Listed Property Trusts

[Cyclical]

Lengthy blurb on Covid and retail in USA, KPG most obvious local parallel but one might extrapolate the medium term gloom to office space (e.g. owning a tower in a dying precinct). Might a dire retail outcome here force all property categories down, even industrial (once rent reviews come around, defining "market rent" might be fun)? GMT/PFI so far pretty resilient. Perhaps we have our own example of massive change with Christchurch.

https://www.theatlantic.com/ideas/ar...retail/610738/

Yeah, Christchurch is probably a pretty good analogy. It's a year since I was there last, so it's probably improved a fair bit since, but exploring the new CBD at that stage, it was all very nice but there just seemed to be a huge lack of people, presumably as there were all working dispersed throughout the outskirts. I'm sure the C19 fallout is the last thing they need there at the moment.

[NZSilver]

I listened to a podcast - retail listed property in uk/us is finding 25-40% of tenants are not paying lease. The market is pricing retail property accordingly.

[Balance]

https://www.newsroom.co.nz/2020/05/0...-empty-coffers

A good summary of how different landlords and tenants are approaching the lockdown situation.

Long and short of it - government is going to have to intervene decisively, or else law suits are going to clog up the courts for a while.

Unprecedented times require unprecedented actions.

[percy]

With a great number of small traders using their home for security for bank finance,a good number will lose their business and home as well.

[Balance]

With a great number of small traders using their home for security for bank finance,a good number will lose their business and home as well.

Hence, the government’s direct loan scheme which will help many businesses tide over the next 6 -12 months.

Businesses & tenants reliant principally on international tourism are going to be the biggest casualties.

[winner69]

With a great number of small traders using their home for security for bank finance,a good number will lose their business and home as well.

Even if any of these businesses close many landlords have no qualms at making a call on the rent due to the end of the lease under the personal guarantee

[Balance]

Even if any of these businesses close many landlords have no qualms at making a call on the rent due to the end of the lease under the personal guarantee

The banks will be first in line, with the government agencies in tow. Be bugger all left for the landlords I would say under the doomsday scenario.

[winner69]

The banks will be first in line, with the government agencies in tow. Be bugger all left for the landlords I would say under the doomsday scenario.

So many ex business owners will need many big hugs and cuddles

[Balance]

So many ex business owners will need many big hugs and cuddles

Have no worries there - Cindy & her whole cabinet are on standby to embrace them into the fold of social welfarism. More power to Labour’s vote bank, eh?

[Waltzing]

Rolled out of PCT and GMT and into ARG a week ago... all my OCA profits sold at 1.30 were consumed as i held on to AIR for to long after not selling when Beagle warned of a bear market... next time i hear the beagle barking that a storm is coming i will go short...but not ARG... i expect this might be stock that is hard to get hold of soon... been buying it for a while now...DISC: held in both personal portfolios, private trading company, and in our trusts. These structures allows for internal rebalancing off market transactions.