So the $.50 was as was rumored but the $.40 per qtr for the balance of the year is higher than I had heard. At a $1.60 run rate and todays price of $17.38 that is a yield of 9.2%. If they can hold that rate , and the Griffin deal closes , their is some nice potential upside to NRF if the market starts to value them as more of an equity reit with some legacy, opportunistic mtg businesses than as just a pure commercial mtg reit.This deal will take them from 63% owned real estate to 74% owned real estate, with the balance being CRE loans of various types.They have talked about spinning off the Senior housing at some point in the future if the market doesn't value the combined entity properly. Once concern I have with that scenario is where the NRF pfd's end up if they did that. If they stay with NRF after the possible spin off sometime next year (nothing firm on this yet but I have heard it talked about) the NRF pfds asset coverage starts to shrink rapidly.It may make sense to look to sell NRF pfds and buy NRF equity or look to swap the NRF pfds into other pfds (will have to give up some yield unless you swap to m-reit pfds.
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