Regional Reit Share Discussion Threads

[spectoacc] 22/9/2018 07:52

Thanks @berkshires, not something I recall coming across previously.

[berkshires thataway] 21/9/2018 21:41

RGL values its properties at a discount rate of 7-8%. Other REITS are currently using 5-6%. Factor that into your NAV considerations, and it makes a big difference

[eeza] 21/9/2018 12:09

Thanks Tilt. Have traded it a few times myself, but don't hold at the moment.

[tiltonboy] 21/9/2018 11:56

I quite like RDI, and hold it. I see it more as a trading stock in the short term, but happy to hold longer term.

[eeza] 21/9/2018 10:51

Any thoughts on RDI?

[essentialinvestor] 21/9/2018 10:32

Guessed the run up to Brexit might provide sector opportunities,
however markets perhaps beginning to anticipate a second referendum-
otherwise it's a very sanguine take on yesterday's developments.


Spec, good summation.

[spectoacc] 21/9/2018 09:58

AEWU & WHR both at discounts, from that list.

I see it slightly differently - it's more about focus. If you're shopping-centre focussed, you're basically screwed. INTU, HMSO, but also LAND, BLND etc to a lesser degree.

If you've a warehouse focus, you're rocking - BBOX, SHED (discount to fwd NAV). WHR slight discount.

If you're offices/development/other, you fall in the middle - RGL, NRR (1/4 pubs; also shopping centres), UAI.

RGL seems a decent operator to me, consistently buying cheap & selling dear. Gearing a little high but heading the right direction. I'd rather hold RGL over eg CIC (the selling shareholder) for eg.

Any & all of them will suffer in the next downturn, but that goes without saying.

[boystown] 21/9/2018 09:55

Thanks Skyship. I've watched the interview. My point is that there's patently far better value elsewhere, on paper, albeit more risky (or perceived to be so). INTU, for example, is at a 57% discount with a 9% yield - obviously because of its retail focus.

But nothing in its latest half year report suggests any problems, quite the opposite in fact - and it's nowhere near breaching any covenants.

[skyship] 21/9/2018 09:38

Boystown - RGL is just one of many in the new Income Propcos listed since 2014. You'll see many of them on the CP+ thread.

AEWU/AEWL/CREI/EPIC/WHR are just a few of them.

Until recently they mainly traded at or around NAV and the market price was based more upon yield rather than underlying NAV considerations.

Over recent times there are two exceptions to this rule:

# CREI which constantly manages to issue new equity, even though the yield is "only" 5.4% and the NAV PREMIUM, Yes - PREMIUM, is all of 10%! Totally bizarre...

# RGL, which, though the highest yielder in the sector at 8.3%, languishes at 97p on a 14% discount (historic), likely 18.5% prospective to 31/12/18

Why would anyone buy now? Well, if you read through this thread you will find out why many times over. In essence, the shares languish due to the Conygar (CIC) overhang; which once cleared, will immediately result in a move back above 100p.

Watch the Edison interview posted above by CWA1; then the only decision is not when, but how many!

[boystown] 21/9/2018 08:09

Can anyone explain why a REIT on a c.14.5% discount to NTAV is considered good value? I'm not doubting it's well-run and the yield is the obvious attraction, but there are plenty property companies and other companies on much bigger discounts.

I've read the interims and the presentation document, and am sorely tempted by the yield, but given a relatively small discount on the bumpy Brexit road over the next few months...why would anyone buy now?

[essentialinvestor] 20/9/2018 15:31

Bought a very small amount today.
% LTV makes me a little more cautious than some of you guys.
Possibly a better opportunity as we approach the Brexit crunch stage, who knows.

[cwa1] 20/9/2018 08:35

Edison TV Interview:-

[banj] 19/9/2018 07:39

Have the same problem with ok:(

[spangle93] 18/9/2018 22:30

I got a flyer today about a new REIT for which applications are sought



It is also targeting the regional market outside Greater London, but in this case, a portfolio of existing built residential units (private rental sector homes) to let to private tenants at mid-market rents.

Long term targeted return is 5% dividend yield (their words) and 10% total shareholder return. Want to raise £175MM.

Any thoughts? It provides diversification from RGL, but on the other hands, like dating sites, how many niches are there to make money by exploiting? Although the seed portfolio is looking good, surely there would be more management needed to keep high occupancy in private rental properties than offices? So I'm seeing more risk with this new opportunity for lower return, but just wondered if anyone else had run their eye over it.

[eeza] 18/9/2018 20:17

Nothing to do with laziness. It is pure greed.

[melody9999] 18/9/2018 20:05

ramellous 606. I have a small amount of RGL in my ISA with II. Can I suggest you write back to them. Ask them where the divi money is now? Advise them that with HL, Sippdeal etc you would have had your money. Ask II if you should open an account with one of them to get the divi paid on time.

Let me know their response and if they don't move I'll try and rattle their cage too. Looks like they are holding our money because they are too lazy to calculate / pay out on a quarterly basis.

[skyship] 18/9/2018 15:24

Yes, I suppose you have to be right...serious share price progress may have to wait until CIC are finally out of the picture.

Strange trade today - down to 96.0-96.2 at one point. May well have to add further if we see further weakness.

[eeza] 17/9/2018 17:24

CIC free to unload final third (~18m shares) from the 24th Sept.

[skyship] 17/9/2018 17:02

Interims on the 11th; XD on the 13th. Nice consolidation post the XD. Looks to be headed higher. 100p beckons, then on to 105p...


free stock charts from uk.advfn.com

[jimbo3352] 14/9/2018 15:07

Questor in the Telegraph has rated RGL in their portfolio as a hold in the light of the 8.2% yield and a discount to NBV of just under 14%

[eeza] 14/9/2018 14:22

That would probably be between 1200 and 1202hrs when the auction takes place, resulting in the UT (uncrossing trade).

[stewart64] 14/9/2018 12:59

A technical anomaly which frequents Regional Reit. The ask is currently nearly a penny below the current price..98.2..ask 97.5...bid 97.1. How can this be and surely it renders the "current price" pretty meaningless and the daily movement thst follows the current price? The ask never falls below the share price on any other share I own ( at least not to my knowledge).

Tried googling an answer and it came up blank.

[skyship] 14/9/2018 12:32

Nice move as we recover the 1.85p divi...