The Lemon Fool

Life Science REIT (LABS) specialises in property for the Life Science sector (but see point 1 below). It launched in 2021.

Anyway, it hasn't gone well for this REIT which is one of the worse performing UK REITS. Current share price around 37p giving a discount to NAV of approx. 53%.

At that discount I have been tempted to dip my toe in but this REIT has at least 5 specific problems:

1. Much of its portfolio consists of offices, not labs, and performs as such ie significant falls in NAV. It even seems to own a hotel?
2. Occupancy appears to be running at 80% on completed properties (also have development properties)
3. Take-up on completed properties appears to be slow. Last new lease RNS was back in March.
4. REIT is small in value, and getting smaller!
5. While LTV appears controlled at around 25%, this doesn't include debt on development projects. Therefore I'm not sure what overall REIT LTV is.

So while tempted by the 53% discount, I'm not sure if this REIT is long for this world. Perhaps another wind down candidate?

Stock Exchange News RNS
https://www.londonstockexchange.com/sto ... mpany-page

Last financials
https://www.londonstockexchange.com/new ... 3/16394528

All good points. I jumped in with a modest-sized speculative punt last week, and it's down 7% (of my buying price) already! I've recently had 3 other buys which jumped 10% after I bought them on a dip, and I suppose that run had to end some time.

I can't see any particular catalyst for the recent falls, except maybe a shorter, so perhaps it'll bounce back soon. Anyway, I'm in no hurry.

RichardStuart wrote: I can't see any particular catalyst for the recent falls, except maybe a shorter, so perhaps it'll bounce back soon. Anyway, I'm in no hurry.

8% jump in price today, back to around 36.5p. Can't see any stock specific news which would cause this. Probably very thin float with some speculation thrown in?