Dividend Hike By AEC

And Associated Estates Realty, my little diamond in the rough, has once again raised its dividend following an absolutely wonderful quarter. The move represents a 5.6% increase in payout, bringing the annual yield back up to around 5% from the days’ open.

The stock is up 2% on the announcement, but that’s no consolation.

AEC has been crushed over the last 6 months as trolling analysts and crack addicted gamblers were pissed off that the company decided it was better to control their debt than make failed bids at grand slams and gluttonous attempts at devouring the entire apartment market on nothing but a smile and a signature.

By doing things their more conservative way, not only have profit margins continued to improve, but the company’s operations have become more consolidated, lower cost, containing higher value properties, and lower influence from interest rate swings.

And, because they decided to tender their debt load, they’ve been catching ratings upgrades, which will only serve to save the shareholder more in earnings down the road.

Recently, a series of articles have come out suggesting the Multifamily REIT boom is over, because the resurge in housing prices is foretelling a collapse in occupancy and rates. A second, alternate version of this storyline suggests that because a house could, theoretically, cost less than renting an apartment, we would see a huge shift away from rental occupancy and downward pressure on rates.

Sorry, but no, that’s not how attaining mortgages works.

I continue to forecast strong outperformance from the REIT multifamily sector. And, when the market finally catches on, these stocks will have a long way to go before they’re pricing that in properly.

In the meanwhile, AEC and CLP continue to see FFO bulging. And since that’s money going straight to my pocket, I guess I’ll just have to enjoy these dividend hikes while I wait.

I invite you, my dear reader, to take part in this historic moment with me. At hand is the first in a wave of municipal bankruptcies that will shake the country. And this avalanche begins with none other than Detroit, MI.

Detroit, long the asshole of the United States, has been the butt of jokes for the better part of four decades now.

From her amazing ability to elect criminals to every facet of government, to her unparalleled capacity to stick her head in the ground and refuse to acknowledge any problems, and her intense insistence to reduce every issue, be it fraud, accounting scandals, ineptitude, or murdering hookers named Strawberry, down to a simplified and wrong message of race, Detroit is without a doubt the poster child for other American cities ranging from Chicago to Philadelphia to DC.

After the Great Rick Snyder (May The Gods Watch Over Him) was elected to his chair as governor of Michigan, he quickly implemented a series of reforms designed to save the city (and the rest of the State from it). The keystone to this initiative was the installation of Emergency Financial Managers.

However, the EFM law was put to ballot this election, and the Michigan people ultimately struck it down. This has set into motion an avalanche of consequence, very much to the alarm of those of us that were waiting to be delivered by the saving grace of this “Caesar”.

HAIL CAESAR.

Sadly, this bright future is gone now. I have heard only one reasonable explanation for voting against the EFM law, thus far. It came from a friend, who said, and I quote, “Fuck the emergency manager. Last I checked, we have judges for ripping apart failed entities.”

So be it, and fair enough. This was always a matter of choosing which faceless individual got to shred the unions that have cluttered Michigan. Continuing as we have was never an option.

But, unfortunately, the only way a judge can make these decisions is AFTER a municipal bankruptcy.

Sensing that their time at the trough may be over, yesterday a very panicked JoAnn Watson (resident lunatic of Detroit City Council) came out with a passionate plea for the rest of the country to facilitate her staying in power.

It is critical, you see, that she be allowed to enact her every whim at your expense, because her ideas are so awesome. You just don’t realize how awesome they are, because they haven’t worked. But they are, and she is so cool.

However, I do not see bailing out Detroit as a viable option for the feds. Rick Snyder and the GOP are also overreaching at the same moment (in my opinion) by bringing to the table Right To Work legislation (Michigan remains a very pro-union state, regardless of the recent ballot failures). Should Obama&Co. decide to bail out Detroit, it would shift outrage from the MI GOP for this legislation and back to support as a Detroit bailout from Washington is sure to enrage most of the country, and most of Michigan.

The rest of Michigan hates Detroit, because they are faggots to this state’s furze-cutter.

Now, watch with me good crazy people of the internet, as the second stone falls into place.

Yesterday I was holding a fever of around 102. Nothing was going to get done. In fact, I just put my head down and didn’t bother trying to get back up until mid afternoon.

Today, I’m around and about, trying to get back into the sway of things.

The mid week report of uranium spot prices was issued yesterday. It details a clear bounce occuring at historical low prices.

This is terrific news. Truthfully, I don’t care of U308 spot prices at all. They don’t fortell profits of uranium miners, which is why I was so undisturbed about buying into CCJ as fearlessly as I have been. But I know that there is a small gathering of market participants who have reasoned out that uranium miners are a good buy here, but are holding out for some sort of catalyst.

This logic makes no sense to me. But a bottom in U308 prices could very well be just the Ouija board needed to coax some real money back into uranium miners.

Should pricing continue to shore up in the uranium spot market, it might convince some of the cowards who most recently evacuated CCJ to rethink their decision.

I spent today curdled in a pool of sweat, as God struck me down for outstripping Abel in every possible way.

My throat had been bothering me a little on the return flight. Today, it struck in full force, like an assassin. I hurdled in the corner of my office shivering for warmth, beneath my desk.

But, lo, as I peaked out from under my harbor, I caught a sight most wonderful. All of my positions are up an enormous amount, with the sole exception being silver. I ended the day up 1%.

After hours, silver is running back up – 5000 oz bars are going for over $34 again. An ounce is going for $33.

I will say this once more. The age of Cameco lagging is coming to an end. As it blossoms, so too will my wealth. All time highs are just around the corner, friends.

A cousin was celebrating a birthday this weekend, so he rather demanded I accompany him to Vegas.

I will offer a quick recap:

(1) no one wins against the house – by the end of the trip, I was paying for cigars (thick & dark), bourbon & gin (sidecars and Tom Collins are my favorites) and pretty much anything else I fancied in chips. This wasn’t because I had won a lot of them, but merely because it was the most expedient way to save them from the cold, heartless clasp of “Mother Crap’s Table”.

(2) NAFTA has destroyed America – enough about lower paying assembly jobs. There was not one prostitute walking the street. We’ve reached the point where even hookers have outsourced the non-essential parts of their job to Mexicans.

(3) Sin City has grown soft – I walked the entire strip, until my feet were aching and my thighs were trembling. And in this entire ordeal, I was only offered coke once. For shame, Vegas. For shame.

In any news, it’s good to be back, the abrupt changes to the site not altering that statement. I hope everyone had a good weekend.

I must now take a small leave of absense from you, dear reader. For I have a long journey ahead of me; into a desert and to a land of debauchery.

I must go there, for two less half a fortnight.

In this time, I have elected to leave everything exactly as you see it now.

I hold AEC, CLP, BAS, physical silver, and oh most especially CCJ.

The dawning of CCJ is at hand.

To counterbalance this I have 25% of my holdings in cash, for a buffer and emergency. Which it will take, to get me out of the eventful weekend I have planned ahead, I assure you Madame.

But do not be alone. I have left a small fire burning in the hearth of the 9th floor. Let the ambers’ warm glow keep you company from the windowsill.