still waiting for IGB's REIT, if they're ever going to do that.

Me three...

Any idea when is IGB REIT IPO?

With listing of so many new REITs, would the price of current REITs be affected ? Your opinion ?

No.

Instead it is good for investors, more choice, more competition, more diversificaiton potential.

It is good for reit sector. More competition, reit manager need to work hard to attract investors.

I see some REITs charge 0.3% for management fee and some charge 0.6%. They are allowed to charge up to 1% of NAV. I feel this might be quite a big drag on our returns. Hoping to hear some comments on this.

Thanks

I don't know why any of you would be interested in these IPOs. As far as I can tell, their predicted yields are lower than every other REIT already on the market. Plus, there's the fact that the REITs in Malaysia have a history of underperforming in trading after they launch. I don't expect that you'd be able to flip them for a profit on the first day of trading like in the old days.

Please correct me if I'm wrong.

0.3% to 0.6% doesn't look too bad wor

The only funds comparable to 0.3% fees are ETFs. I'm seeing 1.60+% for some mutual funds and yet they are not giving you 7-8% consistently.

This post has been edited by Aggroboy: Jun 24 2010, 01:27 PM

When everyone says Axis is already at its market value but Quill Capita is still undervalue(having more room to grow its price), I don't understand. Any Taiko who knows, please tell me.

According to their TP:
Axis: 2.28 (maybank), 2.35 (RHB)
Quill: 1.18 (maybank), 1.17 (RHB)

Both are about 18% discount on current price.
So, what's going on?

Should be base on their NAV

thanks!

But I'm not sure if I get it correctly. Please correct me if I am wrong.

You mean for instance, researchers think that Axis has zero discount in price, but with possibility of 18% grow in profit. And for Quill, it has 18% discount in price, but with 0% of possibility to grow in profits?

It is a minimal issue. At least must pay some management fee, if not, reit manager eat sand meh.
Can't expect buy reit and goyang kaki without doing any job, while don't want to pay management fee which the reit can generate 7-8% yield for you.

As long as the manager take good care and manage well, it is consider none issue.

In UT, they charge initial service charge of 5-6%, annual management fee 1.5% at least, yet some give negative return even after 3-5 years, while some return rate lower than FD rate.
But little people complain about the charges, so if compared with reit, reit is still way cheaper while constantly give you 7-8% yield annually, as compared to UT which may give zero dividend.

Bare in mind, those 7-8% yield has already taken account of the management fee charges. Without management fee charges the yield is 8-9%.

---

Added on June 24, 2010, 3:05 pmThose fair value is subjective matter.

Axreit is given higher TP mainly due to
EPS is showing gradually improvement, resulted from higher rental revision, constantly new properties injection to boost its earning, and diversified.

Remember reit price/TP set mainly is base on yield attractiveness.
So does for ordinary share out there.

It is how much return can get from you invested money.

This post has been edited by cherroy: Jun 24 2010, 03:05 PM

Thanks!!　

Something to chew on......




SunREIT would be the largest initial public offering (IPO) to date for 2010, with about RM1.65 billion expected to be raised from the flotation exercise. It would also be the largest and most liquid REIT listed on Bursa Securities.

However, industry observers said SunREIT was expected to face heated competition with another REIT — CapitaMalls Malaysia Trust (CMMT) — that had recently received regulatory approval to float its three mature Malaysian assets on Bursa Securities. The REIT is expected to list on July 16 2010.

SunREIT had more and better assets compared to CMMT. SunREIT’s jewel in the crown, the Sunway Pyramid Shopping Mall, would enjoy higher rental pricing power, given that it was the prime shopping mall in the Sunway/Subang Jaya area.

Sunway Pyramid’s average monthly rental per square foot had increased to RM8.99 for the eight months ended Feb 28, 2010 from RM7.93 for the year ended June 30, 2007. Sunway Pyramid also boasts an average occupancy rate of 99.3%.

In contrast, CMMT’s jewel in the crown, Sungei Wang Plaza in Kuala Lumpur, was 62.8%-owned by CapitalMalls Asia Ltd (CMA) and thus, it would be more challenging for CMA to dictate rental pricing.

However, CMMT should not be underestimated as it had a strong parent in CMA, which is one of Asia’s largest mall owners and managers, with more than 70 malls in Singapore, China, India, Japan and Malaysia. CapitaMalls Asia may have only three properties injected into its Malaysian REIT currently. But given its track record and aggressiveness in acquiring and running retail malls across Asia, it is possible that more properties would be injected into the REIT in the future.

Up to 1.35 billion units would be listed, while a total of 786.52 million units would be offered for sale under the IPO.

CMA would retain a 41.7% stake in CMMT, but there is an over-allotment option of up to 15% of the total units amounting to 117.98 million units, which would mean CMA could retain only a 33% stake in CMMT.



CHEERS.

the dividend of reits is real dividend or not? i mean after the exdate, do the price decrease like ordinary share?

All dividend result to adjustment down of share prices.

Yeah.. It's real. Last time I have to pinch myself to make sure
Jokes aside, REITs tends to behave like stocks after div (because they are sort of like stocks too). The price will be adjusted to cater for distribution. However, sometimes after that, the price may go higher. I suspect that maybe those holding the REITs could be using the div to buy more units. (I know I do sometimes )




This post has been edited by whizzer: Jun 24 2010, 11:27 PM

really? all this time i thought the dividend is like ordinary share, will consider to invest in reits after this

SunwayReit IPO result, see attached. 100% allocated for those applied.

There might be chances where the one who applied 2.5m unit might come from Sunway internally. Else, it going to be under subscribed.

Ppl is saving bullet on next week CapitalMall Reit?


Attached File(s)
 PRESS_RELEASE.pdf ( 185.64k ) Number of downloads: 68

Does anyone here knows when the next Starhill REIT dividend payment is due?



Could it be around early August 2010?


BTW, any new developments at Starhill REIT ......any news appreciated.



Cheers.

This post has been edited by monkeyking: Jun 28 2010, 11:22 AM