Daejan Share Discussion Threads

[retsius] 02/6/2019 14:17

If only......

[konradpuss] 02/6/2019 13:54

The good think is that over all the portfolio is quite lowly geared.

With money so cheap they could leverage up and rid themselves of the annoying small private shareholder.

[retsius] 02/6/2019 12:24

Yes, well spotted mw8156.

I also saw the small comment and was cheered up by it.

I wonder if they would seriously consider it though?

I get the feeling Lord Lee is not impressed with his investment in Daejan, so far.

Welcome to the club!

It doesn`t help with NO Trading statements throughout the year just to keep shareholders informed.

[konradpuss] 01/6/2019 23:05

NVT $1 dollar or a million dollars, it make no difference.

By the way I am on your side with Daejan.

[konradpuss] 01/6/2019 23:04

mw8156 I postulate this a while back.

They must be looking at it.

[mw8156] 01/6/2019 22:41

Lord Lee suggests, in the FT today, that a possible scenario is to be taken private on the basis that the NAV is about double the share price and the Directors would not then have to comply with the present political(ly correct)imperative/mania to have a gender balance in public companies on the Board.

[mw8156] 01/6/2019 22:41

Lord Lee suggests, in the FT today, that a possible scenario is to be taken private on the basis that the NAV is about double the share price and the Directors would not then have to comply with the present political(ly correct)imperative/mania to have a gender balance in public companies on the Board.

[konradpuss] 01/6/2019 14:52

NTV at the 2018 Berkshire AGM Buffett asked the audience if they had invested $10,000 in an S & P index fund in 1942 and the same amount in gold how much each would be worth now (May 2018).

S & P Index fund - $51 million
Gold - $400,000

To be fair, there were points during that time period that the gap would not have been so wide.

[ntv] 01/6/2019 13:57

SFA
Capital gain and portfolio protection
VGAS yields double figures but not a buy til oil price rises again
Yields are irrelevant if the underlying asset falls in price

[konradpuss] 01/6/2019 06:51

Gold? What does that yield?

[ntv] 31/5/2019 20:58

been long and wrong for a while now!
nearly sold today and wish i had
still gold looking good

[retsius] 31/5/2019 19:17

Spoke too soon!

[apollocreed1] 31/5/2019 16:55

I'm having doubts because they also have plenty of rubbish UK retail that you would struggle to give away for free.

[retsius] 31/5/2019 13:03

Glad to hold Djan on a day like this!

£1:$1:25
R.

[konradpuss] 27/5/2019 18:55

Well the real winner is Shaftesbury Plc.

The figures are as follows:-

NAV 2008 NAV Increase (2008 to 2018)Divis (2008 to 2018) NAV 2018

£3.76 £6.15 £1.429 £9.91

Game, set and match to Shaftesbury even as though their management is well over paid.

They were 'a duck on a pond and the pond just kept rising'!

[topvest] 27/5/2019 17:44

Daejan is a safe place for your money in my view. It’s a core property holding for me. The Freshwater Family are good stewards in my view. Of course, time will come for the current Board to pass on the baton- that could drive a transaction like Mucklow. Not that I want to sell.

[konradpuss] 26/5/2019 19:13

Skyship just a few last thoughts. As Daejan owns quite a few regulated tenancies, there is locked in value there. Also the word is that their valuers are told to be negative on the annual valuation.

Currently, you are right although Highcroft has not been quoted for an extended time, Daejan has.

Finally, the only way to work out how well you are doing is to measure yourself against your competitors. Ponder on and have a good weekend.

[konradpuss] 26/5/2019 18:53

Skyship And the winner is.......

I have now done an analysis of the results of both companies from 2008 until 2018.

NAV 2008 NAV Increase (2008 to 2018) Divis (2008 to 2018)

Daejan 55.40 55.85 9.14

Highcoft 6.12 5.95 3.831

Well I think Highcroft has it by a country mile.

In fighting my corner, in relative terms Highcoft is a new comer and a very small company. They are therefore more nimble than Daejan.

As to 'the new CEO at Shaftesbury' Brian Bicknel has been the CEO for quite a while. Well over paid mind.

I think his days are numbered as Sammie and Norge will eventually do something which will involve a P45 for that fellow.

He did not dream up the strategy - it was Jonathan Lane and Peter Levy.

I am by accident a Shaftesbury shareholder

[skyship] 26/5/2019 14:13

Konrad - sadly the ADVFN charts will only allow me to trace bacl 25yrs to 1993; still that is sufficient.

As can be seen below, DJAN & HCFT have tracked each other's share price; but crucially throughout that period HCFT have been paying a dividend at double the rate of DJAN.

As to retail, a fairly common mistake being made nowadays is not to differentiate between well-tenanted prime properties in sought-after areas; and the CVA territory of poor tenants. I recommend you listen to the interview with the new CEO of Shaftesbury in which he very forcibly makes and validates this assertion for his London West End retail estate.

So, IMO the few HCFT retail properties and indeed the DJAN properties you mention are in no way threatened by serious write-down, if at all after Q4'18. Look at the locations and look at the tenants. The one problem though, is that the DJAN properties yield just half of the HCFT properties; due to historically high London valuations.

[konradpuss] 25/5/2019 21:03

Skyship, a few more observations. Highcoft have an 'interesting' portfolio. The out of town retail properties are not in prime locations. As to their in town stuff they have a couple of shops in Oxford. One of the cleverest property funds I know is the Trinity College Cambridge property fund. Three years back they sold all their retail.

Now as to management having 'skin in the game' I cannot work this one out. There are two large shareholders, however I do not know if the management is connected to these.

To be fair, the pay for the directors is low.

All in all, these guys seem to do a reasonable job with a relatively high yielding portfolio that seems to be made up of 'safe' investments. As we know the definition of a safe investment is one that you have not as yet seen the problems with.

Now Daejan has a way over remunerated board who have plenty of 'skin in the game'.

I am also not encouraged in the fact that another Freshwater company manages the property and charges a fee.

The portfolio has some prime assets (Africa House, Stand Palace Hotel and a block on Oxford Street). It also has a large regulated residential tenancy portfolio, much other carp and the highly geared American portfolio.

Now a question for you, if you had kept your shares in Daejan purchased fifty years ago and not sold, how well would you have done?

I think many investors would do far better if they did not trade so much and bought the best assets they could get hold of and just held them for the long pull. Well it's like comparing Highcroft and Daejan really. Now did you see what I did there?

[retsius] 25/5/2019 11:34

Their American assets must have shown strong appreciation in the last year due to the weakness of sterling.

Anybody's views?
R.

[konradpuss] 25/5/2019 07:59

Skyship again you make some good points. I will ponder what you have said.

[skyship] 25/5/2019 07:35

Incidentally, re-do your maths having stripped out valuation gains!