tag:blogger.com,1999:blog-7944902213075756335.post3153799591408352527..comments2024-03-28T10:39:01.047+08:00Comments on A Singaporean Stocks Investor (ASSI): LMIR: More benefits from acquiring 4 malls?AK71http://www.blogger.com/profile/16832145412062954289noreply@blogger.comBlogger20125tag:blogger.com,1999:blog-7944902213075756335.post-42832811425048392042012-11-02T11:28:45.093+08:002012-11-02T11:28:45.093+08:00Hi letissier07,
Thanks for sharing this. Indeed, ...Hi letissier07,<br /><br />Thanks for sharing this. Indeed, it would hardly make a dent and unitholders get next to nothing out of these acquisitions while the management gets a fat acquisition fee...AK71https://www.blogger.com/profile/16832145412062954289noreply@blogger.comtag:blogger.com,1999:blog-7944902213075756335.post-89731625118834195972012-11-02T10:18:22.358+08:002012-11-02T10:18:22.358+08:00Palembang Square extension just opened in Jun 12 s...Palembang Square extension just opened in Jun 12 so it's NPI of 0,3 million is probably super under-rated. I am estimating it to be about half of Palembang Square (since NLA is about half and rental rate should be around the same since same location) which gives a 5.2% NPI yield. Nothing to shout about but will bring up the total NPI yield to about 6.9%.letissier07https://www.blogger.com/profile/14732344839301355343noreply@blogger.comtag:blogger.com,1999:blog-7944902213075756335.post-6380459447774414252012-10-12T07:59:08.913+08:002012-10-12T07:59:08.913+08:00Hi opal,
I think ARA is a great business. I was i...Hi opal,<br /><br />I think ARA is a great business. I was invested in ARA briefly as I locked in gains too early.<br /><br />As for Dynasty REIT, I have not bought anything at IPOs in years. I will keep it that way. I prefer to wait and see how things develop.<br /><br />However, being denominated in a foreign currency makes it less attractive to me as I have to take in forex movements per AK71https://www.blogger.com/profile/16832145412062954289noreply@blogger.comtag:blogger.com,1999:blog-7944902213075756335.post-19688019827157945322012-10-11T22:29:09.951+08:002012-10-11T22:29:09.951+08:00That's a good strategy :)
In your view, how ...That's a good strategy :)<br /><br />In your view, how do you rate ARA as reit manager? Am keeping a close look at dynasty reit. opalhttps://www.blogger.com/profile/09346620068918069361noreply@blogger.comtag:blogger.com,1999:blog-7944902213075756335.post-46958801483368963872012-10-11T21:02:08.649+08:002012-10-11T21:02:08.649+08:00Hi opal,
That reasoning is sound and something I...Hi opal, <br /><br />That reasoning is sound and something I personally subscribe to. However, if its unit price should rise to a level I feel is expensive, I could reduce my long position. :)AK71https://www.blogger.com/profile/16832145412062954289noreply@blogger.comtag:blogger.com,1999:blog-7944902213075756335.post-55228551240936138722012-10-11T21:00:16.773+08:002012-10-11T21:00:16.773+08:00Hi INVS 2.0,
I am almost sure that you are alread...Hi INVS 2.0,<br /><br />I am almost sure that you are already sitting on some nice paper gains. Greedy, greedy. hahaha.. ;)AK71https://www.blogger.com/profile/16832145412062954289noreply@blogger.comtag:blogger.com,1999:blog-7944902213075756335.post-71874413683845840432012-10-11T18:45:05.047+08:002012-10-11T18:45:05.047+08:00Well, until i find a better place to park my money...Well, until i find a better place to park my money, I will still hold on to my shares.opalhttps://www.blogger.com/profile/09346620068918069361noreply@blogger.comtag:blogger.com,1999:blog-7944902213075756335.post-34075093256104146192012-10-11T18:09:41.078+08:002012-10-11T18:09:41.078+08:00Hi Ak71,
Even if it never suggest anything about...Hi Ak71, <br /><br />Even if it never suggest anything about its DPU, I am hoping for more short/medium-term investors to move on and drive up the prices, so that I can sell for a capital gain. :)INVS 2.0https://www.blogger.com/profile/10262125672812329544noreply@blogger.comtag:blogger.com,1999:blog-7944902213075756335.post-74719843938469866392012-10-11T14:04:37.414+08:002012-10-11T14:04:37.414+08:00Hi SnOOpy168,
I like how you choose to use a napk...Hi SnOOpy168,<br /><br />I like how you choose to use a napkin instead of an envelope. ;p<br /><br />I am not unhappy with Mr. Market's willingness to pay an increasingly higher price for units of LMIR. <br /><br />I am, however, unhappy, with the seeming lack of ability on the part of LMIR's managers to create more value for unit holders...AK71https://www.blogger.com/profile/16832145412062954289noreply@blogger.comtag:blogger.com,1999:blog-7944902213075756335.post-17815057297675201742012-10-11T13:57:33.650+08:002012-10-11T13:57:33.650+08:00i have to give some benefit of doubt to why these ...i have to give some benefit of doubt to why these malls where selected - esp not from the sponsor or a related party. <br /><br />At the back of napkin, after the 5%+ debt & overheads, what is left to distribute. <br /><br />Perhaps there are some strategic reason that we cannot see from the numbers and google map (i.e. not being there physically to observe).<br /><br />Again, prior to this SnOOpy168https://www.blogger.com/profile/16073641443037165395noreply@blogger.comtag:blogger.com,1999:blog-7944902213075756335.post-86997372824678110562012-10-11T13:37:09.669+08:002012-10-11T13:37:09.669+08:00Hi iisterry,
