SUM - Summerset Group

[Beagle]

"Gold standard HPI" for those that think it really is the gold standard says real estate (ex Auckland) up 7.7% for the year. That can't be right. All the dooms-dayers have been telling us for ages that property was going to fall off the face of a cliff. Wonder what happens with the RBNZ cuts the OCR to just 0.5% next month ?

[winner69]

"Gold standard HPI" for those that think it really is the gold standard says real estate (ex Auckland) up 7.7% for the year. That can't be right. All the dooms-dayers have been telling us for ages that property was going to fall off the face of a cliff. Wonder what happens with the RBNZ cuts the OCR to just 0.5% next month ?

And if you look at the chart on Page 4 not much of slow down over the last few years ...and even recently is there?

Don’t listen to bank economists or the media ....just look at facts and long term charts to elinate the short term noise

[Ggcc]

Wonder what happens with the RBNZ cuts the OCR to just 0.5% next month ?

Leveraging, loads of leveraging.... Prices will keep going up and people will just keep borrowing, until the banks ask for their money back quickly....

[Beagle]

Summerset acquired a retirement village site in Cranbourne North, near Melbourne. This is its first site for development in Australia. This type of acquisition was well foreshadowed by the company and does not settle until early 2021.
The company will progress planning in the meantime. The village adds to its New Zealand development pipeline and units will likely be available for sale commencing late 2021 or early 2022. We view this as Summerset executing to plan and there are other similar opportunities in the pipeline.

Extract from Kingfish's monthly investment report released to the NZX this morning. Despite RYM having a market cap many times more than SUM I note their holding in SUM is bigger than RYM and now their fifth biggest holding at 8% of their portfolio.

[winner69]

Good day on the bourse for SUM - up 1.5% to $6.70

RYM did better being 2.5% up

Seems both about fair value (according to the market) at the moment

[couta1]

Good day on the bourse for SUM - up 1.5% to $6.70

RYM did better being 2.5% up

Seems both about fair value (according to the market) at the moment

Bang on the 50% ratio so fair value at the mean, spooky eh.

[winner69]

Bang on the 50% ratio so fair value at the mean, spooky eh.

Really really spooky mate - although some will never never believe it

[winner69]

Extract from Kingfish's monthly investment report released to the NZX this morning. Despite RYM having a market cap many times more than SUM I note their holding in SUM is bigger than RYM and now their fifth biggest holding at 8% of their portfolio.

Last time I looked even The Queen has more $ in Summerset than Ryman

So you in good company doing like Kingfish and The Queen

[Beagle]

Maybe Carmel loves Corgi's too

[winner69]

Property market booming - September stats

Median Prices up 6,6% .....sales volumes up ...days to sell down

https://www.reinz.co.nz/Media/Defaul...ber%202019.pdf

Maybe my estimate of realised gains per sale a bit light.....my forecast is now Underlying Earnings ~$120m even if sales are only the same as last year