Benj GallanderRioCan Real Estate InvestmentREI.UN.TOBUY ON WEAKNESSFeb 19, 2020

Distribution very safe due to proactive cutting during pandemic. Achievable net operating growth of 3%, last quarter was 3.7%. Despite rising rates, with population growth, limited new supply, and limited retail bankruptcies, setup generally good for shopping centres in Canada. In a good spot.

Biggest proxy for the Canadian REIT market. Great assets, executes well. Over time, their strategic decisions get sideswiped. Occupancy issues, but they're improving. Dynamic for retail is not great, AMZN stole many lunches. Canadian consumer is tapped out, interest rates still high. 

You'll probably be OK, but he'd buy a couple of names ahead of this one. He owns SRU.UN instead, anchored by WMT.

It's in the most hated sector (office real estate and malls), given low occupancy rates in cities like Toronto and competition from Amazon. Also, Riocan carries a lot of debt. Debt is rising; rents are falling. Don't touch it.

It is doing a lot of things right and has a good distribution. He prefers a REIT with growth.

Great portfolio of retail and office, plus some new residential buildings. Solid yield of around 5.4%. Trades at a discount to NAV. Solid management. A buy.