CDL y-o-y decreased 41% in units sold in 1Q2022 due to cooling measures
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City Developments (CDL) saw less residential units sold during the 1Q2022 which ended March 31, due to the property cooling measures announced December 16, the previous year. In its 1Q2022 operational report published on the 24th of May the Singapore-listed property company reported an increase of 41% reduction in properties sold , which was just 188 units with the total amount of $477.9 million for the first quarter. Comparatively, the company had 319 units sold during 1Q2021, resulting in a total amount at $513.6 million.
However, CDL is optimistic about the future of their property development business over the remainder in the calendar year including additional residential launches scheduled. “While the volume of transactions is temporary affected, the organization anticipates for the property market to be robust and prices for housing remain steady due to the moderate supply and solid fundamentals that underlie the market,” its operational update says.
This month the group unveiled Piccadilly Grand, its mixed-use, 407-unit joint venture project on Northumberland Road. The project was well-loved over its weekend of launch which saw three hundred units (77%) sold at an average price of $2,150 per square foot. The upcoming launches for the second quarter in the second quarter of this year comprise the 639-unit executive condo development at Tengah Garden Walk, as and the residential portion of 256 units of an integrated development on Anson Road in the CBD.
in January CDL had been the highest bidder along with the joint venture partner MCL Land for a 210,623 square feet Government Land Sales (GLS) site located at Jalan Tembusu. CDL as well as MCL Land submitted the top offer in the amount of $768million ($1,302 per plot, psf). CDL declares that the proposed development for the site will consist of four blocks ranging from 20 to 21 stories with the total number in 640 homes.
CDL has also completed the purchase from Central Square for $315 million in March. The property will be redeveloped along with the CDL’s Central Mall properties into an expanded mixed-use development. CDL completed the off-market purchase of 179,007 square feet site at 798 and 808 Upper Bukit Timah Road for $126.3 million. The site will be transformed into a residential development of 400 units.
The first quarter of the year saw CDL also completed a series of divestments. This included that of Tanglin Shopping Centre for $868 million via an open tender in February and the purchase of Millennium Hilton Seoul for around $1.25 billion. In the last few months, the group sale of the Golden Mile Complex for $700 million, of which CDL is the sole owner of 6.3% of the total shares as well as 34.8% of the strata area it was announced on the 6th of May.