The Globe and Mail reports in its Tuesday, July 15, edition that TD analyst Jonathan Kelcher has cut InterRent REIT to "sell" from "hold." The Globe's Darcy Keith write that Mr. Kelcher cut his unit target to $13.55, a penny under the consensus, as he threw in the towel on his belief that the company would be able to secure a better purchase offer. Analysts on average target the units at $13.54. In May, InterRent executive chair Mike McGahan offered to buy InterRent for $2-billion with the backing of Singapore sovereign wealth fund GIC. CLV Group, a private company owned by Mr. McGahan, and GIC bid $13.55 per unit for InterRent, which owns about 12,000 apartment units. Mr. McGahan is the REIT's former chief executive officer. Mr. Kelcher says in a note: "Our thesis had contemplated a bump to the initial offer price; however, with the 40-day go-shop period completed with no offers, we have changed our view. We view the $13.55 offer price as the low end of fair value, with this deal being one of the few REIT M&A transactions completed below NAV. ... Historically, REIT M&A transactions for well-run companies with good assets have been at premiums to NAV, not discounts. We hope this does not set a precedent."