I love a REIT, but I go into this one too early and currently...

I love a REIT, but I go into this one too early and currently sitting on a loss - was thankful in many ways for the capital raising as it significantly pulled my average purchase down. My strategy is long term, and so as the dividends accumulate and get re-invested, it will pull me back into positive territory.

I guess though that all those extra shares on issue did impact the NTA though, in combination with a significant rise in debt. I appreciate that while this trust is looking to be in the 30-40% range, I would feel far more comfortable with gearing being below 30%. With the development pipeline doing some further lifting of the NTA in the future, that would, I imagine, continue to lower gearing?

Happy to see some asset recycling going on with the disposal of childcare centres; my second largest holding is Arena (ARF) and with Arena I always wanted them to push a bit harder into the medical space. With HCW going there, feel like between the two I am happy - particularly if they both have their space.

End of the day though, despite the fall in the NTA, I reckon this trust should be able to get into a sweet spot where they have pivoted for significant growth, and then happy to sit back a bit. I love that ARF are one of the most boring stocks on the ASX, there are no surprises, they meet their target, they put their dividend up every year and every expectation is met. Boring, but growth pathways. If HCW ends up running the same playbook with their hospitals to anchor the portfolio value - that would suit me just fine.