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Strategies & Market Trends : Value Investing -- Ignore unavailable to you. Want to Upgrade?

To: Spekulatius who wrote (53924)	5/28/2014 11:51:27 PM
From: Spekulatius	1 Recommendation Recommended By MCsweet Read Replies (1) \| Respond to of 78710

I sold RDI at 8.7$ in my IRA account, I keep my position in my taxable account until they become LTG at least. I added some ALLY as 23.7$, as I like this balance sheet restructuring story.

To: Spekulatius who wrote (53924)	7/24/2014 8:02:44 PM
From: lawndale1	Respond to of 78710

The NY city parcels, Cinema 123 (3rd ave between 59/60th) and Union Square Theater, have been long-held and hold enormous unrealized appreciated value. In fact, they are on RDI books for only $23.8MM and $8.9MM, respectively. I don't agree with the phrase "nothing has happened." This is real estate development in NYC. The redevelopment, JV or sale of each has moved forward slowly but there have been milestones and movement. More importantly, movement is accelerating of late. 1) Cinema 123 - put in play for either sale or redevelopment about two years ago. Over the course of time, causing a shift in plans was a closure of a nearby competitive theater and now a contiguous parcel that has come into play. These shifts and enhanced choices and opportunities with the property. This has also dragged things out but values have only increased during this time period plus the following enhanced development opportunities: Reading just very favorably refinanced its debt on the property, obtaining not only a longer term at lower rates but also obtained an expansion 'accordion' line for purposes of purchasing air rights that could make the parcel's development even more valuable. If the neighboring parcel (restaurant site on 60th st corner) were to be combined a hotel development worth >$200MM could be built if the air rights are obtained raising current 1-story zoning to higher levels! sec.gov 2) Union Sq - Through no fault of RDI management, this property has had a landmarking cloud overhanging it for many years. Only this past late fall 2013, did the landmark commission finally lock down the scope of the landmark designation on the site. Fortuitously, it was an exterior only landmarking. This has finally open the door to RDI management's long-planned redevelopment goals for the site. Gut the insides and put in a high valued specialty retailer (eg. Android, Windows) that will go for a triple net lease of around $5-7MM/yr. NYC cap rates and a potential restaurant on the roof (that will need landmark commish involvement) and you are talking about completed development value of >$120MM. Cost another $20-30MM to do this on top of $9MM cost in parcel now. sec.gov