Ethison: When I. Suggested buying. BRG in Oct 2014, you asked if the cash flow. Covered the dividend. I replied that it did not but was projected to do so early in 2015. They are now within a few cents of covering and project doing so next quarter. The execution of deals has been excellent, and I now have as much confidence in BRG as I do in IRT and APTS. They just completed a large follow on offering with no loss of share price. Yield is 8.5%.
How can the aquisition of TSRE which has yield of 5.5% be accretive to IRT with yield of around 8%? TSRE already has substantial debt, so adding leverage cannot be the answer. The only possibilty seems to be that TSRE is internally managed and IRT will drop RAS as external manager. If this is true, then how will that effect RAS CAD?
The revised guidance is lower than the rosy picture given last quarter, when NGLS predicted distribution increases in line with last year. Now they predict 4-7 % increases with 1.0 coverage. This is not bad, but quite different from last year.
I second your opinion about Davis. I have consistantly purchased RAS on dips based on my careful reading of his analysis. There are very few posters on financial boards as diligent and rational as he is. I am a loser on paper with RAS, since I started buying at 8.30, but I sleep well, knowing that Davis has made it possible for me to perform my due diligence and arrive at rational decisions regarding risk vs. reward. Like Davis, I have a buy order in at 6.50.
After reading one your of DAR's posts in Oct while on a vacation trip, I purchased an additional 4000 shares of NSAM at 17.75. It paid for my trip ten times over. Thanks again for sharing your knowledge of NRF and NSAM. I greatly appreciate it.
YieldCo will likely own its own assets using unsecured debt, raising equity to purchase the assets that First Solar drops down. So it likely mean loss of future business with First Solar, but not competition.