Chip Eng Seng

[RT Knight]

you might not wait for 5 years. we probably see CEL moving out from Australia market after Raymond leaving? Australia is the market Raymond pushing for.

http://www.afr.com/Page/Uuid/3734daa8-ac...9aa2932523

[Gregg]

you might not wait for 5 years. we probably see CEL moving out from Australia market after Raymond leaving? Australia is the market Raymond pushing for.

http://www.afr.com/Page/Uuid/3734daa8-ac...9aa2932523

Possible to copy and paste the content here?unable to view it ...

[Curiousparty]

think it is going to be a Big HUAT for CES shareholders
A very smart move indeed as the bubble in Australia is getting a bit too big liao with the recent rate cut.


CES looks set to cross $1 mark soon ...

*******
Chip Eng Seng to flip major Melbourne residential site

Listed Singaporean developer Chip Eng Seng is selling a major Melbourne residential development site after winning approval for more than 1000 apartments last year.
It gained approval for the 78-level skyscraper in the final weeks before state planning minister Matthew Guy lost office in the November election.
Through its Australian subsidiary, the Singaporean developer acquired the 2927 square metre site, a corner parcel of the former CUB brewery on the northern edge of the CBD, from private developer Grocon two years ago for $32 million.
Grocon sold two other parcels, totalling more than 6000 sq m, on the brewery site for $60 million last year with planning approval in place.
Chip Eng Seng is looking to book an early profit by selling the property at 8 Bouverie Street, Carlton.
While Mr Guy pushed through approval for dozens of towers during his term, it is yet to be seen how the new Labor government will tackle sensitive CBD planning decisions.

Chip Eng Seng will hope that uncertainty and the approval it has in hand will add a premium to the project.

"It's rare to be able to buy a site of this magnitude that is ready to be developed," said Colliers International's Trent Hobart, who is handling the property with colleague Bryson Cameron. "The location is prime, the timing is right with almost no competition with other large scale projects in the Melbourne CBD, and the residential market is strong."
In approving the Chip Eng Seng development, Mr Guy brushed aside Town Hall's objection against the tower's casting of some shadow over the state library forecourt nearby.

Chip Eng Seng's parcel will be one of the largest approved projects to transact in central Melbourne since super fund developer ISPT sold The Age newspaper's former site, in Spencer Street, to Far East Consortium for $76 million in 2013.

In 2014, Lorenz Grollo doubled his money on a prize Collins Street site, which he sold to private developer Jeff Xu for $25 million.
Also in 2014, AXF Group's Richard Gu sold the Kinnears rope factory site in Melbourne's inner west that he had acquired for about $20 million to listed Chinese developer R&F Properties for $60 million.

[BlueKelah]

how much can a project with an approval by ex-minister fetch? could it be that planning approvals are going to be revoked by the recently elected new government and CES trying to sell? Maybe they can con some Chinese developer to come pick it up..

So think there is a bubble now in Aus prop? How this affect CES if bubble pops this year?

[slowandsteady]

Most valuations I've seen (including NRA Capital and Sumer from Nextinsight) prescribe zero value to CES's Australia portfolio, out of conservatism, due to the regulatory risks.

Thus, I see this news as a surprise bonus, potentially unlocking value from something thought to be of zero value. Furthermore, past cases of flipping by developers show that valuations are on the rise.

What if the Australia market crashes and burns? I'm not worried, because I've already started out with zero valuation on them, plus an additional discount on overall portfolio RNAV. That's the beauty of MOS [/align]

[BlueKelah]

Most valuations I've seen (including NRA Capital and Sumer from Nextinsight) prescribe zero value to CES's Australia portfolio, out of conservatism, due to the regulatory risks.

Thus, I see this news as a surprise bonus, potentially unlocking value from something thought to be of zero value. Furthermore, past cases of flipping by developers show that valuations are on the rise.

What if the Australia market crashes and burns? I'm not worried, because I've already started out with zero valuation on them, plus an additional discount on overall portfolio RNAV. That's the beauty of MOS [/align]

So zeroing out the AUS props what sort of RNAV are you getting then? around $1.50?

MOS gap seems to be closing for this stock now.

[slowandsteady]

Quite close, I get $1.66 but this ignores a whole bunch of "potentials" - Aussie, Fernvale, Sans Centre, etc.

At 94c, gives me 76% "upside" - I see it more as my MOS, while the significant chunks that I'm ignoring will be my "surprises", for free. While not really 50c for a dollar, I'm happy enough with this.

Most valuations I've seen (including NRA Capital and Sumer from Nextinsight) prescribe zero value to CES's Australia portfolio, out of conservatism, due to the regulatory risks.

Thus, I see this news as a surprise bonus, potentially unlocking value from something thought to be of zero value. Furthermore, past cases of flipping by developers show that valuations are on the rise.

What if the Australia market crashes and burns? I'm not worried, because I've already started out with zero valuation on them, plus an additional discount on overall portfolio RNAV. That's the beauty of MOS [/align]

So zeroing out the AUS props what sort of RNAV are you getting then? around $1.50?

MOS gap seems to be closing for this stock now.

[Curiousparty]

Once CES increases its regular dividend to say 6 cents per annum (to become a pseudo REIT), its share price will be more aligned with RNAV (~$1.70, which excludes a lot of things like TM, Fernvale, revaluation of CES centre, etc)

And it is in the process of building up its investment portfolio...

I suspect there would be a re-rating of CES and lifting of target price level soon

[BlueKelah]

If there is no increase in div, as debt level is still pretty high, and to become reit more debt or cash infusion needed?? What sort of downside are we looking at??

How much more investment . Needed to generate the current 4 cent?

-- via Xperia Z1 with tapatalk

[RT Knight]

well, it has been few days someone is buying-in in big volume... just this afternoon, that someone is acting again. could it be some leakage of quarter report news?