BWP Trust: Launches Bid for Sold-Down Newmark Property REIT

After conserving balance sheet strength and patiently waiting through the property boom years, BWP Trust has now pounced on a small, sold-down AREIT called Newmark Property REIT. The all-scrip off-market takeover offer is expected to close in mid-March, and we think is likely to succeed given the reasonable price, Newmark’s weak financial health, and unanimous support from directors. We incorporate the completion of the acquisition into our forecasts.