Investment Q&A

Q: Can you please list the pros and cons of investing in these two REIT's ? And if you had to invest in one of them which would you choose and why?

Q: In the June 22nd answer below you mentioned significant adjustments (to income?) based upon GRT's foreign currency debt. If CDN $ weakens against USD (as is currently the case) would this be positive or negative to income? Thanks.

It is often difficult to compare a single company with an ETF, of course, because of the lack of diversification. GRT is fairly cheap at 11X cash flow, and offers a good yield. It is buying back stock and it raised its distribution in February. Cash flow rose 6.6% in the 1Q and the payout ratio is 67%. The balance sheet is solid.
One issue impacting performance is currency. Almost all of the company's debt is in foreign currencies, so there can be significant adjustments when currencies move dramatically. This does create some uncertainty. The company was also looking at a privatization and decided not to sell; this also disappointed some investors.
We think it would be fine to own. We would also consider Pure AAR.UN and Dream DIR.UN within the industrial space. have a question about 1113

Q: I have not had a 'raise' in a while from RioCan. I have held the stock since 1999. Is it time to part company? It's near an all time high. Can you suggest a REIT which does give good increases every year? A high ROC is nice, but not required.

Paul

Q: I'm holding GRT.UN. It has underperformed the XRE substantially YTD. Can you talk about this poor performance, and what do you think of the company going forward. What else do you like in the industrial REIT space?

Q: Hi
I am thinking or adding this reit. What is your view after the result. I currently own ax.un and Rei.un as my reit holding and want a good industrial name. If not can you suggest an alternative reit for industrial and senior/retirement home space

Q: Hi,
Any idea why Granite fired CEO? Has there been any update regarding strategic review announce earlier this year? Thoughts as an investment currently for the sector - still more industry risk for lower yield but higher growth potential?

Q: I have owned GRT for over a year and it has made a nice gain in the last several months. What I just noticed is there is a small withholding tax for US dividends, it's very small but since GRT is registered on the TSX can you explain. Also do you recommend a hold on this stock or should I take profits. Thanks as always.

Charlie

Q: Hello 5i Team,

I have a 2% starting position in GRT.UN which I'm thinking to bring up to a full position of ~5%. Today I am just over 15% in REITs. Being retired I look more for income than growth.

Looking at past comments on this stock I see it has not been commented for some time. Could you provide a review of its current status?
Thanks,
Ronald

Q: GRT.UN I recently took a small position in this REIT. Is it one you would recommend or is there another REIT that you would prefer?