BUY

Earnings recently came out and the FFO was up 24%. They have a lot of levers to pull in an organization this big, so it is something he likes a lot. If you think the Cdn$ has gotten strong enough and that the US$ may outperform, this is basically a US REIT, but on the TSX exchange. The majority of their earnings are in US$’s.

WAIT

Has been in a long-term decline due to its heavy exposure in the Alberta office market. Announced they were restructuring, slashed their dividend and were selling two thirds of the company. Just announced earnings which were in line with his expectations. When a company is going through a strategic restructuring, he tends to sit on the sidelines.

DON'T BUY

Mortgage REITs. These tend to attract a lot of investors. The yield is very high, between 12% and 15%. They use debt to lend it as mortgages. The stock has been in decline. Why get a high yield vehicle when you are going to lose it all on capital? It is better to focus on high quality real estate.

BUY ON WEAKNESS

Great company. Stock has done very, very well. They own Canadian Tire properties across Canada. Have shown above average growth. This has been one of the top performers in Canada. Has been trimming his holdings as it has become too expensive. He would buy this on a pullback.

WAIT

When you buy this, you are getting the core Medical Office Buildings in Canada, which leases to doctors and clinics. You are also getting some assets in Germany, New Zealand and Brazil. (Hospital type assets.) Have recently gone through a merger and restructuring. He’d like to give it a couple of quarters of hard data to see how they do.

HOLD

Just released their numbers last night and hit the ball out of the park. Thinks it is fully valued at this level. Earnings and occupancy have been very strong. Very good operators.

COMMENT

This has a large amount of real estate in Fort McMurray and doesn’t know how the fire will affect them. Also, the oil markets they are in are experiencing very high vacancies. They did a merger and now also have an Ontario portfolio. If you have a long-term horizon, and because of the volatility, you will probably do very well. Dividend yield of over 8%.

PAST TOP PICK

(A Top Pick April 22/15. Up 3.77%.) Hotels in the US. High yield of over 8%. To make the yield safer at the peak, they locked their distribution, putting it into US$’s, so now the payout is about 70%. About 40% of income comes from railroad contracts, so people are a little concerned that lower rail volumes will affect it. However, they do have guaranteed contracts.

PAST TOP PICK

(A Top Pick April 22/15. Up 0.66%.) This is diversified having office, retail and industrial. They are now adding a residential component across Canada. A very stable source of income, and will do well over time. They have exposure to the Alberta office market, and it is the lead company to have your money on for any recovery.

PAST TOP PICK

(A Top Pick April 22/15. Up 18.81%.) Has a core portfolio that is Walmart anchored. If you believe in more difficult times, more people will be going to Walmart along with their neighbouring stores.

COMMENT

Owns assets both in Canada and the US. If you are buying something for income, he eventually thinks this company will be sold. Thinks you could do quite well.

COMMENT

The advantage is that they really know the Edmonton market better than anybody else. If you want to play Edmonton, this is the way to do it. He is quite afraid of Edmonton, even though they have been able to lease up quite well. A lot of the space still hasn’t been constructed, but is nearing completion. Dividend yield of 8.3%.

COMMENT

An entire Quebec play. 70% debt, so very highly levered, and also has a high payout ratio. He doesn’t like it for those reasons.

HOLD

US garden style apartments, mostly in Texas. If you own, you have had a currency negative against you. A competing company, Milestone REITs (MST.UN-T) has outperformed this by an easy 10% percentage points. He would be buying at this point if you believe 1) the currency will work for you and 2) it has lagged, so there will be a performance pull-up.

BUY

Has been buying this, especially below $8.50. A Canadian company, but US focused on housing. This is a good time to be investing in the US housing market. Dividend yield of 3.1%.