There are two potential types of asset buyers. The first are the large carnivores (currently looking at books) and the second the small investor- especially the tenants of the shops.
According to the latest posts on Bloomberg, lending rates to retail borrowers in the US are heading down now and borrowing is beginning to recover.
Smaller centres could be unit titled and sold to small investors-especially tenants, at a far better price than the big operators will offer in this environment. A bit of lateral thinking may get around the inability of the big ticket financial market to deliver-the small ticket may well be able to.
This would take some time, but given that the banks dont look like having any payments missed because both CER and CNP have very good cash flow- if they can see a plan they may well come to the party. The carnivores may not leave a lot for the unsecured bankers and us innocent bystander shareholders otherwise. The carnivores look like the lazy way for management to me.
CNP Price at posting:
0.0¢ Sentiment: None Disclosure: Held
