HupSteel

waos! i am saying HS is a value trap just bcos of all the value TRAPPED inside it!!!

It's a family biz so don't expect them to sell sell sell!!

Compared to HG Metal, this company has had a better track record at paying dividends and doing sharebuybacks.

(12-06-2017, 03:16 PM)bargainhunter Wrote: Compared to HG Metal, this company has had a better track record at paying dividends and doing sharebuybacks.

They are paying themselves and they will want to milk the company for as long as possible, so yeah! as long as we are aligned to their long term style management, then should be happy lah!

Yes, a lot of value trapped inside.

Management should do more share buybacks to unlock value.

http://stockresearchasia.com/latest-reco...ts-as-well

its really down to management to unlock value.

http://infopub.sgx.com/FileOpen/Disposal...eID=459370

Hupsteel sold one of their most worthless properties at an obscene profit. Book value $650k. Sales price $5.23m. Gross Profit $4.58m. Net cash easily +>3c.

Good move by management! Now to wait for some dividends...

"The property does not form an integral part of the Group’s trading operations, occupancy rate
and rental yield from this property has also been below expectation. It hopes not to commit
more resources to enhance its rental attractiveness on top of meeting more stringent
conservation requirements imposed on the property."

There are quite a number of its investment properties meeting this description. Does that mean we can look forward to more disposal of such properties?

(29-06-2017, 08:21 PM)karlmarx Wrote: Good move by management! Now to wait for some dividends...

"The property does not form an integral part of the Group’s trading operations, occupancy rate
and rental yield from this property has also been below expectation. It hopes not to commit
more resources to enhance its rental attractiveness on top of meeting more stringent
conservation requirements imposed on the property."

There are quite a number of its investment properties meeting this description. Does that mean we can look forward to more disposal of such properties?

http://www.commercialguru.com.sg/listing...huan-drive

even 6 kim chuan drive had been advertised for sale before.  there's always the possibility.

I'm not hopeful. How to sell if no tenants?

(29-06-2017, 11:38 PM)karlmarx Wrote: I'm not hopeful. How to sell if no tenants?

http://www.businesstimes.com.sg/real-est...-for-s335m

Freehold industrial building near Tai Seng MRT sold for S$33.5m

Seller Kim Loong & Sons developed 8-storey property on site where three detached factories once stood

Friday, January 6, 2017

by Kalpana Rashiwala

kalpana@sph.com.sg

@KalpanaBT


AN EIGHT-STOREY freehold industrial building along Little Road near Tai Seng MRT Station is being sold for S$33.5 million. The price works out to S$771 per square foot based on the net lettable area of 43,451 sq ft.

The seller, Kim Loong & Sons, developed the property which was completed about two years ago, said Kim Chong Wah, the company's managing director, when contacted by The Business Times. This was a redevelopment project; previously on the site were three low-rise detached factories.

Kim Loong & Sons, which is involved in property investment, is owned by Mr Kim and nine other family members. The family is also involved in the manufacturing of decorative wood-based panels (used in the furniture industry) and the trading of timber.

Mr Kim said the family had bought the three low-rise detached factories along Little Road some four decades ago for its manufacturing business but later found the premises too small and moved its factory to its current location in Sungei Kadut.

It then leased out the three detached factories before redeveloping them into the building that is being transacted. Mr Kim revealed that the family also owns a factory in Ho Chi Minh City which also produces decorative wood-based panels. 3 Little Road is on a 21,111 sq ft site.

The building's gross floor area is 52,778 sq ft, which means the 2.5 plot ratio for the Business 1-zoned site has been fully tapped. The building comprises 16 units, two per floor. About half the building has been leased at monthly rents ranging from S$2 psf for an entire floor to S$2.50 psf for smaller spaces.

The buyer, Chan Rong Fen Building Construction, is expected to occupy some space in the building.

The company is currently located in Woodlands Close. Its shareholders are Liu Yunxia and Sun Renwang, believed to be China citizens turned Singaporeans.

The sale was brokered by CBRE by private treaty. "Investor interest in entire freehold industrial buildings has been gathering momentum lately as prices have eased from the peak in 2014; despite an overall glut of industrial property, the stock of enbloc freehold industrial buildings available for sale is very limited," said Brenda Ong, executive director, industrial and logistics services at CBRE.

Catherine Ng, director of industrial services at Colliers International, said that strata freehold industrial units in the vicinity ranging from 2,314 sq ft to 4,263 sq ft changed hands for around S$630 psf on average last year.

In comparison, the S$771 psf achieved for 3 Little Road appears to be a good price for the seller especially given that this is an en-bloc deal for which one would expect a lower psf price, factoring in a bulk discount, she added.

"That said, the buyer also stands to enjoy capital appreciation in the longer run with an improved economy."






"The buyer, Chan Rong Fen Building Construction, is expected to occupy some space in the building.


The company is currently located in Woodlands Close. Its shareholders are Liu Yunxia and Sun Renwang, believed to be China citizens turned Singaporeans."

i guess Hupsteel will just need to wait for similar buyers?