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Dane Bowler

 
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  • Bluerock Residential Growth REIT Gets Unusually Cheap On Temporary Events: 55% Upside [View article]
    It seems there are many comments about the "dilutive" secondary offering, so I feel the need to address this as a broader issue.

    secondary offerings are not by nature accretive or dilutive. The effect on the bottom line is ultimately determined by the risk adjusted investment rate as compared to the cost of capital.

    Hope this helps, and thanks for reading
    Jan 18, 2015. 08:52 PM | 2 Likes Like |Link to Comment
  • Bluerock Residential Growth REIT Gets Unusually Cheap On Temporary Events: 55% Upside [View article]
    tpcork,

    If you read carefully, I specifically said that the development "preferred to own" strategy such as what they did with TC was NOT true value creation.

    They are trading away upfront risk through the preferred in exchange for sacrificing upside in the event it is successful. Based on your comment it seems you agree with what I said.

    In terms of the "speculative statements" that you bring up, I would be happy to address them if you can phrase them in a way that isn't just blanket criticism.

    Thanks for reading and lets keep the eristic tone to a minimum please
    Jan 18, 2015. 08:49 PM | 1 Like Like |Link to Comment
  • Bluerock Residential Growth REIT Gets Unusually Cheap On Temporary Events: 55% Upside [View article]
    galicia and rob,

    I personally own both, so I can't really say either is better. The difference comes in the risk.

    BRG is relatively higher risk higher reward, so pick your poison
    Jan 18, 2015. 08:35 PM | Likes Like |Link to Comment
  • RAIT Financial Gets Extra Cheap On Misplaced Panic Creating 28% Near-Term Upside [View article]
    CAD is cash available for distribution.

    Thanks for reading
    Jan 10, 2015. 09:48 PM | 1 Like Like |Link to Comment
  • RAIT Financial Gets Extra Cheap On Misplaced Panic Creating 28% Near-Term Upside [View article]
    dblee1,

    I don't know that it is conclusive that the employees were doing "naughty things". No criminal charges were filed.

    While I tend to dislike most G&A type charges of any kind, the size of the severance packages was within the normal range for senior executives.
    Jan 9, 2015. 04:13 PM | Likes Like |Link to Comment
  • RAIT Financial Gets Extra Cheap On Misplaced Panic Creating 28% Near-Term Upside [View article]
    Fish,

    I don't trade options, so your opinion on that matter is probably better than mine.

    I just own the common.
    Jan 9, 2015. 03:45 PM | 2 Likes Like |Link to Comment
  • RAIT Financial Gets Extra Cheap On Misplaced Panic Creating 28% Near-Term Upside [View article]
    Energy,

    You are absolutely right. They are referring to the adjusted book value. In my opinion, GAAP book is nearly meaningless for a company like RAS.
    Jan 9, 2015. 03:42 PM | 1 Like Like |Link to Comment
  • Misunderstood RAIT Financial Offers Hidden Upside [View article]
    Sam,

    Nice article, and I agree with your judgement that cashflows matter more than book value in this case. 1 question did arise in reading your article and I'm hoping you can clear it up for me.

    Why are you not comfortable with adding depreciation back into book value? Given that the value of most real estate assets has risen over the past years, the undepreciated book value seems more appropriate and might STILL be undervaluing the true liquidation value of these properties.

    it seems odd to add back in for an mREIT, but RAS is actually part eREIT.

    Thank again for the timely article,
    Dane
    Jan 8, 2015. 01:34 PM | 2 Likes Like |Link to Comment
  • REIT Market Update For 2015 [View article]
    Airlarr,

    Thank you for giving me the chance to elaborate on GOOD. The declining FFO per share has largely been a combination of timing of equity issuance and one time charges. GOOD has substantially grown its asset base which resulted in due diligence costs and one time acquisition fees which were rather large relative to the overall company.

    I believe GOOD has now hit critical mass, where its asset base is big enough that such charges will be less impactful. I am anticipating slight FFO growth over the next few years to the $1.70/share range.

    Hope this helps, and thanks for reading,
    Dane
    Jan 8, 2015. 01:13 PM | Likes Like |Link to Comment
  • REIT Market Update For 2015 [View article]
    LHP46,

    I assume you are talking about GOOD as that advisory agreement looks about like what I recall theirs being.

    It is slightly expensive, but it should be noted that management has voluntarily waved substantial portions of the fee in recent history. They want to make sure the dividend is fully earned before accepting their full pay check.
    Jan 8, 2015. 01:05 PM | 1 Like Like |Link to Comment
  • REIT Market Update For 2015 [View article]
    Galicainova,

    Well I think the 4 I mentioned in this article could be large portions of a portfolio. I personally have a large allocation to each of them. If you want a 5th, throw in Armada Hoffler (AHH) or Sotherly Hotels (SOHO) or Farmland Partners (FPI) or CORR.

    Hope this helps, and as always I recommend everyone do their own due dilligence
    Jan 7, 2015. 09:57 AM | 2 Likes Like |Link to Comment
  • Gladstone Land Has Gotten Cheap On Tax-Loss Selling With 40% Upside [View article]
    David,

    I think both FPI and LAND are fundamental values right now. I am personally long both of them.
    Jan 5, 2015. 04:40 PM | Likes Like |Link to Comment
  • Medical Properties Trust Presents 40% Upside As Discount Evaporates [View article]
    Steve,

    Good point about VTR. It could be a year or 2 down the road.
    Dec 31, 2014. 11:22 AM | 1 Like Like |Link to Comment
  • Gladstone Land Has Gotten Cheap On Tax-Loss Selling With 40% Upside [View article]
    Darren,

    LAND has been careful to select mostly assets with water on site. Their most recent acquisition contains 4 wells. I suppose wells can dry up, but LAND will weather the drought better than most.
    Dec 30, 2014. 10:14 AM | 1 Like Like |Link to Comment
  • CorEnergy Is Substantially Undervalued With Upside Of 75% And An 8.5% Yield [View article]
    Kobe,

    Thus far, each equity issuance has been directly tied to an accretive asset purchase.

    the one at the end of 2012 was for the LGS the next one for the Portland Terminal Facility and the most recent for the MoGas acquisition.

    It seems that with each one, FFO/share has gone up.

    I am assuming the company will continue to issue equity given its small market cap, but I believe it will continue to be accretive to the bottom line.

    Thanks for reading and commenting,
    Dane
    Dec 23, 2014. 02:14 PM | Likes Like |Link to Comment
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