Canadian Apartment Properties Real Estate Investment Trust T.CAR.UN

RE:RE:RE:RE:More BNS

[Mephistopheles3]

Good point on the privatization.  I was thinking that as well, but just didn't express it. There's only so many entities that could buy a TSX60 company and the share price is not at that much of a discount that would warrant it just yet.  Also have to keep in mind that capitalization rates will likely increase as a result of the massive change in the bond rates which should have a pretty large impact on the NAV of the units. 

On the capital buybacks, the way I was looking at it was that management wanted flexibility to do what they want, not that they were going through with it just yet.  They also have a base shelf prospectus filed so they can quickly issue more equity when they need and this provides the counter to that.  We'll only find out about the April purchases around earnings release or in May when it gets released on SEDI. 

I hope the price stays depressed a bit longer though to let me try to get more capital in there!  It'll be interesting to see as you say what they plan on doing with their capital.  They raised huge amounts of equity over the years, but nothing off memory in 2021 as it was just the DRIPd distributions that resulted in more shares.  The Quebec buildings (which look good to me as I'm resident in Quebec and know these ares) look good and were a perfect fit for them and this was all financed internally which will drive up NFFO/unit in the future.  I think at this point, they can probably finance everything they need off free cash flow as they are also picky with what they are purchasing which is fine with me.