Roundtable Discussion; The Future of Mineral Sands. Watch the video here.
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I am also a bit annoyed about the timing of the announcement. SOHO maneged to get theirs out by 8am. Releasing it at the time they did is usually done by companies wishing to conceal something. In my experience, it usually results in another drop the following day.
@wishIhadnt: Rather than give advice to other investors (which is illegal), perhaps you should offer something useful, such as the nature of the relationship between Civitas and the CIC?
The issues with Auckland are being dealt with and rental income is increasing,everything else is just noise.
Best to sell then!
https://www.investmentweek.co.uk/news/4112517/civitas-reits-largest-tenant-enforcement-action-regulator
Excerpt:
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According to Companies House, Auckland's principal shareholder is The Social Housing Family CIC - the community interest company set up by Civitas, of which Auckland became the first member.
Civitas' website states that the CIC is "operationally independent" with a stated aim to "enable housing associations holding Civitas leases to increase skills and experience and to provide funding if required to promote enhanced performance".
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I am concerned that Auckland are responsible for 15.9% of the rent roll and the opacity of their relationship with Civitas.
Hopefully sentiment towards REITs is improving again and we can see a sustained rise back up to nearer the NAV.
https://www.fool.co.uk/2023/04/16/2-reits-that-could-be-game-changing-income-stocks/
If CHS is REIT doesn't have to pay 90% of profits as a dividend? There is often criticism of REITS as some say they have a limited availability to grow (presumably with out borrowing more money)
As CSH seem to easily be managing their debt and borrowing why should the dividend be cut?
EPS 7.23p, Dividend 5.55p. Sorry, but why do they need to cut the dividend? It is easily by the earnings.
Not sure why they would cut the dividends if cash generation has remained at similar levels as in the past? The yield will decrease naturally as NAV and share price pick up.
I see your point but you can increase holdings via asset value increases combined with leverage. So if we say own 100mil of property with 50% dept property gets up to 200 mil valuation we borrow another 50mil to get back to 50% debt and then buy 50 mill worth of property. we have effectively increased our property holding by 25% just by refinancing.
Yes I think it will be cut by a minimum of 25% so it can be rebased sufficiently to allow annual increases to recommence , but from a lower baseline .
If you think about it REIT's are designed by default to have marginally diminishing annual returns for the simple reason that 90% ish of profits are being habitually redistributed on an annual basis , leaving little spare funding for expansion .
Take a look at all property REITs and their share prices have all reduced significantly over a 5 year period , even though the FTSE is close to it's all time high ..the decline didn't just set in with the advent of cost of living and interest rate increases , the gradual demise of value was already taking place before then
I treat REIT's as an annuity effectively , but if you can buy at a significant discount to NAV like CSH then some capital growth is possible you would think .
With this in mind , I am also invested in Triple Housing and Regional REIT
Onwards and upwards from here I think,but probably not in a straight line! 75-85p by year end I hope.
Canetoad
"I think we can assume that the dividend will be rebased by 15-20% as in THRL."
I have noticed on Hargreaves Lansdowne the dividend isn't covered but they still continue raising it?
Based on that are you saying it will be rebased
If the business is healthy then forget about the SP, that's my motto.
anyone know when this year's annual report is ?, it was 31st march last year.
I think we can assume that the dividend will be rebased by 15-20% as in THRL, but even then it would be approaching 9%, which is attractive for new purchasers.
My position is similar to yours g r.q.
I see it as a medium term hold just s long as the dividend is maintained at the current level. The sp is disappointing of course but the NAV stands up as per recent independent property valuations. GLA
I keep buying as she drops but I think the time has come now where I've got to just sit back and hope we get back to near our NAV.
I'm definitely over exposed in this share, with almost £20k wrapped up in here.
Dont get me wrong the dividend return is good but I'm around 10% down overall.
Oh well. I'm healthy and kinda happy...
Worse than painful ...
That is my upbeat comment done for the day...
>50% discount div yield 10.33% Good size purchased by Handelsbanken
@SD235: "PS who is your stockbroker?"
Hargreaves Lansdown
Punter987
"Not sure sure 1.3% is accurate for default - I suspect much higher than that"
I am going on what the company says.