Eagle Hospitality Trust

[karlmarx]

I think Convid 19 will highlight and maybe test SG REIT models. Especially hospitality and retail and especially one with a master lease.

SG REITs operates with minimum cash balance and payout all available cash. Everything is ok when cash is flowing, what will happen if cash stop flowing? You are only as strong as your tenants are, strong sponsor or not. Who is paying the rent? Who say master lease won't walk away when they are in the same situation?

One golden rule of investing or in life is having cash reserves for bad times!

I don't know why the drop in REIT but I do know, REIT is a very crowded place before convid 19 so I am not surprise.

https://sginvestors.io/market/sgx-share-...its-sector

Almost exactly as I said it. Good luck.

https://links.sgx.com/FileOpen/EHT%20-%2...eID=602009

EHT didn't go bust overnight. There were numerous reasons/warning -- all of them highlighted in this thread -- signs for investors to be highly wary of EHT.

Those that bought the share in the 40/50 cents range would have been aware of those very widely publicized issues that caused the share price to fall so much since IPO.

Lesson: Be very careful when chasing for yield.