Kool Keith
28 Sep 2016
Re: Rights & Open Offer. Hi TX2, we're here again.Not looked at the offer yet, but at current price + Div is there much incentive in taking up to 1-11 offer?Regardless of how I increase/maintain my holding (with or without the offer) I do like how this company is performing.
TX2
28 Sep 2016
Rights & Open Offer. As expected we have a new issue of shares.I will probably take up my basic one for eleven entitlement but as I am over weight in property REITs & I think Tritax is reasonably fully valued I will not be buying more.
TX2
26 Aug 2016
Re: Amazon warehouse Interesting observation.Yes,open ended funds(Unit Trusts) like Henderson's,where investors can withdraw funds are totally the wrong vehicle to invest in illiquid assets like property.Nothing really to do with keeping cash back.Basically with a REIT or a normal PLC property company investors selling(or buying) shares does not affect the liquidity of the company;the transaction is between buying and selling shareholders. Whereas with an open ended fund like Henderson's the fund itself has to pay out cash if someone sells the units.If we have a "panic" or even a situation(eg Brexit) where a substantial number of investors think property prices are likely to fall an open ended fund will rapidly run out of cash if holders decide to cash in their units;simply because it takes time to sell property.With a REIT or other closed end property companies;the share price falls if holders are keener to sell than buy but the liquidity of the company is not changed.With the relatively high share price here and possible buying opportunities I would not be surprised to see another open offer here in the coming months.
MostlyWrong
25 Aug 2016
Amazon warehouse I wondered, when the recent purchase of the Amazon warehouse by BBOX was announced, why someone would let go such a good asset with an excellent tenant.The BBC Business website revealed the information this evening:/snipHenderson Global Investors has kept the gates shut on its £3.9bn property fund. It was one of several funds to stop investors pulling any more cash out of the property trust following the Brexit vote.In an update Henderson said it still doesn't have enough liquidity in the fund to allow customers to start withdrawals again, despite selling off several properties. One was this Amazon distribution centre in Peterborough, sold for more than £40m./endWell done to BBOX for keeping some cash back for opportunities such as this. As I want to buy some more BBOX, I have selected "Strong Sell"...MW
nk1999
20 Aug 2016
HL view Updated:"Tritax, one of our five shares to watch in 2016, have this morning released first half results for the six months to 30 June 2016. The shares moved higher by 1.4% on the news.The interim dividend has increased by 3% to 3.1p per share, with adjusted earnings per share up 16% year-on-year to 3.16p. Tritax are targeting a full year dividend of 6.2p.The portfolio's valuation has increased by 16.6% to £1.53bn. EPRA net asset value (NAV) per share is 128.91p per share, up 3.4% on the full year stage. During the period, £200m of net equity was raised, via an over-subscribed share issue. Tritax have since invested effectively all of the proceeds, with £177m invested into three Big Box assets over the first half, and another three acquired post period end for a further £123m.Acquisitions include sites leased to Kellogg's, Amazon and Argos. Tritax now have 31 big box assets.The weighted average unexpired lease term "WAULT) was 16.3 years, compared to 16.5 years at the full year stage.Period end loan to value (LTV) is 32% (FY15: 33%), which increases to approximately 40%, including forward funded development commitments.Although conceding that it may be too early to tell, Tritax believe that values for prime logistics have largely remained unchanged either side of the Brexit vote, and that the company remains well placed to capitalise on the continuing shift to e-commerce.Our view:The Big Box is in demand. They may not be pretty, looming alongside major roads and motorways, but they are at the heart of modern logistics and e-commerce. Companies need these huge buildings to house automated goods handling equipment, keeping stock flowing through to the end point of demand as efficiently as possible.The portfolio is let to Blue Chip clients on long leases, with upward-only rental reviews providing the income growth to fund a dividend that Tritax hope will steadily increase. Because the nature of what the companies use these buildings for is so fundamental to their very existence, Tritax is unlikely to suffer from unexpected vacancies. Indeed, the company have found tenants seeking to extend leases many years before their current term expires, so determined are they to retain the use of the facility.The business is very simple; they use the experience of the executive team to build a portfolio of in-demand assets where rental growth prospects look encouraging. The level of leverage is kept low, to limit risks. With average interest rates on debt of 2%, using borrowings to part fund the purchase of assets that have typically yielded 5.8% at cost makes perfect sense, and raises the return on shareholders' equity.With open-ended retail funds forced to sell assets in order to meet redemption requirements, Tritax could be able to pick up some attractive buys. Options to fund purchases are limited, however. As a REIT, Tritax is obliged to pay out the majority of profits after management costs, so can't retain much. There isn't much left to draw from the debt facilities, so the company will likely be looking to issue more shares to fund further growth.We view Tritax as a "get rich, slowly" scheme. It is not trying to shoot the lights out, simply to deliver a steadily increasing dividend. The prospective 5% yield on the stock is very attractive, compared to gilts or bank deposits currently. The attractions of Tritax are that it has modest leverage and high quality tenants, who occupy strategic assets on long lease terms. Tritax Big Box is one of our 5 Shares to Watch in 2016 for precisely those reasons."
