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Price must always be up meh...
http://www.businesstimes.com.sg/companie...end-market
CDL warns of fire sales in high-end market
While the residential property market is on a downturn, group can ride on 'shining stars' of offices and hotels
By
Kalpana Rashiwalakalpana@sph.com.sg@KalpanaBT
BT_20141113_KRCDL13_1364564.jpg The group's DNA is evolving as it enters cautiously into new frontiers, says Mr Kwek
13 Nov5:50 AM
Singapore
CITY Developments Ltd (CDL) executive chairman Kwek Leng Beng has warned that the current subdued state of the Singapore housing market particularly in the high-end segment, if it continues, could ignite fire sales.
Mr Kwek made this point in CDL's third quarter results
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City Developments reports 4.7% rise in Q3 profit
SINGAPORE: Property group City Developments has reported a 4.7 per cent rise in third-quarter profit to S$127.2 million from the same quarter last year. Group revenue for the quarter ended Sep 30 rose 58.3 per cent to S$1.32 billion from a year ago.
The company said in a statement that group revenue was boosted by the completion of the 602-unit executive condominium, Blossom Residences, in the third quarter this year.
The group's property development segment was the lead contributor to its performance, accounting for 46.7 per cent of its third-quarter pre-tax profits.
The hotel operations segment was the second-highest contributor, with strong revenue and profit performance from its newly-acquired hotels. These are The Chelsea Harbour Hotel which City Developments acquired in the first quarter of this year, and Novotel New York Times Square which was bought in the second quarter of 2014.
Looking ahead, City Developments said it expects to remain resilient and profitable this year despite the fragile global economy. It added that as the residential market is on a down cycle, the commercial and hotel sectors are emerging as shining stars.
The company said office and hotel properties have now become the most desirable assets.
http://www.channelnewsasia.com/news/busi...68744.html
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City Developments consults Credit Suisse on Leighton Properties
BEN WILMOT THE AUSTRALIAN NOVEMBER 13, 2014 12:00AM
SINGAPORE’S City Developments Limited is believed to have called in investment bank Credit Suisse to advise on its play for Leighton Properties.
The Singapore-listed company was last night due to update investors on its quarterly performance after turning in a strong first quarter, but has been tight-lipped about its intentions for Leighton.
The bank’s potential involvement would be likely to come through relationships held in Asia. CDL has been expanding in Asia, with a major acquisition in Japan just completed. But it has flagged ambitions in Australia and has been edging closer to Leighton Holdings’ property business for some time.
The long gestation of the deal has prompted speculation that Stockland could emerge as a bidder, but that group’s managing director Mark Steinert has emphasised there are relatively few potential takeover targets in the real estate sector.
Stockland appears focused on its own development pipeline and portfolio, after being outbid in a play for Australand Property Group by Frasers Centrepoint.
While CDL is believed to be in advanced stages of due diligence its bid price is unclear.
The Leighton business, which has been marketed through Bank of America Merrill Lynch, includes a clutch of commercial properties and residential developments, and could fetch about $500m, reflecting the value of Leighton’s $7 billion development pipeline.
CDL has set up three new companies to manage its likely purchase of Leighton Properties, which is a subsidiary of giant contractor Leighton Holdings.
The entities include CDL Australia Holdings, which was registered as a company in Australia last month, as well as CDL Pachigh Development, which could hold an interest in Leighton’s 177 Pacific Highway development in North Sydney.
Leighton Properties’ other projects include its Kings Square development in Perth, which it is jointly developing with Mirvac, as well as residential projects.
Leighton Holdings, Credit Suisse and CDL’s Singapore representatives declined to comment.
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Stockland back in Leighton race
Mercedes Ruehl
414 words
18 Nov 2014
The Australian Financial Review
AFNR
English
Copyright 2014. Fairfax Media Management Pty Limited.
Stockland is back in contention to buy Leighton Holdings' property business. The Australian property group has been invited back into talks on acquiring some or all of Leighton Properties, sources close to the negotiations said.
Singapore-based City Developments had been in advanced due diligence to buy the platform.
Both Stockland and Leighton Properties declined to comment.
Leighton Properties has a $7 billion commercial and residential pipeline but the sale of the business would be complex. Much is in joint ventures with other parties, such as DEXUS Property Group and LaSalle Investment Management.
Construction agreements are with Leighton Holdings and many other agreements could make the takeover difficult. In August, Mirvac Group purchased Leighton Properties' 50 per cent interest in the Green Square Consortium, which is delivering the town centre at Green Square in Sydney.
The Australian Financial Review first reported that City Developments had edged into the pole position in early September this year.
Comment was sought from City Developments, Singapore's second-largest developer, on whether it was still in due diligence but the offshore group did return calls on Monday.
The group further reiterated its plans to expand overseas amid declining domestic demand in October.
But progress has continued as usual for Leighton Properties. On Monday, Kings Square Tower 2, a joint venture with DEXUS in Perth, was topped out.
The Kings Square project, located within the $5.2 billion Perth City Link project, will add an entire new city block to the Perth central business district.
The project is one of the biggest in the country, with Andrew Borger, national head of commercial at Leighton Properties, calling it a "game-changer".
"Very few CBDs ever get added to on this scale," Mr Borger said. "After today we can now really see the finish line for Kings Square."
The project is ahead of time and on budget. Completion is expected in the second quarter of next year.
Leighton Properties has a number of commercial and residential projects under construction with various partners. It will build the Uniting Church's Wesley Upper Lonsdale Street project in Melbourne's CBD.
