Investment Q&A

Q: Do you think this company has enough cash to survive? Do they have much debt and can they service it? Thanks.

Q: Good afternoon,

I know that there are diversification benefits to owning ZRE vs individual REITs in Canada. But for a 1-2% portfolio weight, I wonder if I might be better off with a name like CHP.UN purely for income given the quality of their largest tenant.

I have owned ZRE for awhile now, but have to admit to being underwhelmed by its performance.

Thoughts?

Thanks as always.

Thoughts

Q: Is there any news on Granite REIT or is it falling due mostly due to expectations of rising interest rates? It appears to have dropped below any recent support levels. Being down 15% in my holding, is now the time to add more or perhaps move out of REITs all together towards another sector (which) or another REIT (say DIR.un)?

Q: Hi 5i Team,

I am thinking of getting back into INO for the dividend. I have owned it in the past but sold it before the market volatility.

At the current share price it looks attractive but do you think the dividend is reasonably safe? (Recognizing you don’t have a crystal ball)
And do you see a more optimistic future for INO if interest rates decline next year?

If you think there are better REITs with comparable dividends any suggestions would be appreciated.

Thanks for all you do!

Q: Can you comment on their Q3 earnings?

Peter

Q: Fortunately I sold PRV.un and NXR.un over a year ago and now wondering if it is time to repurchase. I'm reminded of Warren Buffet's expression to be "greedy when others are fearful" and there is lots of fear out there at the moment. In your opinion, what are the three most important ratios when evaluating REITs and what are the yellow (caution) the RED (danger) zones for those ratios? What are the ratios for the subject REITS?

Q: Hi, I'm interested in Dream Unlimited Corp as a long term investment, and would appreciate your thoughts on this company. Also, held as the entity DRM:CA (vs DIR:UN:T, for example), would this be eligible for the dividend tax credit and thus best held in a non-registered account? Thank you

Q: Hello 5i Could you comment on Artis REIT as an investment and its current financial situation.

Q: Recently an analyst specializing on REITs said "We believe the ability for select names to maintain current distribution levels is ‘below average’, including Dream Office REIT, European Residential REIT, Extendicare Inc.,, Melcor REIT, Northwest Healthcare Properties REIT, etc. "
Does this mean there is a strong possibility that the distributions will be cut for the above noted REITs ?
Thank you as always for your insight.

Q: My plan is delay OAS, at the same time trying to not go overboard on dividend-payers in my taxable account to limit the clawback. I'm wondering if adding REITs instead tend to help that situation.

Generally speaking, is the payout from Canadian REITs such as GRT.UN and DIR.UN in a form that is beneficial in that regard? Is there a CAD ETF that invests in the U.S. that might also be a good idea?

I hope this doesn't come across as tax advice.

Q: Is a dividend cut a significant risk for this Cie (although it is considered an "aristocrat" US div.
Cie) ?

Q: My discount broker commented that DIR.UN "is running out of steam" and that the largest shareholder sold 800,000 shares last week at $13.02. It is significant to note that the said shareholder now owns no units of the REIT.
Recently you indicated that this REIT is one of your top 5 favourites.
Can you please comment whether this is still your favourite REIT ? Is the insider selling significant? I will appreciate further if it is a hold, sell or a buy.
Thanks

Q: Could you please outline the main risks to Dream Industrial REIT. I am also confused because over 2.5 years their P/E has gone from 4 to 24, yet their stock price has dropped (~$16 to $13) and their earnings have increased (as I understand it). Please correct me if I am wrong. Also, do I have it right that their NAV is ~$17? Do you know their average interest costs and if/when that might increase significantly? Other than those debt questions, and the sector, I'm wondering what I'm missing with this stock continuing to drop. Thank you.

Q: Hello -

I suppose the merger with Life Storage has elevated EXR's debt. Is that debt load concerning in a prolonged "higher for longer" interest rate environment ?

How does it's present P/FFO ratio and Dividend yield compare to the past ?

Is there a better comparative metric to use than these ?

Is it a buy, or what would be "5i's attractive entry point" ?

Q: What would be your top 5 U.S. or Canadian REITs today based primarily on both valuation and quality balance sheet.

Q: According to your company statistics page, CAR’s 3 and 5 year dividend growth rate was -100 and -66 respectively. Does that mean they significantly cut their dividend at some point in the last 3 years and, if so, was there a particular catalyst that drove them to do that? Assuming I am reading the information on the statistics correctly, what are your thoughts on the reliability of CAR’s dividend in the medium term? Contrarily, how likely is it that the dividend growth rate will accelerate once interest rates start to fall, say to catch the company up to where the dividend per unit was before the cut?

Q: Hello, I have read the Q&A on CAR.UN and it seems to be a favorite REIT of yours, but if you can detail why this is the case, I would really appreciate it. Thanks

Q: Hi guys

Tricon has dropped more than other real estate stocks in the last week and is considerably below book value .... something that I would have given the stock more of a floor. How realistic do you consider their book value if all their homes/properties were liquidated tomorrow and the company was wound down or sold?

It seems , given the price of building materials, you could not begin to build houses for what Tricon bought many of these houses at - many after the 2009 real estate melt down, plus there is so much pent up demand for more housing given inflows of immigrants.

How would you rate the quality of management?

Do you see it as having compelling inherent value and would you add to a partial position now?

Much thanks

Stuart

Q: With patience in big supply where would you buy and why ? Thank you.

Q: Peter has something happened to slate grocery reit?? Dropping like a rock. Does it have to much debt?? Thanks Ken