From: Daytona 
Newsgroups: misc.invest.real-estate alt.invest.real-estate uk.finance
Subject: Re: real estate investment
Date: Sun, 13 May 2007 16:25:42 +0100

On 12 May 2007 17:26:34 -0700, abracad_1999@yahoo.com wrote:

>Real estate has long been considered an attractive investment.

But not at the height of a boom.

My thoughts from reading the info. provided -

Not a REIT
High risk
Dubious marketing tactics that give the impression that it's low risk
and a REIT.
Yield on the first property of 1.7% vs. risk free rate for cash of
5.5%
Private company so no guaranteed market for the shares as there is for
companies and REITs listed on the stock exchange.
Not regulated by the Financial Services Authority (FSA)
No gearing can be used.
High (3%) trading costs for both sales and purchases

As the yield demonstrates, it's completely the wrong time to be
investing in the UK property market. Residential property has doubled
over the last 6 years, commercial property has doubled in the last 5
years.

See the long term graph on page 4 of the Nationwide Building Societies
monthly review - . The
30 year trend is 2.6% real. We're ~40% above it. 

Here's a case study of a similar unregulated company that was wound up


10 well established property companies listed on the London Stock
Exchange have converted to REITs

and offer lower risk.

Daytona
(Landlord)