Phoenix Spree Deutschland Share Discussion Threads

[belgraviaboy] 01/2/2019 07:07

14% NAV gain

[davebowler] 20/1/2019 16:42

hTTps://citywire.co.uk/investment-trust-insider/news/liberum-top-alternative-investment-funds-for-2019/a1192485

[davebowler] 27/11/2018 09:00

From the RNS..

Based on the Company's EPRA NAV as at 30 June 2018 of EUR425.8 million, the New PAIR represents an annual saving of EUR838k when compared with the Existing PAA, rising to EUR875k per annum should the Company's EPRA NAV reach EUR500.0 million.

Furthermore, under the terms of the New PAIR, additional fees relating to acquisitions and financing will now be deducted from the management fees. In 2018, these additional fees are expected to total approximately EUR130k.

The New PAIR also offers additional potential cost savings from a reduced rate of performance fee compared to the Existing PAA: for the period from 1 July 2018 to 31 December 2020, the performance fee payable under the New PAIR will be reduced by 20% compared with that payable under the Existing PAA and by 25% for periods thereafter.

[davebowler] 27/11/2018 08:55

Liberum;
Event

Phoenix Spree Deutschland has agreed a new property advisory and investor relations agreement. The team will remain substantially the same, with the exception of Paul Ruddle, who is stepping back from an executive role with the investment advisor. He will continue to act as a consultant to new property adviser for an 18-month period.

Under the proposals, the new agreement will have a minimum term ending in December 2022. The key differences between the existing and proposed advisory agreements are outlined below:

Summary of proposed changes



Existing

Management Fee

1.5% of EPRA NAV < €250m;

1.25% of EPRA NAV > €250m and < €500m,
...............................................................

Proposed

1.0% of EPRA NAV > €500m

1.2% of EPRA NAV < €500m;

1.0% of EPRA NAV > €500m

Performance Fee
Existing



20% of EPRA NAV total return in excess of 8% return hurdle. Calculated every 3 years and payable in shares


Proposed

16% of EPRA NAV total return in excess of 8% return hurdle in first calculation period (15% thereafter). Payable in shares


..............................

Capex Monitoring Fee

7% on capex

Unchanged

Finance Fee

0.1% of any borrowing arrangements entered into

Unchanged but deducted from management fee

Investor Relations Fee

£75k paid to associated company of the adviser

£75k paid to new property adviser

Transaction Fee

£1k per transaction

Unchanged but deducted from management fee



Source: Liberum, Company data

Liberum view

The number of line items in the fee calculations remains high but the changes are all in the right direction with the reduced manage and performance fee. The deduction of the finance fee and transaction fee from the management fee will also help to reduce ongoing costs. The company has estimated the annualised fee saving at €0.84m based on the latest NAV (0.8 cents per share).

[jonwig] 27/11/2018 07:15

New Property Advisory and Investor Relations Agreement:



A bit cheaper for shareholders, but essentially the same advisory team. I wonder if both the trust's board and the advisor were amazed at how well they'd done over the years and wanted to deflect attention from the criticism of a gravy train?

[jonwig] 25/11/2018 10:33

A reasonable hedge against break-up of the Eurozone.

[cerrito] 24/11/2018 22:31

My belated thanks for posting this, davebowler.
There have been so many thrills and spills with other shares in my portfolio that I have not given PSDL any thought in the last couple of weeks.
My reading is steady as she goes; from the interims there do not seem to be any developments in the offing that merit a RNS and it may well be that the next news we get is the Investment Property update in the second half of January.
Do not see myself selling or buying in the foreseeable future.

[davebowler] 14/11/2018 10:33

Liberum;
Positive Q3 updates from peers

Mkt Cap £350m | Prem/(disc) -6.9% | Div yield 1.9%

Event

Q3 updates from two of the larger Berlin-focused property companies have reiterated a number of positive portfolio trends and a strong long-term market outlook.

