RE:WOW!On a scale of 1 to 10 where 10 is good, I give this a -5. I bought in to the "dream" when they bought the tower. They sold units at $36/unit at the time to raise money to buy the tower. They said the purchase was accretive to unitholders at the time of purchase. I bought units at the $36 private placement as it was marketed as being in my best interest and I believed.
While not a ponzi scheme, it sure looks like they pulled the wool over my eyes and many other investors. It now appears that it was not accretive and not a good deal yet, as we now know, Cooper et al made off like bandits as the got a cut from the purchase price- the more WE paid for the tower, the more $ THEY got. I heard rumours earlier this week that DREAM was looking to sell off some or all of its stake in Scotia Tower and I couldn't and didn't believe it.
I am completely discouraged and I am seriously considering selling my entire position of DREAM, all 7.5% of my net worth. For the first time in over a decade, my confidence in management is very shaken.
This has not been a good week in my opinion. I mentioned a week ago about skeletons in the closet. Scotia Tower may just be one of them. The market said we paid too much for the tower in 2012. Based on that, I highly doubt they can sell it for a capital gain now. Again, WE paid $36/unit to buy the tower. Why are we now looking to sell it when the unit price is $20???? Does management have to repay DREAM for fees earned on asset purchases when they are subsequently resold? I am certainly voting against management and the board at the AGM. Rest assured on that.
Frustrated and disappointed,
Marc