Q: This stock is currently trading in the low 2 dollar range, it just sold it's 11 properties in Quebec for an estimated net proceeds of 65 million (after paying off remaining mortgages). It is expected that this cash (not full amount as they are still operating the remaining properties) along with the additional 8.4 million they netted from the sale of a Cornwall property will be returned to share holders shortly in the form of a special dividend.
I would expect this dividend to be in the low one dollar range based on previous 0.87 special dividend declared after the sale of their Western Canadian assets for a net proceeds of 50 million (This is just a guess using basic math skills).
My question is this, do you believe that the remaining 11 Ontario and Manitoba properties plus the current cash balance make this a buying opportunity (i.e is it likely that there will be more than 2 dollars of cash to be distributed before the REIT winds up)? The management did admit in a news release that the value of the remaining properties was lower than their previous estimates based on current market for these assets.
I would expect this dividend to be in the low one dollar range based on previous 0.87 special dividend declared after the sale of their Western Canadian assets for a net proceeds of 50 million (This is just a guess using basic math skills).
My question is this, do you believe that the remaining 11 Ontario and Manitoba properties plus the current cash balance make this a buying opportunity (i.e is it likely that there will be more than 2 dollars of cash to be distributed before the REIT winds up)? The management did admit in a news release that the value of the remaining properties was lower than their previous estimates based on current market for these assets.
