5 percent in 2010, according canada goose store to the

REITs raise capital for West Canada property deals

TORONTO, Jan 20 (Reuters) Real canada goose coats estate investment trusts, Canada Goose Coats On Sale betting on an economic recovery, are lining up to raise capital to acquire commercial properties or even the entire portfolios of smaller rivals.

The dealmaking is focused squarely on Calgary, the capital of Canada oil and gas industry, as well as Canada Goose sale other cities in the four Western provinces, where much of Canada resource wealth is produced.

The four provinces British Columbia, Alberta, Saskatchewan and Manitoba are expected to show average growth of 3.5 percent in 2010, according canada goose store to the Conference Board of Canada. That compares with a forecast of less than 3 percent for Canada as a whole.

The Western growth Canada Goose Parka stronger demand for office space canada goose black friday sale and industrial space canada goose coats on sale and it means retail tenants do cheap Canada Goose better and pay Canada Goose online the rent.

Artis said earlier this month it planned to raise at least C$50 million ($47.6 million) in an equity financing to help it pay for future acquisitions. Other REITs have done the same as they implement expansion plans in Western Canada or elsewhere.

REITs are happy to raise capital these days because their valuations are rising at a time when they can offer investors higher returns than that on Canada benchmark 10 year bond CA10YT=RR, currently at about 3.4 percent. Some say REITs may return more than 10 percent.

REITs were a popular investment vehicle in Canada from 2000 through 2005, after the tech bubble burst and investors sought hard assets. The steady payouts also attracted many yield hungry investors.

For a few years, unit prices soared and IPOs abounded before consolidation in 2006 07 shrank the market again.

GROWING LIST The list of Canadian REITs coming to market with debt or equity issues has grown since the middle of last year and has picked canada goose uk outlet up steam in the past three weeks.

REITs been very active raising canada goose uk black friday capital, primarily equity capital, and also selling convertible debentures to raise both debt and convertible debentures as canada goose factory sale the capital markets canada goose clearance sale really opened up after being shut for some time, said Mark Rothschild, a real estate analyst at Genuity Capital Markets.

many of the REITs believe that canadian goose jacket there will be very attractive acquisition opportunities out there canada goose clearance for them to use that money to make accretive acquisitions.

ATTRACTIVE BUT NOT CHEAP To be sure, acquisitions won come easily in canada goose uk shop Canada, where commercial real home site canada goose outlet https://www.canadagoosejacketca.ca estate did not experience the same slump seen buy canada goose jacket in the United States, in part because prices never jumped as they did south of the border ahead of the credit crisis.

a good time to buy, not because the market is distressed, but because the fundamentals still seem very, very strong, said buy canada goose jacket cheap Dean Orrico, chief investment officer for Toronto based Middlefield Canada Goose Jackets Group, with assets under management of some C$3 billion. The firm just opened a Calgary office.

He said the cheap canada goose uk Calgary office market is drawing strong interest from Chinese oil and gas players.

they are going to be buying assets, they are going to want office space and they are going to want to be on the ground, said Orrico, who forecast total returns for Canadian REITs of 12 to 15 percent this year.

you own a Canadian REIT you are getting Canada Goose Online an average yield of 7 or 8 percent, and uk canada goose outlet to have that supplemented by capital appreciation of another 6 or 7 percent would be a pretty good canada goose total uk canada goose return for Canada Goose Outlet 2010.