Re: question Keith,Simple answer - No.The concept of BBOX is a symbiotic relationship between the retailers and company. It is the perfect expression of outsourcing. The shareholders benefit from good income return, the directors from bonus from FUM and the retailers from expertise. I think, probably more guess, that it makes sense only to build more if they were bigger units, that most are for supermarkets and the supermarket sales are falling, given inflation there must be less throughput and so no need for a bigger distribution unit. Just my view.Pie-eater,Also got an interest in ESP, UTG and PHP. If they all pass round the begging bowl at the same time I would probably choose the order in which to place money as BBOX, PHP, ESP and lastly UTG.Regards,Seadoc
NEW ARTICLE: Buy, Hold, Sell: An income fund's biggest trades "The philosophy behind FUND:K2XC:Kames Diversified Monthly Income is to provide "income in a low growth world". According to Vincent McEntegart, who has led the management team since the fund's inception in 2014: "The fund is based on a belief ..."[link]
Re: question Having raised £350m from the latest equity issue and adding another £150m of new borrowings to that, I don't think they have yet got to the point of needing another issue. I reckon they have committed around £300m so far.So, watch out for the next few purchases and a new issue will be on the horizon.The sp is well in front of NAV now and close to the all time high, so I have temporarily sold out (with the benefit of the forthcoming dividend) and will look to get back in after the new issue is announced.
Re: question Wasn't the situation with Empiric that it had been coming to market for funds quite often as it expanded rapidly....and almost surmised that it would get what it wanted without necessarily consulting with major institutions as well as it might have done? An alternative, DIGS, has been far more circumspect in its recent expansion and price fluctuations haven't been as noticeable.Do think BBOX will be back within 6 months, even if it is only for development cash for it's new big site at DartfordPE
Re: question I think probably there will be in the next 6 months as it continues to buy,although I noted recently that another REIT Empiric Student Property failed to get the amount of cash it hoped for so it will have to be cautious in its demands.If I was buying now otherwise I would be looking for a value price entry point below its book NAV which I think is around 132p from memory but of course this may not(and perhaps we hope not) be available.
Re: question Thanks for the reply, understand/knew about the 90% payout which is why I'm thinking there could be another issue probably this year but not checked current spend rate from last issue.Do you think there will be demand for more shares from the big boys(and girls) and do you think will be 2017?
Re: question While REITs have the advantage of paying no tax on their net property income;they also have the disadvantage from the business point of view that they are required to pay out not less than 90% of their net property income.This means that they have very little cash remaining to expand their business without raising additional funds.As it is in the advantage of the managers to expand the business I think it likely there will be additional fund raising as long as institutional demand for shares continues......
question Does anyone think there'll be a new share issue this year?Thinking of topping up but always mindful there might be another share issue soon with them making the recent purchase unsure what cash they'll have left for their next couple of buys.Any thoughts?
Re: Impact of int rates on yield ? Over the last six months gross rental income was just over £49m;interest cost on borrowing around £7.5m in same period.I think we are paying around 3% interest.Gearing is fairly low presently there is an advantage in borrowing as the cost of borrowing is less than the rental return of the property which is likely to be around 5%.Higher interest rates tend to reduce capital value of property as buyers seek a pro rata increase in yield to compensate but as yet interest rate rises mooted are very small.
Impact of int rates on yield ? Key Takeaways From the September Fed MeetingShare On Facebook Print Harriet Torry Federal Reserve officials didn't raise short-term interest rates Wednesday, but a December increase remains on the table. Meanwhile, the central bank said it would initiate in October its long-telegraphed plan to shrink its securities holdings. Here are key takeaways from the Fed's two-day policy meeting:Looking to DecemberThe Fed's summary of economic projections suggests officials are still on track to raise short-term interest rates once more this year, most likely at the Dec. 12-13 meeting when Chairwoman Janet Yellen will hold her next press conference. The Fed meets again Oct. 31-Nov. 1, but no press conference is scheduled then. Fed officials expect to raise rates three more times next year, a forecast unchanged from when they last submitted economic projections in June. Officials lowered their median forecast for the path of rates in 2019: They now expect two rate increases that year, down from three. Officials expect rates to rise once in 2020.Trending Lower for LongerFed officials brought down their expectation for where they see interest rates settling in the longer run, to 2.75% from an earlier forecast of 3%. The drift downward reflects a lowering in officials' view of the so-called neutral rate, an underlying interest rate that is consistent with the economy operating at its full potential and expanding without overheating. Ms. Yellen told reporters that "because the neutral rate currently appears to be quite low by historical standards, the federal-funds rate would not have to rise much further to get to a neutral policy stance."Will She Stay or Will She Go?Ms. Yellen is keeping her cards close to her chest regarding what she think about her future as her term as Fed chairwoman ends Feb. 3, 2018. She reiterated Wednesday that she intends to serve out her current term, but said, "I'm really not going to comment on my intentions beyond that." She told reporters that she hasn't had a meeting with President Donald Trump since the early days of his presidency. The two have met just once, for about 15 minutes, in the Oval Office in February. Mr. Trump has said he is considering renominating Ms. Yellen, but that he is considering others for the post as well.Roll On the RolloffThe Fed in October will initiate its long-telegraphed plan to shrink the portfolio of bonds acquired after the 2008 crisis. That means the Fed will end its practice of fully reinvesting the principal payments of maturing bonds into new bonds and instead allow $10 billion in holdings to roll off without reinvestment every month. Those amounts will increase by $10 billion each quarter to a maximum of $50 billion from October next year. "Our balance sheet is not intended to be an active tool for monetary policy in normal times," Ms. Yellen emphasized Wednesday, adding that "we therefore do not plan on making adjustments to our balance-sheet normalization program."Sticking to Its GunsWith the rolloff of its holdings ready to start, Ms. Yellen said there is now "a somewhat high bar to resume reinvestments," and only "a material deterioration in the economic outlook" would prompt the Fed to consider such a move. "It will be up to future policy makers to decide in the event of a severe downturn whether they think it's appropriate to again resort to adding assets to a balance sheet," she said.Write to Harriet Torry at email@example.com (END) Dow Jones NewswiresSeptember 20, 2017 18:55 ET (22:55 GMT)Copyright (c) 2017 Dow Jones & Company, Inc.SAGE
Re: IC only for subscribers Lateriser
Re: IC Article here[link]
IC I don't buy the IC so can't copy the article but looks like BBOX is there main tip or should I say 1st tip in this weeks edition.I've been in from the start and will probably continue to purchase when they do the offers.If there is a subscriber or reader out there can they give so bullet points from the write up?
Re: New Shares Thanks Davey. You may be right about the Open offers and Rights issues but i bought my original holding at the October 16 IPO and got a "Contract note & Tax Invoice" then. I'll ask ii what thier policy is.
Re: New Shares You never get contract notes for open offers, rights issues or IPOs from any broker, as far as I'm aware.