The Globe and Mail reports in its Friday, Feb. 13, edition that National Bank Financial analyst Matt Kornack is maintaining his "sector perform" recommendation for Allied Properties REIT. The Globe's David Leeder writes in the Eye On Equities column that Mr. Kornack gave his unit target a $2.75 trim. Mr. Kornack, saw Allied's surprise $500-million share sale, which led to a 27.8-per-cent drop in its unit price on Wednesday, as "a culmination of poor choices and tough market" and calling the result "at best a tenuous renaissance." Mr. Kornack says in a note: "There wasn't much to like operationally or strategically with Q4 results, new guidance and the concurrent $500-million equity offering. The latter, which we imagine was designed to stave off a credit downgrade, is heavily dilutive to earnings and NAV. It is also worth highlighting that leverage remains high and doesn't reach industry norms until 2028, which includes assumptions on normalizing occupancy. Needless to say execution risk remains. Elsewhere, there were also concerning signs in the form of an expected credit loss in the loans receivable portfolio to the tune of $128-million, effectively wiping out three years of earnings contribution."