It is also building a $400 million-plus new tower in North Sydney that is set to be the new headquarters for Leighton Holdings in Australia.
A number of residential projects would also appeal to Stockland. These include the Aqua apartment complex with Qualitas Property Partners and Erko with LaSalle Investment Management, both in Sydney.
Fairfax Media Management Pty Limited
Document AFNR000020141117eabi0002i
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But Singapore-based City Developments was later seen as the front-runner to purchase the developer along with Leighton Properties, which is also for sale.
However, CDL is now said to have retreated from both Devine and Leighton’s property arm, and Leighton Properties will now probably be purchased by the country’s largest listed residential developer, Stockland.
AVJennings poised for Devine intervention
• EDITED BY BRIDGET CARTER AND GRETCHEN FRIEMANN
• THE AUSTRALIAN
• DECEMBER 16, 2014 12:00AM
Gretchen Friemann
Mergers & Acquisitions Editor
Sydney
Devine and AVJennings. Source: TheAustralian
AVJENNINGS is shaping up as the most likely candidate to purchase the Queensland-based developer Devine, which is half-owned by Leighton Holdings, according to sources.
A sales process for the business has been under way through adviser Goldman Sachs since July, yet many in the market say progress has been slow.
Sources now say a deal could drag into next year, and some are tipping AVJennings to be the strongest contender.
Others say the race is still wide open and that it has not yet ¬entered any form of exclusive due diligence.
Leighton had intended to sell its half-share of Devine as part of its overall asset sale program, which some say was aimed at ¬securing $3 billion in overall proceeds to lift dividends and pay down debt. A decision was later made to sell the entire business.
Devine is expected to sell for close to 10 per cent below the company’s net tangible assets of $245 million.
AVJennings was among the first groups to have been approached to buy the business, along with Japan-based groups such as Sekisui House, and it is believed to have lodged a bid.
Proprium Capital Partners, an entity controlled by former Morgan Stanley real estate executives, has also taken a look.
But Singapore-based City Developments was later seen as the front-runner to purchase the developer along with Leighton Properties, which is also for sale.
However, CDL is now said to have retreated from both Devine and Leighton’s property arm, and Leighton Properties will now probably be purchased by the country’s largest listed residential developer, Stockland.
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SINGAPORE - Listed property heavyweight City Developments Limited (CDL) announced a record net profit of $384.9 million for the fourth quarter ended Dec 31, 2014, an increase of 73.4 per cent over $222.2 million for the year-ago period.
The group said revenue rose 7.4 per cent to $846.9 million.
For the full 2014 financial year, CDL's net profit grew 12.2 per cent to $769.6 million from $686.2 million a year ago, as revenue rose 17.1 per cent to a record $3.76 billion.
CDL said property development was the main contributor to its pre-tax profit which crossed the $1 billion mark for 2014.
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16-02-2015, 04:18 PM
(This post was last modified: 16-02-2015, 04:19 PM by chiongkakis.)
(16-02-2015, 10:27 AM)kayhian Wrote: SINGAPORE - Listed property heavyweight City Developments Limited (CDL) announced a record net profit of $384.9 million for the fourth quarter ended Dec 31, 2014, an increase of 73.4 per cent over $222.2 million for the year-ago period.
The group said revenue rose 7.4 per cent to $846.9 million.
For the full 2014 financial year, CDL's net profit grew 12.2 per cent to $769.6 million from $686.2 million a year ago, as revenue rose 17.1 per cent to a record $3.76 billion.
CDL said property development was the main contributor to its pre-tax profit which crossed the $1 billion mark for 2014.
How would you think of property company will perform this year with the low take up rate for their properties? do you think it is still worth going into property counter?
Yield wise, they are giving quite a decent returns...
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Leighton-CDL deal close
190 words
29 May 2015
The Australian Financial Review
AFNR
English
Copyright 2015. Fairfax Media Management Pty Limited.
Singapore's City Developments Limited is believed to be closing in on the acquisition of Leighton Properties' residential division, sources said.
The Australian Financial Review revealed in February that the Spanish company that controls Leighton had launched a fresh sales process for Leighton Properties through its adviser, Bank of America Merrill Lynch.
The decision followed the collapse of negotiations with Stockland and CDL late last year to buy the entire business.
However, it's understood CDL has been lured back into the auction and may be willing to pay about $400 million for the lucrative residential arm. A deal is expected to be wrapped up within four weeks.
Street Talk can also reveal that Leighton Properties will now hold off on the sale of the commercial projects - which Charter Hall Group has been eyeing - until the residential sale has been completed.
Leighton Properties' residential developments include Erko at Erskineville, with over 300 apartments, and AQUA, a 129-unit tower at Bondi Junction in Sydney.
The crown jewel, though, is a twin-tower project planned in St Leonards on Sydney's north shore.
Fairfax Media Management Pty Limited
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It seems quite a bit of index re-balancing...
City Developments falls as stock is dropped from FTSE Global Real Estate Index
SINGAPORE (June 5): In what was clearly an unexpected move, the FTSE Global Real Estate Index dropped City Developments ( Financial Dashboard) from its Developed Asia constituents.
This triggered a 53 cent decline in CDL’s share price to $9.66 as at mid-day. As at 4:24 p.m., the stock is still down 3.8% at $9.80 with 8 million shares changing hands.
Market watchers and industry observers reckoned this has something to do with the criteria computation FTSE uses to calculate what they define as real-estate business.
...
http://www.theedgemarkets.com/sg/article...tate-index
“夏则资皮，冬则资纱，旱则资船，水则资车” - 范蠡
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