First REIT ($0.88 on 14th July 2010)
- Current Yield = 8.64%
- Price-to-book Ratio = 0.833
- Assets per unit = $1.242
- Debt per unit = $0.185 (Interest Rate at 6%)
- Gearing = 14.9%
According to my criteria, First REIT will fit in perfectly. The only concern is that most of its assets are based in Indonesia. Although the economy of Indonesia has been improving in the recent years, it is still not as safe as REITs with Singapore assets. But First REIT (along with LMIR) has kept its debt level to below 15% to boast investors' confidence.
I am attracted by the high yield, low debt level, and the fact that it is trading below NAV. I am looking at a good entry level to increase my holdings in First REIT.
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