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Industry Discussions / Real Estate Inv. Trusts: REITs

URL:  https://boards.fool.com/the-eqc-d-pricing-seems-irrational-it-essentially-34324896.aspx

Subject:  Re: EQC Delares Special Dividend Date:  10/22/2019  6:53 AM
Author:  reitsbyziggy Number:  85225 of 85470

The EQC-D pricing seems irrational. It essentially is a cash equivalent and I could see it deserves to yield maybe 2% with the 20% Section 199A tax exclusion. It yielding about 5.5% and selling with a 14% premium to par(liquidation value). If you take the 3.5% yield premium that says Mr Market is betting this won't be liquidated for at least 4 years. On the website the property count looks to be 7 left.
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