Another OUE spin off REIT ipo within 3 months.
Any thoughts on it guys?
Highly geared..another lemon imo.
I've finally completed my write-up on OUE C-REIT.
If anyone is interested in receiving a copy of the write-up, just PM me.
(10-01-2014, 04:48 PM)minimax Wrote: [ -> ]I've finally completed my write-up on OUE C-REIT.
If anyone is interested in receiving a copy of the write-up, just PM me.
Why don't you do everyone a favour & just post it here?
yes please post it here, thanks ^^
(10-01-2014, 04:48 PM)minimax Wrote: [ -> ]I've finally completed my write-up on OUE C-REIT.
If anyone is interested in receiving a copy of the write-up, just PM me.
Dear Minimax
I PM you many days ago but have not receive your write-up. Why not you just post it here and share with everybody. Thank you!
Pros:
$50m Income support for 5 years provide good safety net projected 6.2% yield.
Acquired OUE office at $2500 PSF compared to OFC transacted at $2700psf
Rental yield average $10.40, key tenants include BOA Merrill. Potential rental reversion rates average $11-13 psf shows potential growth
Potential inclusion of One raffles place and old DBS tower into REIT ensure heavier singapore exposure
Management fees base on DPU, reputable REIT manager former from Ascendas.
Cons:
Highly gear at 43%, almost as high as K-REIT
China property bought deep discount at 30% to NAV (Potential lemon)
Key tenant lease to expire at late 2014/ 2015 (Pg 22 prospectus)
Although its split at 70-30 income distribution between Singapore and China, I am not comfortable with the China property. Possible for some hit and run IMO.
(10-01-2014, 04:48 PM)minimax Wrote: [ -> ]I've finally completed my write-up on OUE C-REIT.
If anyone is interested in receiving a copy of the write-up, just PM me.
Dear minimax
OUE C-REIT IPO closing date 23 Jan 2014.
Still waiting for you to send me a copy of your write-up or post here to share with everyone.
Please don't share it after the IPO has closed.
Thank you very much!!
"Ms Tan Shu Lin, chief executive of the Reit's manager, OUE C-Reit Management, told a briefing yesterday that the placement tranche offer to institutional investors is one-time oversubscribed. - See more at:
http://business.asiaone.com/property/new...t6gg7.dpuf"
With the institutional tranche only 1x over subscribed, I don't expect a strong opening.