RBC down target price * RBC’s Pammi Bir dropped his Dream Office REIT (D.UN-T) target to $10 from $15, which was the high on the Street, with a “sector perform” rating. The average is $9.49.
“Post Q3 results that were short of our call, we dialled back our outlook on D. On the one hand, operational progress is being made with committed occupancy trending higher and organic NOI growth at healthy levels. However, higher interest costs and a substantial uptick in leasing expenditures are putting pressure on our AFFOPU forecasts, while leverage is above our comfort zone,” said Mr. Bir.