Tritax Eurobox Share Discussion Threads

[brucie5] 03/5/2024 14:47

Indeed. I'm inclined to the view that if you buy value you do well to wait until the market sees what you did when you originally bought in. Otherwise you might as well by momentum instead?
Enjoy being right - for as long as you can! It's still at 33% discount yielding >7.5%.
Delighted to be marginally in profit after a year, but with dividends on top. Pretty much what I hoped for. Now let's see if it has any legs, which would be a bonus.

[rcturner2] 03/5/2024 14:39

Why would anyone sell this when the NAV is 100p and the yield is 7.5%?

[flyer61] 03/5/2024 14:38

Well it is this or SHED that gets a bid IMHO. So I stick for the moment.

[my retirement fund] 03/5/2024 14:09

I'm out, it's been such a dog that I'm prepared to take the risk, but if there is something afoot bid wise, best of luck !

[chucko1] 03/5/2024 13:13

I didn't resist enough - sold out a few days back!! Too many trading gains - always risk missing the big move, but actually has led, so far, to much better return on average risk employed.

That said, hardly surprised. CLI also fits a similar bill, and that is for keeps. Both of them have a Beta to medium rates that is really high.

[williamcooper104] 03/5/2024 13:01

Tempted to take some profits But resisting

[rat attack] 03/5/2024 12:11

Very much doubt there is an offer in the background, more likely to be EU rate cut on 6 June!

[skyship] 01/5/2024 15:42

Good to see these recovering well - now broken up through the 56p level.

An offer from somewhere would be nice of course; but perhaps just a level of sanity returning ahead of the Interim statement this month.

[hpcg] 29/4/2024 13:19

One thing we can likely say is that this is secure in the FTSE250 given all the take overs higher up.

[feuille] 29/4/2024 13:13

Filtering My Retirement Idiot.

[angora7] 29/4/2024 10:42

Need some verbs in there...

[my retirement fund] 29/4/2024 10:33

Takeover offer at 80p

[flyer61] 29/4/2024 10:16

Somethings brewing.....

[chucko1] 23/4/2024 09:06

All of these REITs are cheap and I see the rise of EBOX to be no different from, for example, the restoration of SUPR to the mid 70s (after the 60p target from Jefferies caused it to print 70p). It is quite possibly born from the acceptance of higher rates for longer, or the reversion of mid-term risk-free rates to the low to mid 4% range, but the lesser hands have marginally departed.

But, as I often say, this value - targeting an IRR of 12% or so - is symbiotic with a sensibly long holding period. And more than this by releasing MM holdings to trade against prices such as 48p on EBOX and 71p on SUPR (and other examples).

[loglorry1] 23/4/2024 08:50

Yes I was probably getting a little bit too excited. This has to be a candidate for a take over once there is more clarity on Euro rates and their refi. Bigger peers like Catena trade on much bigger multiples.

[williamcooper104] 22/4/2024 20:33

Don't think so; just getting bid up with everything else I think

[loglorry1] 22/4/2024 15:54

Bit of buying today for a change. Any news?

[ghhghh] 17/4/2024 15:04

Why no director buying and what will Segro buy? SERE too small, ASLI or EBOX?

[essentialinvestor] 16/4/2024 14:20

Interesting price again?.

[chucko1] 03/4/2024 12:43

A marginal miss on dividend cover in the short term should be pretty irrelevant when viewed alongside (weighed against) the targeted 4% per annum rises over the coming years.

It's going to be tight, especially if rates fall only slowly. However, the discordant rates music from the US has, in my opinion, (overly?) overspilled somewhat into the EU and UK where the fundamentals of each economy appear to be in meaningfully different states.

[williamcooper104] 03/4/2024 09:21

Unsecured debt so long as you don't have a lot of structurally senior secured debt won't be more expensive than secured debt (it can be cheaper)

[hpcg] 03/4/2024 09:17

At 4.75%, where CTP refinanced earlier in the year (actually 4.8% as a bit sold a bit below par) interest on the green bond moves from €4.75mn to €23.75mn which would be uncomfortable to maintain the dividend in the short term. There is just €2.25mn between 4.3% and 4.75% , so a bit more wiggle room but not a dramatically different picture.

I would expect holding company level debt to be higher than the single property SERE refinanced. Also, key word, secured. Seen like a vast amount of work to slice the entire bond onto individual properties, especially if everything is for sale, as early payment fees would kick in. Perhaps they should be doing that on their key long term holds, but with just a delta of 2mn in interest PA, 10mn over 5 years cost might eat up a chunk of that.

Edit - SERE data is consistent with what we know already, not a meaningful improvement.

[williamcooper104] 03/4/2024 07:21

Last I looked with reversion I was getting to they could keep the divi at a 4.5 rate (even if perhaps slightly uncovered for a few years) However, as the manager has committed to the divi if they do axe it we will likely see a wind down - so then the discount to NAV comes into play - albeit the share price would still likely fall before you get to NAV

[riverman77] 03/4/2024 07:13

The 500m EBOX green bond which is due to refinance in the next year or so is on a very low rate (below 2%) - even if they refinance at 4.5% then this will still take out a big chunk of their earnings - we could easily see a third of their EPRA earnings wiped out, although this could be offset by rental reversion. I ran some calculations on this a few weeks ago and made me a bit more cautious on EBOX and explains why they are so sensitive to rates.

[skyship] 03/4/2024 07:04

Excellent refinancing news from SERE today. Direct read across to EBOX:

Schroder European Real Estate Investment Trust plc, the Company investing in European growth cities and regions, is pleased to announce that it has completed the refinancing of a €8.6 million loan with the existing lender Saar LB, secured against its Rennes logistics investment.

The new five year facility is based on a margin of 1.6%, a slight increase from the existing 1.4% margin and is due to expire on 26 March 2029. The total interest cost has been fixed at 4.3% being the five year euro swap rate (c. 2.7%) plus 1.6% margin...................

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


Raphael Berdot, Lead Investment Manager for France at Schroder Real Estate Investment Management Limited, commented:

"The lending appetite for well located, institutional quality logistics remains strong. With competitive margins and swap rates falling, the overall debt cost remains accretive when compared to the current asset valuation yield of c.6%. The availability of debt on competitive terms gives support to current values and liquidity."