GuocoLand’s mixed-use Guoco Midtown is opening in phases between 2022 and 2024
In today’s roundup of regional news headlines, SGX-listed builder GuocoLand takes a profit hit after recording a large disposal gain a year earlier, and Warren Buffett’s Berkshire Hathaway will lend support to a smart city development in India.
GuocoLand’s H1 Profit Down 13% on Absence of Disposal Gain
Singapore-listed property player GuocoLand on Thursday reported a 13 percent fall in net profit to S$59 million (now $44.8 million) for the first half ended December, in the absence of a S$14.3 million disposal gain recorded the year before.
Excluding the disposal gain, the company saw its net profit rise 11 percent on the back of a strong property market and a revival of tourism. Revenue rose 46 percent to S$661.6 million. Read more>>
Berkshire Hathaway to Help Develop Smart City Near Navi Mumbai Airport
Among the memorandums of understanding signed by Indian chief minister Eknath Shinde during his visit to Davos was a strategic collaboration with Berkshire Hathaway Home Services Orenda India.
The deal will help in developing the physical and social infrastructure for a 1,000 acre (404.7 hectare) smart city close to Navi Mumbai International Airport in Raigad district. Read more>>
Hong Kong Property Investment Activity to Bounce Back in 2023: Analysts
Hong Kong’s property investment volume is expected to rise by up to 15 per cent this year from a 10-year low, as investors cautiously hunt bargains after significant price corrections amid rising interest rates, analysts said.
Hong Kong ranks fifth among the top target cities for cross-border investment this year, returning to the top five after a four-year absence, according to CBRE’s 2023 Asia-Pacific Investor Intentions Survey. Read more>>
Real Estate Sector to Play ‘Diminished Role’ in China’s Growth
Property investment dropped 10 percent to RMB 13.29 trillion ($1.98 trillion) in China last year, data from the National Bureau of Statistics shows, illustrating the extent of the slowdown in a sector that had been driving the world’s second-largest economy.
The figure represents a swing from 4.4 percent growth in 2021 and is the first time property investment in China has recorded a decline since 1999. Read more>>
China’s Futuristic City Is a Test of Its Planning Power
About 60 miles (96.6 kilometres) south of the centre of Beijing, a new city is being built as a showcase of high-tech ecologically friendly development. Its massive high-speed rail station and “city brain” data centre have been heralded by Chinese state media as evidence of the speed and superiority of China’s growth model — not least because the city is a “signature initiative” of Chinese President Xi Jinping.
Xiongan New Area is also a test for whether China can boost domestic innovation and climb into the ranks of advanced nations in the face of slowing economic growth and efforts by the US and others to restrict its access to advanced technology. Read more>>
Real Estate Firms May Struggle to Get Funding if They Don’t Go Green
Real estate companies reliant on funding could be compelled to comply with sustainability practices or face reduced funding opportunities, Singapore’s OCBC warned in a sector report on Friday.
This is because green financing for the real estate sector is becoming mainstream, with developers taking green or sustainability-linked loans or bonds, and local banks increasingly looking at environmental, social and governance (ESG) risks when financing projects. Read more>>
Housing Sales in India’s Gurugram Nearly Doubled in 2022
The sale of residential properties in Gurugram rose nearly two-fold to 32,617 units last year on higher demand across all price categories, according to real estate consultant Anarock.
The sale for housing properties stood at 15,590 units in Gurugram in calendar year 2021. Read more>>
Adani Group Plans to Spin Off More Units, Dismisses Debt Concerns
India’s Adani Group, controlled by billionaire Gautam Adani, plans to spin off more businesses by 2028, the group’s chief financial officer told Reuters.
The corporate house plans to spin off, or demerge, its metals, mining, data centre, airport, road and logistics businesses, said Jugeshinder Singh. “The criteria is for these businesses to achieve a basic investment profile and experienced management by 2025-28, which is when we plan to demerge them,” Singh said. Read more>>
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