Welcome to my investment blog where I share with you my analysis of REITs in Singapore.

I hope that my investment philosophy will bring me a steady stream of income apart from my job. I am aiming for at least $3,000 per month which can sustain the current expenses of myself and my family.

Do enjoy reading my blog and post any comments that you have. I welcome them because it is a time to learn from each other.

When I am looking at investing in REIT, here are some of the guidelines that I am looking at. Feel free to comment on it. I am willing to listen to ideas.

-> at least 8% yield.
-> Price that is lower than its NAV.
-> Low gearing (if possible)
-> High secured NAV.

Current Dividend income is $3,800/month.

Wednesday, May 18, 2011

Analysis of Saizen REIT

Based on price at $0.145
  • Current Yield = 7.17%
  • Price-to-book Ratio = 0.504
  • Assets per unit = $0.462  
  • Debt per unit = $0.174
  • Gearing = 37.7%
  • Secured NAV = $0.174
Saizen REIT reported their results after the Japan Earthquake where minimal damage is done and all their properties are mostly intact. Yield is slightly lower at 7.17% which is lower than my criteria but maybe it can be offset by its price-to-book ratio. It is about half price.

One major development is the successful repayment of its YK Shintoku is to be fully repaid by this month. With another loan also to be fully repaid, its secured NAV has risen to $0.174 which is higher than it current market price.

Saizen REIT should recapture my attention as one of my investments and I will consider whether to put more money into this REIT. 

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