RE:Fact or FictionThere have been very few office property transactions in the past year. There have been even fewer office property transactions since U.S. regional banks started having problems. Many public market office REITs are down 20-40% this year. That would suggest that market participants do not believe office properties are worth the same amount today that they were worth at the start of this year however there have not been a sufficient number of private market sales to properly adjust appraised values on office properties.
I don't think most people here think Dream Office NAV is $35. We are trading for ~$13/unit, so it is clear that the market does not think Dream Office NAV is $35 either. Getting back to even the SIB offer price of $15.50 would represent almost 20% upside from where we are presently trading.
SNAKEYBOY wrote: 37.5m shares x$13 = $487m
37.5m shares x $35 = $1,312m
=$825 million in equity discount.
Artis about 1 billion, HR about 2 billion.
You think the "Fed"/SEC that ensures normal functioning of markets would either tighten up on the NAV reits report or look into thesebillions of discounts in publically traded reits. Some of these big pension funds should just buy them out full and steal them. Why does Group Mache and private investors just buy properties for NAV when they could buy out full reits