The Lemon Fool

An IPO that - to me - looks interesting as being new money to fund the aquisition of life science related properties. Several of the attributes and ambitions appeal to my pocket.
Anyone else?

Care to post a link to a prospectus? I can see lots of links stemming from the original announcement, but no solid data.

MDW1954

https://sec.report/nsm/Life-Science-Reit-P-L-C/Portal/NI-000035621/NI-000035621.pdf

Prospectus is available via the link above

I had a quick skeg yesterday. I have some Reits already so it's a case of the devil you know or something unproven.

Who owns the buildings now? Why are they selling? 4 rising to 5% yield with 40%LTV does not look that impressive. The costs look like its designed to grow in size, so bigger fees but doesn't explain how this will improve the shareholders lot.

I suspect more funding rounds without PI's involvement so diluted over time model. I hope I'm wrong.

I didn't look at the numbers in any detail but I supposed from a strategic perspective I couldn't really see why this would be a better bet than a more generalist REIT which, after all, will still have the ability to invest in a science park if thats attractive? I also reflected that Cambridge and Oxford colleges already have big investments in this area in key locations and presumably also have lots of land available to expand further. So on both these counts I've ruled out an investment.

That said, I've been silly enough to choose Regional REIT when there was the Warehouse/Big box REIT alternative, so I may well be a contrary indicator.

gnawsome wrote:An IPO that - to me - looks interesting as being new money to fund the aquisition of life science related properties. Several of the attributes and ambitions appeal to my pocket.
Anyone else?

Very interesting IMHO and I'll definitely be subscribing - good chance to buy into a robustly strong-growing sector (targeting net returns >10%pa) at around NAV.
https://www.built-environment-networkin ... 0m-in-ipo/

wanderer wrote:https://sec.report/nsm/Life-Science-Reit-P-L-C/Portal/NI-000035621/NI-000035621.pdf

Prospectus is available via the link above

Thanks! Duly downloaded.

MDW1954

wanderer wrote:That said, I've been silly enough to choose Regional REIT when there was the Warehouse/Big box REIT alternative, so I may well be a contrary indicator.

Hmm. I did the opposite, although logistics and supply chain are a big part of the "day job". Don't beat yourself up too hard, I reckon RGL will come good one day.

MDW1954

PS I do also hold RGL, just a lot less.

wanderer wrote:I didn't look at the numbers in any detail but I supposed from a strategic perspective I couldn't really see why this would be a better bet than a more generalist REIT which, after all, will still have the ability to invest in a science park if thats attractive? I also reflected that Cambridge and Oxford colleges already have big investments in this area in key locations and presumably also have lots of land available to expand further. So on both these counts I've ruled out an investment.

That said, I've been silly enough to choose Regional REIT when there was the Warehouse/Big box REIT alternative, so I may well be a contrary indicator.

Hi Wanderer, I’ve been mulling over your response and trying to develop a “grown-up” reply but the best I can manage is a “grown old” comment along the lines;
I have divs accrued and payouts coming from MRW and MGGT and need to invest to relace those incomes.
I am inclined to invest during Sep~Nov and am drawn to REITs, liking especially those focused on something specific such as BBOX, EBOX, WHR, ASLI.
Among generalists (in my view) I hold SHRS and ADIG which have been pitiful
Others have been marginal; CTY, EDIN, MCT, RECI, SWEF.
As to generalists having the capacity to invest in similar properties I’d wonder if they would apply the same level of actual interest if holding directly or maybe they would sooner participate via a specialist such as Life Science Reit.
The fact that there maybe a large amount of opportunity for the colleges to invest, maybe they will or maybe they have different horizons.
Thanks for your interest and thanks to other responders – I’m pretty sure I will have a (for me) significant punt

wanderer wrote: I also reflected that Cambridge and Oxford colleges already have big investments in this area in key locations and presumably also have lots of land available to expand further.

It's also plausible that they might exchange their current holdings for shares in the specialist REIT either now or as some future expansion by the REIT.

gnawsome wrote:Hi Wanderer, I’ve been mulling over your response and trying to develop a “grown-up” reply but the best I can manage is a “grown old” comment along the lines;

Apologies; I didn't mean to come across as dismissive or disparaging. You may well be making an excellent choice. I only commented because I had looked at it a few days prior but had ruled it out pretty quickly as I outlined. My decision was also probably made easier due to me not having anything spare to invest at the moment. As I said, my adventures in REITS have not been very successful so I'm generally a bit grumpy when they crop up in conversation!!

wanderer wrote:I didn't look at the numbers in any detail but I supposed from a strategic perspective I couldn't really see why this would be a better bet than a more generalist REIT which, after all, will still have the ability to invest in a science park if thats attractive? I also reflected that Cambridge and Oxford colleges already have big investments in this area in key locations and presumably also have lots of land available to expand further. So on both these counts I've ruled out an investment.

That said, I've been silly enough to choose Regional REIT when there was the Warehouse/Big box REIT alternative, so I may well be a contrary indicator.

Out of interest, what is your issue with RGL. Only asking as a holder, in case I've missed something. I'm expecting them to be improving now that covid is having less effect on the economy. That's not to say things might change this winter.

My main regret with RGL is investing in it a couple of years ago when the alternative option I was considering was one of the warehouse REITS.

RGL is down 17% compared to two years ago whereas Tritax and Warehouse REIT are both up 49%. Quite a swing!! I've not compared TSR but I suspect that might just compound the misery.

wanderer wrote:I've not compared TSR but I suspect that might just compound the misery.

TSR?

MDW1954

Total Shareholder Return - ie: capital appreciation/losses plus dividends