FUR

[Myth465]

The vacancies dont bother me because they have done a great job of re-leasing properties. The rates havent been great on older properties, but I believe with these new properties the basis is so low, its tough to lose money.

[biaggio]

"it has acquired for a purchase price of approximately $8.7 million the 118,000 square foot Crossroads I office building located in Englewood, Colorado. The property is adjacent to the previously acquired 118,000 square foot Crossroads II office building and collectively, the two properties are 56.2% occupied and were developed in 2000 and 2001."

 

~$74 per square foot

 

I was trying to find info on property and I noticed in my search that they are asking for rent of $17-20/sq ft. That is a good great return if they can eventually get it.

[Myth465]

These guys have been busy. Will have to look at this in more detail in a few weeks.

 

http://www.thestreet.com/story/11030608/1/winthrop-realty-trust-announces-results-for-fourth-quarter-and-full-year-2010.html

 

 

[fuluvu]

FUR reported year end result for 2010:

 

NI: $ 0.72/share

FFO: $1.41/share

Equity: $310 million

Total diluted shares: 23 million

BV:  $13.5/share

 

“We deployed $160.6 million in a variety of deep value real estate investments including below replacement cost assets, deeply discounted bonds and non performing loans.”

 

Overall, a decent year. I'd like to see that they bought at the low of the market.

 

Fur is traded at 90% of book value.

 

[Myth465]

Was thinking it was time to reload on FUR based on the press release

 

Then this came along. They must see something they like. I will have to look over the 10k and may buy when it tanks. Anyone still own FUR?

 

http://www.sec.gov/Archives/edgar/data/37008/000095012311031569/y90576b3e424b3.htm

[biaggio]

Was thinking it was time to reload on FUR based on the press release

 

Then this came along. They must see something they like. I will have to look over the 10k and may buy when it tanks. Anyone still own FUR?

 

http://www.sec.gov/Archives/edgar/data/37008/000095012311031569/y90576b3e424b3.htm

 

I still own ~ 4.5% position.

 

I am disappointed with the regular dilution which occurs. I am thinking of bailing. I was hoping this could be along term holding.

 

Noticed that management is buying only 4% of the allotment.

 

I think management makes more money with more assets under management, so I think this will recur.

 

I would like to swap this holding for something more attractive. Any suggestions?

[Myth465]

I like FUR long term and hate it short term. On that one loan payback they made 100% in a relatively short time. They are like SD, borrowing money at a lower rate then they project to make. I havent run the numbers but the fact that its equity kinda ruins the calculations a bit though. You would think if FUR was worth $15 - $20, why would they keep selling at $12.

 

If they buy assets with a similar discount then its a wash, but you are right they may make up for it in Management fees.

 

I think the best deflation hedge out there is ROICW (especially if you like REITs). Its higher than the .70 cents that I bought at, but if rates fall and reits continue to trade at 5% I think its a solid 7.5 banger. I own oil for inflation, as a hedge / pair via Petrobank / ATPG / SD. Currently looking at TAT. I also think Leaps on FTR are a great deflation hedge, and SSW is not bad for yield.

 

To be honest though, I dont like this market and want to sell.

[biaggio]

earnings out this am

 

http://www.globenewswire.com/newsroom/news.html?d=220912

 

 

FFO Per Share Increased 19% to $0.44 Compared to First Quarter 2010

 

 

"We started 2011 with strong momentum. We have executed on $34.2 million of acquisitions and a number of our investments have realized full accretion or return of capital with gains. These activities have significantly contributed to a 19% increase in our year over year FFO per share," stated Michael L. Ashner, Winthrop's Chairman and Chief Executive Officer. "In addition, the Company further strengthened its capital structure, adding capacity to our credit facility and raising over $61 million of equity in the second quarter. Our expanded capital base and robust pipeline of opportunities will enable Winthrop to execute on our deep investing value strategy."

 

[dcollon]

They appear to be very busy.  The amount of transactions was nice to see.  I especially like the first mortgage they bought on the hotel in NYC for a discount that has a 9.3% rate.

 

I'm glad they are finding uses for the capital they are raising.

[dcollon]

Winthrop Realty Trust Announces Recent Transactions

Monday, June 06, 2011 08:00:00 AM

 

 

BOSTON, June 6, 2011 (GLOBE NEWSWIRE) -- Winthrop Realty Trust (NYSE:FUR), a diversified REIT that focuses on opportunistic debt and equity investments in real estate, has executed or entered into several agreements positively effecting its equity owned property portfolio and its loan portfolio deploying and committing to deploy since January 1, 2011 an aggregate capital amount of $112.0 million. In addition, the Company has sold or received repayments totaling $75.0 million on outstanding loans.

