I think that last secondary pretty much scared me away from ARR for good right now.
1) Book drop was huge from Dec 31st to Feb 12th
2) They did that secondary barely over book.
Then you also have
a) Dividend shrinks every quarter
b) Their management is incentived to do secondaries. I think for a while that didn't bother me so much when I held ARR long term, but again after that last secondary I'm really wondering about their management.
I will not invest in a Mreit that does not report UTI on the earnings report, just too much dividend risk. I will hold some the preferred which pays monthly.
I was a little surprised of the reduction since 4Q core income was 22 cents and drop income 7 cents. This gave them a taxable income of .29 cents to a 24 cent div. Spreads dropped from 1.85% 3Q to 1.55% in 4Q however improving. They did do a SPO two weeks ago that cannibalized any excess UTI.
Guess they made sure they got paid instead of the shareholders. :(