METHODOLOGY:Porfolio's previous yield = 7.0% (Annual Report 30...

METHODOLOGY:

Porfolio's previous yield = 7.0% (Annual Report 30 June 2008)

Currently prime yields of 8.0% in Australian and 9.0% in Canada and Europe.

Portfolio's current yield = 8.35% (weighted average) but say 8.25%.

Assuming fixed rent a rise in yield from 7.0% to 8.25% equates to a 15% fall in asset value.


Annual Report 30 June 2008:

Net Asset Value per unit = $2.09 (equity)
Loan to Asset Ratio = 55%

Therefore,

Assets = $4.64 per unit
Loan = $2.55 per unit

So,

Assets fall by 15% from $4.64 per unit to $3.94.
Loan doesn't change at $2.55 per unit.

Assets $3.94 - Loans $2.55 = $1.39 equity per unit (NAV)


I'm number 2 by the way. I know I don't know but do this for fun.