TX2
12 Aug 2016
Re: IC reiterates buy The shares have done well for me;particularly as I bought them mainly as an income share & they have shown useful appreciation in price.I may therefore be a bit churlish but I feel the prices being paid for recent property purchases is perhaps a little high on an income basis.However I accept that this is probably because a lot of buyers with cash are looking for assets that yield something.......Therefore perhaps it is a hold from me rather than a buy at to-days price.
jim b-r
12 Aug 2016
IC reiterates buy Since the EU referendum, 'uncertainty' has become the watchword in UK property, but few big players have been bold enough to claim that it will help them. But such is the unstoppable rise of e-commerce, the half-year tone at Tritax Big Box (BBOX) was decidedly upbeat, despite the brief post-vote market sell-off in the property logistics investor's shares. In fact, fund manager Colin Godfrey told us that had the company not been in a close period, he and his partners would have bought shares as the stock dropped at the end of June.This confidence was underlined by three new properties acquired in August, including an Amazon logistics centre in Peterborough at a healthy initial yield of 5.6 per cent. Post-period, the group also managed to secure a £72m long-term loan with Canada Life at a 2.64 per cent fixed rate, setting a new benchmark for some already cheap borrowing costs. However, with the loan-to-value ratio now at 40 per cent once forward-funded development commitments are included, any additional debt financing will need to be complemented by an equity raise.Analysts at Jefferies are forecasting pre-tax profit of £46.9m and net asset value (NAV) of 134p for the December year-end, rising to £59.8m and 143p in 2017.At a 3 per cent discount to Jefferies' 2017 NAV forecast, the shares - up on our buy call (117p, 9 April 2015) - are not especially cheap. But cheaper financing, excellent capital discipline and an apparently unending stream of highly-sought after investment properties still represent a good income opportunity. Mr Godfrey thinks Tritax could easily double its portfolio in the next few years; the track record suggests this could be done without sacrificing returns. Buy.
nk1999
07 Aug 2016
HL view Picked as 1 of their 5 best income stocks:"Tritax: boxing clever Tritax owns a £1bn+ portfolio of Big Box buildings, those vast, looming distribution centres that line major trunk roads. Online retailers in particular are a strong source of demand, filling the buildings with automated goods handling equipment to drive costs to the minimum. Once a tenant is fully installed, they tend to stay, because the capital they invest inside the building tends to be many times the building’s value itself.So Tritax has assets where the tenants are so keen to have the best-located and most flexible buildings that they commit to long leases, with upward-only rental renewal arrangements. That keeps revenue visibility high and tenants like M&S, Rolls Royce motor cars and Sainsbury are unlikely to miss the rent. Borrowings are targeted to be 40% of the properties’ value or less and the average lease has 16 years left to run. The shares offer a prospective starting yield of around 5.1%. "
gilotron
06 Aug 2016
Re: Why the falls? Yep it was brexit, I bought some at the bottom!
pmrleahy
18 Jun 2016
Why the falls? I've noticed that quite a few commercial property companies have fallen recently including BBOX. I assume this is in response to the risk of Brexit but have I missed something else?
share 123 maiden
10 Mar 2016
Re: Dividend TatttieYou may find this link useful, section at the end explains the taxation of REITS.[link]
tatttie
09 Mar 2016
Dividend Just got paid. Two amounts totaling 2.55p not 3p as stated by tritan. Do they make a further payment on tax reclaim?
Kool Keith
16 Feb 2016
Re: Open Offer Ignore that I was too late in logging on to see the secure message! Sometime I get an email alert and sometimes I don't arghhhHappy with what I got within the isa though.
Kool Keith
16 Feb 2016
Re: Open Offer Hi just to let you know as I've already applied for the shares in the isa, iii couldn't do anything but have transferred the excess I can apply for into the trading account.Great stuff, that way can purchase more and bed n isa in April.
Bellabeck
10 Feb 2016
Re: Open Offer I spoke to iii yesterday and they have said that it is not possible to take advantage of this corporate action other than via the same account the shares were purchased through
