Message Font: Serif | Sans-Serif
 
No. of Recommendations: 0
Right, a deal, not "the" deal. The big positive is that CLNY is getting rid of the management contract, meaning that there's not a lot of reason for the stock to trade much below NAV. (That said, this company is sitting on a pile of cash and is sub-scale, so it won't get the multiple to FFO that a larger company would get.) There are two external suitors, I've read, and CLNY is a possibility as well. I think it would be hard (for CLNY) to justify paying much less than 95% of appraised value as long as NRE doesn't have a management contract. Of course, whether they can afford this...

At this point, the best solution is for a 3rd party to buy it, I think. The prices NRE has been getting seem good as far as I can see. We should know relatively soon.

Jim
Print the post  

Announcements

What was Your Dumbest Investment?
Share it with us -- and learn from others' stories of flubs.
When Life Gives You Lemons
We all have had hardships and made poor decisions. The important thing is how we respond and grow. Read the story of a Fool who started from nothing, and looks to gain everything.
Contact Us
Contact Customer Service and other Fool departments here.
Work for Fools?
Winner of the Washingtonian great places to work, and Glassdoor #1 Company to Work For 2015! Have access to all of TMF's online and email products for FREE, and be paid for your contributions to TMF! Click the link and start your Fool career.