Brookfield Property Partners L.P. BPY

Brookfield Fatigue

[SargeX]

First off, thanks to everyone especially Vette for your posts. Very interesitng stuff!!

I have traditionally been a huge supprter of Brookfield and my wife & I bought a full position in BEP.UN and BIP.UN in Mar, 2014 and a full position in BPY.UN in Jan, 2017. 

We have done incredibly well with BEP & BIP and made a bit off BPY (mostly by additional swing trading leaving the full position alone). I have been getitng a bit troubed by all the what looks like "financial engineering" and all the hidden and weird dealings. 

I'm very disappointed in the price offered by BAM for BPY. As someone mentioned, they had offered $21US last year on a stock buyback so $16.50 seems like a bit of a step down. Also, if they think the NAV is $30US, then $16.50 sounds very low ball.

Anyway, back in Aug with the BEPC split, I started selling BEP and we are now completely out of it. It was fabulous to us as we made a nice $140.2k profit on it.

We also trimmed a bit of our BIP for a profit so far of $41.5k and are still holding most of it.

On the BPY front, we had added 1200 shares at $19.29 in early Dec as I was really getting the feeling that BAM was coming in sooner rather than later (I didn;t expect to be this fast though  :-).

It was a pretty easy decision to sell those shares yesterday morning and take our profit. We also sold another 1000 yesterday from our long term shares at a slight loss with the divy factored in. I also have another sell order for 740 at $21.64 (was a little slow this morning on getting it in).

With the proceeds, we've mainly added to our midstreamers and banks. I would have preferred to have just been able to keep BPY as it was but that doesn't seem possible, I'm hoping to sell another 700 if it gets to $22.70 and then eventually take the rest in cash when the take-over goes through.

Anyway, I'm disappointed but that's my plan.

Ciao
  Sarge

[Vette08]

Sarge, I agree, US$16.5 is way too low relative to what BAM and BPY have been telling us about NAV.  I fully expect a sweetened offer, otherwise, the BPY management and its "independent" board look ridiculous here, pandemic or no pandemic. I would say BAM et al has been pretty good to you.  With 20/20 hindsight, BEP was the one to buy and I had a bit but not enough. 

[SargeX]

Hey Vette Thanks. My preference on the subs has always been BIP and probably still is. I mainly bought BEP because I liked their hydro and global diversification. I obviously never expected a return like we got. One of the other reasons we sold all our BEP is that the yield had gotten to well under 3%. Since we are dividend income/growth retirees, I figured there was better places for income

[leo101]

hey sarge, i still have a little "swapper's remorse" over swapping some bepc for bip.un but c'est le guerre, eh?  i'm very happy with the bpy.un move by bam because my bpo preferreds have really come to life.  they might get swapped for bam if the ratios are good. but the days are getting longer and that's got me dreaming sunny skies.

[SargeX]

Hey Leo Great to hear from you. I hope you had a good Christmas and New Years and all the best in 2021. BEP is nothing short of amazing. I've always said things tend to run longer than a person would think but this is getting mind-blowing. I still believe it's due for a correction sometime this year. I'm more than fine with what I did on BEP. Left a bit of dough on the table but

[ManitobaCanuck]

Agree the offer is lowball , i have 8000 of this in 2 accounts  averaged down to 15CAD during April/May crash . These are held in a prof corp tradng account . With the NAV around 30 , i dont think the board should let go anything below 28$ . Interst rates are low and asset valuations including Real estate price are bound to jump in next few years with   the tons of helicopter money

[rad10]

They need a majority of the minority holders.  BAM can't just ram this through.  There's definitely more to follow on this saga.

[SargeX]

Hey Manitoba Congrats on the averaging down. Also really like your comment on relisting. At this point, I've really lost faith in Brookfield management doing anything for anyone (ie: shareholders) other than themselves. Everything is so secretive and ir appears to be quite shady. I'm starting to think they are going to stand firm with the $16.50 offer and say "screw you" to

[CanSiamCyp]

This post has been removed in accordance with Community Policy

[SargeX]

Hey CSC Nice to hear form you. I hope all is going well with you. Thanks for the comment. Brookfield has obviously been incredibly good to us and so will have a special place in my heart but I'm getting some "weird" vibes. My Dad  always said that if something looks too good to be true, it probably is and I've tried to use that mantra in many facets of my life. As

[ManitobaCanuck]

Guess , i might just hang on then . Even if they cut the dividend to half , I will still get 5% which is better than savings banks acccounts . Lol even if it crashes it will not go below by avergaed price of 15CAD= 12USD

[NPCexe]

Wonder if they're considering a divy cut to force people to sell..