Schroder European Real E... Share Discussion Threads

[gopher] 06/12/2022 18:16

They see a fully covered dividend by the end of 2023 and prospective dividend of 8% being maintained. Investments are in cities that are attractive In below prime property. No special divs on the horizon, but the property which resulted in last years special is not quite played out.

[skyship] 06/12/2022 16:03

They seem intent on holding the uncovered 7.4c dividend, relying mainly upon reinvestment of the Paris proceeds to make up the shortfall.

Unable to find the sector split, though did see Industrial now at 26%.

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Dividends

Despite the deteriorating economic and geopolitical conditions, the Board has elected to continue with the 1.85 euro cps quarterly dividend. However, it will continue to review this position taking into account the level of tenant occupation, rent collection, refinancing and dividend cover. Dividend cover has improved over the last three quarters partly due to the additional investments in Cannes and Venray and is at around 70%. As announced previously, it is expected that dividends from net income will remain uncovered whilst the proceeds from the sale of Paris BB are reinvested. The Board expects to allocate some of the net sale proceeds towards covering the shortfall in income, pending the reinvestment of the remainder. Total quarterly dividends declared relating to the year are 7.4 euro cps, with a dividend cover for the year of 61%. Including the special dividends, total dividends paid increased 195% to EUR25.2 million (18.8 euro cps) versus the previous financial year.

Share price

The shares continue to trade at a discount, which as at 28 November 2022 reflected a circa 35% discount to the 30 September 2022 NAV. The Board and the Investment Manager remain frustrated in the share price performance, particularly given the differentiated strategy, strength of the underlying real estate, attractive dividend, local management expertise, strong balance sheet and cash reserves. Annualising the quarterly dividend of 1.85 euro cps (to 7.4 euro cents per annum) provides an attractive circa 8.0% dividend yield based on current share price. The Board will continue to review the discount, and at its discretion to execute a share buyback programme, as well as new acquisitions consistent with the current strategy.

[badtime] 06/12/2022 13:57

Ta for reply

[skyship] 06/12/2022 11:37

Yes, a few at 76.5p - a bit slow off the mark this AM...

[badtime] 06/12/2022 11:11

Did you buy?

[2wild] 06/12/2022 10:08

Picked up a few this morning at 75.312p.
On the back of increased dividend at EU 1.85 a quarter and decent NAV performance.

[2wild] 06/12/2022 10:05

Duplicated

[skyship] 06/12/2022 09:33

Seems as though everybody left and turned out the lights!

Over on the CP+ thread Riverman suggested SERE could be an interesting prospect down at the 75p level; and the Finals today suggest he may well be right.

At 76p the discount = 37% and the yield = 8.4%.

Not massively cheap; but for some currency diversification reasonable value.

[speedsgh] 22/6/2022 08:05

Hi hindsight. I no longer have a holding in SERE but maintain a passing interest.

[hindsight] 21/6/2022 18:45

Thanks speedsgn. Roughly what I expected

[speedsgh] 21/6/2022 13:34

HALF YEAR RESULTS FOR THE SIX MONTHS ENDED 31 MARCH 2022 -

SECOND INTERIM DIVIDEND AND SPECIAL DIVIDEND -

[speedsgh] 11/3/2022 15:39

Announcement of NAV and Dividend -

Schroder European Real Estate Investment Trust plc ("SERE" or the "Company") provides a business update and announces its unaudited net asset value ("NAV") as at 31 December 2021, together with its first interim dividend for the year ending 30 September 2022:

- Unaudited NAV as at 31 December 2021 increased by 0.8% to 201.2 million or 150.4 cents per share

- NAV total return amounted to 2.1% over the quarter and 4.5% for the twelve months to 31 December 2021

- A first interim dividend of 1.85 euro cents per share to be paid for the year ending 30 September 2022

- Property portfolio is independently valued at €221.4 million, reflecting a like-for-like increase of the directly held properties over the quarter of 2.2%, or €4.4 million

- Key portfolio level initiatives during the period included:

o the strategic purchase of a 3,800 sqm industrial warehouse in Venray, the Netherlands, increasing the portfolio's industrial weighting to c.23%

o The Paris Boulogne-Billancourt refurbishment remains on budget from both a cost and timing perspective. The remaining 40% (c.€40 million) of the sale price is due to be received during 2022, with the proceeds partially used to fund the remaining c.€16 million refurbishment cost

o rent collection during the quarter, and January and February 2022, of 96%

- The Company has an investable cash balance of approximately 30 million and a loan to value ratio on the total portfolio of approximately 18% net of cash and 28% gross of cash...

Interim dividend

The Company continues to pay a full dividend equating to the pre-covid dividend level. The first interim dividend of 1.85 euro cents per share for the year ending 30 September 2022 represents an annualised rate of 6.2% based on the current share price 5 . As announced previously, the Company allocates a portion of the forward funded net sales proceeds from the Paris Boulogne-Billancourt asset towards covering the dividend income shortfall whilst it is being refurbished and pending the reinvestment of the remainder of the sale proceeds.

Dividend cover from income for the quarter ended 31 December 2021 was 64% excluding extraordinary items incurred in the quarter. These comprised a withholding tax provision of €634,000 and one-off service charge-related costs relating to the Group's Frankfurt and Hamburg assets. Including both these items, the dividend cover is 27%.

The interim dividend payment will be made on Wednesday, 20 April 2022 to shareholders on the register on the record date of Friday, 1 April 2022. In South Africa, the last day to trade will be Tuesday, 29 March 2022 and the ex-dividend date will be Wednesday, 30 March 2022. In the UK, the last day to trade will be Wednesday, 30 March 2022 and the ex-dividend date will be Thursday, 31 March 2022...

