BTB.Reit has a year of consolidation
On March21,2015 BTB Reit released their fourth quarter and annual results.There were slight increases from 2014 but the changes were as forecasted in the August 18,2015 in Blogdaleupsome.They tried to decrease their payout ratio and increase their AFFO per share.Both showed some improvement from 2014.BTB now has almost $650 million of assets under it's control.It still has a way to go to catch up to reits such as Interrent and Innvest but BTB remains active.There were slight increases in all of their operational statistics including AFFO per share.
Improving their Capitalization rate
BTB sold four properties and acquired four other properties.On these transactions they had a net gain of almost $15 million.The money was used to pay down mortgage debt.Since they had a net gain we can conclude that they improved their going in capitalization rate.This is BTB's game;they find properties that need some improvements and renovate or increase the occupancy rate and sometimes raise their rents up to market.Instead of holding on to their properties for long periods of time. In addition during this period they bought four new properties and likely will continue to make renovations and improvements.Thye also bought another property after the year end so that there was a net addition to their total properties.Now they have 72 properties in the Ottawa-Montreal area.And further to that their EBITDA has increased slightly from $36 to $38 million.BTB is a steady performer and will continue to buy and renovate and sell at a better capitalization rate.BTB makes a little gain on all their properties but no there are no huge gains in 2015.That aside look for BTB to move up to the $5 area in 2016 as it is a steady performer.
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Improving their Capitalization rate
BTB sold four properties and acquired four other properties.On these transactions they had a net gain of almost $15 million.The money was used to pay down mortgage debt.Since they had a net gain we can conclude that they improved their going in capitalization rate.This is BTB's game;they find properties that need some improvements and renovate or increase the occupancy rate and sometimes raise their rents up to market.Instead of holding on to their properties for long periods of time. In addition during this period they bought four new properties and likely will continue to make renovations and improvements.Thye also bought another property after the year end so that there was a net addition to their total properties.Now they have 72 properties in the Ottawa-Montreal area.And further to that their EBITDA has increased slightly from $36 to $38 million.BTB is a steady performer and will continue to buy and renovate and sell at a better capitalization rate.BTB makes a little gain on all their properties but no there are no huge gains in 2015.That aside look for BTB to move up to the $5 area in 2016 as it is a steady performer.
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