Roger Montgomery is likely wrong and talking his own book.I'm...

Roger Montgomery is likely wrong and talking his own book.

I'm generally a green energy cynic but electric cars are one of the sensible ways to reduce CO2 emmissions. Electric cars will be the future and it's a question of timing.

If europe is any guide, the adoption rates of EV goes parabolic and I suspect it won't be any different in AUS.

This will obviously have a negative impact on petrol stations because the rent you can demand from tenants is determined based on the profitability of the site. This profitability is driven by fuel volume and non-fuel sales from the convenience store. As EV's become dominant, people will stop less for fuel and for convenience purchases and rents will drop accordinly.

At that point, the value of your petrol station will drop to the next highest use value. Waypoint's land value (if you can believe management) is ~60% of their asset value although i'm sceptical and land values are falling now anyway.

In my view this is a medium term problem for Waypoint because tenants will see the writing on the wall coming and will negotiate harder on their leases, knowing lower sales are inevitable.

At some point Waypoint would be attractive irrespective of it's issues but not yet.