CDL reports 41% y-o-y decrease in units sold in 1Q2022 due to cooling measures
City Developments (CDL) saw a reduction in domestic units marketed in 1Q2022 finishing March 31 due to the home cooling down actions introduced on Dec 16 2021. In its 1Q2022 working update released on May 24, the Singapore-listed residence team declared a 41% y-o-y decline in properties offered for sale to 188 units, with a complete sales price of $477.9 million in the first quarter. In contrast, the group saw 319 units sold in 1Q2021, with an entire sales cost of $513.6 million.
In January, CDL was the top bidder alongside joint endeavor partner MCL Land for a 210,623 sq ft Government Land Sales (GLS) place at Jalan Tembusu. CDL as well as MCL Land handed in the major proposal of $768 million ($1,302 psf per plot ratio). CDL specifies the submitted advancement at the area will certainly consist of 4 blocks of 20 to 21 storeys with a sum of 640 units.
CDL also undertook the acquisition of Central Square for $315 million in March, which will be redeveloped as well as CDL’s Central Shopping center assets right into an enlarged mixed-use improvement. The team additionally executed the off-market purchase of a 179,007 sq ft area at 798 and 800 Upper Bukit Timah Road for $126.3 million, which will certainly be redeveloped toward a 400-unit housing job.
Still, CDL is hopeful concerning the outlook for its residence advancement organization for the remainder of the year, with additional domestic launches arranged. “While deal quantity is briefly affected, the group presumes the asset market to stay resilient as well as real estate prices to hold firm due to modest supply as well as strong underlying fundamentals,” its functional update reads.
Earlier this month, the group introduced Piccadilly Grand, its 407-unit, mixed-use growth joint opportunity project at Northumberland Street. The venture saw strong take-up over its launch weekend, with 315 units (77%) cost a standard selling price of $2,150 psf. Upcoming release in the second part of the year involve a 639-unit joint project executive apartment project at Tengah Garden Walk, along with the 256-unit residential part of an integrated development at 80 Anson Road in the CBD.
In the middle of the 1st quarter, CDL even did a variety of divestments, involving the sale of Tanglin Shopping center for $868 million via a public tender in February as well as the sale of Millennium Hilton Seoul for around $1.25 billion. More just recently, the collective sale of Golden Mile Complex for $700 million, wherein CDL holds 6.3% of the complete stake price and 34.8% of the strata part, was announced on May 6.
