H&R Real Estate Investment Trust T.HR.UN

More Industrial

[Frankie10]

In case there are those like me who missed it: per the annual report - in addition to the 2 exiesting industrial developments to be completed this quarter, there are 3 additional industrial developments are set to commence this year - in Mississauga; 431k sq ft. (I assume 1 of 3 is 69 martinez, which was an office rezoned to industrial).

[Northforce13]

Not a fan of iindustrial.    It's a hot sector right now, but I view industrial as tenants seeking large land areas at low rents, with less sensitivity to location.  There is a lot of land everywhere accessible near highways.  Supply might  catch demand and cap rates resemble U.S. ones (+/- 2% higher) with commesurate effect on values.  Many REITS seem to be

[Frankie10]

May I just point out. The two industrial properties recently constructed were valued at roughly 2x the cost to build them. The value being our cost x2 can then be levered through traditional mortgage financing. So for example I spend $10 to build an industrial property and upon completion it is worth $20, I walk to the bank and put a mortgage on it with a 60% LTV... now I have more cash then when

[Northforce13]

Thanks for that, I never contemplated that, it's a nice feather in the cap of HR.UN.   This forum is of a nice level

[Northforce13]

BNN yesterday.  Talk of industrial vacancy doubling, analyst says +/- 1% to 2%... so no big deal.  Talk of significant supply coming online.  Analyst says still lots of demand, no big deal. It appears vacancy is already rising + significant supply is coming on line and will likely continue to do so. I see it as a potential canary in the coal mine and a reason to be quite alert and

[colombuss]

This post has been removed in accordance with Community Policy

[colombuss]

This post has been removed in accordance with Community Policy