True North Commercial REIT T.TNT.UN

20% dividend is not enough to entice some buyers

[garyreins]

Market is definitely fearing a big drop in AFFO.....will they deliver on Q3?

[EstevanOutsider]

They haven't commented on the distribution safety - only privately in which they expressed confidence in it. After that hit piece at the National Bank, they have yet to respond to it. Market is going to need meaningful reassurances on this one. AP at 12% yield. Not sure I ever seen a 18% distribution stock with a happy ending. TNT does not have obvious issues to me outside of the fear

[garyreins]

Q3 is around the corner so probably didnt need another "update" 2 weeks before

[EstevanOutsider]

normally i would agree with that statement but i don't here given the unsual circumstances. a 20% distribution has to be reconciled with. the reit was killed on matt kornack's downgrade. they need to confront the points in the article and calm market jitters asap. i myself was not expected a distribtion cut which means most other investors probably aren't; however, those who might buy

[garyreins]

imagine the egg on managements face having to do another dividend cut less than a year after the "steep" first one.   There's no turning back here, it was done with a reasonable buffer in my opinion.  Lets see those Q3 financials and M & A

[EstevanOutsider]

IMHO they should be buying back over paying a 20% distribution if confident on business. Market giving office reits no respect and treating them as terminally ill assets.

[garyreins]

you might be right however that would drive the stock down to 0.75 to get the 12% yield back

[EstevanOutsider]

TNT has the ability to keep the yield in place as they already cut it. Fundamentals improved since they cut it and they had a lot of successful releasing while discarding a couple obsolete properties  and now selling another one nearly completed vacated which will free up liquidity. Michael Emory made good remarks on Allied's call last week which the market liked regarding the