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.

Sunday, May 27, 2012

Updates on Cambridge Industrial Trust

Cambridge Industrial Trust updated us on their plans to sell Lam Soon Building which in their books is valued at $90 million. The indicative price will net CIT about 70% of $330 million since CIT owns 70% of the building.

Overall, it will net Cambridge a total of $141 million in profit which translates to an increase of $0.118 in both NAV (to $0.739) and secured NAV ($0.195). This is a great news as it reduces its price-to-book ratio to 0.697 which is more favourable than AIMSAMP Industrial REIT. This deal looks very promising. If it gets through, its price will move up quickly. The challenge that the management will face after this deal is what to do with this amount of money then.

I am already vested with 50,000 shares which I will hold on and benefit from it.

No comments:

Post a Comment