Question
Colonial Apartments REIT reports the following financial information on a per-share basis: GAAP Net Income [Earnings per Share (EPS)]=$4.00 GAAP Depreciation and Amortization =$3.00 Reserves
Colonial Apartments REIT reports the following financial information on a per-share basis:
GAAP Net Income [Earnings per Share (EPS)]=$4.00
GAAP Depreciation and Amortization =$3.00
Reserves for property capital expenditures=$0.80
Dividend paid= $4.50
Debt=$50, with an average interest rate on debt=7%
AFFO yield of 6.9% based on current share price -- Keep in mind that AFFO/Share Price=Yield
Estimated weighted average firm-level private property market cap rate of 8% .
(a) Determine Colonials EBITDA
(b) Determine the current (public) price of a share of Colonial REIT common stock
(c) Determine the current share price premium (or discount) to NAV for the REIT
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