Urban Logistics Reit Share Discussion Threads

[spectoacc] 28/2/2020 16:49

Certainly considerably more liquid than SHED, to be fair.

An interesting "sell the sharing economy" post on FT Alphaville - not sure you couldn't argue some SHED/BBOX involvement in that. Or the opposite - everyone orders online and stays away from the shops.

Or is that the last 5 years? ;)

[belgraviaboy] 28/2/2020 16:47

BBOX gets a huge thumbs up from me - I essentially use it as a piggy bank. Comfortably my largest holding and growing at these prices. Discount, right sector, great management, highly liquid, decent yield and enough volatility to make a turn for the patient.

[spectoacc] 28/2/2020 16:36

Hadn't thought about BBOX in fairness - will keep an eye on it. It's not a SHED (who are highly active) and of course "big box" not "last mile", but on the right discount and yield it's got to be worth a look.

[apollocreed1] 28/2/2020 16:26

Yeah...looks like there are a lot of other good opportunities. I bought BBOX last Friday at 145 ---Duh!!

[spectoacc] 28/2/2020 14:06

@chucko1 - good point re GE! I'd spent much of that cash by now of course :) Been variously averaging and adding yesterday & today but I totally agree - things could get very much worse from here.

[orinocor] 28/2/2020 13:55

sell this and buy BBOX is the obvious trade

[chucko1] 28/2/2020 13:52

What are your key targets now, Specto? You did well to sell out pre-election!! In any event, the rally you missed is all gone and more so there is much to feast your eyes on. I like a lot of stuff here, but I do not rule out very substantial further falls in some areas, which will force people to sell the good stuff too. It’s been too easy for too long, and the backlash could be hideous.

I recall a massive bounce back at the end of 2007, in particular in the credit markets. Doom was just around the corner. The main credit index fell from 20bps to 55bps, but rallied back to 29bps which I considered insane. Ended up at 220bps within less than a year with banks sprinting to the Fed and BoE.

I see ETFs as the poison brew here.

[spectoacc] 28/2/2020 13:19

Attempting to cancel but bet Selftrade fail to. Isn't that I don't still love SHED - I do - or think they'll do anything other than continue to do well. Is just that there's suddenly a sea of opportunities out there.

[chucko1] 28/2/2020 13:12

Cancelled also. They may pull the offer, anyway.

[belgraviaboy] 28/2/2020 11:02

apollo

Agreed - just cancelled my excess application (kept the basic).

Decent value appearing in other places....

If these dip once the offer goes through will look to add

[apollocreed1] 28/2/2020 01:56

In light of the recent fall in the share price, the open offer doesn't seem such good value. On the LSE website, it seems that some sales went through at 140p today, so buying shares at 137.5p is only a discount of 1.8%, and in this plunging market that could easily be wiped out.

[petewy] 19/2/2020 13:39

anyone heard this

[chucko1] 12/2/2020 08:41

Yes, I’ve been gradually buying at the current price in order to get a reasonable slice in the offer. The size of the Open offer is hardly a feast, is it?

[2wild] 11/2/2020 22:06

Good luck with that. Although they are looking to place between £100 to £200M, the open offer is only on a 1 for 18 existing basis.

[belgraviaboy] 11/2/2020 14:11

I had been reducing recently - the equity raise was well flagged in advance, but I still hold a good chunk.

However, I plan to apply to at least double my existing holding on this raise.

I very much like the no nonsense management here and am happy to provide funding at around NAV.

[spectoacc] 11/2/2020 13:57

Disagree with both. Money being raised at NAV. This isn't your usual REIT, part of the attraction is superior management, who have access to purchases no one else seems to. Is worth seeking out presentations from the previous fundraising to hear that.

If you look at the value they've added since purchase (at, say, the £1 fundraising, with c.6p/year divi along the way), it's a strong bet there'll be much value added from these purchases too. Then add the c.10% premium HSTN went at, or LMP or SGRO's premiums.

This is a time to get in, not to sell IMO.

The point on costs is a good one - it hit eg WHR's NAV - but SHED management are streets ahead of WHR IMO.

[skyship] 11/2/2020 13:40

In light of all that it is perhaps surprising that the share price has held up so well. IMO they should be sold, profits banked and an alternative REIT found.

[clausentum] 11/2/2020 09:01

SHED want to raise £100M and buy £150M of property in advanced negotiations, so I assume that means borrowing another £50M. They then want to buy another £150M of property in preliminary negotiations, so I assume that means raising a second £100M and borrowing another £50M. That is going to take a lot of time and expenses before it is all bedded down and making an improved profit. There is too much uncertainty and risk, I sold my shares this morning. I will reassess once the second fund raising is completed.

[skinny] 10/2/2020 08:50

Application will be made to the London Stock Exchange for Admission. It is expected that settlement of any such New Ordinary Shares (including the Placing Shares) and Admission will become effective on or around 8.00 a.m. on 11 March 2020 and that dealings in the New Ordinary Shares (including the Placing Shares) will commence at that time.

[spectoacc] 10/2/2020 07:57

137.5p but that's post-XD of course, and we get to participate - the liquidity alone should be a boost, let alone their track record with purchases.

[cwa1] 10/2/2020 07:45

Big placing and open offer announced...



Further to the pipeline update announcement on 6 January 2020, Urban Logistics, the specialist UK Logistics REIT, announces the proposed Placing to raise a target issue of £100 million and an Open Offer and Offer for Subscription to raise up to c.£6.7 million, each at a price of 137.5 pence per New Ordinary Share (the "Issue" and the "Issue Price").

The Company expects to use the net proceeds of the Issue to acquire an attractive pipeline of high-quality logistics properties that meet the Company's investment policy and objectives identified by Pacific Capital Partners Limited, the Company's investment manager.

Special Dividend

The Company intends to declare, at the time it announces the results of the Placing, a special dividend of 3.85 pence per share in respect of the financial year ending 31 March 2020 (the "Special Dividend"). The Special Dividend will bring the total dividends issued in respect of the 2020 financial year to 7.60 pence per share.

Any investors participating in the Issue will not be eligible to receive the Special Dividend payment in respect of any New Ordinary Shares issued to them as part of the Issue.

[spectoacc] 27/1/2020 14:43

Feels a bit tippy - or placing done? Had a mention in an IC article.

(@professor - only diluted if done at below NAV. Feels like it'll be around NAV, or a few p below revised/current NAV, which wouldn't be too bad).

Figure I'm a seller before long, I know LMP trades on huge premium, HSTN going for 10% premium, WHR on premium, but give me a decent premium at around say 160p, and I'll likely be out. I don't believe premia particularly justified on industrial. Mr Market.

[professor calculus] 08/1/2020 14:18

Sorry for my ignorance would a capital raising not dilute our holding ?

[spectoacc] 06/1/2020 07:29

Could be a big one, judging by that pipeline. But judging by the premium to NAV that others have moved to, I fancy them to get it away non-dilutory.