Attention on the trust, page-2

Hi @alfred137 , I don't often check the BWP thread because it is mostly a boring one!!! I am also a value investor - boring thread are usually a positive on hotcopper!

I have held BWP since 2012, it has been a great investment, solid yield and 70% capital gains in 4 years. BWP's main client Bunnings obviously rents something like 95% of the properties they own - so the rental yield is as close to 100% safe as you could get. The contracts are written with rental appreciation as the years go buy which means BWP slowly buy surely increases rents/yield. In the past 2 years BWP have sold some non-core property and purchased some new property in great growth locations like Brendale (Brisbane), management is conservative.

The only negative I have... BWP's share price has appreciated substancially because of low interest rates. IMO we are at the top (or bottom whichever way you see it) of the cycle and BWP currently have the price tag which shows that... For this reason I think they are slightly overvalued at the moment - and as interest rates finally rise and australia's debt household issues unfolds BWP could be in for a sharp SP decline... This is all speculation though... I personally am not buying now, but if the SP was to fall back to around $3 I wouold be tempted to pick up some more.