CDL reports 41% y-o-y decrease in units sold in 1Q2022 due to cooling measures
CDL likewise completed the acquisition of Central Square for $315 million in March, which will be redeveloped as well as CDL’s Central Mall assets right into an enlarged mixed-use improvement. The group additionally carried out the off-market purchase of a 179,007 sq ft area at 798 and also 800 Upper Bukit Timah Road for $126.3 million, which will definitely be redeveloped inside a 400-unit residential task.
In January, CDL was the top prospective buyer beside joint venture partner MCL Land for a 210,623 sq ft Government Land Sales (GLS) site at Jalan Tembusu. CDL and MCL Land sent the main proposal of $768 million ($1,302 psf per plot ratio). CDL mentions the submitted growth at the site will include four blocks of 20 to 21 storeys with a sum of 640 units.
City Developments (CDL) saw a decrease in domestic units sold in 1Q2022 ending March 31 due to the home cooling down procedures announced on Dec 16 last year. In its 1Q2022 functional update released on May 24, the Singapore-listed building team reported a 41% y-o-y reduction in residential properties offered to 188 units, with a whole sales worth of $477.9 million in the first quarter. In contrast, the team saw 319 units sold in 1Q2021, with a total sales price of $513.6 million.
Previously this month, the team opened Piccadilly Grand, its 407-unit, mixed-use property development joint enterprise assignment at Northumberland Street. The project saw strong take-up during its launch weekend, with 315 units (77%) sold at an usual selling price of $2,150 psf. Upcoming release in the 2nd half of the year involve a 639-unit joint project executive condominium project at Tengah Garden Walk, in addition to the 256-unit property component of an integrated enhancement at 80 Anson Road in the CBD.
In the middle of the first quarter, CDL even did a variety of divestments, involving the sale of Tanglin Shopping center for $868 million via a public tender in February and the sale of Millennium Hilton Seoul for around $1.25 billion. More just recently, the cumulative sale of Golden Mile Complex for $700 million, in which CDL holds 6.3% of the complete reveal price and also 34.8% of the strata area, was revealed on May 6.
Nevertheless, CDL is hopeful concerning the probability for its residential property development company for the whole year, with a lot more property launches intended. “While deal amount is briefly influenced, the team assumes the building market to stay resilient as well as realty costs to hold firm because of moderate supply and also strong underlying principles,” its operational update reviews.