thank you jordy. what i like about the new properties are that the rental has been contracted for more than 5 years and there will be annual increments. arreit is quite transparent in their future earning disclosure. what i dont like is the increment is quite low 5-7% only. moreover, 4.5% interest need to be served every year as well. it should be 10% in line with property price appreciation which command higher rate of growth

Unless we want to see real estate bubble forming, a 10% or more every year is not something as long term investors want to see. It is not sustainable to expect this kind

Annual increment of 5-7% in rental is considered very favourable already. Remember we are talking about increment rate itself only.

I would say don't put too high expectation when investing in reit, as it is very similar to owning a properth then rent it out. The most important thing is to see from long term perspective.
We don't want to see bubble forming then burst resulted difficulty in getting tenant afterwards.

very fair statement and realistic expectation from cherroy. long term wise, arreit getting bigger and bigger. post injection exercise will see the assets mark rm1 billion level. just hoping that they are not over geared.

cherroy, do you give arreit a serious look? i know you keep some in your portfolio. just wonder if you may want to add up some more. i am seriously contemplating to buy more but too bad cash has not arrived yet.. seeing the price keep flying away even after ex-date.

Wrt to ARREIT, just recently bought 10,000 units @ RM 0.89. Maybank Investment gave a DCF derived TP of RM 1.14. Current yield is at 8% and I expect it to increase in the future. This part of my portfolio will be going towards creating my second income.

Xuzen

Doesn't look like ARREIT is going increase its dps much, as long as you are content with static 8% for the next 5 years or so.

REITs set to ride on recovering economy

Hey guys, I am an amateur in stock trading and would like to venture into REIT. I would like to learn more abuot REIT, be it from books, websites or anything. Do you guys have any recommendation?

I know I can google it or go to a bookstore any and buy the related books, but there are just too many to choose from. I don't know where and how to start...

Thanks for your imputs guys!

Just buy it like a regular counter in the stock market. Call your broker. If you don't have a broker then check the articles pinned above.

As for recommendations, safe choices would be AMFirst REIT or Axis REIT. Good luck bro and hopefully you do better than me

This may help you gain quicker summary. Good luck.

http://mreit.reitdata.com/http://mreit.reitdata.com/

I recommend reading Lowyat NET's REIT V1 & V2 threads all the way from the beginning

Hopefully, you can persuade our resident biblographer kmarc to add a section for REITs in his "LYN stock market FAQs & Guide"

hmmm, looking to buy reit stock any recommendation in terms of attractive reit stock?

i strongly feel displeasure that arreit has agreed to set the placement price of the new units at 84 cents to institutional investors. the 84 cents/unit is totally low and undervalued valuation in view of strong interest in reit by retail investors and disregard the interest of small investors. Moreover it is far away from the NTA value! the arreit manager should be sacked..

in my opinion, arreit should also offer the placement to retail investor. i am more than happy to subscribe the offer...

Private placement price is based on market average price which cannot differ 5% from the market average price pre-determined.

This is pre-requisite when issuing private placement which approved by SC.

For existing Arreit holders, there is also amendment of the private placement proposal, which SC require them to amend which send out to every Arreit shareholders.

You can read the wording in between, and the amendment.

5% differ i understand but can't it be above? why always below? if above, they may argue rather buy it on open market than the placement. however they also have to realise that the open market may not have enough supply because nobody want to sell.

i havent read the amendment, do we retail holders can apply for the placement unit?

Private placement generally below one, as part of 'sweeten' deal.

No, private placement means private.

This is downside of private placement.
But advatange side of private placement is that existing shareholders don't need to fork out a single cent for it, while company can generate cash, provided money raised from private placement does increase the company profitability, which doesn't affect the dilution part of story.

Private placement cannot be more than 10% of existing paid up capital to prevent

cherroy,

I think there is a mistake there. It should be maximum of 20% if I am not mistaken

SOME VERY GOOD COMMENTS & GOOD REPLIES TOO TO THIS TOPIC...THANK YOU ALL SO MUCH.



AM NEW TO REITS & THOUGHT THAT I NEED SOME MORE INFORMATION & CLARIFICATION ON Stareit BEFORE I DIVE IN......LATEST INFORMATION IS THAT IT IS SELLING IT'S 2 MOST VALUABLE PROPERTIES [ Starhill Gallery & Lot 10 ] TO A SINGAPORE REIT FOR MORE THAN A BILLION RINGGIT & LATER INJECTING SOME HOTELS INTO Stareit AS WELL. NOW, IS THERE SOME UNCERTAINTIES & RISK INVOLVE IN THIS.....FRANKLY I FEEL THAT HOTELS DOES NOT MAKE AS MUCH MONEY THAN Starhill Gallery & Lot 10.


JUST THIS....IS IT WORTH TO BUY STAREIT NOW OR JUST IGNORE IT?


I SEE THAT A NUMBER OF MEMBERS RECOMMEND AmFirst & Axis........WHAT ABOUT QCAPITA, TWREIT, BSDREIT & AREIT......ARE THESE 4 REITS SHARES WORTH TO PICK UP AS WELL....COMMENTS ARE WELCOME PLEASE...APPRECIATE IT.

Please refrain using capital letter, kind of annoying to others, and capital letter in forum means shouting at others.

You need to look at the structure of reit itself in term of hotelier business.
Reit might not and generally not involve in hotel business. They just own the hotel as properties which being rent out to the hotel management company.

Uncertainty about Stareit, which and yield of properties is not totally known. There are a few name like Japan Ski Resort which has signed some MoU for the acquisition.

Thank you brother cherroy for your comments...greatly appreciate it. Didn't know that using CAPITAL letters means shouting at others....didn't have any intention of doing this.....my apologies to all.


If STAREIT buys the hotel property & later rent it out then that's a positive note otherwise running a hotel business is a bit risky as there is always an element of loss & no profits.


My only worry now is that they may rent out the hotel property cheaply.


Cheers brother cherroy...you have a great day too.

AXREIT price before ex-date was 2.03. The dividend declared was 0.037. The price after ex-date is 2.01, with a gain of 0.02 today.

ATRIUM's price for today is 0.965, the highest this year I believe.

Looks like my REITs portfolio is growing well, same thing as my property portfolio. Now is the time for properties to flourish