Home Reit Share Discussion Threads

[spectoacc] 23/11/2022 10:41

Haven't read it, & not a holder, but have to say eg CSH's business model I'm not at all keen on.

[spectoacc] 23/11/2022 10:40

"Home Reit's shares have just collapsed 10pc thanks to a mauling from some of Britain's more ferocious stock market bears.

Viceroy Research, a well known short selling boutique, has come out with a note alleging all sorts about the company that specialises in investing the provision of housing for homeless people throughout the United Kingdom."

[spectoacc] 23/11/2022 10:31

No chance IMO, this fall started at 9.34am and has gone on almost an hour, and cost 18% so far - got to be a report somewhere.

[wskill] 23/11/2022 10:30

The not for profit exemption surely covers this.

[jonwig] 23/11/2022 10:27

Yes, I only found it because I looked just now! But is that the right answer? It shouldn't take a week for the market to realise.

[williamcooper104] 23/11/2022 10:23

Presumably the 4% resi developer tax would possibly be an additional cost to HOME buying new units if whoever they are buying them from is subject to it

[williamcooper104] 23/11/2022 10:14

Nothing much happening with CSH and SOHO

[jonwig] 23/11/2022 10:14

William - it might be this, RPDT of 4%:



But then why does it take a week to sink in? (HOME will make nearly £100m this year I guess.)

We've seen about 9m shares traded today, so "summat's up" - or down.

[williamcooper104] 23/11/2022 10:12

Yep - it's likely something like that

[spectoacc] 23/11/2022 10:12

Looks like a short report, but not seen anything.

[williamcooper104] 23/11/2022 09:52

Anyone any idea why the share price tanking today

[jonwig] 01/11/2022 07:21

Trading update:



No gremlins it seems. A 5.5p dividend, fixed interest debt, and 1/4 annual rent rises might not keep up with inflation, but for 85p could be good value.

Sunak and Hunt have stressed that they will protect the most vulnerable from the bad effects of cuts and tax rises. Suggests no nasty surprises here.

FY results 28/11.

[jonwig] 25/10/2022 07:22

Fortunate we sold in early Sept. NAV at end-Feb was 111p so pari passu, the discount is 26%.

It's either very cheap or there are issues lurking. FY results should be imminent. Recently M&G have been buyers, BlackRock sellers.

[williamcooper104] 05/9/2022 15:03

Surprised it didn't get an RNS particularly as they would have been contacted by Investors Chronicle for comment so would have known that the story was likely to come out - so far better to get it out yourself first

[williamcooper104] 05/9/2022 15:01

The sectors reminds me of care homes Same story of long, land lord friendly leases backed by "public sector paid" income streams to weak covenants Needless to say there's an ever present need for care homes and housing the homeless and it's cheaper to get the private sector to provide the accommodation But that doesn't mean that rental levels won't get hit and leases restructured At least with CSH the share price appears to reflect some of those risks

[williamcooper104] 05/9/2022 14:56

I'm not sure what's the difference between HOME and CSH - other than of course CSH looks pretty woeful on corporate governance

[wilddcw] 05/9/2022 14:43

ZOA - what are you putting your money in. IMHO these types of properties will always be in demand (unfortunately for society).

[jonwig] 05/9/2022 09:30

ZOA - wise, I think.

The relevant risk factor was spelled out clearly in its prospectus, but one doesn't take much notice usually (I'd never buy anything if I did!). I'd have thought this should have earned an RNS.

AGR is a sound holding.

[zoa] 05/9/2022 09:16

I sold too as risks outweigh rewards, just out of the money though. LA'S will be under pressure as council tax increases will not be nice. Recycled into AGR with no loss of income.

[jonwig] 05/9/2022 09:05

Looking a bit more at he risk factors, I sold this morning. I can see charities being a victim of recession and stagflation, so this one instance may become part of a trend. How far LAs will be willing to go in support, I don't know.

At least I bought at 100, and the dividend yield wasn't brilliant.

[jonwig] 03/9/2022 07:14

Thanks William.

HOME's WAULT is 24.3 years and rents are fully indexed. It's unclear whether Circle has other landlords with similar leases, I see that HOME's risk profile includes just this one.

[williamcooper104] 02/9/2022 23:10

One of HOME REITs tenants has gone into admin Seems that the rent is still being paid but that the administrator is aiming to get out of onerous leases https://www.investorschronicle.co.uk/news/2022/09/02/exclusive-home-reit-tenant-falls-into-administration-due-to-onerous-leases/

[jonwig] 25/7/2022 07:16

Enters FTSE250 index.

[jonwig] 27/5/2022 17:59

Look on the bright side: anyone who couldn't get in on the placing could have bought cheaper today!