 

"With capital commitments, we have deployed $112.0 million of capital on a year to date basis and have taken in $75.0 million in loan repayments or property sales. Our pipeline remains full and we continue to identify accretive opportunistic transactions which we can add to our portfolio and selectively prune fully valued assets," commented Michael Ashner, Chief Executive Officer.

 

Acquisitions

 

Acquired a $15.0 million preferred equity interest in the entity that holds the leasehold interest in a newly constructed 70% pre-leased 102,000 square foot retail and office property located on the High Line at 450 West 14th Street, New York, New York. The investment is subject to a $54.0 million first mortgage loan. 

Acquired for $17.5 million, a $20.0 million senior mezzanine loan secured by six apartment complexes located in Florida, containing an aggregate of 2,106 units. The loan is scheduled to mature in July 2011 and is expected to generate a yield to maturity of 15.8%.

Invested $5.76 million to acquire a 50% economic interest in a $71.5 million mezzanine loan held by Concord Debt Holdings ("Concord") secured by an interest in the Sofitel hotel in New York City. The loan is encumbered by a $56.2 million repurchase obligation. 

Its Northwest Atlanta joint venture with Sealy entered into an agreement with the lender holding the mortgage loan on the joint venture's property which will enable the joint venture to satisfy the $28.75 million loan at a discounted payoff amount of $20.5 million at any time prior to June 30, 2011.

Concord satisfied its KeyBank loan resulting in an expected current annual distribution to Winthrop of approximately $680,000, exclusive of any distributions on account of the Concord CDO. As a result of the loan being satisfied, Concord's interest in each of the following assets are now unencumbered: (i) the CNL Hotel portfolio; (ii) five mezzanine loans with an outstanding principal balance of $18.6 million; (iii) the ownership of One Riverwalk, a 240,000 square foot office building in San Antonio, Texas which is 70% leased and subject to a $14.0 million loan; and, (iv) six CMBS and CRE CDO bonds.

Sales and Repayments:

 

Sold to its partner, Marc Realty, for $18.5 million its interest in three properties in its Marc Realty Portfolio (8 S. Michigan, 11 E. Adams and 29 E. Madison), the purchase price for which was paid $6.0 million in cash and a $12.5 million secured promissory note which bears interest at 8% per annum, requires payments of interest only and matures May 31, 2016.

Received repayment on its two recently acquired non-performing first mortgage loans secured by two retail centers located in Riverside County, California. Winthrop received repayment of $18.8 million on its $18.1 million investment for an annualized return of 30%.

Received repayment on its recently acquired first mortgage secured by a 26-story, 66-room boutique hotel located on 46th Street between 5th and Madison Avenues in New York, New York. Winthrop received repayment of $8.66 million on its $7.98 million investment for an annualized return of 34%.

Winthrop Realty Trust is a NYSE-listed real estate investment trust (REIT) headquartered in Boston, Massachusetts. Additional information on Winthrop Realty Trust is available on its Web site at http://www.winthropreit.com.

 

 

[biaggio]

thanks for the update.

 

I still hold 3% position in FUR.

 

I am surprised that they have not had any (or more ) of these investments in their loan portfolio go bad or backfire.

 

Any others holding FUR

[biaggio]

http://finance.yahoo.com/news/Winthrop-Realty-Trust-pz-2905425872.html?x=0&.v=1

 

Earnings out for quarter.

 

Numbers (FFO, BV) down on a per share basis due to share issuance.

 

Acquiring + selling assets with apparent good return (15+%).

 

I hope  current shareholders are not diluted with further share issuance.

[txlaw]

Bought some FUR today.

[Myth465]

I have been thinking about hiding out in all my owner managers stocks lol. Looking at FUR, L, LUK, and a few others. Did you just buy based on price to value or is there something else you see?

[txlaw]

I have been thinking about hiding out in all my owner managers stocks lol. Looking at FUR, L, LUK, and a few others. Did you just buy based on price to value or is there something else you see?

 

Both price to current value, which seems out of whack to me, and opportunities for Ashner to deploy the capital FUR raised into very attractive opportunities.

 

It's nice to have owner managers who can actually deploy capital opportunistically when you have markets like these.