First REIT: Partial divestment at 76.5c.

First REIT never did test 80c after it went CD. The highest it touched was 78.5c. This morning, after it went XD, its unit price declined to a low of 76c.

I made a decision to divest units which I accumulated at 76.5c and 77c earlier last month in January. I managed to sell at 76.5c as 77c could once again assert itself as the immediate resistance.

Overall, I still make a gain as I would collect a DPU of 1.93c payable on 29 February on these divested units. Therefore, it has turned out rather decently as a trade.

When would I again add to my remaining long position in the REIT? I see stronger supports at 75c and 74.5c. Could we see them tested in the next two months? Your guess is as good as mine.

Related post:
First REIT: FY2011 results.

Cambridge Industrial Trust: 4Q FY2011.

Unit price of Cambridge Industrial Trust has been creeping upwards, probably in anticipation of the Trust going CD.

Total assets under management exceed $1b with recent revaluation of properties. This resulted in a lower gearing level apart from boosting NTA/unit to 62c. Year on year, gearing ratio has fallen from 34.7% to 33.1%. The REIT has no borrowings due until June 2014.

Interest cover ratio: 5.0x
Average land lease remaining: 36 years.

DPU increased quarter on quarter from 1.082c to 1.118c, representing an increase of 3.33%. Annualised, the distribution yield at 50c per unit is 8.94%.

The REIT will go XD on 6 February and the income distribution is payable on 29 February.

See presentation slides: here.

On 14 October 2011, I said that Cambridge Industrial Trust could be worth another look. That view has not changed.

See blog post here:
Cambridge Industrial Trust: Worth another look.

Related post:
Cambridge Industrial Trust: Templeton and acquisition.