Nearly killed of in the real estate crash, Gramercy Capital (GKK +5.2%) is on the road to...


Nearly killed of in the real estate crash, Gramercy Capital (GKK +5.2%) is on the road to recovery, writes Philip Mause. One sign: Less opaque financial statements - companies in good shape tend to tell a more coherent story, he says. Chris DeMuth agrees, noting the company is likely this year to make all back payments on its preferred, thus setting the stage for dividends on the common and the welcoming of dividend stock investors.

Comments (7)
  • Chris DeMuth Jr.
    , contributor
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    GKK investors should stay tuned in for the upcoming CDO sale; this could be a material event that moves GKK forward on its transition.
    14 Jan 2013, 01:35 PM Reply Like
  • SA Editor Stephen Alpher
    , contributor
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    Hey, weren't you supposed to be on Bloomberg as you were typing that!
    14 Jan 2013, 01:36 PM Reply Like
  • Chris DeMuth Jr.
    , contributor
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    Scheduled for tomorrow actually, but they want to move it due to something to do with FB that they are reporting on.
    14 Jan 2013, 01:40 PM Reply Like
  • Thalidomide Baby
    , contributor
    Comments (1273) | Send Message
     
    I look forward to both accrued dividends on the preferred AND initiation of dividends on the common.

     

    A conservative dividend should certainly propel the stock price upwards over $5. My dream is to be able to see the journal entry where all of those very stale GKK shares are moved from the cash account over to the margin account!
    14 Jan 2013, 03:41 PM Reply Like
  • Chris DeMuth Jr.
    , contributor
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    My hope and expectation is that you will be very happy with how 2013 works out, then.
    14 Jan 2013, 03:49 PM Reply Like
  • pete226
    , contributor
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    Any idea how far along they are with the sale of the CDO business...or who the buyer is and what they are paying?
    22 Jan 2013, 03:05 PM Reply Like
  • Chris DeMuth Jr.
    , contributor
    Comments (10634) | Send Message
     
    My sense is that they are far along with the sale of the CDO business. The buyer will be a larger company that already has a huge CDO inventory. We'll know the price soon but my sense is that it is a low eight figure number.
    22 Jan 2013, 03:21 PM Reply Like
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