Town Centre Securities Share Discussion Threads

[castleford tiger] 06/8/2020 16:37

anyone feel a RI coming?

tiger

[rogerlin] 10/7/2020 07:20

Looks like rents are at the heart of the matter.

[nickrl] 09/7/2020 12:57

Inki thanks for putting me right mustn't put anymore negativity on Ashley

[inki] 09/7/2020 11:52

I believe the reference was in respect of the JD Sports group, not the Fraser group. (sports direct)

[nickrl] 09/7/2020 09:56

Rental update today and have now collected 79% of Mar qtr and 68% of Jun qtr. Not sure why what they bill for June is 1.4m less than Mar at 5.2m but seems in accordance with expected 6 mthly amount. No word on loans and covenant tests but a pointed remark about behaviour of Frasers Group being an outlier vs most tenants over negotiations.

[scnash1] 21/6/2020 14:48

Shax999 it need to got up a lot before i am back in the black with this one

[shax999] 21/6/2020 12:52

Is it best to hold and forget about these or would you like for them to bounce back and sell?

[gleach23] 19/6/2020 18:33

Hefty volume reported after the close today...almost 1.2m shares

[scnash1] 19/6/2020 15:16

Do you think that Ziffs will take it private ?
Given that they already own just of over 50% of the shares they could buy the other half for less then £50 million

Any views

[rogerlin] 17/6/2020 16:12

Thank you for posting that okosling, I was thinking that was an important step for Town, quite a slice of their income.

[okosling] 17/6/2020 11:38

The announcement from two weeks ago said "our CitiPark car parking business has been hardest hit so far" and mentioned "temporary closure of seven branches". I figured these would have re-opened now, as most shops can now open. The CitiPark customer support on their web chat confirmed to me this morning: "all car parks are now open 24/7".

[rakepat37] 17/6/2020 09:21

Re rate happening - seriously under valued stock

[inki] 16/6/2020 20:44

Does anyone know which tip shhet/broker has gone negative today?

[castleford tiger] 04/6/2020 07:31

banks will have to re-adjust.

LTV certainly be close to 70% and a big write down in values coming.

This episode has set back high street shop[ping and forced us all on line.

Leeds is still like a ghost town and I think it will be Sept when the kids go back before we see any signs of normal activity.

Look at market cap now its crazy.

We don't want Ziffs taking this private at this level

tiger

[smackeraim] 03/6/2020 10:46

Yes. I think maybe the fall was overdone somewhat

[nickrl] 03/6/2020 08:41

TOWN put out good update with plenty of detail on where there at on rental collection to date. Like others warns about June qtr collection and final dividend being paid but is continuing with interim.

www.londonstockexchange.com/news-article/TOWN/covid-19-update-and-interim-dividend-confirmation/14562898

[smackeraim] 28/5/2020 22:48

True enough, but I would imagine majority are looking to get open and revenue rolling back in as soon as they can. Furlough already talking about possibly being tapered with employers having to contribute some. Business bounce backs and Gov help won't last forever either. But yeah, point taken :-)

[nickrl] 28/5/2020 16:15

smackeraim depends on which shops open given the restrictions social distancing imposes and thus whether retailers want to lose money or leave there staff on furlough especially those that are avoiding rent.

[smackeraim] 28/5/2020 14:51

Worth looking at this down here with footfall returning next couple of weeks.

[rogerlin] 21/5/2020 07:42

As reported in last year’s Annual Report, we extended or renewed all of our banking facilities in 2018. There have been no changes since that point meaning that we remain with three RCF facilities as follows: • Lloyds: A £35m three-year facility with the opportunity for two one-year extensions, with the three-year element expiring in June 2021. We also have a £5m overdraft facility • NatWest/RBS: A £33m threeyear facility expiring in April 2021 • Handelsbanken: A £35m five-year facility expiring in June 2023. These facilities, combined with a £106m long-term debenture scheduled to expire in 2031, give the Company a good level of certainty over its funding over a long time frame.

[2wild] 20/5/2020 18:16

Trouble is they have 2 loans that require refinancing next year and LTV maywel be 70-80% by then. Will banks be willing to lend and at what price?

[inki] 20/5/2020 15:39

'Nicrl'.
Covenants being breached will depend on the value of the property, the value of the enterprise, and similarly the market in general. A lender of substance can view the covenant along with other companies covenants, and consider if foreclosure (however unlikely in this case) would create a knock on effect on values elsewhere in the market. Property crashes have occurred before, albeit this is not a property led downturn.

[nickrl] 20/5/2020 15:17

Specto, theres debenture specific update on the TCS site

hxxps://s3-eu-west-1.amazonaws.com/tcs-plc-uploads/tcs-plc/files/29ba885640_2020-05-04-13-07-42.pdf

but its not a specific valuation but you can infer from it that its income cover is around 1.2 so could certainly be imperilled by June qtr. Im sure the valuation covenant is under water but looks like thats tested every 5yrs.

Not clear what the remedies are if covenants breached.

[spectoacc] 20/5/2020 14:29

Re-reading the 9th April update after this fall - wonder if covenants will be breached this qtr.

"At the most recent test date, in January 2020 for the banks, headroom on the respective covenants ranged between 443% and 635% compared to a covenant requirement of 175%; thus a drop in income of between 60% and 72% in any quarter would result in a breach of covenants.

· The Debenture test is an annual one with a covenant requirement of 100% income cover over the year. At the last test in June 2019 the cover was 210%; therefore a drop in income of over 50% for twelve months would result in a covenant breach."

Loads of headroom - until you think that a c.60% drop in income seems pretty likely when so much is shut.