Investment Thesis
BTB REIT (BTBIF) (TSX: BTB.UN) owns a portfolio of industrial, retail, and office properties primarily in Quebec. Thanks to a strong economy in Quebec, the company should be able to continue to grow its rental revenue in 2019. However, we are concerned about its high debt level as well as a lack of development pipeline to support its future growth. In addition, rental revenue from industrial properties only represents a small portion of its rental income. This means that BTB cannot take advantage of the strong demand of industrial properties. Although