Raffles City Bahrain Receives Good Response

Source : The Business Times, July 30, 2008

80% of the 124 units launched sold within three weeks, says CapitaLand

CAPITALAND has reported strong demand for residential apartments within the first Raffles City-branded integrated development in the Gulf Co-operation Council (GCC) region.

The property group launched private sales for the Tower 2 residential block in Raffles City Bahrain about a month ago. Eighty per cent, or 101 of a total of 124 apartments and penthouses, were booked within three weeks of the launch.

Buyers include high net worth individuals from the Middle East and Europe.

The units achieved an indicative average sale price of $6,330 per square metre (psm), exceeding the average price of $4,883 psm for other high quality residential apartments in Bahrain.

Lying within the man-made islands of Bahrain Bay, the Raffles City Bahrain integrated development will comprise three residential towers, landscaped sky villas, high-end retail, food & beverage facilities and five-star serviced residences.

CapitaLand also manages the Raffles City Bahrain Fund which owns Raffles City Bahrain. The fund closed in May 2007 at US$350 million and CapitaLand owns a 37 per cent stake in it.

'Entering the GCC countries is a strategic initiative we took in 2006 to balance our investments in the fast-growing economies in Asia. Raffles City Bahrain is our first move in this direction,' said CapitaLand president and CEO Liew Mun Leong.

'We expect to further grow our presence in the GCC region to capitalise on the abundant opportunities there.'

According to CapitaLand GCC Holdings Pte Ltd's CEO Wong Heang Fine, construction of Raffles City Bahrain is well underway and piling is more than 25 per cent complete. 'We are heartened by the successful private sales and are gearing up for the public launch targeted in October this year,' he said.

CapitaLand shares closed at $5.66 yesterday, 17 cents down.