For BOTs, there is definitely no gua...Hi iisterry,<br /><br />For BOTs, there is definitely no guarantee that the contracts would be renewed although the contracts are typically renewed.<br /><br />All the more reason to think that the management could have overpaid for the properties in Palembang with the NPI yields so low.AK71https://www.blogger.com/profile/16832145412062954289noreply@blogger.comtag:blogger.com,1999:blog-7944902213075756335.post-71328379095607174552012-10-11T13:26:09.975+08:002012-10-11T13:26:09.975+08:00Hi iisterry,
Oh, I see. TTTTT = iisterry. :)
I a...Hi iisterry,<br /><br />Oh, I see. TTTTT = iisterry. :)<br /><br />I agree with you that LMIR's management really pales in comparison to First REIT's although they are offsprings of the Lippo family.<br /><br />In various blog posts on LMIR, I mentioned how I thought the REIT is really bullet proof but the management is quite mediocre for various reasons. I constantly wonder why the CEO AK71https://www.blogger.com/profile/16832145412062954289noreply@blogger.comtag:blogger.com,1999:blog-7944902213075756335.post-39783000382425490952012-10-11T13:20:36.968+08:002012-10-11T13:20:36.968+08:00HGB & BOT. HGB can be renewed cheaply as shown...HGB & BOT. HGB can be renewed cheaply as shown by FR.<br /><br />BOT is akin to the structure used by CM Pacific?<br /><br />I've not looked in-depth into the implications. Incidentally Palembang is under "Build, Operate, Transfer". iisterryhttps://www.blogger.com/profile/04373533978468989653noreply@blogger.comtag:blogger.com,1999:blog-7944902213075756335.post-18899232081115457002012-10-11T13:15:27.036+08:002012-10-11T13:15:27.036+08:00Hi talesteller,
A fellow blogger. Pleased to &quo...Hi talesteller,<br /><br />A fellow blogger. Pleased to "meet" you. :)<br /><br />Any acquisition by a REIT that is not DPU accretive while maintaining a robust balance sheet is not good for ordinary unit holders like me. To me, it is quite simple.<br /><br />Not buying the property in Palembang and its extension would have been a better move. Of course, the manager would be getting AK71https://www.blogger.com/profile/16832145412062954289noreply@blogger.comtag:blogger.com,1999:blog-7944902213075756335.post-19503801248295284662012-10-11T13:11:34.953+08:002012-10-11T13:11:34.953+08:00Oh its posted by me. Not familiar with all the blo...Oh its posted by me. Not familiar with all the blog accounts. It showed up as TTTTT.<br /><br />I believe the coming quarters should see a reduction in DPU.<br /><br />1) Interests payable on the MTN.<br />2) Acquisition costs, underwriting fees, etc once it kicks in.<br />3) Rental support on their previous purchases should be expiring some time this year or next I believe.<br /><br />Going iisterryhttps://www.blogger.com/profile/04373533978468989653noreply@blogger.comtag:blogger.com,1999:blog-7944902213075756335.post-77686847328980856452012-10-11T13:05:42.635+08:002012-10-11T13:05:42.635+08:00Hi AK, as a fellow LMIR investor, I am quite disap...Hi AK, as a fellow LMIR investor, I am quite disappointed by the expected drop in DPU as well. In fact, I just posted my thoughts on the acquisitions too.<br /><br />I had thought the decrease in DPU was due to the interest expense though, guess I was wrong on that count.talestellerhttps://www.blogger.com/profile/15588619957993017480noreply@blogger.comtag:blogger.com,1999:blog-7944902213075756335.post-40316267491234530002012-10-11T12:57:38.218+08:002012-10-11T12:57:38.218+08:00Hi iisterry,
Weird name? Er... I don't unders...Hi iisterry,<br /><br />Weird name? Er... I don't understand. O_oAK71https://www.blogger.com/profile/16832145412062954289noreply@blogger.comtag:blogger.com,1999:blog-7944902213075756335.post-29582601712507108342012-10-11T12:53:10.201+08:002012-10-11T12:53:10.201+08:00Hi TTTTT,
When I was going through the numbers, I...Hi TTTTT,<br /><br />When I was going through the numbers, I was wondering if I could have left something out.<br /><br />Thanks for weighing in with the correct numbers, taking into consideration the discounts and the rental guarantee. Looks a bit better but even an NPI yield of 6.25% is still not NPI yield accretive.<br /><br />LMIR's management practices a 100% forex hedge against the S$. AK71https://www.blogger.com/profile/16832145412062954289noreply@blogger.comtag:blogger.com,1999:blog-7944902213075756335.post-13149619683796698392012-10-11T12:35:36.478+08:002012-10-11T12:35:36.478+08:00Sorry, wierd name appeared on previous posting.
-...Sorry, wierd name appeared on previous posting.<br /><br />-iisterry iisterryhttps://www.blogger.com/profile/04373533978468989653noreply@blogger.comtag:blogger.com,1999:blog-7944902213075756335.post-15076632742496803482012-10-11T12:31:11.686+08:002012-10-11T12:31:11.686+08:00KJI : 5.1/69.3. 50.8% occupancy. 7.36% NPI yield (...KJI : 5.1/69.3. 50.8% occupancy. 7.36% NPI yield (with rental guarantee)<br /><br />Palembang : 3.3/59.9. 96.4% occupancy. 5.5% NPI yield.<br /><br />Pal extension : 0.3/28.4. 85.3% occupancy. 1.06% NPI yield.<br /><br />Tamini : 2.6/23.1. 100% occupancy. 11.3% NPI yield.<br /><br />Total NPI Yield : 11.3/180.7. 6.25%<br />WACC : 5.079%<br /><br />Professional Fees : 1.6 Mil<br />Underwriting foriisterryhttps://www.blogger.com/profile/04373533978468989653noreply@blogger.com