Posh projects such as Singapore’s CapitaGreen weren’t enough to stop a profit drop
Plunging profits lead the real estate headlines this month as Asia Pacific’s real estate developers total up the damage wrought by the coronavirus during the first half of 2020.
Southeast Asia’s largest builder, CapitaLand saw its profits drop to just $70.6 million, the company declared on Thursday, while Far East Orchard reported a loss for the first half of 2020. As usual, those bright sparks at Blackstone had more cheerful news, with the private equity giant’s second India office REIT jumping more than 10 percent on its first day of trading.
CapitaLand Profit Fell to $70.6M in 2020 1H
CapitaLand’s first-half net profit plummeted 89% as the Covid-19 pandemic caused revaluation losses and hurt its residential, retail and lodging businesses.
Net profit was 96.6 million Singapore dollars ($70.6 million) compared with S$875.4 million a year earlier, Singapore-based CapitaLand Ltd. said Friday. Read More>>
Blackstone’s Mindspace REIT Jumps 10.55% on First Day of Trading
Units in Blackstone-backed Mindspace Business Parks REIT surged 10.55% on listing today as it became India’s second Real Estate Investment Trust to get listed on the stock exchanges. The issue that closed after garnering a healthy subscription of 12.96 times began trading at Rs 304 per share, against from Rs 275 per share which was the upper cap of the issue price.
Earlier yesterday, Embassy Office Parks REIT, the first such instrument to trade in India, announced its quarterly results where it announced the distribution of Rs 490 crore or Rs 5.83 per unit. REITs have to pay 90% of the net distributable cash flow to unit holders. Read More>>
Wanda’s AMC Theatres Lost $561M in First Half
AMC Theatres, the world’s largest cinema operator, lost $561 million in its most recent quarter as revenue collapsed because of the COVID-19 pandemic.
The Leawood, Kan.-based exhibitor, owned by China’s Dalian Wanda Group, has been hammered by the coronavirus crisis, which has kept its 630 U.S. theaters closed since mid-March. Revenue was $18.9 million during the three months that ended in June, down 99% from the same period a year ago, the company said Thursday. Read More>>
Cut Rate Home Foreclosure Sales Seen as Bad Omen in Hong Kong
Some Hong Kong foreclosed homes have been recently sold at steep discounts, adding to signs that the world’s most expensive housing market could be heading for price declines both this year and next.
With the economy hit by anti-government protests and the coronavirus pandemic, foreclosures in the Asian financial hub jumped 54 per cent in the first seven months of the year to 675, according to property auctioneer Century 21 Surveyors. Read More>>
Singapore’s Far East Orchard Lost S$853,000 From Jan to June
Hotel operator and property developer Far East Orchard has fallen into the red with a S$853,000 net loss for the half year ended June 30, 2020, versus a net profit of S$5.8 million a year ago. (see amendment note)
Loss per share stood at 0.19 Singapore cent for the six months, down from the year-ago earnings per share of 1.33 cents. Read More>>
Google, Morgan Stanley Lead 11M SqFt India Leasing Surge
A slew of large office lease transactions by leading global corporations in the last few weeks have kickstarted a new wave of leasing activity in office space, providing a much-needed breather to the battered commercial real estate sector.
Deals totting up to 11 million sq ft have been finalised in the last month and the market is buzzing with new requests for proposals for another 8 million sq ft office space, industry insiders said. Read More>>
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