True North Commercial REIT T.TNT.UN

several properties sold in q1 2024

[EstevanOutsider]

all above the implied trading valuation of around $190 psf to my speculation.

 251 Arvin Avenue located in Hamilton went for $384, nearly twice as the implied value of TNT and arguably one of the least desirebable portfolio holdings.

the 1020 68^th Avenue Northeast, Calgary, Alberta did not renew, we knew that as it's listed on the avison young for rent.

to my understanding, it's mixed use zoning so more desireable than pureplay office in a highly occupied part of calgary.

overall, the results look good to me and they continue to prove the reit is undervalued by maintaining a high occupancy & selling old assets at premiums.

[cooper90]

This does look positive agreed! I think they are doing everything right and we are seeing a lot of improvement, of which Q1 will be even better based on the annoucements, both AFFO, cashflow and of course many on this board got their wish..............lots of buy backs for the next 3x months...wow. When all is said and done TNT will have purchased 1.6 - 1.7M units by the end of Q2-2024 that is

[lancebryant]

100%. This building is the reason for the large drop off in occupancy also. Calgary is doing quite well and its likely an oil or tech company will pick it up.  

[EstevanOutsider]

also looks like smuckers paid an early termination fee at 80 whitehall in market as the lease was reducede by about 6 years y-o-y. they had been trying to sublease it out for a while. maybe another easy property for tnt to sell this year. they got hit on the solutions drive vacancy as lease was not expired but looking at q4 2023 halifax cushman report they should be able to find new tenants given

[lancebryant]

Selling properties may not be the answer in a lot of cases.  It will only do the REIT any good if they sell when the total return on the property is greater then what they spent on it, and this has a coeficient on the return based on what the cost of capital was on a per share basis at the time. Not withstanding in general I agree.

[EstevanOutsider]

they bought the whitehall property in 2018 with public offering proceeds, rented it out fully for 6-years and could sell it. i'd say they did well. i noticed on some of their properties they actually made sizeable gains like the hamilton properties. even the 3650 victoria park property listed is above where they bought it for.  original link: True North Commercial Real Estate Investment