The Globe and Mail reports in its Friday edition that Scotia Capital's Mario Saric cut his unit target for Allied Properties REIT to $15.75 from $18 with an unchanged "sector perform" call. The Globe's David Leeder writes that analysts on average target the units at $15.71. Mr. Saric says in a note: "Despite the 13-per-cent decline, our revised target price is 18 per cent above consensus, but our NTM [next 12-month] total return of 23 per cent is approximately 3 per cent above our coverage average. We're updating our model post Monday's 60-per-cent distribution cut. Our model adjustments reflect: a) lower interest expense on $150-million per year of retained cash (1-2-per-cent FFOPU boost), b) a more conservative capitalized interest forecast (-3.5-per-cent 27E FFOPU impact) c) a slower occupancy build (-2-per-cent impact), and d) a lower target multiple. Allied is up 2 per cent post official announced cut (still down 26 per cent post Q3 results when a cut was publicly contemplated), likely confirming a short-term trough unit price (incl. expected removal from Dividend Aristocrats Index)." The Globe reported on Dec. 3 that National Bank raised Allied to "sector perform" from "underperform." It was then worth $13.20.