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Strategies & Market Trends : Dividend investing for retirement

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To: JimisJim who wrote (25902)11/6/2016 2:39:03 PM
From: E_K_S  Read Replies (2) of 34328
 
In your research did you see any mention of them spinning out their their SNF properties into a separate REIT? I was going to buy more shares if this ever occurred.

I would not own shares if I felt their FFO was in jeopardy to significant reduction from their SNF income. Like you said, that revenue is only as good as the customers that are making the payments to the operator so they can pay their monthly lease rent.

I think the upcoming key event will be the sale/spin off of their SFN business. I forget which other medical REIT did that 18 months ago (I think it might have been HCP). After that occurred, the seller's stock moved higher. I guess the market felt that their divestment of their SFN assets made them less risky.

Glad we came to the same conclusion from different perspectives.

Good Investing

EKS
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