BUY
Only one in Canada exposed to the hotel market that is well run and diversified. Numbers haven't been great but they are survivors and he thinks they will maintain their distributions. 7.7% yield.
BUY
Low payout ratio and relatively conservative product mix. Good at managing properties. Doesn't expect much to happen with this. 8.8% yield.
COMMENT
Calloway (CWT.UN-T) versus RioCan (REI.UN-T)? RioCan is feeling very challenged as it can't find any growth in Canada so are expanding into the US. Calloway has always had more sites than they were using and have the Wal-Mart relationship allowing them to expand. For immediate growth and a better economy in Canada, Calloway has the advantage. Very close to being the same. Fully valued.
TOP PICK
Very good yield at 8.6%. About 100% payout ratio and it's highly likely they will be bringing this down. Very sharp management.
TOP PICK
Geographically diversified. Trading at a multiple of 16. 3.7% yield.
TOP PICK
Apartments and gets all the benefits of CMHC financing. Starting to grow in Ontario. About 85% payout ratio and a sustainable 6.1% yield.
PAST TOP PICK
(A Top Pick Sept 3/09. Up 32.07%.) Wonderful hands on management.
PAST TOP PICK
(A Top Pick Sept 3/09. Up 20.58%.)
PAST TOP PICK
(A Top Pick Sept 3/09. Up 24.99%.) Wonderful management. Has cheap land available for growth.
BUY
Calloway (CWT.UN-T) versus RioCan (REI.UN-T)? RioCan is feeling very challenged as it can't find any growth in Canada so are expanding into the US. Calloway has always had more sites than they were using and have the Wal-Mart relationship allowing them to expand. For immediate growth and a better economy in Canada, Calloway has the advantage. Very close to being the same.
HOLD
Apartments. Always has serious questions on whether they are doing the proper thing on renovations and keeping things up and always spends more than they earn. Not cheap so wouldn't be rushing into this one.
DON'T BUY
Their parent company, which owns about 50% of the tenants, is in serious financial trouble. He has held off buying although he does own some of their convertible debentures.
PAST TOP PICK
(A Top Pick Aug 12/09. Up 43%.) Almost like a monopoly in Canada. Have added revenue and margins because of the 3-D effect. Concessions are very good. Recession resistant and a great defensive stock.
PAST TOP PICK
(A Top Pick Aug 12/09. Up 38%.) This is a story where you can sleep at nights. Participated in the recovery in Alberta with the mining and oil sands. Pristine balance sheet. Lots of cash to buy back shares.
TOP PICK
(A Top Pick Aug 12/09. Up 43%.) 7.75% bonds maturing October 2015. The big price movement has already occurred but it still trades as a high yield bond. Cheap relative to investment grade credit.