When someone shares with you something of value, you have an obligation to share it with others.
Monday, 13 April 2009
Yanlord reports 2b yuan sales as market rebounds
Yanlord Land Group, which focuses on investments in mainland properties, says it had secured 2 billion yuan (HK$2.27 billion) in property sales in the first quarter, representing nearly 40 per cent of what it achieved for all of last year.
Yanlord Land Group, which focuses on investments in mainland properties, says it had secured 2 billion yuan (HK$2.27 billion) in property sales in the first quarter, representing nearly 40 per cent of what it achieved for all of last year.
The Singapore-listed company is the latest mainland player to report strong property sales in the first three months, further evidence of a growing recovery in the mainland real estate market.
“A revival of home-buying interest was being recorded in different mainland cities in the first quarter as a result of several rounds of mortgage rate cuts and tax reductions,” Michelle Sze, the head of investor relations at Yanlord, said.
On Wednesday, China Overseas Land & Investment announced a 51.2 per cent increase in property sales in the first three months to HK$9.26 billion. Shimao Property Holdings said contracted sales soared 346 per cent from a year earlier to 4.55 billion yuan.
Ms Sze said that unlike other developers that offered 20 per cent discounts to drum up sales, Yanlord’s prices for the last batch of units at Shanghai Yanlord Riverside City had risen 6 per cent from October last year to 32,000 yuan per square metre.
“In market doldrums, buyers will opt for good-quality developments in prime locations,” she said.
“That’s why our developments are more resilient than others in secondary locations.”
Last month alone, the company generated 1 billion yuan from the sale of 220 units at Shanghai Yanlord Riverside City in Pudong’s Lujiazui district, a new financial hub.
The firm will release two new residential projects - Yanlord Riverside City in downtown Tianjin as early as this month and Yanlord Yangtze Riverside City in Nanjing in July.
Prices for the Tianjin project, which comprises 1,000 units of 80 square metres and 330 square metres, had not yet been finalised but transaction prices in the city centre ranged from 10,000 yuan and 17,000 yuan per square metre, Ms Sze said.
JP Morgan analyst Joy Wang said he expected the average selling prices for both projects to be 15,000 yuan per square metre, given recent encouraging sales in the respective markets, Tianjin in particular.
The firm’s cash reserve was bolstered in February by the sale of a 40 per cent stake to Singapore’s Government Investment Corp (GIC) in each of two residential projects in Shanghai and Suzhou for a total of 1.25 billion yuan.
Ms Sze said it sold its 40 per cent stake in Suzhou’s Lakeview Bay project to GIC for 779 million yuan in cash. The price represented a 10 per cent discount to the land cost of 2.16 billion yuan in 2007. “We gave the discount for the Suzhou site as GIC is paying in cash for the deal,” she said.
BOC International property analyst Frank Lai wrote in a report that Yanlord would incur an estimated loss of 92 million yuan from the discounted sale of the Suzhou site.
1 comment:
Yanlord reports 2b yuan sales as market rebounds
Sandy Li
13 April 2009
Yanlord Land Group, which focuses on investments in mainland properties, says it had secured 2 billion yuan (HK$2.27 billion) in property sales in the first quarter, representing nearly 40 per cent of what it achieved for all of last year.
The Singapore-listed company is the latest mainland player to report strong property sales in the first three months, further evidence of a growing recovery in the mainland real estate market.
“A revival of home-buying interest was being recorded in different mainland cities in the first quarter as a result of several rounds of mortgage rate cuts and tax reductions,” Michelle Sze, the head of investor relations at Yanlord, said.
On Wednesday, China Overseas Land & Investment announced a 51.2 per cent increase in property sales in the first three months to HK$9.26 billion. Shimao Property Holdings said contracted sales soared 346 per cent from a year earlier to 4.55 billion yuan.
Ms Sze said that unlike other developers that offered 20 per cent discounts to drum up sales, Yanlord’s prices for the last batch of units at Shanghai Yanlord Riverside City had risen 6 per cent from October last year to 32,000 yuan per square metre.
“In market doldrums, buyers will opt for good-quality developments in prime locations,” she said.
“That’s why our developments are more resilient than others in secondary locations.”
Last month alone, the company generated 1 billion yuan from the sale of 220 units at Shanghai Yanlord Riverside City in Pudong’s Lujiazui district, a new financial hub.
The firm will release two new residential projects - Yanlord Riverside City in downtown Tianjin as early as this month and Yanlord Yangtze Riverside City in Nanjing in July.
Prices for the Tianjin project, which comprises 1,000 units of 80 square metres and 330 square metres, had not yet been finalised but transaction prices in the city centre ranged from 10,000 yuan and 17,000 yuan per square metre, Ms Sze said.
JP Morgan analyst Joy Wang said he expected the average selling prices for both projects to be 15,000 yuan per square metre, given recent encouraging sales in the respective markets, Tianjin in particular.
The firm’s cash reserve was bolstered in February by the sale of a 40 per cent stake to Singapore’s Government Investment Corp (GIC) in each of two residential projects in Shanghai and Suzhou for a total of 1.25 billion yuan.
Ms Sze said it sold its 40 per cent stake in Suzhou’s Lakeview Bay project to GIC for 779 million yuan in cash. The price represented a 10 per cent discount to the land cost of 2.16 billion yuan in 2007. “We gave the discount for the Suzhou site as GIC is paying in cash for the deal,” she said.
BOC International property analyst Frank Lai wrote in a report that Yanlord would incur an estimated loss of 92 million yuan from the discounted sale of the Suzhou site.
Post a Comment