TSX:DIR.UN - Post by User
Comment by
maypeterson Mar 23, 2020 4:50pm
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Post# 30839255
RE:RE:RE:RE:RE:Dynamic Funds - real estate fund managers view
RE:RE:RE:RE:RE:Dynamic Funds - real estate fund managers view The way you are describing it is what a rookie landlord would try saying to the mortgage lender.
A 50 - 60% haircut is way overboard and based purely on fear and panic. Got to remember these busineses have put in a lot of money making the space their own - not easy to pack up or let the landlord take over. I am sure there will be discussions about deferral for the folks who are cash strapped but I doubt they are going to mention waiting for the stimulus money from what unfortunately constitutes the Government. TheeRook wrote: Looks like now the payment of rent is in question even for industrail REITs. A busines in a non essential service has to shut down. Owner goes well if they shut me down, I am not paying the rent and will wait for any CV19 stimulus money.
maypeters wrote: Thank you CanSiamCyp. Did not read your message before I posted essentially something similar. CanSiamCyp wrote: Hey Sarge! Not to be a pain in the a$$ but DIR.UN has much reduced debt/leverage now cuz they paid down their more expensive N. American debt (done) and plan to increase their European debt (at a much lower interest rate there if you can believe it!). This is part of their move into the European market - leverage high on the European assets at low interest rate and leverage low on the N. American assets at higher rates. That is the plan they set in motion. Who knows after this mess is over?!?