Post by
15Stanmore on Oct 14, 2020 12:09pm
BTB REIT track record buying and selling properties
A useful and informative way to assess the capabilities of the BTB REIT professional management team is to look at the properties they have bought and then sold over the last ten years. This is a distinct exercise apart from the assessment of the current and presumably ongoing portfolio of properties that have been acquired and not yet sold.
One that stands out on the negative side was the decision to purchase the Promenades St-Noel in Thedford Mines in 2010 for $3,118,000 (retail space). Eight years later the decision was made to sell the property for $475,000, for a loss of $2,643,000. I would love to see the investment proposal for the 2010 purchase and who recommended the property be acquired by BTB. I would then want to see who in senior management approved the deal.
While it may not be possible to hit a home run with every property acquired, avoiding the Thedford Mines disasters should be something unit holders should expect, given the "professionals" we have hired to manage our investment for us. They certainly have no problem rewarding themselves financially for the good moves - just not sure they take financial responsibility when we lose our capital.