Granite REIT (GRT.UN-T)

Good assets. Headwinds: 1) MG is its largest tenant (at over 25% exposure), 2) midwest focus in US, where new supply has come on, so it's having a tough time filling up vacancies. Wait for a better entry point.

One of her 2 picks in the space, as warehouse and residential growth outshine retail REITs.

Canada's largest industrial REIT with properties in Canada, Europe and Asia. Increasing rents has helped the business, however, rents have appeared to plateaued lately. Concerns that large revenue stream from Magna will be at risk from tariffs. Would buy more shares upon stock price weakness. Strong business overall. 

Solid balance sheet, so it's pretty defensive. Vacancy crept in last year, taking longer to lease due to economic uncertainty. Tariffs are the #1 question, and Magna is a large tenant. Same tariff issues with Europe. A show-me story. See his Top Picks.

Sounds counterintuitive, but WFG and trees are going to be beneficiaries. US still needs them, just going to pay higher prices.

GRT.UN is a good name. PKI works well here. Materials sector, with a name like NTR. 

There's even a part of the TSX that does well with a falling CAD, as earnings get amplified.

Has done well in the past. It trades at a premium vs. peers. Instead, she owns Chartwell and CAP REIT.

Diversified industrial globally. High quality properties. 10-12% discount to NAV. Focused on larger part of the market (over 300k square feet), where there's more vacancy. It needs to work through that. Likes the sector, stock's interesting at this level, keep owning it if you do.

Benefiting from lower interest rates, rising 10% in the last 1.5 months. Industrial REITs were strong during the pandemic and are slightly softening now. Doesn't follow this name much anymore, but the rising tide of lower rates will lift REITs. Magna remains a key tenant, but GRT is slowly untethering from Magna.

Catchup trade in the real estate sector started July-August. Continued uptrend since July 18. As rates come down, real estate will benefit. Has created a great, diversified portfolio in different sectors. Still sees over 20% upside, target of ~$87. Analysts rank it an Outperform.

He likes the industrial space. GRT is positioned well between the US, Europe and Canada, so they can grow anywhere there. Likes management.

Have seen a recovery in shares in last few weeks, as bond proxies usually go up when interest rates go down. Expectation is for multiple rate cuts in Canada. That will improve balance sheet, but doesn't improve the business on a dime. Still getting good uplifts on new rental agreements signed at higher prices.

In NA, we're struggling with an over-supply of industrial real estate. Have to work through it. One of the best-managed REITs in Canada. Likes the industrial sector, not going anywhere anytime soon. But you have to have confidence that interest rates are going to come down materially from here.

Industrial was a very hot space, but now we're over-supplied. Fundamentals of the real estate industry not good right now. One of the best-managed REITs, discount to NAV, potential takeout candidate. Cheap valuation, but you need patience.

Will continue to own shares. Expecting recovery in shares. Industrial real estate (warehouses etc.) performing well. Expecting further growth in sector. Geographically is diverse across Canada. If/when interest rates stabilize - expecting return to higher profits. 

It's an e-commerce play. They hold a lot of warehouses. It once held only Magna asses, but that has declined a lot. Likes management. Half of assets are in the US, with exposure to Europe. They can deploy capital to any of these markets and act nimbly to react to market changes. Has the best balance sheet among peers

Doesn't like REITs now for poor returns, but does like Granite for its strong balance sheet, management, conservative payout ratio and are in the right sector, industrial which will pick up. Good track record of raising their dividend and a likely take-out candidate. If interest rates decline, the REITs will benefit. But it's not a business model for growth.