Sabana Shari'ah REIT

[Nick]

I actually think its possible we may be quite near the bottom for Sabana. The market had already priced in most of what was announced.

There was a 7+ million increase in costs, of which 2 million was due to (one time) refinancing costs. 6 of the properties are still only at 76% occupancy, and 22 properties at 90%. If you strip the 2 million out alone, that means an adjusted dividend of about 2.19 cents, which is a 8.47% yield at current prices.

This was based on a cursory glance at the financials. Let me know if you think I'm mistaken.

http://sabana.listedcompany.com/newsroom...Report.pdf

At the bottom half of page 3 of the F/S above, the 2 million odd finance cost was added back into distributable income. So I don't think your adjustment is necessary since it was already adjusted in the first place. If occupancy can recover with new leases signed at decent rates, there is upside potential to the DPU.

(Not Vested)