Lanesborough Real Estate Investment Trust V.LRT.UN

Deficit versus equity

[quicksilver545]

I had a look at the financial statements dating back to 2006. We currently have a deficit of 182M, which has steadily ballooned in the past 3 years. The main difference compared to past years seems to be the asset valuation declining rather than big increases in liabilities, related to fair value adjustments.

I wonder, given the improvements in occupancy in Fort Mac, and rising real estate prices, what the change in fair value adjustments we receive at next report. I can't see how we decline further.

What reasonable value would be placed on the asset portfolio, and are the secured lenders willing to take some reductions?