First Capital Real Estate Investment Trust

Most Actively Traded Companies On The Toronto Stock Exchange

TORONTO Some of the most active companies traded Monday on the Toronto Stock Exchange: Toronto Stock Exchange : Suncor Energy Inc. . Energy. Up 97 cents, or 2.40 per cent, to $41.35 on 16 million shares. Canadian Natural Resources Ltd. . Energy. Up 44 cents, or 0.59 per cent, to $75.09 on 15.2 million shares. Enbridge Inc. . Energy. Up 22 cents, or 0.41 per cent, to $53.61 on 12.8 million shares. Manulife Financial Corp. . Financials. Up

Real Estate Investment Groups

Real estate investment groups are sort of like small mutual funds for rental properties. If you want to own a rental property but dont want the hassle of being a landlord, a real estate investment group may be the solution for you.

A company will buy or build a set of buildings, often apartments, then allow investors to buy them through the company, thus joining the group. A single investor can own one or multiple units of self-contained living space. But the company that operates the investment group manages all the units and takes care of maintenance, advertising, and finding tenants. In exchange for this management, the company takes a percentage of the monthly rent.

There are several versions of investment groups. In the standard version, the lease is in the investors name, and all of the units pool a portion of the rent to guard against occasional vacancies. This means you will receive enough to pay the mortgage even if your unit is empty.

The quality of an investment group depends entirely on the company that offers it. In theory, it is a safe way to get into real estate investment, but groups may charge the kind of high fees that haunt the mutual fund industry. As with all investments, research is key.

First Capital Reit Announces Solid Second Quarter 2022 Results With Double Digit Leasing Spreads Supporting 6% Same

First Capital Real Estate Investment Trust , announced today financial results for the second quarter ended June 30, 2022. The 2022 Second Quarter Report is available in the Investors section of the Trust’s website at www.fcr.ca and has been filed on SEDAR at www.sedar.com.

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What Might The Insider Transactions At First Capital Real Estate Investment Trust Tell Us

Our data shows a little insider buying, but no selling, in the last three months. That said, the purchases were not large. On a brighter note, the transactions over the last year are encouraging. Insiders do have a stake in First Capital Real Estate Investment Trust and their transactions don’t cause us concern. In addition to knowing about insider transactions going on, it’s beneficial to identify the risks facing First Capital Real Estate Investment Trust. Our analysis shows 3 warning signs for First Capital Real Estate Investment Trust and we strongly recommend you look at them before investing.

Of course, you might find a fantastic investment by looking elsewhere. So take a peek at this freelist of interesting companies.

For the purposes of this article, insiders are those individuals who report their transactions to the relevant regulatory body. We currently account for open market transactions and private dispositions, but not derivative transactions.

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Real Estate Mutual Funds

Real estate mutual funds invest primarily in REITs and real estate operating companies. They provide the ability to gain diversified exposure to real estate with a relatively small amount of capital. Depending on their strategy and diversification goals, they provide investors with much broader asset selection than can be achieved through buying individual REITs.

Like REITs, these funds are pretty liquid. Another significant advantage to retail investors is the analytical and research information provided by the fund. This can include details on acquired assets and managements perspective on the viability and performance of specific real estate investments and as an asset class. More speculative investors can invest in a family of real estate mutual funds, tactically overweighting certain property types or regions to maximize return.

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First Capital Reit Sets Date For Requisitioned Unitholder Meeting

First Capital REIT announced today that its board of trustees , in response to a unitholder requisition made by Sandpiper Group and Artis Real Estate Investment Trust , has called an annual and special meeting of unitholders to be held on Tuesday, May 16, 2023 . The Meeting will address both normal course matters and matters related to the requisition.

Securities And Exchange Commission V Suneet Singal First Capital Real Estate Investments Llc First Capital Real Estate Advisors Lp And First Capital Real Estate Trust Inc No 19

On July 13, 2021, the United States District Court for the Southern District of New York entered consent judgments against Suneet Singal and his entities, First Capital Real Estate Investments, LLC and First Capital Real Estate Advisors LP, as well as against First Capital Real Estate Trust Inc., for their various roles in two public company frauds. In addition, the SEC barred Singal from the securities industry.

The SEC’s complaint, filed on December 13, 2019, alleged that Singal and his entities engaged in two separate frauds relating to two public companies, First Capital Real Estate Trust Inc. , which was also charged in the complaint, and a business development company .

