OCA - Oceania Group - retirement villages

[Daytr]

No one ever claimed there was no service given to receive that "loan". Just that the cost to shareholders of receiving that capital is close to zero (+- some, historically negative cost, or paid to receive the ORA).

Your a smart kid with a blind spot.
Free loan was mentioned over & over even when I outlined what the exchange actually is which is obvious to anyone with both eyes open.
But suddenly that wasn't a loan but paying rent in advance, oh but no it's not.

It's simply put not a loan, unless you want to break the transaction into bits.
A loan of cash for the loan of a villa.
The interest of the loan is nullified by the rent on the villa. I.e the cost of the loan is the rent that could have been earned on the villa.
Obviously the kicker is the 70% buyback & resale, after refurb costs. But this is the only kicker & that should grow over time which is a good deal for OCA.

How's this for a scenario?
The real estate market deteriorates further?
Not only new sales, but resales become a problem, but in the mean time OCA have to pay out the 70% whilst only sitting on a little bit of cash on the balance sheet. They are very reliant on there being a buyer for the resales.

Now I don't necessarily hold that view, but it's not out of the realms of possibility.

[Cupsy]

Your a smart kid with a blind spot.


It's simply put not a loan, unless you want to break the transaction into bits.
A loan of cash for the loan of a villa.
The interest of the loan is nullified by the rent on the villa. I.e the cost of the loan is the rent that could have been earned on the villa.
Obviously the kicker is the 70% buyback & resale, after refurb costs. But this is the only kicker & that should grow over time which is a good deal for OCA.

what exactly are you referring to here, the DMF or the ORA?, i thought the properties are held primarily to generate a DMF income? (is this the "rent" idea you are talking about that could have been earned??), i'm not sure what you then class the ORA as? additionally you appear to be ignoring time frames of occupancy in your comment??, which are in the AR and would have a large bearing on the point you are trying to make wouldn't they?.

[mistaTea]

what exactly are you referring to here, the DMF or the ORA?, i thought the properties are held primarily to generate a DMF income? (is this the "rent" idea you are talking about that could have been earned??), i'm not sure what you then class the ORA as? additionally you appear to be ignoring time frames of occupancy in your comment??, which are in the AR and would have a large bearing on the point you are trying to make wouldn't they?.

Beware of Dandelo.

[winner69]

Aren’t most if not all DMFs consumed over the term of the agreement …ie used up to pay for the cost of looking after people and running villages

[Cupsy]

ArenÂ’t most if not all DMFs consumed over the term of the agreement Â…ie used up to pay for the cost of looking after people and running villages

Is that how the DMF is explained in the AR?

[winner69]

Is that how the DMF is explained in the AR?

You could ‘is that how anything is explained in the AR’

[Cupsy]

You could ‘is that how anything is explained in the AR’

I'm not picking up the point you are making?I didn't think the dmf is used for "the cost of looking after people" as you mention, but maybe I missed it in the AR?

[winner69]

I'm not picking up the point you are making?I didn't think the dmf is used for "the cost of looking after people" as you mention, but maybe I missed it in the AR?

It included in the Revenue line

The other point is that the AR seems to go out if it’s way to confuse punters

[Poet]

It included in the Revenue line

The other point is that the AR seems to go out if it’s way to confuse punters

Yes, that is exactly what they do. They think they are so much smarter than the punters, so just crack on that everything is great, captains of industry running the ship smoothly.

But... punters have worked out the ship is being run by a bunch of complete incompetents, that's why the shareprice is in the gutter.

Can't be trusted, so don't trust them.

[Cupsy]

It included in the Revenue line

Care operations revenue is in revenue also isn't it? I'm confused!