KPG - Kiwi Property Group Limited

[jimdog31]

1 also live in Hamilton and i gotta say that my friends and i very rarely go near the inner city of Hamilton,Centre Place included.
lI believe that there is a growing safety issue and despite the building of apartments etc,it's only going to get worse.

Matt stark is singlehandley redeveloping the office space in the cbd and is doing a fantastic job, can honestly see the difference in a short space of time

[jimdog31]

Thanks mate, appreciate your thoughts. Agree centreplace is a great space in the heart of Hamilton and having been there a few times I totally hear you regarding parking ! Lack of investment in parking but also as you suggest, places like the base are a magnet for shoppers in north Hamilton and with abundant free parking too.
Palmy is another where I feel they could have done more and managed it better. It felt old and tired last time I was there 25 years ago !
I haven't been to the Chch one but "I get" the earthquake residual risk thing.

I need to mull this one over for a while. Its seems quite extraordinary that NTA was $1.34 5 years ago and is now only $1.36. Its really "quite something" to achieve that sort of return in 5 years against a backdrop of huge falls in cap rates. That's truly "remarkable". If I stick around (after stumbling into this value trap), I'll have some extremely tough questions for the directors at the annual meeting. The Beagle will be in maximum bark mode !!

someone needs to ask the hard questions !! i just think the timing of that 2020 valuation being right in the thick of the spiral has completly rocked the trajectory of the valuations/nta. as a result of that valuation the valuer had to remain conservative for 2021 or risk looking like he made a right mess of the 2020 valuation. If i were KPG id be appointing a new valuer for 2022.

Youre right in calling this a value trap, the value is SO obvious for all to see current share price vs dcf vs nta.

if the valuation had been timed for sept vs mar, i think you would have seen a much more consistent NTA appreciation.

the canary in the coal mine for me would be if tenancy in their core asset portfolio dropped which would lead to higher cap rates, and less free cashflow. like I said in a previous post thats not the case as their is a waiting list for their core properties and the majority of those have fixed % rent reviews.

[winner69]

Beagle said - I need to mull this one over for a while. Its seems quite extraordinary that NTA was $1.34 5 years ago and is now only $1.36. Its really "quite something" to achieve that sort of return in 5 years against a backdrop of huge falls in cap rates. That's truly

There are now 23% more shares on issue than in 2016 (a couple of cap raisings and DRP shares etc)

Reported NTA/share up 2% in 5 years

in $ terms up 25% - ... or 4.5% pa

Maybe a bit better than 'quite something' but not 'remarkable' either

[jimdog31]

Beagle said - I need to mull this one over for a while. Its seems quite extraordinary that NTA was $1.34 5 years ago and is now only $1.36. Its really "quite something" to achieve that sort of return in 5 years against a backdrop of huge falls in cap rates. That's truly

There are now 23% more shares on issue than in 2016

Reported NTA/share up 2% in 5 years

in $ terms up 25% - ... or 4.5% pa

Maybe a bit better than 'quite something' but not 'remarkable' either

Hmm good point winner!

[Beagle]

Its a shame there isn't a sarcasm emoji as that would have made my post clearer. I guess if they can get annual dividends up to 6 cps its a hold for yield. There's no point issuing more shares just for the sake of growth its its eps dilutive. I wonder if the massive development at Drury will be eps accretive or dilutive ? What ROI are they targeting ? They were so opaque on the call almost to the point of being deliberately obtuse. Maybe they simply have no idea and will accept whatever deal Tainui come to them with ? Do we or more importantly I, have confidence they can manage a development of that size and be eps accretive ? I just don't know about this one...

[winner69]

Hmm good point winner!

Bit of a worry they keep needing quite a lot of new capital to not progress that far

[LaserEyeKiwi]

If I recall correctly, northlands mall still has some seismic strengthening work ahead of it, so value of that has been reduced prior to sale, this was mentioned in live Q&A web stream following annual results release.

note that in addition to Northlands & Plaza sales, KPG is also selling half of CentreplaceNorth.

FYI: The KPG AGM is coming up in 3 weeks (12th July).

[winner69]

Share price doing well today .... that's good

[winner69]

Its a shame there isn't a sarcasm emoji as that would have made my post clearer. I guess if they can get annual dividends up to 6 cps its a hold for yield. There's no point issuing more shares just for the sake of growth its its eps dilutive. I wonder if the massive development at Drury will be eps accretive or dilutive ? What ROI are they targeting ? They were so opaque on the call almost to the point of being deliberately obtuse. Maybe they simply have no idea and will accept whatever deal Tainui come to them with ? Do we or more importantly I, have confidence they can manage a development of that size and be eps accretive ? I just don't know about this one...

Good point about being accretive ...or not

They did well raising $200m less than 2 years ago at $1.58 eh

Those were exciting times and everybody was happy as

[Beagle]

If I recall correctly, northlands mall still has some seismic strengthening work ahead of it, so value of that has been reduced prior to sale, this was mentioned in live Q&A web stream following annual results release.

note that in addition to Northlands & Plaza sales, KPG is also selling half of CentreplaceNorth.

FYI: The KPG AGM is coming up in 3 weeks (12th July).

Looking forward to that. I'm going to have some REALLY tough questions for the board and management.

P.S. I see the CFO bough a few last week with his own money at $1.17 http://nzx-prod-s7fsd7f98s.s3-websit...273/348676.pdf