Deutsche Wohnen has a €20bn portfolio of which 78% is in Berlin (115,478 units) and ADO Properties has a €3.8bn portfolio located entirely in Berlin. Takeaways from the respective results included

Rental growth - ADO Properties and Deutsche Wohnen achieved like-for-like rental growth of 5.5% and 3.8% respectively in 12 months to September 2018.
Reversionary potential - Like-for-like rental growth has been high for a number of years for both companies but the reversionary potential remains significant. Market rents are 37% above in-place rents for both Deutsche Wohnen and ADO Properties.
Valuation gain - Deutsche Wohnen has guided towards a €1.5bn revaluation gain in H2 2018. This is equivalent to a like-for-like uplift of 7.5%.
Supply/demand imbalance - Jones Lang LaSalle's H1 market update highlights that the supply/demand imbalance remains acute in Berlin which is continuing to drive rents and capital values. Median asking rents rose by 5% in H1 2018 with peripheral areas rising sharply due to the supply shortage. Asking prices for condominiums rose by 9.4% to €4,200 per sqm, the highest increase over a half-year period.

Liberum view

Today's updates support our view that Phoenix Spree will continue to generate strong double-digit NAV returns over the long term as it captures the embedded value in the portfolio. Even in the event of a slowdown in market rental growth, there is considerable upside potential as the uplift achieved on new new lettings is c.40% above the average passing rent in the portfolio.

Phoenix Spree trades at a -6.9% discount to the June 2018 NAV compared to an average 9.3% premium for the Berlin-focused peers, Deutsche Wohnen and ADO Properties.

[podgyted] 04/10/2018 17:03

German companies now way off their highs and down about 2.5% today - trimmed holding.

[jonwig] 02/10/2018 05:12

alpal - the 27/09 HY results has the NAV. That's what you must have missed. (In the header.)

[alpal2] 01/10/2018 23:42

What is latest per share NAV?
When is next announcement due, or did I miss something recent?

[podgyted] 28/9/2018 09:24

There's a silver lining .........

[jonwig] 27/9/2018 18:59

podgyted - I thought everything was fine and on track. I guess the absence of property revaluation this time round might mean performance bonuses are off the table for a while!

[podgyted] 27/9/2018 17:26

Well.....

Not as good as I'd hoped but I can't complain at the moment.

[davebowler] 19/9/2018 12:54

I've got a Researchtree sub too so yes it's a bit disappointing.

[podgyted] 19/9/2018 01:50

From what I can tell they haven't produced an initiation research note.

Although I can understand they would probably want to wait for the half year accounts.

[podgyted] 19/9/2018 01:48

Anyone got a view on the change of brokers to Numis.

Seems a bit abrupt.

(Causes me a bit of a problem as Numis are not on Researchtree so I won't get any analysis in future.)

[davebowler] 28/8/2018 15:49

Encouraging info podgyted.

[kenmitch] 23/8/2018 19:28

Interesting podgyted. Thanks for posting it. Agree PSDL looks cheap and hoping results next month confirm that and give the share price a lift.

[podgyted] 23/8/2018 19:17

ADO Properties 29/12/17 42.28 euros : 23/8/18 53.80 euros - gain 27%. Price to book value (including June revaluation) 1.20.

Phoenix Spree 29/12/17 393p : 23/8/18 376p - loss 4%. Price to book value (excluding June revaluation) 1.08.

Still looks cheap.

[jonwig] 14/8/2018 19:43

The Economist has started a house price index for the world's major cities. Over 1 year, Berlin is top with +13.2%. Over 5 years it's at No2 with +63.1% (No1 Dublin, +78.5%). London's numbers are -1.2% and +39.6% respectively.

[podgyted] 09/8/2018 19:17

Or perhaps they won't.

[podgyted] 09/8/2018 17:16

Not a bad day all things considered.

Presume IC will give it a plug this week as it's one of their shares of the year which may help further.

[davebowler] 09/8/2018 10:05

Liberum;
Continued momentum, 5% revaluation gain

Event

Phoenix Spree's portfolio revaluation update highlights a 5.4% like-for-like uplift in H1 2018. After adjusting for capex, we estimate the revaluation gain was c.4.7% in the period. We estimate the implied NAV return in H1 2018 is 5.5%. The valuation uplift reflects ongoing rental growth and asset management gains. The shares remain attractive at a 5.6% discount to the June NAV estimate. We see scope for further re-rating given the positive outlook for long-term rental growth.