Thursday newspaper share tips: Tritax Big Box REIT, Paragon

Tritax Big Box REIT appears to keep going from strength to strength, The Daily Telegraph´s Questor said.

The company - considered to be a leader in logistics property - has a £1.3bn portfolio which is completely rented out to high quality tenants and is in a good position to expand its portfolio.

Like its larger rival Segro, it too looks set to benefit from rising rents, as demand increases too quickly for supply to keep pace.

Indeed, it has already deployed a good part of the £200m in fresh equity that it raised via a placing in February which was heavily oversubscribed - revealing strong interest in he sector from investors.

Earlier this week, it picked up Argos´s national distribution centre in Burton-upon-Trent for £74.65m, following close on the heels of the purchase of another distribution centre in Bristol.

'Buy', Questor said.

Concerns over the impact which the Bank of England´s new measures to cool the buy-to-let mortgage market might have on specialist lender Paragon are overdone, The Times´s Tempus believes.

The Old Lady on Threadneedle Street´s worries are understandable, given the £100bn of new home loans which were expected to be made available to buy-to-et buyers in the coming two years.

Affordability checks carried out by Paragon already meet, and mostly exceed, those proposed by the Prudential Regulation Authority.

Paragon has other measures on top of those which are meant to ensure that its lending standards are up to scratch and has launched a study of its lending record over the last 20 years to assess its ability to weather a new financial storm.

Indeed, two week´s worth of profits would cover the cost of all its bad debt write-offs spanning the last two decades.

As well, a move towards its own internally generated risk models means the firm will be able to go after a larger share of big banks´ lunch, the tipster said - including going head to head with the likes of Lloyds.

"All-in-all, Paragon looks like a good bet and, with its shares more than 50p off their price only four months ago, it looks relatively cheap."

'Buy', Tempus told readers.