
However, for me, it's about a bit of diversification. I have a lot of the usual suspects: SUPR, AGR, ASLI, etc, etc. So wanted something different and, hopefully, not at the upper end of the risk spectrum.
At the current 73.5p it yields well over 8% so that floats my boat. Covered as well currently.
A NAV of 94p vs the current SP, IF to be believed :-)), so a reasonable discount. They also say: “This Quarter saw further evidence that the market has bottomed out. Which I'm pleased to hear
Etc, etc, blah, blah, blah.
So it's about diversification at reasonable levels for me. I TOTALLY accept there's plenty of other, possibly better, ways to skin this cat though ;-) |
Can't see the particular appeal of CREI, not compared to eg SUPR, who are a different beast (inflation linkage, rock-solid sector).
93.5% occupancy (1.8% deliberate), "Smaller, regional property", no obvious catalysts.
Not terrible - just can't see the particular appeal compared to what else is out there.
Good luck holders. |
Sadly, I have a bucketload of SUPR at the moment and don't/won't want any more. So CREI, as you say, is starting look a bit alluring and is fluttering its eyes in my direction, unfortunately... |
Agreed, beginning to look cheap again.
However the 8.05% yield at 74.5p compares with SUPR's 8.6% at 71.4p (Both at discounts in the range of 18%-21%)
Slightly lower yield is WHR's 7.7% at 83p; but the discount far higher at 35%.
On balance I would favour WHR at the moment; or even CLI at the absurd 69% discount and 11.2% yield at 71p. |
Oh, go on then, small amount for me too then ;-) |
@cwa1 #412. As are many others. I've been accumulating. |
Blimey, it's unpopular. Tempted to add. Should I go away and lie down until the notion passes? |
Good to see another one stabilising. I like CREIs transparency on asset mgt but in that info there is a fair few lease extension/renewals where the rent remains unchanged and a few where its dropped. They also tell us that a couple of big vacancies have arisen post qtr end. Finally they are proposing to cover this years loan redemption using the RCF so that will add to interest costs in the short term as they wait out direction of interest rates. So another year without a divi increase imv but as i got in when the API debacle crashed the share price im content. |
Signs of hope?
Commenting on the trading update, Richard Shepherd-Cross, Managing Director of Custodian Capital Limited, said: “This Quarter saw further evidence that the market has bottomed out, with the last 12 months seeing two quarters of broadly flat valuations followed by two quarters of like-for-like valuation growth. These valuation increases add further support to our belief that we are at the start of a gradual upwards trend having delivered like-for-like average rental growth of more than 5.0% per annum over the last 18 months, with proactive asset management being the key driver of returns. We completed 25 plus lettings, lease renewals, re-gears and rent reviews during the Quarter at significant average premiums to ERV and previous rent, as well as continuing to make disposals on terms ahead of valuation. These activities will be supportive of future earnings and our longstanding track record of fully covering our dividend, which now offers investors an attractive c.8% yield.” |
29 January 2025
Custodian Property Income REIT (LSE: CREI), which seeks to deliver an enhanced income return by investing in a diversified portfolio of smaller, regional properties with strong income characteristics across the UK confirms its third quarterly interim dividend for the financial year ending 31 March 2025, relating to the quarter ended 31 December 2024, of 1.5 pence per share will be paid on 28 February 2025 to shareholders on the register on 7 February 2025, and designated as a property income distribution (“PID”). |
Winterflood were right with 54% of their choices last year, so not great but lets hope they are right with this one.
Can't believe how the whole sector has fallen out of favour - my REITs have pretty much all underperformed over the last few months. As API was one of my largest holdings I was a bit disappointed at the exit price, but retrospectively it looks decent.
Might get a few more here but there is no rush. It can wait for the next BoE meeting at a minimum |
CREI get a, favourable, mention here being selected as one of 8 Winterfloods discounted funds of the year |
A well-managed REIT, forgiving their foolish tilt at API! So, surprised to see these back to 72.6p. A general malaise in the sector; but now on a 22.5% discount; and more importantly an 8.3% yield.
Tempted; but cash went into WHR yesterday... |
@Nexus oh yes I overlooked Cross is the key mgr in CREI so my comments aren't relevant and have amended. |
@nickrl re:#403. Thank you for your comments on H1 numbers. The vacant assets sold amounted to c. 2.5% by value of the portfolio; that ought to reduce ongoing property costs. Gearing reduced to 28.5%, nearing their 25% target. RCF repayment of 5mn will reduce interest bill by c. 320k. Divi target FY24 >6.0p, up from FY23 5.8p. Regarding the management of CREI, my understanding is that Mattioli resigned as NED from the CREI board, but remains as Chair of CREI's manager, Custodian Capital Limited. The two key executives of Custodian Capital Limited, MD Richard Shepherd-Cross and FD Ed Moore are unchanged. Thus I have no concerns. Richard is the co-founder and principal driver of Custodian Capital Limited. CREI was originally seeded with assets from Mattioli Woods' clients. Like you I bought CREI soon after the announcement of the proposed merger with API. |
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