SINGAPORE’S booming residential home market sent Keppel Land’s (KepLand’s) net profit in the third quarter rocketing by 112.5 per cent to $81.8 million.
Turnover was at $382 million, up nearly 50 per cent from $255.6 million a year earlier.
Singapore proved especially lucrative.
KepLand earned $56.4 million in Singapore on strong contributions from sales at its Reflections at Keppel Bay and Park Infinia at Wee Nam condo projects. The company has sold 600 of the 1,129 units at Reflections.
KepLand sold 750 residential units in Singapore in the first nine months of the year and more than 2,200 homes overseas, mainly in China and India.
Earnings per share for the nine months ended Sept 30 reached 28.8 cents, up from 16.6 cents a year earlier.
Net asset value per share stood at $2.34 as at Sept 30, up from $2.12 at the end of last year.
KepLand will launch the posh Marina Bay Suites early next year and release other residential projects in line with market demand. There is also a slew of launches coming up in China, Vietnam and India later this year.
KepLand said demand for quality housing across Asia remains robust, supported by economic growth, home-owner aspirations, urbanisation and a rising middle class.
KepLand has interests in the Marina Bay Financial Centre, K-REIT Asia and Ocean Financial Centre.
Another property player, CapitaCommercial Trust (CCT), reported yesterday that it is achieving steady growth and expects to benefit from a strong office market.
It reported a distributable income of $29.6 million in the third quarter, up 52 per cent from a year earlier and 13.5 per cent above forecast.
Distribution per unit was 2.14 cents in the third quarter and 8.49 cents on an annualised basis, up 18.9 per cent from a year ago.
Third-quarter net property income was at $59.7 million.
CCT’s yield-accretive acquisition of Raffles City last year also helped lift its results.
Rentals committed at CCT’s prime assets have crossed $11.50 per sq ft a month, the highest rate reached during the office market’s peak in 1990, it said.
CCT said its acquisition of Wilkie Edge, if approved, will bring its asset size to $4.8 billion. It expects to grow this further to between $5 billion and $6 billion by 2009.
Source : Straits Times - 24 Oct 2007