[speedsgh] 10/1/2022 07:32

Property portfolio valuation and rent collection -

Schroder European Real Estate Investment Trust plc ("SERE" or the "Company"), the company investing in real estate in European growth cities, today provides an update on the independent valuation of the property portfolio and rent collection as at 31 December 2021:

- The direct property portfolio was independently valued at €207.1 million, reflecting a like for like increase over the quarter, excluding the impact of a recently acquired industrial warehouse in Venray, Netherlands (valued at €1.65 million), of 2.2%, or €4.35 million. In addition, the Company has a 50% interest in a joint venture in Seville which continues to be recognised at nil interest

- The valuation increase over the quarter was driven by yield compression achieved across office, retail and logistics assets within the portfolio reflecting the benefit of having a diversified portfolio as well as the strength of those individual assets

- The majority of the valuation uplift was driven by:

o Improved yield re-rating at the Berlin retail DIY investment, delivering a valuation increase of €1.8 million, or 6.2%

o Improved yield re-rating at the Hamburg office investment, delivering a valuation increase of €1.2 million, or 5.2%

o Improved yield re-rating at the Rennes logistics investment, delivering a valuation increase of €0.9 million, or 4.8%

- Approximately 96% of rent due for the quarter ended 31 December 2021 has been collected.

[speedsgh] 30/12/2021 11:58

NOTICE OF DIVIDEND CURRENCY EXCHANGE RATE (STERLING) -

On 7 December 2021, Schroder European Real Estate Investment Trust plc (the "Company") announced its fourth interim dividend for the year ended 30 September 2021 of 1.85 euro cents per share and a special dividend of 4.75 euro cents per share, resulting in a combined interim dividend of 6.6 euro cents per share.

Shareholders on the UK register will receive their dividends in sterling, unless an election is completed and registered with the Company's registrars. The deadline for the currency election in respect of the forthcoming interim dividend payment was 24 December 2021.

This announcement confirms that the currency exchange rate applicable for the interim dividend for shareholders on the UK register who did not make a currency election before the applicable deadline and who therefore will receive their dividend in sterling is:

Declared dividend --- Exchange rate --- Dividend to be paid for those receiving dividends in sterling

1.85 euro cents per share --- 0.84050 --- 1.55492 pence per share
4.75 euro cents per share --- 0.84050 --- 3.99238 pence per share

The dividend will be paid on 14 January 2022 to shareholders who were on the register at the close of business on 24 December 2021.

[alan pt] 22/12/2021 17:08

CWA1 Did the same today for exactly the same reasons :)

I thought it would stick above 110 in August, but was proved very wrong there, so a little bit of "bird in the hand" seems prudent

[cwa1] 22/12/2021 12:32

For the zero it is worth, I've taken a small slice off the table at 118p ahead of XD day tomorrow. Hoping I might get back in more cheaply-but no worries if I don't as I've got enough left and had a nice run on the ones I clipped

[spin doctor] 22/12/2021 10:12

And another special dividend and of course decent ordinaries to come in '22.
Alan - some of this rerating will stick IMO.

[alan pt] 22/12/2021 09:41

Going crazy this morning, buys at 119.5 going through. Will be interesting to see what happens when it goes ex - will we be back under 105, or will at least some of the rise stick?

[cwa1] 22/12/2021 08:03

So ex the ordinary AND special dividend tomorrow, paid 14/1

[alan pt] 15/12/2021 15:41

Nice bounce! Seems that the Mail on Sunday is more popular than I realised :)

[cwa1] 12/12/2021 13:03

SERE the main buy tip in today's Mail on Sunday from Midas:-

[alan pt] 07/12/2021 14:58

Not entirely surprising when the ordinary dividend is only 69% covered. They really need to get some of that cash reinvested

I'd take a guess that we will see a bounce once the perceived risk of the BB office refurb is gone next year. But maybe sooner if they do a bit of buyback, certainly worked for SREI, though they had to stick with it for a while

[cwa1] 07/12/2021 13:15

Interesting, they sound frustrated:-

Share price

The shares continue to trade at a discount, which as at 1 December 2021 reflected a c.20% discount to NAV. The Board remains frustrated that the share price has not reflected the recent reinstatement of the dividend to pre-pandemic levels or the intention to release approximately 9.5 euro cents per share as special dividends. Annualising the 1.85 euro cents per share quarterly dividend (to 7.4 euro cents per annum) provides an attractive 6% dividend yield based on current share price. We do not believe that the share price reflects the strength of the Company's balance sheet, proven asset management value creation and real estate exposure in growth European cities. Given the healthy cash position, the Board will continue to review the discount and its discretion to execute a share buyback programme as well as new acquisitions consistent with its 'Winning Cities and Regions' strategy.

[speedsgh] 07/12/2021 08:57

Dividend Declaration -

Schroder European Real Estate Investment Trust plc (the "Company") announces its fourth interim dividend for the year ended 30 September 2021 of 1.85 euro cents per share.

To allow shareholders to benefit from the profit associated with the successful execution of the Paris, Boulogne-Billancourt business plan, the Board has also declared a special dividend of 4.75 euro cents per share. This brings the combined interim dividend to 6.6 euro cents per share.

The combined interim dividend payment will be made on Friday, 14 January 2022 to shareholders on the register on the record date of Friday, 24 December 2021. In South Africa, the last day to trade will be Tuesday, 21 December 2021 and the ex-dividend date will be Wednesday, 22 December 2021. In the UK, the last day to trade will be Wednesday, 22 December 2021 and the ex-dividend date will be Thursday, 23 December 2021...