CDL Posts $194.4m Profit For Second Quarter

Source : TODAY, Wednesday, August 15, 2007

City Developments Ltd (CDL), one of Singapore's top real estate developers, saw $194.4 million in profit for the second quarter of this year, 331 per cent higher than the $45 million registered a year earlier.

The booming property and hotel sectors boosted CDL's coffers, with these segments contributing around $238 million and $129 million in profit respectively for the first half of the year respectively. Gains came from pre-sold properties like City Square Residences and Tribeca, and joint venture developments like St Regis Residences and The Sail @ Marina Bay.

The company's 53 per cent stake in Millennium & Copthorne Hotels chalked up $87.5 million in profit for the second quarter of the year.

Another notable contributor to the profit column was the developer's rental properties, which posted an 800 per cent year-on-year increase to $27 million for the first half of this year, up from $3 million in the first half of last year.

Prime office rents have risen substantially in the first half: CDL said rentals at Republic Plaza currently stand at $18 psf per month. CDL quoted a Jones Lang LaSalle report which showed Raffles Place office space averaged $13.80 psf per month for the first half of this year. URA media rentals for prime Category 1 office space at $10.33 psf per month for the second quarter.

CDL plans a special interim dividend of 10 cents per share. — Joseph yadao