News by M

Analysts are holding their earnings forecast for S P Setia Bhd after it won the tender for a plot of prime land in Singapore, amid concern over the group’s valuation due to the high cost of the land.

“Wanting to own a home in Kuala Lumpur city centre for less than RM500,000, that is not very realistic. That’s why we also urge the media, the National House Buyers Association (HBA) and the government to help educate our buyers,” said Rehda president Datuk Seri FD Iskandar Mohamed Mansor in a media briefing on Rehda’s Property Industry Survey 2H2016 this morning.

Distributable income for the quarter grew 9.9% to S$71.3 million, largely contributed by CapitaGreen given CCT’s increase in ownership from 40% to 100% from Aug 31, 2016.

S P Setia Bhd, via its subsidiary S P Setia International (S) Pte Ltd, has been awarded the tender for Singapore’s Toh Tuck Road site by Singapore’s Urban Redevelopment Authority (URA), marking the developer’s third project on the island.

Eastern & Oriental Bhd (E&O) has recorded 87% take-up for phase 2 of its Ariza Seafront Terraces comprising 35 units of landed homes in Seri Tanjung Pinang (STP), Penang. They were launched on March 23.

AmanahRaya Real Estate Investment Trust (AmanahRaya REIT) aims to acquire “trophy assets” in the immediate term, despite the softening property market, said Amanah Raya Bhd’s (ARB) group managing director Adenan Md Yusof.

SkyWorld Development Group has invested RM3.8 million to set up a 13,000 sq ft facility called the SkyWorld Quality Centre to showcase the quality of construction of the developer’s projects.

 The ministry of urban wellbeing, housing and local government will build 4,800 units of studio apartment for youths, on its land in Batu district, Kuala Lumpur.

Sime Darby Property’s 40%-owned Seriemas Development has entered into a conditional sale and purchase agreement (SPA) to sell 342.5 acres (138.6ha) of land in Bangi to S P Setia for RM447.6 million (or RM30/sq ft), with profit-sharing of 20% of the pre-tax profit from the development, subject to a maximum of RM44.7 million (or RM3/sq ft).

The market chatter that first surfaced in 2014 to merge all the property companies under PNB’s portfolio could finally happen. Instead of merging S P Setia Bhd, Island & Peninsular Sdn Bhd (I&P) and the property businesses of Sime Darby Bhd, S P Setia announced that it had entered into a memorandum of intent to only acquire I&P however.