According to the SEC’s complaint, Singal and the REIT made material misrepresentations and omissions concerning the REIT’s ownership of 12 hotels in several Forms 8-K. As to the BDC, the SEC’s complaint alleged that Singal acquired an interest in the BDC’s external adviser and then caused the BDC to make two $1.5 million loans to an entity that he controlled, which he then used for his own purposes.

Further, based on the entry of the judgment, the SEC barred Singal from the securities industry with a right to reapply after 10 years.

The litigation was conducted by Josh Braunstein, Matt Scarlato, and Jennifer Brannan and was supervised by Fred Block and Jeffrey Weiss.

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King High Line A Key Issue In Dispute

Chief among the activists concerns are what they call the continued underperformance of the REIT compared to its peers and the markets, and in particular they have criticized the decision to divest a portion of First Capitals 100 King West high-rise property.

FCR has an agreement to divest its interest in the residential portion of the three-tower property, known as King High Line. Segal claims the property is a generational core asset and that it is essentially being liquidated at a below-replacement cost for $149 million.

The deal had been slated to close in Q4 of 2022.

Sandpiper and its entities have invested about $300 million in First Capital REIT, which Manji said in the release is almost 30 times more than the cumulative investment held by all nine of the incumbent trustees.”

Sandpiper has retained Morrow Sodali Ltd. as its strategic shareholder services advisor. The Special Situations Group at Norton Rose Fulbright Canada LLP is acting as legal counsel.

FCR has engaged Kingsdale Advisors as its “strategic shareholder advisor”. Gagnier Communications is its communications advisor Stikeman Elliott LLP is acting as legal counsel to the board and RBC Capital Markets is its financial advisor.

Real Estate Limited Partnerships

A real estate limited partnership is similar to a real estate investment group. It is an entity formed to buy and hold a portfolio of properties, or sometimes just one property. However, RELPs exist for a finite number of years.

An experienced property manager or real estate development firm serves as the general partner. Outside investors are then sought to provide financing for the real estate project, in exchange for a share of ownership as limited partners. The partners may receive periodic distributions from income generated by the RELPs properties, but the real payoff comes when the properties are soldwith luck, at a sizable profitand the RELP dissolves down the road.

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Concerned About Investment Losses In First Capital Real Estate Trust Inc

Have you suffered losses investing in First Capital Real Estate Trust Inc.? If so, The White Law Group may be able to help you. Its possible to recover your losses by filing a FINRA Dispute Resolution claim against the brokerage firm that sold you the investment.

First Capital Real Estate Trust Incorporated is a public non-traded REIT based in New York City and founded in 2012. The company reportedly has not filed its quarterly or year-end financials with the SEC since August 2015.

First Capital Real Estate Investment Trust

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• First Capital REIT Acknowledges Receipt of Unitholder Meeting RequisitionDec 13 2022

• FCR.UN:TOR price moved over -1.04% to 17.17Jan 05 2023
• On date 15 Dec 2022, FCR.UN:TOR announced a new dividend of amount 0.072 payable on date 15 Dec 2022Dec 18 2022

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Sustainability And Environmental Responsibilities

Since 2006, First Capital has engaged in several sustainability initiatives, starting with its commitment to develop all properties using Leadership in Energy and Environmental Design standards.

In 2020, First Capital released its 2020-2024 Environmental, Social, and Governance Roadmap, and Sustainability Policy, outlining current and future sustainability plans.

As of Q1 2021, FCR has achieved a ‘AAA’ rating in the Morgan Stanley Capital International ESG Ratings assessment for the third year in a row, a 4-star ranking by the Global Real Estate Sustainability Benchmark in 2020, awarded Silver 2020 Green Lease Leader Recognition by the Institute for Market Transformation and the U.S. Department of Energy’s Better Building Alliance, and received Prime Status for Corporate ESG Performance by the Institutional Shareholder Services 2020.

First Capital Reit Announces Reinstatement And Doubling Of Distributions To Unitholders

First Capital REIT announced today that its Board of Trustees has approved the reinstatement of the REIT’s regular distribution of $0.072 per unit, which equates to an annualized rate of approximately $0.86 per unit. First Capital will make a cash distribution of $0.072 per unit for the month of September, which is double the previous month’s distribution.

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The Power Of Leverage

With the exception of REITs, investing in real estate gives an investor one tool that is not available to stock market investors: leverage. Leverage means to use debt to finance a larger purchase than you have the available cash for. If you want to buy a stock, you have to pay the full value of the stock at the time you place the buy orderunless you are buying on . And even then, the percentage you can borrow is still much less than with real estate, thanks to that magical financing method, the mortgage.

