No one can give you absolute answer. But recent low is a good chance to re-position my reit allocation as EPF do a small charity sales. Other choices are those with master lease like Alaqar and YTLReit.

Due to potential ncor virus outbreak, i reduced my holding on retail reit. If any cases really happen like what viral in gm klang, small retailer will suffered most and tenancy rate.

https://www.theedgemarkets.com/article/wuha...opping-premises

This post has been edited by return78: Feb 7 2020, 01:17 PM

@return78

Is it ur concept is correct? Reit rent will get low during ncor?
The rent is already fixed tenure and rental rate. even how bad is the ncor, the reit still will collect the same rent

Any MQREIT investors here? would love to hear some insights from sifus

Office market in Klang Valley is struggling with major over supply and rental rates have been falling, with no bottom in sight yet. That would explain the falling dividends and share price. A simple google of the KL property market will show you-

https://www.propertyguru.com.my/property-ne...ly-woes-worsens

Incoming rally for MREITs..!

What happen?

Rip... Planned to buy more around mid year....
Time to look elsewhere

BNM governor hinted of incoming interest rate cuts. Banks will be battered but it's fantastic for REITs.

Wah where did u all get the news so fast?

Ahhh..... Miss d boat

What app you all use to get notified for such news?

https://www.theedgemarkets.com/article/bank...poses-new-risks

It's in the news, I rushed to buy Al Aqar after the lunch session opened.

Al Aqar's DPU seems to be dropping quite rapidly across the last few quarters?

What attracts you to it?

I suspect the data that you referred to might be distorted due to them moving from a semi-annual distribution to quarterly distribution in 2018? In any case, the DPU did drop somewhat (but not massively) in 2018, since they were forced to refinance their entire debt at the worst possible time in 2018, when global interest rates and bond yields were at the peak. Prior to that, they last refinanced their debt in 2013 when interest rates were still quite low thanks to the massive QE by the Fed.

In terms of revenue income and NPI, their performance has been quite flattish/boring. Their rental contracts are long term with some annual rental escalation, so revenue-wise they are not too different from Parkway Life. It seems to be volatility on their costs, which includes the interest costs that caused the volaility in DPU. Fortunately, they only refinanced their debt for 3 years in 2018, so they are due to refinance it mid of 2021 and interest rates today have moved sharply lower since 2018. We should see a nice one-off DPU bump in 3Q 2021.

It's not an exciting investment, but I see it as a 'safe haven' in the M-REIT space. I am betting that some fund manager out there will realize this too, and buy in eventually.

5116 ALAQAR AL-AQAR HEALTHCARE REIT
Quarterly rpt on consolidated results for the financial period ended 31/12/2018
Quarter: 4th Quarter
Financial Year End: 31/12/2018
Report Status: Audited
Submitted By:

Current Year Quarter Preceding Year Corresponding Quarter Current Year to Date Preceding Year Corresponding Period
31/12/2018 31/12/2017 31/12/2018 31/12/2017
RM '000 RM '000 RM '000 RM '000
1 Revenue 25,896 24,777 102,649 99,648
2 Profit/Loss Before Tax 44,965 38,879 92,292 86,154
3 Profit/Loss After Tax and Minority Interest 44,047 37,979 91,374 84,645
4 Net Profit/Loss For The Period 44,047 37,979 91,374 84,645
5 Basic Earnings/Loss Per Shares (sen) 6.04 5.21 12.54 11.62
6 Dividend Per Share (sen) 1.93 0.00 9.58 7.55

Quarterly rpt on consolidated results for the financial period ended 30/09/2019
Quarter: 3rd Quarter
Financial Year End: 31/12/2019
Report Status: Unaudited
Submitted By:

Current Year Quarter Preceding Year Corresponding Quarter Current Year to Date Preceding Year Corresponding Period
30/09/2019 30/09/2018 30/09/2019 30/09/2018
RM '000 RM '000 RM '000 RM '000
1 Revenue 26,718 25,623 79,432 76,753
2 Profit/Loss Before Tax 16,128 15,140 47,314 47,327
3 Profit/Loss After Tax and Minority Interest 16,128 15,140 47,314 47,327
4 Net Profit/Loss For The Period 16,128 15,140 47,314 47,327
5 Basic Earnings/Loss Per Shares (sen) 2.19 2.08 6.43 6.50
6 Dividend Per Share (sen) 1.86 1.95 5.84 7.65

2018 was a good year.

But the last few quarters to 3QTR, DOU dropped from 7.65 to 5.84. That's a 24% drop!
Not too sure WHY since the net earnings did not drop?

I believe the number is distorted due to the final semi annual dividend being paid in early 2018. There's not been any significant change in earnings as you mentioned.

So maybe a better reflection is the average 2017 and 2018 earnings which is 9.58 + 7.55 = 8.56?

I don't think earnings are representative of a REITs performance since they can be distorted by non-cash expenses.. it looks like dividends were largely unchanged if you sum it up manually, and adjust for the switch from semi to quarter payments.

Sunway REIT's 2Q FY20 result coming in!



https://www.thestar.com.my/business/busines...igher-q2-income

https://disclosure.bursamalaysia.com/FileAc..._FR_ATTACHMENTS

This post has been edited by TOS: Feb 13 2020, 10:02 PM

oh no...... missed the boat. Sunway REIT will surely jump tomorrow.