Sing Holdings

[specuvestor]

Good afternoon everyone.

Why sell *cheap* when Ronin Residences(134 units) is within 250m to the MRT and 1km to SCGS primary and ACS Barker primary.

Hi KBL,

My point of view is through the rate of return for keeping capital in a project. Lets make two simple scenarios: Assuming total project cost is $1750/psf. In scenario 1: Sing holdings sell the project at 2100 psf and sells everything after 3 yrs or; Scenario 2: Sing Holdings sells at 2350psf and only sells everything after 5 years.

In the 1st scenario, the return is about 6.265% p.a.
In the 2nd Scenario, the return is 6.073% p.a

I know its possible to have sale throughout the 3 or 5 year tenure. But let's keep it simple!

The other side of the equation is of course how much more interest they have to pay over these 2 extra years and lower asset turn of capital