Artis Real Estate Investment Pref Shs Series E T.AX.PR.E

Desperate for an artis liquidity event

[SNAKEYBOY]

Ill take $10 and run like the wind...so many names I can buy now for 6-9% yields.  REITs are literally on route to 52 week lows and can very easily get flushed on the next hikes.  Rates are entering unchartered territory as we creep to 6%....thats >8% borrowing rate, who can afford that

[Reece1986b]

I would be very happy with $10 and would consider Samir a success for achieving that in what has been a very difficult market for almost all REITs. $10 for Artis is 40%+ above where we trade now. Is Artis at $7/unit really a 40%+ better value than H&R? That is what we would have to believe to turn down a $10 Artis offer.

[SNAKEYBOY]

Exactly the opportunities in the reit space are endless... I'm not in love with artis,  those Minnesota offices are not appealing anymore.  I hope manji is desperate to give Sandpiper their approx 200m back at par as well. 

[Frankie10]

So much desperation. If you want it... it's not going to happen. Artis per my calculations is ~44% office (based on IFRS and market values)... not sure that's a deal that anyone is going to make. Artis implied cap is 9% where H&R is 7.6%, yet because H&R's biggest component is residential and Artis' is office... when I break down the implied cap rates by asset types

[SNAKEYBOY]

Arnoyane was buying SLATE OFFICE at 4.50...

[Reece1986b]

Well said Frankie. I think we can all agree the average H&R office/retail/industrial property is higher quality than Artis too so that even further suggests that Artis implied cap rates are roughly what they should be and not very mispriced even at $7/unit relative to other REIT opportunities such as H&R. If Samir can somehow find a buyer at a substantial premium, I'm really not sure

[Frankie10]

Spot on - using H&R as a value berometer, I think Artis is fairly priced here.... and I think both are undervalued relative to every other Canadian REIT (excluding micky mouse micro cap REITs)... the very different capital structure of Artis compared to H&R adds risk, but also adds upside... should rates come down. My stake in Artis is a personal, calculated risk that adds diversification

[Reece1986b]

I would be content with some sort of binding agreement from Manji that the job of the CEO of Artis is to run Artis. No more stock picking. No more acquiring other REITs like Cominar public or private. No further property development. Let's focus on maintaining occupancy, selling assets where possible at prices that make sense, and in the process of doing this, repairing our balance sheet. This