Food
Keppel Land’s full year net profit jumped 45% to $701 million from $482 million a year ago. Full year revenue for FY2015 rose 11% to $1.9 billion from $1.7 billion a year ago.
The group sold about 4,570 homes, double the units taken up in 2014. About 3,280 of the units sold in FY2015 were in China, with another 930 in Vietnam, 190 in Singapore, and 130 in Indonesia. Property prices in China’s first-tier cities continue to rise strongly with high absorption rate and falling stock.
Keppel Land says it will continue to tap demand in recovering property markets across Asia. It currently has about 20,000 launch-ready homes in its portfolio, mostly in China. It will also develop its commercial portfolio which has increased to 9.04 million sq ft of gross floor area (GFA), with some coming on stream over the next two years. In Vietnam, Keppel Land’s Saigon Centre Phase 2 retail mall in Ho Chi Minh City has achieved pre-commitment of 97.5% and will open in 3Q2016. The anchor tenant is Takashimaya Department Store. In Myanmar, Keppel Land’s new 29-storey Inya Wing hotel has opened, adding another 431 guest rooms and suites, along with an exclusive retail gallery at Hotel Sedona Yangon.
In Singapore, Keppel Land just added 112 Katong to its commercial property portfolio with its acquisition of a 22.4% interest announced last week. The remaining 77.6% interest in 112 Katong is held by its property fund management arm, Alpha Investment Partners (AIP). Keppel Land Retail Management has been appointed as the retail manager. The property fund portfolio managed by Keppel Reit and AIP rose 10% y-o-y to $20.5 billion in FY2015 from $18.7 billion in FY2014.
Keppel REIT’s portfolio of office buildings in Singapore and Australia continues to maintain a high occupancy of 99.3%. Meanwhile, Alpha’s Asia Macro Trends Fund II has invested in three prime office properties with City Developments Ltd. With the success of the first two Asia Macro Trends Funds, it will be embarking on its third fund in the series.
