Brookfield Property Partners (BPY.UN.TO)

(Top Pick Sep 16/13, Up 22.34%) It is selling at quite a discount from its IFRS value. Thinks they will soon get much more Canadian and US analyst coverage. Thinks it is a good purchase. Excellent dividend growth going forward. They have extremely high quality real estate assets. Geographically they are diversified. Ultimately they will be one of the few global ‘go to’ real estate companies. Expects 7-8% increases in distribution yearly.

Moved from Brookfield Office to this. Probably a reasonable thing to do. Property is certainly a good area to be exposed to at this time. The REIT side of the market is mainly going to be supported by yield from here on in, but yields are not too bad. This one has always been a very, very well-managed company. This is something you could invest in for the long term.

Not an area that tends to do well in a rising rate environment. There is so much other stuff that is going on. Real estate and consumer stocks are not areas she would want to be in

(The old Brookfield Properties was vended into this.) A play on a global real estate recovery. North American real estate giving you your New York offices which are on fire and LA offices which is starting to pick up very well. All of these create great opportunities. Perhaps to increase income and cash flow, but also to perhaps divest some of them, and then go into higher risk areas, such as Spain, etc.

Some of the best growth opportunities of the REITs out there. As interest rates rise these should come off. Do a good job of recycling capital to higher returns. They have no analyst coverage and it is only just starting to trade well, so there are a lot of catalysts.

(Market Call Minute.) This is one of the good Brookfield companies.

Thinks this Brookfield office properties deal will make it more appealing to institutional investors. Stock has really gone sideways since it went public, but the free float will move from just under $1 billion to something like $4.5 billion. Selling at about a 20% discount from IFRS value. As you get more institutional coverage, the stock will narrow that gap. Dividend should grow at 4%-5% a year. Sees double-digit returns on the stock. Dividend yield of 5.21%.

You will get one for one share in the new entity. BPO-T. There is confusion about debt levels and the US building. He is very positive on this one, however.

This is their entire real estate arm. It is a real cheap stock filled with really good real estate. You get exposure to a global real estate recovery. A decent yield of about 5.5%. He thinks this is a no brainer.

The Brookfield “system” has a number of different arms to it, infrastructure, energy and property. With the property, you get a lot of apartment buildings, a lot of commercial space and top-notch realty at that and very well managed. If you want to do real estate, you are probably better off with some of the Canadian REITs, which are trading at very attractive prices with very high current yields. In particular, he likes H&R (HR.UN-T) for industrial, RioCan (REI.UN-T) for retail and True North Apartments (TN.UN-T) for residential.

Would like a company who has broad exposure so he likes Brookfield Property Partners who is multinational, buying Brookfield Office Properties. Office properties are good. REITs got ahead of themselves and then took a hit when it was suggested interest rates would go up. A good long term growth prospect. Most REITs are reasonably priced right now.

A great play on global high quality real estate. 65% is office properties. They are acquiring 100% of Brookfield Office Properties. The balance is others, Canary Warf and some in the Bahamas. Decent dividend and mid-teens growth in cash flow. He owns BIP right now because it is a good play on global infrastructure.

2.4% dividend. He doesn’t track this equity. BPO-T: Model $17.22, bang on his model price.

A spin-out from Brookfield with decent assets. You have to wait and see how the results play out but in the mean time you collect a decent dividend.

One of the most recent segments of BAM. Set up to be a long-term play in management of real estate, office in particular. Only 10% traded in public markets. 2.3% yield.