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AGM on Friday.Trading and cash flow update not obligatory, but sensible with such uncertainty.
Also we had just over 82M GBP cash before lock down - in a very good position. Just very low volume currently, hopefully will pick up once we get more info.
Rent collection 52% here for the worst qr against 17% there.
Of course 47% ltv isnt pretty here. Post that emergency raise hmso is still above 40% iirc??
Feel bad for any HMSO holder. I live in Birmingham and the Bullring is such a huge asset, with big premium stores and then you have to include they now also own Grand Central (Birmingham New Street Station), which has already lost John Lewis's huge flagship store which isn't ever opening again. NRR is in a much better place with more local and essential retailers who have stayed open during the entire lock down, will be interesting to see future updates from NRR BOD in the coming weeks and months... I think it will be much more positive than other REITs.
HMSO out today with huge rights after which it will still owe 2 billion. Current equity in effect wiped out. So discount rights amust in that.Pleased I dont hold! One good idea...divis to be paid in new shares.
Paying down debt is not a cost in the p&l sense. They will have large write downs this year in asset values but going foward who knows. One would expect asset sales as forecasted to pay down debt.
Ref pubs, number 10 said yesterday no general changes but local ones which is more positive than blanket bans.
With regards to not paying dividends, couldn't NRR use cash/income to pay down debt and have it as a cost? Would make sense to bring debt down a bit more. But not too sure with REIT rules on such. Definitely in a good place with tenants. Hammerson own such big assets such as the Bullring in Birmingham, with huge rents and flagship stores for retailers, very high costs.
On what basis are you doing the no dividend given its a REIT? From Sept they can chase rent due again as well.
There will be one, my bet jan to march next year...
Maybe but down the price goes. Below 50p might be a good time to top up albeit I could see 45p with no dividend and the pubs issue.
Meanwhile NRR pushing through with new shopping developments which include stores such as Lidl. NRR tenants are much better than a company like Hammerson, thankfully.
https://www.thescarboroughnews.co.uk/business/consumer/bridlington-shopping-development-could-get-green-light-2926026
Hammerson collected just 16% of 3rd Qr rent.. Against 52% here or seventy something if you include deferred payment plans. Debt is also unsecured
The firm is plotting to tap shareholders for as much as £600m, more than its current market value, to help it through the pandemic, Sky News reported on Saturday.
Hammerson not NRR but I wonder if they will think about a raise. Its August and I think we could have a bad month in the mkts with headlines today like..... Millions of over 50s could be told to stay at home to avoid a blanket second lockdown under 'nuclear plans' drawn up by Boris Johnson after bubble bursts on easing lockdown
Some good news on planning permission for other uses of land too today.
"Homes, hospitals, schools and shops to get 'automatic planning permission' under government shake-up"
https://news.sky.com/story/homes-hospitals-schools-and-shops-to-get-automatic-planning-permission-under-government-shake-up-12040728
Get used to not paying divis? Its a REIT they will have to at sort point...
As for not surviving the assets have base value fhe equity may get used up in a apocalyptic scenario that would also see the cost of land falling dramatically but we are not there yet.
I dont know. "For Hammerson, any recovery is likely to be long and brutal, with the good tenants demanding rent reductions and the poor ones unable to pay" is the view in the Telegraph. NRR is very different of course although the Government is talking about pubs being closed again. My worry is NRR will get used to not paying divis....