Q3 Expectations: Maple House, Aalto II, Brightwater, SalesThese are in lease up/occupancy, and will be going from a drag on financials to producing net income
Maple House = 770 Units at Canary Landing. Will be net positive this quarter, but will need 1 or 2 more quarters to be fully leased up and producing income at its full potential
Aalto II = 148 Units at Zibi. This is at our Zibi development (where the new Ottawa Senators arena will be built). This is in lease up, and I expect this quarter is will be break even or slightly positive net income, then going to net income positive the next 2 quarters.
Common at Zibi = 188 Units at Zibi. This is at our Zibi development (where the new Ottawa Senators arena will be built). This is in lease up, and I expect this quarter is will be break even, then going to net income positive the next 2 quarters.
Brightwater Retail - 48,000 Square Feet was occupied in Q2, which will start producing rent in Q3-Q4
Brightwater Towns - Occupancy on these townhouses will start in Q3-Q4, which will be a one time net income. I'm suspection most will be in Q4
10 Lower Spadina sold in Q3 (confirmed by news release), and so did 349 Carlaw (I'm fairly sure, no real announcement other than Q2 expectations of closing date). This will generate around 32M in cash in Q3
Q3 is not going to be some crazy quarter where everything is flipped positige, so please do not get some crazy expectations. However, It will be a transitioning quarter. 3 New Rental Developments either turning profitable or start being profitable, 48,000+ of new rental leasing might start producing income (depending on free lease period timing), 100,000 square feet of office space GONE, and a clear path to being positive net income and distribution reinstatement. Buying companies that are going from the most hated as they were losing money while rates were rising, to positive net operating income, with massive tailwinds of interest rate drops, are a great way to get some capital gains IMO. NAV is over 400M, trading for under 100M Market Cap.
As noted before, this is not a trading stock. Liquidity is very low. Be prepared to hold, dont trade it. Its too hard to get in/out.