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MWI-UN.V - Maplewood International REIT


Tuxedostyle

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Maplewood International REIT is selling its only asset - 130k sq.ft. industrial complex located in the Netherlands and intends to distribute the proceeds to shareholders. Stock is currently trading at C$0.63/share, while the estimated distribution should be around C$0.83/share (over 30% upside).

 

  • Under the Sale Resolution that was approved by shareholders (Aug '18) the management was authorized to sell the property for not less than €6.75m (C$10.1m currently) within 25 months after the meeting.
  • In July'18 the company has entered into a non binding conditional agreement with a certain (again the name wasn't disclosed) European real estate private equity group to sell the property, however no news updates were made since then.
  • The property generates about C$0.9m of annual income after direct property expenses, so the current valuation (C$10.1m) seems reasonable.
  • The industrial complex is 100% rented to a single tenant, while the possibility of moving away is minimal.

 

The idea is taken from https://www.specialsituationinvestments.com/2020/01/maplewood-international-reit-mwi-un-v-asset-sale-32-upside/

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