Lxi Reit Share Discussion Threads

[wsm812] 08/11/2023 10:06

110p is still below my WAP, but closer than today's sp!

[skinny] 08/11/2023 09:39

Barclays starts LXI Reit with 'overweight' - price target 110 pence

[wsm812] 02/11/2023 12:04

Cheers guys

[pyufak] 02/11/2023 11:52

FOMC last night. ECB intimated at peak rates last week; FOMC last night. BoE expected to do so today so these interest rate sensitive securities which have been destroyed are bouncing back

[williamcooper104] 02/11/2023 11:50

It's follow on from Fed Thursday and generally dovish mood on rates Add that to euro zone inflation coming in lower than expected and WW3 hasn't kicked of (yet)

[wsm812] 02/11/2023 11:35

Somethings up today, aside from the LXI share price! Any news?

[spectoacc] 27/10/2023 13:05

The long-dateds were my first ever too, but at c.4.5% so you beat me there.

VWRL - US exposure concerns me about any of the world trackers, and whether there's a bubble (or rather - when it pops!).

But I probably do need a generalised tracker/ETF.

Good luck with all your holdings, EBOX in particular ;)

[pyufak] 27/10/2023 10:50

Totally agree with you here.

I’ve a decent holding of Gold; short end gilts; added UK 61s at 4.8% my first foray into long dated gilts. EBOX, LXI and Grainger my UK property holdings which have hurt but added for the long term on these. Have my Euros in VECP at 4.35% and my USD in 1-3y UST ETF listed in London. Pair all this with my VWRL which I just buy dips on. Sat on an okay amount of cash and slowing feeding into markets but I’m in no rush

[spectoacc] 27/10/2023 09:20

Agreed :)

See it in reverse in the good times - something goes up, profits are booked, the next similar thing gets bought and everyone's in clover.

Now almost everyone's underwater on their purchases, at the same time as money is pouring out of funds to cover eg higher mortgage costs/living costs - c.£50bn out of the London market last year, split equally between PI's and funds (the fund withdrawals being from PIs of course).

Pension contributions falling too - given a choice between maintaining pension or paying mortgage, people pick the latter.

So less money in, and more money out - for the foreseeable. Everything drops, no profitable sells to shift on to the next punt. Many PI's can sit on their hands, many funds can't (eg the recent gating/forthcoming liquidation of several property UT's).

But - and it's a big but - prices will stop falling before they hit zero (in most cases!). I've mostly been buying too soon, but there's a lot of value out there IMO for anyone with cash to hand (cash that hasn't gone into short-term Gilts paying a tax-free c.5% capital uplift at redemption, worth c.8.5% depending on your marginal tax rate - there's the hurdle to beat, c.8.5% totally risk-free, vs. eg an uncertain/probably uncovered REIT divi with capital loss).

I don't hold LXI, or SHED, or SGRO, or WHR, but there's definitely a price for all of them, & would struggle to see any not doing well eventually.

Fwiw my largest two holdings are long-dated Gilts & gold ETF. Largest equity holdings are GSF, SEIT, ADIG, GCP, SOHO, EBOX, ORIT, SUPR. Only one of those currently showing a gain, all I'm happy to sit on. Good job I am too :()

[pyufak] 27/10/2023 09:12

Thanks SpectoAcc; I really appreciate the feedback and unusually for online being able to disagree agreeably! I will look at these ITs this weekend.

I agree - whole sector has been cheap and to be honest I think the move is somewhat feeding on itself. One REiT cheapens, so another is sold, so on and so forth

[spectoacc] 27/10/2023 05:56

Huge buying at CLI, the last in September at c.£1.25.

SIR directors pretty knee-deep and are much better quality than LXI (albeit Tufnells was an odd one).

RGL (! It's going to pennies IMO) had a big recent buy from Inglis, who holds big.

RLE, but that's another management con job IMO - they pay themselves £1m/year from what is an increasingly tiny IT, & allegedly use related parties. Won't say more.

Those ones off the top of my head.

Agree LXI definitely no HOME, but disagree that c.£14m/year off that rent roll is reasonable, for tenants who are supposed to need very little managing.

Main problem - again - is the sheer number of cheap alternatives.

[pyufak] 26/10/2023 22:05

I won’t re-run the difference in views re: Alvarium. Yes I’d like internal management but one of lowest costs in sector + big director and board ownership. Simon Lee has bought a lot of shares this year which is great to see. I’d be interest if people could point me in the direction of other REITs with strong director / management buying like this as I’d be keen to review them.

Travelodge / Alton Towers up for sale - certainly in travelodge case it is post strong trading performance.

I’m looking forward to the results - a plan for managing ‘24 and ‘25 debt refinancing and how this translates to modelling cash flows ideally. My biggest concern I think is LXI not afraid to be punchy and I don’t feel it is a time for heroics until a firmer outlook or clear the next movement in interest rates is a cutting cycle (some way off I would guess).

[tradez4dayz] 23/10/2023 20:21

Are they doing the same thing? Much shorter wault and a focus on warehouses, so not really diversified. The recent pres the ceo seemed to be pinning his hopes on warehouse cap appreciation

[williamcooper104] 23/10/2023 07:26

And LMP, who are doing the same thing; only with management that's both internalised (and thus a lot cheaper) and excellent (no HOME debacle) Of course they won't be as cheap as LXI; but then quality usually wins over the long term

[spectoacc] 23/10/2023 07:18

I keep returning to LXI but that hasn't included buying it again yet. Suspect I won't, and should probably strike it from watchlist.

Views as before - Alvarium, c.£14m pa fees, Travelodge, Alton Towers up for sale, the very poor (SIR) management decision during Covid to abandon uncapped RPI rent, the mis-timing of the SIR acquisition, and the slight feeling LXI's a financial vehicle more than it is property.

Wouldn't argue it's expensive tho - good luck holders. The biggest issue LXI has as an investment, is just how much other cheap stuff there is. Eg WHR nearing 70p, SHED at £1 issue price, & a plethora of non-REIT like GSF, GCP, SEIT etc.

There's a big sale on, and it's starting to feel like a closing down sale. Waiting for Black Friday.

[wsm812] 23/10/2023 07:06

Fully agree Pyufak, I continue to hold but cannot risk further purchases

[pyufak] 22/10/2023 17:57

V quiet here post what I thought was a very promising trading update. However, market doesn’t agree with me as property REITs took another leg cheaper last week. I used it to add a little LXI. Almost 8% yield and looks one of the stronger names to me given their debt position and hedges

[pyufak] 10/10/2023 02:23

Pretty solid trading update. Assets marked below replacement cost. Net yield of the portfolio expanding but have to think there’s enough discount vs. NAV priced in for the uncertain outlook from here.

[tradez4dayz] 06/9/2023 19:22

What's wrong with 10am?

[peckers56] 06/9/2023 18:26

Tomorrow's AGM is at 10.00am. Clearly. with this start time, the board does not want any shareholders to attend. I went a few years back (pre-covid), and was the only shareholder there - no presentation, lots of red faces.

[tradez4dayz] 06/9/2023 09:23

New cfo and divi announcement today

[williamcooper104] 29/8/2023 18:04

No probs The HOME debacle (and I've a burnt toe in that) just shows that always best to diversify

[pyufak] 29/8/2023 18:02

Thanks William and SpectoAcc for the discussion. I appreciate your views and taking the time to respond. I'll weigh what we have discussed but my initial gut reaction is to stick to my current holding. I don't own many other REITS so perhaps I'll look at those suggested by SpectoAcc or top up my Natwest pref holding.

Thanks again