Day of reckoning, page-29

I updated the calculation I did a year ago.
Back then my finding was that TOT was cash flow positive thanks to the DRP which has been suspended since.

135M * 4.5%
40.8M * 4.5%
81.7M * 5%

Rent Income = 11.996M
Assumptions: 100% occupancy despite 8.9% leases expiring by income in FY23 - not taking into account rent review (should be ~3%)

Interest 80.3M * 4.25% = 3.412M

11.996M minus 3.412M = 8.584M

8.584M / 144,436,537 shares = 5.934cps

The 6cps div is clearly not sustainable but it doesn't need to be cut by much.

Let's assume the div is cut to 5cps FF div which would still give 9% gross yield - 4% above term deposit.

Deduct the 5cps div 144,436,537 * 5cps = 7.221M

8.584M - 7.221M = 1.36M

$1.36M left for management and administration fees which is roughly what it was last FY.

So with the div cut to 5cps you get an investment paying almost twice as much as a term deposit.
Obviously interest rates going up or occupancy dropping are the key risks. Nothing comes for free.