Most conventional mortgages require a 20% down payment. However, depending on where you live, you might find a mortgage that requires as little as 5%. This means that you can control the whole property and the equity it holds by only paying a fraction of the total value. Of course, the size of your mortgage affects the amount of ownership you actually have in the property, but you control it the minute the papers are signed.

This is what emboldens real estate flippers and landlords alike. They can take out a second mortgage on their homes and put down payments on two or three other properties. Whether they rent these out so that tenants pay the mortgage, or they wait for an opportunity to sell for a profit, they control these assets, despite having only paid for a small part of the total value.

Quite A Few Insiders Invested In First Capital Real Estate Investment Trust Last Year Which Is Positive News For Shareholders

When a single insider purchases stock, it is typically not a major deal. However, when multiple insiders purchase stock, like in First Capital Real Estate Investment Trust’s instance, it’s good news for shareholders.

Although we don’t think shareholders should simply follow insider transactions, logic dictates you should pay some attention to whether insiders are buying or selling shares.

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First Capital Reit Announces October 2022 Distribution

First Capital REIT announced today that it will make a cash distribution of $0.072 per REIT unit for the month of October, representing approximately $0.86 per REIT unit on an annualized basis. The distribution will be paid on November 15, 2022 to unitholders of record as at October 31, 2022.

First Capital Reit Sets The Record Straight: Activist Ewing Morris Being Directed By Dori Segal

First Capital REIT issued the following statement in response to the recently issued letter by Ewing Morris & Co. Investment Partners Ltd. , a unitholder who has partnered with the REIT’s departed trustee and former CEO, Dori Segal .

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First Capital Reit Comments On Litigation By Sandpiper And Artis Reit

TORONTO, Jan. 9, 2023 /PRNewswire/ – First Capital REIT FCR today commented on the litigation initiated by Sandpiper Group and Artis Real Estate Investment Trust AX regarding the timing of First Capital’s annual and special meeting of unitholders to be held on Tuesday, May 16, 2023 :

“The REIT, acting in the best interests of all unitholders and stakeholders, scheduled the Meeting approximately six weeks earlier than the date its annual meeting of unitholders has been held in recent years. The Activist Unitholders have taken issue with the Meeting Date and purport to have grave concerns with First Capital’s Enhanced Capital Allocation and Portfolio Optimization Plan , which they cite as pretext to force a unitholder meeting to be held by March 1, 2023.

The Activist Unitholders’ claims do not reconcile with their conduct and representations:

FCR will continue to engage constructively with unitholders in a manner that is in the best interests of all unitholders, and not just Samir Manji. First Capital also notes that a significant number of unitholders have expressed their support for the Portfolio Optimization Plan, with numerous sell-side analysts also recognizing its merits in their published research.

AdvisorsAbout First Capital REIT FCR

First Capital owns, operates and develops grocery-anchored, open-air centres in neighbourhoods with the strongest demographics in Canada.

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Why Is Real Estate Considered To Be An Inflation Hedge

Home prices tend to rise along with inflation. This is because homebuilders’ costs rise with inflation, which must be passed on to buyers of new homes. Existing homes, too, rise with inflation though. If you hold a fixed-rate mortgage, as inflation rises, your fixed monthly payments become effectively more affordable. Moreover, if you are a landlord, you can increase the rent to keep up with inflation.

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First Capital Reit Announces Approval Of Emissions Reduction Targets By The Science Based Target Initiative And Leadership Initiative For Climate Action

First Capital REIT announced today that its 2030 greenhouse gas reduction targets have been validated and approved by the Science Based Targets initiative . Additionally, FCR initiated and led the inaugural Collaboration for Climate Action Forum, a co-operative property owner and tenant engagement forum to collaborate on the mutual goal of decarbonizing retail buildings in Canada.

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First Capital Reit Announces Strategy Around Normal Course Issuer Bid

First Capital REIT announced earlier today the approval by the TSX of a normal course issuer bid pursuant to which it may repurchase its trust units for cancellation beginning on May 18, 2022. The repurchase of trust units will be primarily funded by the disposition of non-core properties that are expected to be sold at or above IFRS value.

Insiders At First Capital Real Estate Investment Trust Have Bought Stock Recently

We saw some First Capital Real Estate Investment Trust insider buying shares in the last three months. In total, insiders bought CA$34k worth of shares in that time. But Independent Trustee Leonard Abramsky sold CA$18k worth. It is good to see that insiders have been buying, but they did not buy very many shares, in the scheme of things.

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